Vietnam
Overview

‘Through the Bamboo Curtain’


Vietnam, a name too long associated with the horrors of war, has finally won its last battle – to capture the imagination of the travelling public. Elegant Hanoi now vies with its dynamic sister Ho Chi Minh City (still fondly called Saigon by the locals) for the attention of visitors drawn by the eclectic mix of old and new.

Elsewhere the scenes are timeless. Early morning in the Mekong Delta brings the daily floating markets where fruit and vegetables are peddled. Everywhere the green patchwork of rice paddies stretches into the distance only broken by the silhouette of water buffalo and conical-hatted peasants bending down to tend the young plants. The soaring mountains in the north of the country tower over tiny villages where life continues much as it has done for centuries, with traditional costumes still proudly worn. Old French hill stations survive throughout the country offering welcome respite from the heat of the plains below. And in the South China Sea, the 3000 chalk islands in Ha Long Bay are not to be missed.

The ancient former imperial capital, Hue, takes you back to a time of concubines and eunuchs. In every town, young women wearing the simple but feminine national dress, the Ao Dai, weave their way through the traffic at the controls of a motorbike. Only in Vietnam could the past and the present be encapsulated so perfectly.


Anita Sach

General Information

Area: 331,114 sq km (127,844 sq miles).

Population: 78,059,000 (1998).

Population Density: 235.7 per sq km.

Capital: Hanoi. Population: 2,154,900 (1993).

GEOGRAPHY: Vietnam shares borders to the north with the People’s Republic of China and to the west with Laos and Cambodia. The South China Sea lies to the east and south. The land is principally agricultural with a central tropical rainforest.

Government: Socialist republic since 1980. Gained independence from France in 1954. Head of State: Chairman Trân Duc Luong since 1997. Head of Government: Prime Minister Phan Van Khai since 1997.

Language: Vietnamese is the official language. English, French, Chinese and occasionally Russian and German are spoken.

Religion: Buddhist majority. There are also Taoist, Confucian, Hoa Hao, Caodaist and Christian (predominantly Roman Catholic) minorities.

Time: GMT + 7.

Electricity: 220/110 volts AC, 50Hz; plugs are mostly flat pin.

Communications:  

Telephone

IDD is available. Country code: 84. Outgoing international code: 00.

Mobile telephone

GSM 900 network. Operators include Vietnam Mobile Telecom Service (website: www.vnpt.com.vn) and Vietnam Telecoms Services (GPC) (website: www.gpc.vnn.vn). Coverage is largely limited to main urban areas.

Fax

Available in most post offices, hotels and businesses.

Internet

ISPs include Internet Vietnam (website: www.vnn.vn). E-mail can be accessed from Internet cafes in Hanoi and Ho Chi Minh City.

Telegram

Facilities are available in most towns.

Post

Postal services can be slow. Airmail to Europe can take up to three weeks.

Press

Daily and weekly newspapers in Vietnam include Hanoi Moi and Nhan Dan (‘The People’). The Vietnam Economic Times, Vietnam Investment Review, Saigon Times, Vietnam News and Vietnam Courier are published in English.

BBC World Service and Voice of America frequencies: From time to time these change.

BBC (website: www.bbc.co.uk/worldservice):

MHz15.369.7406.1953.915


Voice of America (website: www.voa.gov):

MHz17.7411.719.6456.110


Passport/Visa

 Passport Required?Visa Required?Return Ticket Required?
BritishYesYesNo
AustralianYesYesNo
CanadianYesYesNo
USAYesYesNo
OtherEUYesYesNo
JapaneseYesYesNo


PASSPORTS: Passport valid for at least three months after expiration of visa required by all.

VISAS: Required by all except:
(a) nationals of Malaysia for 30 days and nationals of the Philippines for 21 days;
(b) transit passengers continuing their journey within 24 hours, provided holding valid return or onward tickets. At present visas can be issued for either groups or individuals.


Note: For security reasons, it is advisable to carry copies of documents rather than originals when in Vietnam.

