The results have been impressive and Viet Nam has suddenly sprung from being a food deficit nation to being the third largest rice exporter in the world after USA and Thailand. Opening up of the economy, demobilisation of much of the large army, making attractive terms for foreign investment and the recent ending of the US economic embargo are all creating the scene for massive economic growth. Property prices are soaring and trade grows at an uncontrollable pace. Singapore has become Viet Nam's largest trade partner with a tenfold growth in trade over the last four years. Having witnessed the failure of the Soviet economic model, Viet Nam is veering more towards the Chinese style of economic reform and encouragement of joint venture.
Investment is encouraged in the development of manufacturing industries and oil exploration.
Tourism is also seen as a major source of revenue. Industrial plantations, the traditional mainstay of the Vietnamese economy, are getting a boost of reinvestment and upgrading. Major problems are being felt in the lack of infrastructure to support such rapid economic growth, lack of controls and taxation and the growing gap between private sector and the government sector economies. Uncontrolled growth could be a major threat to what is left of Viet Nam's precious biodiversity. Principal donors and aid activities in Viet Nam Human Demography and Impacts on Biodiversity Viet Nam is already one of the most densely crowded countries in the world, with a population of 65 million people or over 200 per km2.