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By John Ruwitch
HANOI (Reuters) - A third of Vietnam's ruling Communist Party's 15-man Politburo stepped down at a five-yearly congress on Tuesday, part of a reshuffle that could bring new, younger faces into Vietnam's aging leadership. Prime...
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Politburo senior member Truong Tan Sang wipes his face as he chats with Vietnam's Prime Minister Nguyen Tan Dung (L) next to Deputy Prime Minister Nguyen Sinh Hung (R) at a meeting at the 11th National Congress of the Communist Party in Hanoi January 18, 2011. Vietnam's ruling Communist Party will reshuffle its leaders on Tuesday at a secretive conclave to set the policy tone in one of the world's fastest-growing frontier markets.
Credit: Reuters/Kham
By John Ruwitch
HANOI |
Tue Jan 18, 2011 2:11am EST
HANOI (Reuters) - A third of Vietnam's ruling Communist Party's 15-man Politburo stepped down at a five-yearly congress on Tuesday, part of a reshuffle that could bring new, younger faces into Vietnam's aging leadership. Prime Minister Nguyen Tan Dung was re-elected, as expected, to the policy-making Central Committee, made up of the party's top 175 officials.
But it was unclear whether he would end up with more power when full results from the closed-door gathering are due to be announced on Wednesday, including the composition of an expanded 17-member Politburo and the General Secretary.
The party is under pressure to shift focus from rapid growth to stability after a period of volatile inflation, currency depreciation and declining foreign exchange reserves.
Party heavyweight Truong Tan Sang and deputy prime minister Nguyen Sinh Hung - rivals of Dung - were also elected to the Central Committee. They are likely to move into top jobs, Sang in the presidency and Hung becoming speaker of parliament.
A deputy central bank governor who banking sources say is likely to take over as governor was also promoted.
But changes to the elite Politburo are unlikely to bring imminent or bold policy changes, although policymakers say they see the need for more stability.
Dung is a known quantity among investors. But Jacob Ramsay, who follows Vietnam for the consultancy Control Risks, said there was an urgent need to adjust economic policies.
"A continuation of current policies could lead Vietnam's economy to a brick wall at some point," he said.
Among those elected to the Central Committee was deputy central bank governor Nguyen Van Binh, putting him in line to take over as governor.
A source close to the central bank said Binh was likely to start as governor later this year when a new National Assembly, or parliament, convenes after elections scheduled for May.
As congress meets in the chilly capital, Hanoi, whose vstreets are festooned with red-and-yellow banners and propaganda posters, its leaders are under pressure to revitalise the party and keep it relevant in the fast-changing country.
TEA LEAVES
Reading the tea leaves is notoriously difficult in Vietnam, where the party has a tradition of consensus-based decision-making. Bargaining can often come down to the wire.
Dung, the prime minister, was heavily criticised last year for perceived mismanagement of the economy and for his role in the near-collapse of Vinashin, a state shipbuilding conglomerate that was sinking under $4.4 billion in debt despite receiving extraordinary state support over the years.
Most expect Dung to get a second term as prime minister.
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