Hanoi (VNA) – Creditratings agency Fitch Ratings hasaffirmed Vietnam's long-term foreign-currency issuer default rating at 'BB'with a positive outlook.
In acommentary published on its website, Fitch Ratings said Vietnam's rating reflects its strong medium-termgrowth prospects, lower government debt compared to peers, and favourableexternal debt profile.
The agencyexpected a growth rate of 7.4% for Vietnam in 2022, led by strong gains in industry,construction and services. High FDI in manufacturing should continue to supportrobust growth in the medium term.
However,as downside risks remain, related to the economic implications of the Ukrainewar and tighter global funding conditions, Fitch Ratings forecast a slowdown inGDP growth, to 6.2% in 2023.
Accordingto the agency, the State Bank of Vietnam (SBV) has intervened in the foreignexchange market, which led to FX reserves falling to under 100 billion USD, after rising to a record 109.8 billion USD at the end of 2021./.