In a statement released late Thursday, foreign ministry spokesman Le Dung said the annual State Department report was not objective and based on 'false and prejudiced information.'

'During the past years, Vietnam has made great achievements in ensuring and developing its citizens' freedom in all fields, including freedom of speech, freedom of press and freedom of information, which can be clearly seen through the strong development of means of communication, especially the Internet,' he said.

'Nobody in Vietnam has been arrested for reasons relating to political views or religion, and only those who violate laws are handled in accordance with law.'

The report said last year's parliamentary elections were neither free nor fair, and that the government was continuing to crack down on dissent, arresting political activists and forcing several dissidents to flee the country.

It also said authorities tightened their grip over the press and Internet and limited people's rights to privacy and basic freedoms of speech, movement and assembly.

Mr Le Dung said the report 'still does not give objective observations on the real situation in Vietnam and is based on false and prejudiced information.'

Mr Christopher Hill, US assistant secretary of state for East Asian affairs, on Wednesday credited Vietnam during a Senate committee hearing with making great strides in economic and social reforms.

But he cautioned there were 'serious deficiencies' in political and civil freedoms, citing a crackdown late last year that netted prominent Vietnamese dissidents. -- AFP