Capital allocation, credit access, and firm growth in Viet Nam

This paper explores the relationship between firm growth, access to finance, and the efficiency of capital allocation in Viet Nam over the period 2005–2015. Using data from the UNU-WIDER Viet Nam SME survey, the research tests whether firms with higher marginal returns to capital are more or less likely to get access to financing. This is a key test of how efficiently the financial system is functioning.