Previous reports of Vietnam’s economic rise have invariably turned out to be premature.

However, over the past 18 months a combination of World Trade Organisation entry, a more relaxed government in Hanoi, growing foreign direct investment thanks to more companies adopting a “China+1” sourcing strategy – of looking for low-cost manufacturing outside the People’s Republic – and a surge in domestic consumption have combined to raise hopes.

Economic growth is currently strong – Vietnam has been the second fastest growing Asian economy over the past five years, behind China, and the fastest in south-east Asia. Exports now compose 66% of the economy. But problems remain – not least ethical issues, labour relations and corporate governance

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