Viet Nam has managed to establish a competitive telecommunications market, in which eight businesses provide all the services available throughout the world, ranging from postal services to Internet and services that combine telecommunications, Internet, radio and television broadcasting, Viet said.

The Ministry of Telematics has allowed enterprises that do not yet own network infrastructures to enter into joint ventures with foreign partners, from which they have gained increased investment, expertise in business management and technological infrastructure upgrades. The Telematics Ministry has pushed enterprises to conduct administrative reform and adjust themselves to an open and competitive market. Enterprises have also been urged to focus on personnel training and to work out investment strategies for the new stage of development. The Viet Nam Post and Telecommunications (VNPT) corporation itself has seperated telecommunications from postal services so as to create conditions for the telecommunications sector to develop into an industrial consortium. With this plan, the telecommunications sector can reduce prices and grow strong enough to compete with multinational companies and foreign industrial groups in the domestic market and even expand to foreign markets, Viet said. VNPT has also sped up the State-owned enterprise equitisation with 26 enterprises having gone through the process. The corporation has been working hard to finish the paperwork for two mobile telephone service giants, VinaPhone and Mobiphone to become joint-stock companies early next year.

Viet said he is also aware of challenges ahead, especially fierce competition in prices and human resources.

Domestic enterprises must therefore work on a long-term development strategy of their own, upgrade their networks to international standards and conduct research to launch more services to the market, he said.

VNPT enterprises see a need to closely coordinate with each other for mutual development and increase the competitive edge of each enterprise and the entire industry as well, the telecommunications expert concluded.

Viet Nam and the US signed an agreement on May 13 to technically conclude bilateral negotiations on Viet Nam's WTO membership, opening a door for Asia's fastest-growing market to enter the world's largest economic body.

Source: Vietnam Agency