HÀ NỘI — As Việt Nam has embraced globalization and signed numerous trade agreements with developed countries, it is essential to apply a more sustainable development model to attract more conglomerates and capital flows.

To learn more about successful models, on Wednesday afternoon, the National Academy of Politics in Hồ Chí Minh cooperated with the embassies of four Nordic countries – Denmark, Finland, Norway and Sweden – to organize a seminar researcher on “Environment, society and governance (ESG) – an economic model for sustainable development.

The seminar was held on the occasion of Nordic Day on 23 March. This is the fourth annual event of this type.

Speaking at the opening ceremony, Assoc. Professor Lê Văn Lợi, deputy director of the academy, said that the Nordic region, comprising Denmark, Finland, Norway and Sweden, is a region rich in cultural and historical traditions, with spectacular economic growth and a harmonious social development. The per capita income and happiness index of people in these countries still occupy the highest position in the world rankings.

“One of the success factors in the development of the Nordic countries is the persistent pursuit of a model of sustainable development, which means that economic growth must go hand in hand with social justice,” Lợi said.

The Nordic countries are considered pioneers in the implementation of the Sustainable Development Goals (SDGs), so their successful experience will be a valuable lesson for Việt Nam. For Nordic institutional investors, environmental, social and governance factors have long been recognized as an important component of investing.

“We not only provide product-related solutions, we also have a good governance system with sustainability requirements in supplier contracts,” said Denis Brunetti, President of Ericsson Việt Nam, during the seminar.

“We still have agreements and regulations on supplier behavior and ethics. We include in contracts provisions relating to good business practices, ethics, integrity and labor rights.

“In Việt Nam, we also carry out activities to ensure ESG. We have signed numerous Free Trade Agreements (FTAs) with the government, and they all require local businesses to comply with Vietnamese regulations. »

“On the other hand, Ericsson Việt Nam must ensure the requirements of the Vietnamese government like the companies doing business here.”

During the seminar, Norway’s Ambassador to Việt Nam, Grete Lochen, said that this year’s Nordic Day theme is the environmental, social and governance agenda, which is an important factor for Việt Nam to succeed. in the process of green and sustainable economic recovery from the covid19 pandemic.

Over the past decade, Europe has seen unprecedented development in sustainable investing, including commitments to the Paris climate agreement, reductions in the use of fossil fuels and growing demand for sustainable products and services.

High-quality foreign direct investment (FDI) companies seek out developing and emerging economies that emphasize compliance with ESG principles, while investors are increasingly attaching importance to ESG issues in order to reduce the risk of their investment. Therefore, it is necessary for Vietnamese companies and the government to find and implement appropriate sustainable models to catch up with global trends.

While ESG was created for the private sector, this approach would effectively solve more problems if there was cooperation between the public and private sectors.

Ensuring sustainable use of energy and resources, creating social security policies and fighting corruption are tasks in which public and private entities play an essential role. VNS

https://vietnamnews.vn/economy/1167467/viet-nam-to-approach-esg-model-for-green-and-sustainable-development.html

By Viet Nam News

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