The government also recognized the roles of the private sector. In 1985, an effort to remove central subsidies with the launch of ‘Price-Salary-Money’ policy failed to meet targets. It had also resulted in hyperinflation. Strict currency exchange in the same year had also failed to curb inflation. Instead, inflation became higher. By the end of the plan, many of the plans did not meet targets. (Refer to table 4 below)Table 4: Summary of the results for the Third FYP (1980-1985)TargetsUnitResults in 1985Ratio to projected goals (%)FoodMillion tons18.295.8ClothMillion metres374.098.4ElectricityBn kWh5.294.5CoalMillion tons5.767.1CementMillion tons1.575.0Phosphatic fertilizer10,000 tons4.5112.5Transported goodsMillion tons553.7103.3Transported passengersMillion people378.5118.3Population growth rate%20.8Not fulfilledSource: General Department of StatisticsAs a result of wars and failures of the 2 five year plans, the country fell into a serious crisis and high inflation rate. The economy did not develop even though it had a low growth rate. The country had to rely on overseas aids and hyperinflation occurred with prices increasing at geometric progression. However, it is during this period that gave rise to new waves of economic thinking, which brought about the ‘Doi Moi’ policies in the forthcoming five-year plan.Fourth Five-Year Plan, otherwise known as the ‘Doi Moi’ (1986-1990)The policy aimed at having self-sufficiency in food production and improving the standards of living of the people. During this period, the State embarked on 3 major economic programs: food and food stuff production; consumer goods production; and export oriented goods production. The core of the policy is to liberalize the production forces. Thereby, reducing state intervention in business and encouraged foreign and domestic private investment. The State’s investment capital for basic construction was reduced by...
