Anti-graft politician becomes president in Vietnam

HANOI, June 27 (Reuters) A Vietnamese politician with a reputation for fighting corruption became the communist-run country's new president today as part of a changing of the guard to a group of younger leaders.

Parliament confirmed the appointment of Nguyen Minh Triet, 63, Communist Party chief in the southern commercial hub of Ho Chi Minh City, in an assembly session opened to the media.

Vietnam, one of only a handful of communist-ruled countries in the world, has seen its economy expand rapidly in recent years, but government and society are plagued by corruption.

Triet takes over from Tran Duc Luong, 69, who retired after serving two five-year terms as president of the Southeast Asian country of 83 million people. The job is the third most important in the Vietnamese system after Communist Party general secretary and prime minister.

Later today, the assembly was expected to confirm a new prime minister to replace Phan Van Khai, 72, who has also retired. As expected, new President Triet nominated Deputy Prime Minister Nguyen Tran Dung, 56, who has been groomed for the premiership for eight years.

The leadership changes and other cabinet positions were decided at April's five-yearly party National Congress but were being formalised by parliament this week, officials said.

In Ho Chi Minh City (formerly Saigon), Triet's campaign in 2002 against top mafia boss Nam Cam led to the arrests of a deputy police minister and several officials.

Triet's anti-graft credentials fit with the Party's promises to do more to fight corruption, which leaders acknowledge threatens their rule and the goal of lifting the country out of poverty in the next 10 to 15 years.

The younger leaders are coming to power ahead of Vietnam's expected entry into the World Trade Organisation.

In November it will host the summit of the 21-nation Asia-Pacific Economic Cooperation (APEC) forum.

REUTERS SY PC1027