A view of Ho Chi Minh City (Photo: VNA)
Hanoi (VNA) – The news website Yahoo News has run astory from TheMotley Fool, which provides leading insight and analysis about stocks to helpinvestors stay informed, commenting that Vietnam is an economic star in theSoutheast Asian region.
Opening thearticle, entitled “How Vietnam rose to become an ASEAN star”, is the scene ofHo Chi Minh City at 7am with busy life of a dynamic city.
“Glass-facedskyscrapers adorn its skyline. Young professionals are trying to navigatethrough the busy traffic on their motorbikes. Hawkers are selling fast foodsuch as famous Banh Mi by the side of the road. There is a veritable energy,and only one that is present in an aspiring society and a growing economy,” itread.
Within walkingdistance of District One stands the War Remnants Museum, which housesphotographs, literature, and objects from the Vietnam War, it said, adding thatone can't help but reflect on the devastation and suffering the war brought onthe country.
After seeingthe contrast, it's a wonder how Vietnam managed to get to where it is today, itsaid.
It pointed outthat while courting foreign investments, Vietnam also paid attention to reformsat home by directing public investments to education and infrastructurebuilding. According to the World Bank, Vietnam spent a whopping 5.7 percent ofGDP on education, even higher than the OECD (a group of developed economies)average, topping economic powerhouses like the US, Germany, Australia, and theUK.
The reformsalso boosted local entrepreneurship, resulting in a plethora of small andmedium businesses opening around the country. Today, Vietnam is challenging theregional leaders, Singapore and Indonesia, in the start-up space. Thegovernment is actively attempting to lure back local talent that had goneabroad to study and work.
The data andrankings reflect all these efforts. Vietnam's GDP has grown every single yearsince 1981, even during the dot com bust and the global financial crisis. GDPgrowth for 2018 came in at an impressive 7.1 percent, it noted.
Meanwhile, percapita GDP has grown from 231 USD in 1985 to 2,343 USD in 2017. Thecountry's annual Foreign Direct Investment has grown by over seven timesbetween 1996 and 2018. Vietnam has made strides in ease of doing business toowith its ranking jumping from 90 in 2010 to 69 in 2018.
With a medianage at just over 30 years old, Vietnam's young and vibrant workforce can helpthe country move further ahead in manufacturing.
The servicessector, though, is lagging compared to its neighbors, who command a highershare of GDP from the sector.
There are manychallenges that Vietnam needs to overcome in order to move into themiddle-income category but its journey so far has been impressive, itcommented.-VNA
