Viet Nam is now ready for the ASEAN Economic Community (AEC), due to be formed at the end of 2015, experts said at a seminar held by the Central Institute of Economics Management (CIEM) on December 12 in Ha Noi.

Nguyen Anh Duong, Deputy Head of the CIEM’s macro-economic section, said the country has made essential preparations in terms of governance and institutional and administrative procedure reforms.

Participants said the AEC will bring opportunities to Viet Nam to expand markets and at the same time fiercer competition on its own ground, particularly in industrial and agricultural sectors.

CIEM Deputy Director Vo Tri Thanh noted that however, Viet Nam still faces problems in human resource quality and poor infrastructure. He suggested that the country develop effective macro-economic policies to boost the integration process through attracting investment while preventing negative impacts.

In particular, the Government should continue improving its investment and business climate, completing legal framework and assisting enterprises in updating technologies and expanding markets.

Viet Nam has brought the tariff rates to zero percent for 80 percent of tax lines and remove tariff for another 13-15 percent by Jan 1, 2015. The rest will be removed until 2018.

The AEC aims to establish a single common market and production base for the ASEAN member countries that that enables the free movement of goods, services, capital and skilled labour within ASEAN.

The AEC was one of the three pillars of the ASEAN Community, together with the ASEAN Political Security Community (APSC) and the ASEAN Socio-Cultural Community (ASCC).