Vietnamese economy grows 5.05% in 2023. (Photo: VietnamPlus) Hanoi (VNA) – Despite the global economic downturn, Vietnam remained a silver lining in the world in 2023 with a GDP growth of 5.05%, becoming one of the fastest growing economy in the region and the world, Minister-Chairman of the Government Office Tran Van Son said at a press conference on January 5.
The macro-economy was stable in the year, large balances ensured, and public debt, Government debt and external debt well below the cap, he said, adding state budget revenue exceeded the projection by around 8.12% and the country enjoyed a trade surplus of 28 billion USD.
Son stressed that the agricultural sector remained resilient, registering a growth of 3.83% – the highest in the past decade. The service sector grew by 6.82%, and the total retail sales of goods and consumer service revenue by 9.6%. The industrial sector rebounded quickly after each quarter, logging a 3.02% annual growth.
Foreign direct investment (FDI) attraction, meanwhile, reached nearly 36.6 billion USD, up 32.1% year-on-year, in the context of the global trade and investment contraction. Actual FDI disbursement was close to 23.2 billion USD, the highest ever recorded, indicating that Vietnam remained an attractive destination for foreign investors. The digital economy's contribution to GDP hit about 16.5%, making Vietnam the fastest-growing digital economy in Southeast Asia for the two consecutive years.
Minister-Chairman of the Government Office Tran Van Son at the press conference on January 5 (Photo: VietnamPlus) Son stated that transport infrastructure development was accelerated in the year, with the construction started on 12 North-South highway projects and the inauguration of 13 important transport others, bringing the total length of highways in the country to 1,900 kilometres.
Last year, the Government focused on settling six poorly performing banks and many loss-making projects and enterprises, and removing bottlenecks for the realty and corporate bond markets.
On the prospects for the Vietnamese economy, many prestigious international organisations have forecast that Vietnam will enjoy a rapid recovery in the coming time, with Fitch Ratings upgrading Vietnam’s Long-term Foreign-Currency Issuer Default Rating to “BB+” from “BB” with an stable outlook.
Notably, Vietnam’s national brand is now valued at 431 billion USD, putting it at the 32nd place among the world’s top 100 national brands.
Noting that 2024 continues to be a challenging year for Vietnam, Son said in addition to bolstering traditional growth drivers like investment, exports, and consumption, there is a need to promote new ones like regional linkages, science and technology, innovation, digital transformation, green transformation, semiconductors, and hydrogen. Particularly, the government is determined to cut the state budget expenditures by 5% and increase the budget revenue by at least 5%, he added.
Moreover, ministries and localities will continue to streamline administrative procedures and business regulations, Son said, adding that the goal for 2024 is to reduce administrative compliance costs by at least 10%. Efforts are set to be intensified in resources management and environmental protection, with resources allocation for disaster prevention and climate change response prioritised. Foreign relations and international integration will also be further strengthened.
Green production has been promoted at Garment 10 Corporation JSC. (Photo: VietnamPlus) The Government will speed up the implementation of key transport projects, including the Long Thanh International Airport, and the restructure the economy in tandem with renewing the growth model and developing digital economy, green economy and circular economy.
Right from the outset of 2024, the Government will accelerate the disbursement of the public investment and implementation of the national target programmes, while removing roadblocks for business and production activities./.
