Institutional environment and foreign investment for sustainable development

Abstract

In order to attract FDI for sustainable development, it is necessary to ensure a favorable institutional environment. This paper examines the theoretical basis of different points of view on sustainable development and institutional economics to apply the analysis of the institutional environment improvement process in Vietnam over the past time. There have been many positive changes in formal institutions, informal institutions and their implementation; and there are still limitations in the components of the institutional environment. That is the basis for proposing a number of policy implications to further improve the institutional environment in the future.