Experts believe a circular economy is among the effective solutions for sustainable development, especially for climate change resilience and adaptation.
At the 5th National Environment Conference, held by the Ministry of Natural Resources and Environment on August 4, Deputy Prime Minister Le Van Thanh emphasized that having a green economy, a circular economy, and a low carbon economy is the best way to ensure sustainable economic development, and that the environment would not be sacrificed for growth.
Vietnam’s southern region, which is to take the lead in renewing the country’s economic growth model, will pilot the development of the green economy and the circular economy. The region’s greatest challenges are capital and institutions. To develop the green economy in Vietnam in general and in the southern region in particular, it is necessary to develop a law on the circular economy.
The Japan International Cooperation Agency (JICA) is working with the Institute of Strategy and Policy on Natural Resources and Environment (ISPONRE) to develop a national circular economy action plan for Vietnam. According to a survey it conducted in January, experts suggest three priority areas for the implementation of a circular economy in the country: industry, agriculture, forestry and fisheries, and services.
If Vietnam’s circular economy is to develop, it is necessary to introduce a mechanism to help small and medium-sized enterprises (SMEs) access finance; offer incentives to support and create the conditions for businesses to access green capital; and link the transformation to the circular economy with reductions in carbon emissions. This would create motivation for organizations and enterprises to develop the circular economy.