WHAT'S NEW

TPP to boost global economy

by VTV404 February 2016 Last updated at 15:16 PM

VTV.vn- The Trans-Pacific Partnership is seen as the trade pact of the 21st century. After the signing ceremony today, 12 countries will start their domestic ratification process, which can go on for up to two years before the pact comes into effect.

The TPP is expected to help the global economy increase by nearly 300 billion USD per year. Once it takes effect, the TPP will create the world’s largest trade zone, with 790 million people, and account for 40% of global GDP and 30% of trade. Over 18,000 tariffs will be removed.

Vietnam and Malaysia are forecast to benefit the most from the agreement. Vietnam’s GDP is expected to rise by 10% while that of Malaysia by 8%. Big economies like the US and Japan will also benefit. According to Michael Froman, US Trade Representative, the TPP could boost US GDP by 100 billion dollars per year.

However, to be part of the TPP, member countries must adjust their policies following high-standard trade principles and stringent environmental, labor, and intellectual property rights regulations. These were seen as great obstacles to TPP negotiations, which took over five years to conclude.

Another highlight of the TPP are its social responsibility terms. Enterprises must commit to sustainable development by complying with environmental protection requirements, gender equality, labor safety and workers’ rights.

The TPP is seen as the basic framework of the regional integration process. Therefore, the agreement will likely not be the end, but the start of more ambitious economic agreements and future prospects in Asia-Pacific.

Tags:

Top VND Exchange Rates

Auto-refesh 15m

USD

EUR

AUD
1 VND
Inverse:
0.00004
22,510.0
0.00004
25,226.0
0.00006
15,674.0

Mid-market rates: 2023-02-09 04:31 UTC

WEATHER FORECAST