Potential accession to the GPA: cost-benefit analysis on Vietnam

Type Working Paper
Title Potential accession to the GPA: cost-benefit analysis on Vietnam
Author(s)
Page numbers 1672-1701
URL http://woppaa.org/wp-content/uploads/2012/09/PAPER-VII.3-POTENTIAL-ACCESSION-TO-THE-GPA-COST-BENEFIT​-ANALYSIS-ON-VIETNAM.pdf
Abstract
Vietnam joined the World Trade Organization (WTO) in January 2007 but opted not to be a signatory to the Government Procurement Agreement (GPA). Currently, Vietnam is reported to be interested in applying for Observer status to the WTO GPA and it is actively involved in negotiations for procurement liberalisation under the Trans-Pacific Partnership. This case study presents an insight into Vietnam’s current procurement framework, and comments on potential benefits and challenges of its GPA accession. Findings reveal that the existing public procurement system has shortcomings, which include a fragmented legal structure, low transparency and capacity constraints such as inadequate procurements expertise and database, an inefficient state sector, and high levels of corruption, that are major challenges and impact on Vietnam’s ability to negotiate procurement liberalisation under the GPA.

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