Types of visa and cost: Tourist: £38 (single-entry); £55 (express service); £70 (multiple-entry). Single-entry Business: £45 (one month); £70 (three months). Multiple-entry Business: £90 (three months).

Validity: Tourist visas are valid for one month from proposed date of entry. Visas can usually be extended for another month, at extra cost, in the larger towns.

Application to: Consulate (or Consular section at Embassy); see Contact Addresses section.

Application requirements: (a) Two completed application forms. (b) Two passport-size photos. (c) Valid passport. (d) Fee (non-refundable), payable by cash or cheque. (e) For postal applications, a registered, stamped self-addressed envelope.

Working days required: Three (Tourist visa express application); seven (Tourist visa).

Money

Currency: New Dông (D). Notes are in denominations of D100,000, 50,000, 20,000, 10,000, 5000, 2000, 1000, 500, 200 and 100. Coins are not used.

Currency exchange: The US Dollar is the most favoured foreign currency. British, Australian, Japanese, Singaporean and Thai currency, as well as the Euro can usually be changed in the larger cities; great difficulty may be encountered in trying to exchange any other currencies. There is a charge for changing money in banks.

Credit & debit cards: An increasing number of outlets accept Visa and MasterCard. Check with your credit or debit card company for details of merchant acceptability and other services which may be available.

Travellers cheques: These are widely accepted in hotels and banks. To avoid additional exchange rate charges, travellers are advised to take travellers cheques in US Dollars or Euros.

Currency restrictions: Import and export of local currency is prohibited. Import and export of foreign currency over US$3000 is subject to declaration. Proof of all expenses should be kept.

Exchange rate indicators
The following figures are included as a guide to the movements of the New Dông against Sterling and the US Dollar:


DateMay ’02Aug ’02Nov ’02Feb ’03
£1.00=22,220.2023,320.7024,321.9024,567.60
$1.00=15,247.5015,333.5015,380.015,429.50


Banking hours: Mon-Fri 0800-1630, Sat 0800-1200.

Duty Free

The following items may be freely imported into Vietnam by foreign visitors without incurring customs duty:
400 cigarettes; 2 bottles of alcoholic beverages; a reasonable quantity of perfume.


Prohibited items: The importation of non-prescribed drugs, firearms and pornography is prohibited.

Public Holidays

Jan 1 2003 New Year’s Day. Feb 1-3* Têt, Lunar New Year. Apr 30 Liberation of Saigon. May 1 May Day. Sep 2 National Day. Jan 1 2004 New Year’s Day. Jan 22-24* Têt, Lunar New Year. Apr 30 Liberation of Saigon. May 1 May Day. Sep 2 National Day.

Note: *Check with the Embassy for the exact date. Visitors may experience difficulties during this period as shops, restaurants and public services close and prices tend to go up in the few shops that remain open.

Health

 Special PrecautionsCertificate Required
Yellow FeverYes1
CholeraYes2
Typhoid and Polio3N/A
Malaria4N/A


1: A yellow fever vaccination certificate is required from travellers over one year of age arriving within six days of visiting infected areas.

2: Following WHO guidelines issued in 1973, a cholera vaccination certificate is not an official condition of entry to Vietnam. However, cholera is a serious risk in this country and precautions are essential. Up-to-date advice should be sought before deciding whether these precautions should include vaccination, as medical opinion is divided over its effectiveness. For more information, see the Health appendix.

3: Vaccination against typhoid is advised.

4: Malaria risk exists throughout the year everywhere except urban areas, the Red River delta and the coastal plains north of Nha Trang. The risk is highest in the southern provinces of Ca Mau and Bac Lieu and highland areas. The malignant falciparum form is reported to be highly resistant to chloroquine and sulfadoxine-pyrimethamine.

