Integrity & Transparency in Business Initiative for Vietnam

With supports of foreign and Vietnamese partners, the launch of the Integrity and Transparency in Business Initiative for Vietnam (ITBI) has been officially started by the Vietnam Chamber of Commerce and Industry (VCCI) in 2010. The three-year project will be funded some US$500,000 by international organisations like the Swedish Embassy, the British Embassy and the Vietnamese and international business community. The steering committee consists of representatives from VCCI, Transparency International (TI), International Business Leaders Forum (IBLF), Vietnamese ministries and agencies, organs and Embassies of Sweden and United Kingdom.

 

Dr. Doan Duy Khuong, Vice President of VCCI, said: The launch of ITBI is extremely necessary and very important. “Transparency is a matter in connection with the law. The enhancement of transparency in business relationships will help Vietnamese society and economy to develop healthily, sustainably in line with international practices. At the same time, it also helps heighten business position, confidence and competitiveness of Vietnamese businesses in the international business community,” Khuong said.

 

The objectives of the project are to help Vietnamese and foreign businesses operating in Vietnam cooperate in ensuring the sustainable improvement integrity and transparency, thus facilitating business activities in Vietnam. It also gathers joint efforts and actions of the Vietnamese business community to improve business environment, create integrity in corruption prevention, enhance awareness of the necessity for bettering business practices, building framework-building criteria for responsible business practice, cooperating with concerned Government organs to ward off inflation threats, and sending proposals on improving legal and administrative standards and regulations.

 

Mr. Nguyen Quang Vinh, Director of Office for Business Sustainable Development (SD4B), VCCI – the owner of the project, said: At present, anti-corruption is a global fight, not of a single country. Thus, VCCI together with international organisations is trying to enhance the role of business community to keep zero-tolerance attitude to corruption. This is meaningful not only in Vietnam but also in the region and the world as a whole. It is clear that corruption undermines the economy and affects people, especially the poor. “The fight against corruption can be an indefinitely long journey but it must begin now before it is too late,” he said.

 

All participants agreed that the enhancement of integrity in business is an awareness-heightening process of the business community in couple with a must close cooperation amongst the Government, the business community and the media. Participants also shared the view that the Government of Vietnam need to resolve and arrange business relations, specially the relations with the business community.

 

As you already know one of Sweden’s highest priorities in Vietnam is the fight against corruption. In our role as the lead donor in anti-corruption in Vietnam we are often approached by international companies, not the least Swedish, with the question: How are you contributing to a more open and competitive private sector in Vietnam?

 

I believe that the constellation of the ITBI cooperation with representatives from business, civil society, Embassies and international companies is unique and constitutes a good ground for combating corruption in the private sector. The initiative is needs based and will build on companies’ experiences and will enable businesses to work collectively for improved business practices.

 

Companies participating in the programme will have a unique possibility to bring up their own experiences, to cooperate with others in order to find solutions and best practices in the integrity and transparency areas. The companies will be given a platform for acting together towards a sound business environment. 

 

The fight against corruption is a very difficult task. It can only be successful if it relies on a strong coalition of stakeholders. Everywhere the state authorities need support and participation from business community and civil society. The Vietnamese government has recognized and emphasized the importance of this dimension of the anti-corruption fight. Thanks to its strong mandate and representativeness of Vietnamese business community, VCCI has a very important role and contribution to give to these anti-corruption efforts. In this regard ITBI- is a very relevant and innovative initiative, which clearly adds value to the government’s strong commitment. To enhance effectiveness of the programme we believe that the first objective should be to demonstrate concrete successes, even if they are small. The business community needs to see how this programme can be concretely useful for them, in particular in running their daily operations. It should demonstrate that success is possible, by creating small “islands of integrity” in specific business sectors. Solutions and tools exist to “do something”. Building such tools for business, always in collaboration with representatives of the business community, has been one of the main value-added of Transparency International. The TI Business Principles for Countering Bribery, the Integrity Pact… have been recognized and used efficiently and successfully around the world by many companies, Governments, ministries, municipalities…, in specific sectors or places, in partnership with Transparency International chapters and other civil society organizations.

 

Responsible business practice has now become a major competitive factor in attracting investment across Asia Pacific and the Vietnam Chamber of Commerce and Industry has been leading its development for over a decade – first in the improvement of labour standards and then across a wider corporate social responsibility agenda. Its latest ‘Integrity and Transparency in Business Initiative’ is an exciting and innovative approach to collective action that will build new knowledge and experience to validate IBLF’s commitment to the process and support IBLF’s activities elsewhere in the region and globally.

 

In the decade of co-operation with IBLF, VCCI has demonstrated commitment and skill in the delivery of projects that demand co-operation between companies, government and international agencies and civil society organizations. Its research and preparation for the ‘Integrity and Transparency in Business Initiative for Vietnam’ has been thorough and has built support from government, international agencies and the business sector. This demonstrates that both government and business are committed to improving standards and the Initiative has already been accepted as an important addition to the movement to raise awareness of the importance of tackling corruption and a mechanism to provide practical support to companies and their managers.

 

The key to achieving the long term sustainability of the Initiative will lie in its delivering real value to companies through management support, training modules and practical support materials. As a result companies should support its activities through membership fees and the purchase of its services and particular projects can be supported by government and international agencies. 

 

It is clear that the business community in Vietnam has a vital role to play in supporting the government’s efforts to tackle corruption. It is in everyone’s best interest for the environment of integrity and transparency in business relationships to be improved. And by working collectively with the government and other key partners the business community can have a far greater impact in developing new standards of practice and building integrity and transparency. It is important for all partners to work together – private sector and government, Vietnamese and international. This initiative makes a valuable contribution to this joint effort.

 

In recent years Vietnam’s record of socio-economic development has been extremely impressive. But as it reaches middle income country status Vietnam will face a new set of challenges to ensure socio-economic standards continue to improve.

 

We know that the Vietnamese government recognizes that corruption is a huge problem and we stand ready to assist them in delivering on their commitments to tackle it.