The purpose of The Vietnam Business Challenge is to support the private sector in Vietnam through the development of innovative Inclusive Business models that deliver both commercial benefits for the private sector and developmental benefits for poor people these benefits come in terms of job creation, income increase and better access to affordable goods and services.
The VBCF is calling for proposals in three sectors. These are:
Vietnam is successfully increasing its presence in sectors of the global trade market such as rice, pepper, coffee, aquaculture and others. Agriculture is a very significant part of the Vietnamese economy, comprising of 20% of the GDP, 21% of Vietnam’s total exports and 45% of the labour force and the bigger majority of those employed in this sector are in the rural areas.
Low Carbon Growth
Vietnam’s Green Growth Strategy and National Strategy on Climate Change define specific targets for the use of clean and renewable energy and for the treatment and waste collection in order to promote and develop more sustainable consumption and lifestyles. .
The green growth public policies in Vietnam also address a social dimension remarking that a green growth strategy contributes to employment and poverty reduction. A recent international study of over 190 countries identified Vietnam as the 23th most vulnerable economy to climate change; this demonstrates the potential negative impact of environmental issues could have on low income people and their livelihoods.
Infrastructure and Basic Services
Infrastructure and basic services are critical to the economic success of any state; according to the Socio-Economic Development Strategy for 2020 this sector is a major priority for Vietnam. The following facts provide evidence to support the exiting need to prioritize a market-based approach for this sector:
- 40% of the Vietnamese population lacks access to clean tap water
- 46% of the Vietnamese population lacks access to permanent housing
- 49% of the Vietnamese population lacks access to permanent sanitation arrangements, and
- Most low-income people in rural areas have poor access to affordable & good-quality health services and products such as Lab tests, consultation, and medicines among others.
- Poor access of low income people to financial services and ICT
Major focal areas in need of development in the infrastructure sector include low-scale transportation systems, roads, bridges and dams in the rural areas, modernisation of the national irrigation system, low cost housing, building materials and water & sanitary systems.