Food & drink: All water should be regarded as being potentially contaminated. Water used for drinking, brushing teeth or making ice should have first been boiled or otherwise sterilised. Milk is unpasteurised and should be boiled. Powdered or tinned milk is available and is advised, but make sure that it is reconstituted with pure water. Avoid dairy products that are likely to have been made from unboiled milk. Only eat well-cooked meat and fish, preferably served hot. Pork, salad and mayonnaise may carry increased risk. Vegetables should be cooked and fruit peeled.

Other risks: Bilharzia (schistosomiasis) is present in the delta of the Mekong River. Avoid swimming and paddling in fresh water. Swimming pools which are chlorinated and well maintained are safe.
Japanese encephalitis is a risk in Hanoi and in rural areas. A vaccine is available and travellers are advised to consult their doctor prior to departure. Hepatitis A, B and E occur; precautions should be taken. Dengue fever can be epidemic and filariasis is endemic in some rural areas. Typhoid fever, amoebic and bacillary dysentry can occur. Trachoma and plague occur rarely.
Rabies is present. For those at high risk, vaccination before arrival should be considered. If you are bitten, seek medical advice without delay. For more information, consult the Health appendix.


Health care: There are hospitals in major towns and cities, and health care centres in all provinces, but facilities are limited everywhere and there is a lack of medicines. Health insurance is essential and should include cover for emergency repatriation by air. Immediate cash payment is expected for services.

Travel - International

AIR: Vietnam’s national airline is Vietnam Airlines (VN) (website: www.vietnamairlines.com.vn). The most usual routes to Vietnam are from Bangkok, Kuala Lumpur, Hong Kong, Taipei, Manila, Singapore and Paris. Most Asian carriers have flights to Vietnam, as do Qantas and Air France.

Approximate flight times: From Hanoi to London is around 17 hours, including 2 hours stopover in Bangkok.

International airports: Noi Bai International Airport (HAN) at Noi Bai is 45km (28 miles) north of Hanoi. Buses and metered taxis are available. The airport has basic facilities. A second runway is due for completion by mid-2003.
Tan Son Nhat International Airport (SGN) is 7km (4.5 miles) from Ho Chi Minh City. Buses and metered taxis are available.


Departure tax: US$12 (Ho Chi Minh City and Hanoi) and US$8 (Da Nang), payable in US Dollars or New Dông.

SEA: The major ports are Ho Chi Minh City, Vung Tau, Haiphong, Da Nang and Binh Thuy. International cruise facilities are available.

RAIL: It is possible to cross into China by rail from Lao Cai to Kunming in the Yunnan province of China or through Lang Son to Nanning. There are trains from Beijing-Dong Dang-Hanoi and back twice weekly.

ROAD: There are routes to Guangxi, China through Lang Son, Cambodia through Moc Bai and also to Laos at Lao Bao and Cau Trieu.

Note: It is important to remember that all Vietnamese visas are issued with a specified exit point. If this exit point needs to be altered, it must be done so at an immigration office or through a travel agent in Hanoi or Ho Chi Minh City.

Travel - Internal

AIR: Vietnam Airlines (VN) operates daily flights between Hanoi, Ho Chi Minh City, Hue, Da Nang and Nha Trang. Regular services are also provided between Hanoi and Ho Chi Minh City to Na San, Vinh, Qui Nhon, Dalat, Buon Ma Thuot, Pleiku and Phu Quoc. The Northern Airport Flight Service Company operates flights by helicopter to Halong Bay from Hanoi.
Departure Tax: D20,000 from Hanoi, Ho Chi Minh City, Hai Phong and Da Nang. D10,000 from other airports.


SEA: A local network operates between ports. Cruise facilities are available. Contact the Embassy before departure.

RAIL: Visitors may use the rail transport system independently or as part of a rail tour. Long-distance trains are more expensive but are faster, more reliable and more comfortable. Although a few carriages now have air conditioning, facilities are still short of international standards, and foreigners’ rates are comparable to the air fares. The main rail route connects Hanoi and Ho Chi Minh City and the journey can take between 30 and 40 hours. There are also services from Hanoi to Haiphong, Dong Dang, Lao Cai, Thai Nguyen and from Yen Vien to Ha Long. Contact Vietnam Railways (website: www.vr.com.vn) for more information.

