How Public Procurement Policies Influence Sustainable Development Goals in Developing Countries

A Case Study in Vietnam

Abstract

This research explores the role of public procurement in promoting sustainable development in Vietnam, examining how procurement policies align with the United Nations' Sustainable Development Goals. As public procurement is a significant tool for achieving sustainable development, this study investigates the effectiveness of Vietnam's Law on Bidding, No. 22/2023/QH15 in integrating sustainability into public procurement practices. The study employs a qualitative case study method, utilizing primary data from document analysis, interviews with key procurement sector stakeholders, and secondary data from existing literature and governmental reports. The results indicate that although Vietnam has made progress in fostering green public and social procurement, the legal framework remains fragmented, with limited integration of comprehensive sustainability criteria across all procurement sectors. Challenges such as lack of institutional capacity, lack of market readiness, financial constraint and corruption continue to impede the successful practice of sustainable procurement. In comparison with other developing countries like South Africa, India, and Brazil, Vietnam's approach is still in its early stages of development. The study concludes that Vietnamese public procurement policies can generate greater sustainability but require further strengthening through more transparent regulations, enhanced institutional capacity, and market support. Strengthening the link between procurement and sustainable development goals contributes to the long-term environmental, social, and economic sustainability goals in Vietnam.