Despite a median age of only around 30, Vietnam is one of the fastest aging societies in the world. Given the rising life expectancy and falling birth rates, more than one-fifth of Vietnam's population is expected to be over 60 by the year 2040. But Vietnam has been slow to raise its retirement age, meaning many are leaving the workforce with years of productivity still left ahead of them. This creates a greater burden for the government and those who are still working. Rian Maelzer reports.

Elderly people work hard at keeping fit next to Hanoi's Hoan Kiem Lake. Vietnam may be in what's called a demographic "golden age" with a quarter of the population between 10 and 24.

But it is also greying rapidly.

PHUNG VAN BINH FOOD SELLER "I used to be a hawker in a market, so I don't get any pension. Recently prices have gone up a lot, so I just have to work harder to earn more money."

RIAN MAELZER HANOI "Even within Asia, Vietnam is hardly alone in facing the challenges of a rapidly ageing population, but the difference is that it's happening at a much earlier stage of its development."

OUSMANE DIONE COUNTRY DIRECTOR, THE WORLD BANK "This is happening at a moment where Vietnam is not yet rich enough in order to take care of its fast-ageing populations, so this presents huge challenges."

Like paying for health care, and pensions. And economists say retirement ages are too low.

LE DANG DOANH SENIOR ECONOMIST "The government has asked the national assembly to raise the age of retirement for lady from 55 to 60 and for men from 60 to 62, and now the national assembly is debating. I think they will accept it with some controversial discussion."

It is also looking at raising pension contributions and other pension reforms.

CHU THI HANH FLOWER SELLER "I don't get any pension. Before, when I was a farmer, I used to really struggle, but now by selling flowers, I earn more and save a bit for the future."

Economists say Vietnam needs to raise the participation of women in the workforce as well as keeping people working longer if its ageing population is not to hinder its future economic development and prosperity.

Rian Maelzer, CGTN, Hanoi.