ROAD: There is a reasonable road network. Traffic drives on the right. Roads, especially in the north, are often in a bad state of repair and may be impassable during the rainy season. Driving in Vietnam can be a hair-raising experience as the normal rules of highway discipline are rarely followed by the majority of drivers.There is a good highway from Hanoi to Ho Chi Minh City. Bus: Services are poor and overcrowded. Minibuses often run between tourist hotels in the major towns. Car hire: It is possible to hire chauffeur-driven cars. Documentation: An International Driving Permit and a test (taken in Vietnam) are required.

URBAN: There are local bus services in Ho Chi Minh City and in Hanoi, which also has a tramway. It is also possible to travel by taxi, motorbike or cyclo (cycle rickshaw; motorised version also exists); the last of these options can leave the traveller vulnerable to theft from opportunistic passers-by and the government is trying to phase them out, however. When travelling by taxi, it is advisable to note down the driver’s registration number (displayed on rear side of taxi) for security reasons.

Accommodation

Tourist facilities have vastly improved in the last few years and most towns have small hotels and guest-houses. In the major towns, there is a full range of accommodation to suit all budgets. For information, contact a travel operator that specialises in Vietnam or the Department for Hotel Management of the Vietnam National Administration of Tourism, 80 Quan Su Street, Hanoi (tel: (4) 822 4714 or 942 1061; fax: (4) 942 4115 or 942 4714; e-mail: unat@vietnamtourism.com; website: www.vietnamtourism.com).

Hanoi & the North

HANOI: The capital, Hanoi, sprawls on the banks of the Red River. It is a beautiful city which retains an air of French colonial elegance with pretty yellow stucco buildings lining leafy streets. Hanoi is also a city of lakes, which add to its air of sleepy grace. At present there are relatively few cars – many people travel by bicycle or moped. Although the streets are busy, there is little congestion and pollution is not yet a problem. It is a city that appears lodged in a bygone age. In the middle of the city lies the peaceful Hoan Kiem Lake (Lake of the Restored Sword) with the 18th-century Ngoc Son Temple (Jade Mountain Temple) sitting on an island in its centre. The temple can be reached by The Huc Bridge (Rising Sun Bridge). To the north of Hoan Kiem Lake is the Old Quarter, a fascinating maze of small antiquated streets lined with markets and pavement restaurants and cafes. West of the Old Quarter and south of the West Lake is the former Ville Française. This is the old French administrative centre and is characterised by enormous colonial-era châteaux and wide spacious boulevards. It also houses Hanoi’s most popular attraction, the Ho Chi Minh Mausoleum. When visiting the Mausoleum, it is important to be respectful both in dress and attitude. Ho Chi Minh was the father of the modern state and is still held in reverential regard. His house, built in 1958, is also on public view. Other museums in Hanoi include the Bao Tang Lich Su (History Museum), the Bao Tang Quan Doi (Army Museum), Ho Chi Minh Museum, Bao Tang My Thuat (Fine Arts Museum), Bao Tang Cach Manh (Revolutionary Museum) and Independence Museum. There are a number of interesting pagodas in Hanoi. The One Pillar Pagoda, first constructed in 1049 (subsequently destroyed by the French just before they were ejected from the city and then rebuilt by the new government), was built to resemble a lotus flower – the symbol of purity rising out of a sea of sorrow. The Temple of Literature built in 1076 was the first university in Vietnam. It is a graceful complex of small intricate buildings and peaceful courtyards. To the northwest of the Citadel is the West Lake, which is about 13km (9 miles) in circumference. The shores of the lake are popular amongst the Hanoians for picnics and there are a number of cafes. The lake also contains the wreckage of a crashed American B52 bomber.

