Đổi mới

Đổi mới is the official title given to the current economic system in the Socialist Republic of Vietnam. It is described as a multisectoral market economy, where the state sector plays a crucial role in managing economic development with the possible long-term goal of developing socialism.
The socialist-oriented market economy is a product of Đổi mới economic reforms, which led to the replacement of the centrally planned economy with a market-based mixed economy based on state-owned industry. These reforms were implemented to allow Vietnam to participate in the global market economy.
Đổi mới-economic reforms were initiated by the Communist Party of Vietnam in 1986 during the party's sixth national congress. These reforms allowed private ownership of small businesses together with state-owned and collectively-owned companies. In addition, these reforms also played a greater role in market forces in order to coordinate economic activity between companies and public authorities.