Vietnam’s economic outlook for 2014-2015 needs to be imbedded with the stronger restructuring of the national economy in order to shape a new growth model, said an official from the Central Institute of Economic Management (CIEM).

Dr. Vo Tri Thanh, CIEM deputy head, made the remark at a January 21 conference called “2014 global economic prospects - coping with policy normalisation in high-income countries” held in Hanoi by the CIEM and World Bank.

He said hastening economic restructuring helps Vietnam’s main components, including State-owned enterprises and banks, operate more efficiently and better adapt to environmental issues, especially climate change.

After a couple of years of recession, the global economy is showing signs of a bounce back this year, pulled along by a recovery in high-income economies, international economists projected.

In addition, developing country growth is firming up, thanks to the recovery in high-income economies and growth in emerging markets, especially China.

However, they said pressure from increasing interest rates and credit bubble in some countries may impose risks.

The growth in East Asia and the Pacific will stay at 7.2 percent in 2014 and see a slight decrease to 7.1 percent in the next two years, said Andrew Burns, Manager of the Global Macroeconomic Trends Team of the Development Prospects Group at the World Bank.

If realised, Burns anticipates the growth rate will mitigate the vulnerability accumulated during the years of middle-income economies’ rapid development.

Economic recovery in high-income nations will propel developing countries’ growth, which, however, will be partly hampered by tightening finance and reducing commodity prices, the WB official said.-VNA