ELSEWHERE: About 160km (100 miles) from Hanoi, near the port of Haiphong, is Ha Long Bay. This is an amazing complex of 3000 chalk islands rising out of the South China Sea. The area is strange, eerie and very beautiful. Many of the islands contain bizarre cave formations and grottoes. Near Ha Long Bay is Catba Island, a designated National Park and a rich repository of plants and wildlife.

About 250km (155 miles) north of Hanoi, high in the Hoang Lien Mountains, is the old hill station of Sapa. This area is inhabited by the Hmong and Zhao hill tribes. Every weekend, there is a market when the local tribespeople come into town to trade. In the evening, they celebrate with huge amounts of potent rice alcohol. It is absolutely vital that when visiting this area tourists are sensitive to local culture and traditions. If one follows the road from Sapa 200km (125 miles) further into the mountains (this can only realistically be attempted by jeep), one reaches Dien Bien Phu, scene of the humiliating defeat of the French by the Viet Minh that finally put paid to French colonial occupation in Indochina. This is a wild, beautiful and remote region.


Central Vietnam

HUE: Midway between Hanoi and Ho Chi Minh City lies the city of Hue. The former capital of the emperors of Vietnam, it is known for its beautiful imperial architecture, although a great deal of this was destroyed during the Tet offensive in 1968. The Perfume River forms the border between the city itself and the former ‘Forbidden Purple City’, the mighty Citadel. This ‘city within a city’ with its tombs, pagodas and lakes covered in lotus flowers was largely destroyed during the Vietnam War, but one can still see evidence of its former magnificence. Within easy reach of the city are the tombs of several of Vietnam’s emperors. Most interesting, perhaps, are the Tomb of Minh Mang and the Tomb of Tu Duc. The city also houses fine examples of Buddhist pagodas and other temples, such as the Thien Mu Pagoda.

ELSEWHERE: Near Hue is Da Nang, city of China Beach, the Marble Mountains and the Cham Museum, which houses magnificent examples of the art of the Indianised Cham civilisation. Approximately 20km (12 miles) from Da Nang is Hoi An. This is a delightful small riverine town replete with temple and pagodas.

A day’s drive from Hoi An, through some of Vietnam’s most breathtaking scenery, is Nha Trang. This is a pleasant resort with a good beach. From here it is easy to reach the town of Da Lat in the Central Highlands, evocative of a typical French town, which is popular among domestic tourists for its cool climate and alpine scenery.


Ho Chi Minh & the South

HO CHI MINH CITY: Set back from the delta formed by the Mekong River, Ho Chi Minh City (formerly Saigon) is the main commercial centre of the southern part of Vietnam, receiving its name in honour of the leader who successfully led the nation against both France and the USA. Locals still like to refer to it as Saigon. More modern than other Vietnamese cities, Ho Chi Minh City has also retained its French colonial influences. Its vibrancy is maintained by the ever-entrepreneurial Saigonese who have taken the Government reforms to heart and re-embraced the capitalist ethic with unrestrained enthusiasm. The streets are jam-packed with mopeds and scooters, often carrying whole families. The markets are chaotically busy. There is a lot to see in Ho Chi Minh City. The colourful Emperor of Jade Pagoda is an excellent example of a Chinese temple. Inside, there are elaborate woodcarvings decorated with gilded characters and sculptures depicting local deities. The hustle and bustle of trading is best observed in the markets of Cholon, the ancient Chinese quarter. The Hôtel de Ville is a wonderful example of French colonial architecture. The War Crimes Museum bears witness to the suffering inflicted on the Vietnamese people during the Vietnam War in the 1960s and 1970s. Other sites relevant to that era are Re-Unification Hall and the former US Embassy. An interesting excursion from Saigon is a visit to the Cu Chi Tunnels in which the South Vietnamese Communists concealed themselves and from which they launched attacks on US soldiers.

ELSEWHERE: Northwest of Ho Chi Minh City, Tay Ninh is an interesting destination as it is the home of the Caodai religion. This is a purely Vietnamese sect formed this century which takes teachings and precepts from most of the world’s major religions. Tay Ninh is the site of the largest Caodaist temple in Vietnam. This structure is colourful and unique.

