OUB maintains Vietnam’s GDP growth forecast at 6.5 percent

The Singapore-based United Overseas Bank has maintained its forecast for Vietnam’s GDP growth at 6.5 percent and core inflation rate at 3.7 percent of core inflation rate in 2022, but predicted that inflation may reach 5 percent in 2023 due to multiple risks and challenges.

In a recent report, the Singapore-based United Overseas Bank noted that Vietnam continued its development trend in the second quarter of 2022. In the first six months of this year, the production sector recorded a 9.2 percent rise year-on-year.

Based on its latest data and analysis of upcoming challenges, the report maintained its prediction for Vietnam’s GDP growth this year at 6.5 percent, and 7.6 percent in the third quarter of 2022.

However, the bank experts held that a number of outside risks are challenging the country’s economic growth, including the Russia-Ukraine conflict.

With an uncertain outlook from geopolitics, and the fact that domestic inflation continues to be managed, UOB believed that the State Bank of Vietnam has enough capacity to keep its policy interest rate stable to support economic recovery efforts./.