(VOVworld) -Maintaining the balance between public ownership and outright privatization for Public-Private Partnerships (PPP) is the key to delivering quality public services, said ADB Country Director for Vietnam, Tomoyuki Kimura.

Kimura made the remarks at the launch of the Asian Development Outlook 2014 economic publication in Hanoi on Tuesday. Asian Development Outlook 2014 forecasts that Vietnam’s GDP growth will rise slightly to 5.6% while inflation is projected to average 6.2% this year. The forecast is made on an assumption of reasonably stable food production, moderate policy stimulation, and only slight depreciation of the dong. It also acknowledges that initiatives regarding the new loan classification and provision standards intended to close the gap with international norms that will come into effect in June 2014 are a positive step for the economy. Mr. Kimura recommended that Vietnam strengthen its legal framework to encourage more private investment in developing public infrastructure: "Attracting private investment mainly through Public-Private Partnership could not only contribute to funding projects but also help get access to international expertise and technology that improves social infrastructure. So far, however, private investment in infrastructure has been very limited because existing legal framework is not able to facilitate PPP transaction". 

Asian Development Outlook is published annually to assess prospects and challenges for Vietnam’s economy. This is an important reference information channel for Vietnam’s policy makers helping fine-tune policies for sustainable development.