South of Ho Chi Minh city are the flat, verdant planes of the Mekong Delta where much of Vietnam’s rice crop is grown. There are several towns in this region from which the visitor can take boat trips on the many tributaries of the Mekong.


Sport & Activities

Cycling: Vietnam is ideal for long-distance cycling as much of the country is flat and the shortage of vehicles makes for light traffic. Caution is needed, however, especially on busier roads as traffic can be very undisciplined. Bicycle hire is widely available.

Watersports: In total, Vietnam has 3260km (2021 miles) of coastline. The most popular beaches are Vung Tau, just north of the Mekong Delta; and Nha Trang, near Da Lat, where the clear, turquoise waters offer good snorkelling and scuba diving. Snorkelling and diving equipment can be hired at most beach resorts. Other good beaches can be found at Phan Thiet (southcentral coast); Mui Ne (noted for its large sand dunes); and the magnificent Ha Long Bay, where some 3000 islands, covered in lush vegetation and dotted with beaches and grottoes, rise out of the Gulf of Tonkin. Access to the islands is by boats, which can be hired in Ha Long City.

Hiking: There is good hiking and horseriding in the beautiful countryside around Da Lat. Guides are recommended and can be hired locally. Generally, the northwest is the best region for hiking. Other good destinations include Cuc Phuong National Park (near Hanoi); Bach Ma National Park; and Lang Bian Mountain (in Da Lat), where guides are compulsory. In the north, Cat Ba National Park on Cat Ba Island and Ba Be Lake National Park (which contains several lakes, waterfalls and caves) also offer beautiful scenery.

Other: Caving enthusiasts may head for the spectacular Pong Nha river caves, northwest of Dong Hoi. Boat trips are particularly popular in the Mekong Delta, Vietnam’s southernmost region, which consists of an intricate network of rice paddies, swamps and forests interlaced with canals and rivers. River cruises also operate on the Saigon River (a good way to see Saigon) or the Perfume River (near Hue).
There are opportunities for visitors to see some of the Vietnam War sights. It is possible to walk part of the Ho Chi Minh Trail, a series of roads, trails and paths used as supply routes by the North Vietnamese during the war. It ran from North Vietnam southward through the Truong Son mountains and into western Laos. The claustrophobic network of tunnels used by villagers and guerrillas during the war at Cu Chi (35km/22 miles from Ho Chi Minh City) and Vinh Moc can also be visited.


Social Profile

Food & Drink: Vietnamese cooking is varied and usually very good. It is a mixture of Vietnamese, Chinese and French traditions, with a plethora of regional specialities. As in all countries of the region, rice or noodles usually provide the basis of a meal. Not surprisingly, fish is plentiful. Breakfast is generally noodle soup locally known as pho (pronounced ‘fur’). French-style baguettes are available throughout Vietnam. Local specialities include nem (pork mixed with noodles, eggs and mushrooms wrapped in rice paper, fried and served hot) and banh chung (glutinous rice, pork and onions wrapped in large leaves and cooked for up to 48 hours, to be eaten cold at any time). Vietnamese dishes are not complete without nuoc mam (a fish sauce) or mam tom (a shrimp sauce). Western-style cooking is on offer wherever tourists or business people are found in any numbers.
Green tea is refreshing and available everywhere. Apart from baguettes, the French culinary legacy also embraces rich, fresh, filter coffee, usually brewed on the table in front of the customer. Vietnamese often have a fondness for beer; it is possible to get both local and imported brands. When in Hanoi, it is worth trying the local draught beer available at street stalls. It is called Bia Hoi and is not only cheap, but free of additives. Rice wine is also a favourite throughout the country. It is generally extremely potent.


Shopping: Local specialities include lacquer painting, reed mats, embroidery, tailor-made ao dais (female national costume) and mother-of-pearl inlay on ornaments and furniture, not to mention the ubiquitous conical hat. Shopping hours: Mon-Sun 0730-1200 and 1300-1630.

