ABSTRACT
This chapter aims to give guidelines for public action about how to address the informal economy issues. It highlights the major role played by the informal economy in employment in Vietnam, describes its principal characteristics and future prospects. The chapter explores the adjustment mode on the labour market in times of crisis, and more particularly the impact of the crisis on the informal sector. It focuses on the two main cities, Hanoi and Ho Chi Minh City, where detailed information on the informal sector dynamics is available. Compared to 2007, the first surveys were conducted on behalf of the GSO-IRD project, the informal economy is not a huge black hole any more in Vietnam. The measures outlined in the chapter are not only limited to the specific case of Vietnam but have a broader scope since the characteristics of the informal economy in Vietnam are similar to those observed in other developing countries.