Special Events: Most regions, particularly where the minority groups live, have their own traditional festivals incorporating music, opera and dance. Têt (Lunar New Year) and important Buddhist festivals are celebrated during February and March each year. Although celebrated, Buddhist and Christian festivals are not considered national holidays. The following is a selection of events taking place in 2003:
Feb 1-3 Têt Festival (Lunar New Year celebrations), throughout Vietnam. Feb 1-Apr 30 Perfume Pagoda Festival, Juong Son Village. Mar Thay Pagoda Festival, Thuy Khe Village. Apr Lac Long Quan Festival, Binh Minh. Sep 4-5 Do Son Buffalo Fights, Haiphong.


Social Conventions: Handshaking and a vocal greeting is normal. Clothing should be kept simple, informal and discreet. Avoid shorts if possible as they are usually only worn by children. Footwear should be removed when entering Buddhist pagodas. Vietnamese people should not be touched on the head. Photography: There are restrictions at ports, airports and harbours, and in similar areas elsewhere. It is courteous to ask permission first before taking photographs of people. Tipping: Officially prohibited but widely practised, especially in the south. Discretion is advised.

Business Profile

Economy: The economy of Vietnam was devastated by 30 years of war up to 1975, after which policy errors and a trade boycott enforced by the USA combined to stifle development. Since the end of the boycott in 1994, and the introduction of liberalising and deregulating measures by the Government, the Vietnamese economy underwent significant growth of around eight to nine per cent annually. However, the 1997 Asian financial crisis put a brake on the economy and annual growth has since been cut back to just over five per cent.
Agriculture remains the principal employer in Vietnam and produces 25 per cent of total output. Rice, of which Vietnam is the world’s second-largest exporter, is the staple crop. Other cash crops include sugar cane, coffee, rubber, tea, cotton and groundnuts. Timber was once exploited on a large scale but the industry was cut back throughout the 1990s prior to a total ban in 1997. Oil, coal and natural gas are present in significant quantities, along with deposits of tin, zinc, antimony, chromium and gold. However, the oil and gas is mostly offshore and of relatively low quality, so it may be some years before Vietnam acquires the extraction and refining capabilities to derive full benefit from it. The remainder of the industrial sector is devoted to the production of textiles, chemicals, processed foods and machinery. Following annual growth averaging 13 per cent since 1995, the industrial sector now accounts for 25 per cent of GDP.
The ending of the US embargo in 1994 allowed Vietnam to join institutions such as the World Bank and IMF as well as giving access to the wider international financial system. The banking and finance sector has undergone rapid growth in the last few years, although the government has belatedly realised the importance of modernising what is a fairly primitive system. More recently, a trade agreement with Washington is likely to boost foreign investment in Vietnam. Vietnam is a member of the Asian Development Bank and has signed the ASEAN Free Trade Agreement. Japan, Singapore and Hong Kong are Vietnam’s principal trading partners, followed by France and Germany.


Business: Smart lightweight casuals would usually be worn for meetings as suits are needed for only the most formal occasions. English is not spoken by all officials and a knowledge of French will be useful. Business cards should have a Vietnamese translation on the back. Office hours: Mon-Sat 0730-1200 and 1300-1630.

Commercial Information: The following organisation can offer advice: Vietcochamber (Chamber of Industry and Commerce of Vietnam), 9 Dao Duy Anh Street, Hanoi (tel: (4) 574 2022; fax: (4) 574 2020; e-mail: vcci@fmail.vnn.vn; website: www.vcci.com.vn).

Climate

Because of its geography, the climate in Vietnam varies greatly from north to south. Tropical monsoons occur from May to October. It is almost totally dry throughout the rest of the year.

Required clothing: Tropicals and washable cottons are worn all year. Rainwear is essential during the rainy season.

History and Government

History: For many years, Vietnam formed part of the French colony of Indochina, along with Cambodia and Laos. With Vichy French agreement, in 1941, the Japanese occupied Vietnam during their World War II sweep through South East Asia. The resistance to the Japanese was led by the Indochinese Communist Party, formed by Ho Chi Minh in 1930, and its armed wing, the Viet Minh. Following the Japanese defeat in 1945, the Communists proclaimed the Democratic Republic of Vietnam. In 1946, France sent a large expeditionary force to re-establish their control. After eight years of fierce fighting, the struggle ended in the defeat of the French garrison at Dien Bien Phu (1954).

The Geneva Agreement of the same year provided for the temporary partition of North and South to be re-unified in 1956, following general elections. The Western powers, well aware that the Communists would comfortably win any legitimate poll, manoeuvred to prevent it from taking place, while a Western-backed government under Ngo Dinh Diem was installed in the south and bolstered as far as possible. The Communists began an insurgency in the south to overthrow what they perceived as a puppet regime. The Americans, who had taken over from the French as the lead Western power in Vietnam, responded by sending increasing numbers of military ‘advisers’. By 1962, their numbers had reached 12,000 and the stage was set for a full-scale war between the southern Communist guerrillas (known as the Viet Cong), the North Vietnam Army and their backers in China and the Soviet Union on one side, and, on the other side, the Americans and the ARVN (the South Vietnamese army). In 1973, with their political will to continue the war at an end, the Americans withdrew. Vietnam was reunified three years later, with the victory of the Communist forces and the establishment of the Socialist Republic of Vietnam. The Vietnamese army, the strongest in South-East Asia, has since clashed with Chinese troops and undertaken a full-scale invasion and occupation of Cambodia to drive out the genocidal Khmer Rouge regime.

Vietnamese troops finally withdrew from Cambodia in September 1989. Freed of this burden, Vietnam was able to concentrate on rebuilding its own economy, having introduced a home-grown version of perestroika, known as doi moi. Nonetheless, the Vietnamese economy suffered from the withdrawal of aid and subsidised goods from the former USSR and from Eastern Europe as well as the continuing US-organised trade boycott instituted after the US withdrawal. In 1991, changes among the Communist Party top leadership indicated that the party was determined to pursue a reformist economic programme while keeping many senior military men in key positions.

An essential precursor to this was an improvement in political relations with Vietnam’s near neighbours. A closer relationship, culminating in full membership, was forged with the Association of South East Asian Nations (ASEAN). The economic dividends were clear in as much as six of the top seven foreign investors in Vietnam were ASEAN members. As a result, outstanding territorial disputes, including the Spratly and Paracel Islands and exploration rights in the Tu Chinh basin, have become manageable, even where no formal settlements have been negotiated. Relations with Vietnam’s two historic enemies, China and Cambodia, have also undergone substantial improvement. Relations with a more recent foe, the USA, also eased during the 1990s, after President Clinton disposed of the American trade embargo on Vietnam in February 1994. Full diplomatic relations were restored the following year and in 2000, Clinton paid an official visit to Vietnam.

The pace of economic reform in Vietnam – growth averaged eight per cent in the 1990s – threatened to overheat the economy. However, this threat evaporated after the middle of 1997, when the Asian currency crisis took hold. The economy has recovered moderately well since then, in line with the rest of the region. By contrast with the economic reform process, there are no signs that the Communist Party intends to relax its hold on political power for the time being. In April 2001, the party chose a new leader in Nong Duc Manh, who consequently began a crackdown on dissident and ‘unauthorised’ literature. On two different fronts, the party is also worried by corruption among senior officials as well as the growth of religious fervour among the wider population.


Government: The present constitution, promulgated in 1992, asserts the political supremacy of the Communist Party of Vietnam. The 496-member National Assembly is responsible for legislation. The Assembly is elected every five years from candidates proposed by the CPV. Executive power is exercised by the Council of Ministers. The Assembly elects a president, who acts as head of state and also appoints a prime minister from among the members of the Assembly. The prime minister leads the Council of Ministers, the members of which hold executive power.


Copyright © 2003 Columbus Publishing Ltd.