Business

Vietnam’s economic growth projected to rebound from 2024

Vietnam’s economic growth is likely to rebound in 2024 and 2025, according to Dorsati Madani, Senior Economist at the World Bank (WB).
Vietnam’s economic growth projected to rebound from 2024 ảnh 1Vietnam’s economic growth projected to rebound from 2024 - Illustrative image (Photo: baodautu.vn)
Hanoi (VNA) – Vietnam’s economic growth is likelyto rebound in 2024 and 2025, according to Dorsati Madani, Senior Economistat the World Bank (WB).

Madani noted that Vietnam's major trading partners,including the US, Europe, and China, have all experienced negative impacts inrecent times due to global instabilities and reduced demand.

Low demand has dampened Vietnam's economic momentum, leading to adecrease in economic growth. The import and export turnover has declined,impacting industrial production value.

Director of the CentralInstitute for Economic Management (CIEM)'s General Research Department NguyenAnh Duong said to achieve robust economic growth, Vietnam needsto do its utmost from various perspectives, including reform, policymanagement, and maintaining a stable and favourable economic environment forinvestors.

Vietnam’s economic growth projected to rebound from 2024 ảnh 2In the first scenario, Vietnam’s GDP is predicted to expand by 5.34% in 2023. - Illustrative image (Photo: VNA)
Maintaining macroeconomic stability serves as thefoundation, but it's still important to create a favourable environment and improvecapital absorption capacity, Duong stressed.

Duong put forth three growth scenarios for Vietnam in 2023.

In the first scenario, Vietnam’s GDP is predicted to expand by5.34% in 2023, with exports for the whole year decreasing by 5.64% and theaverage Consumer Price Index (CPI) increasing by 3.43%. The country is expectedto enjoy a trade surplus of 9.1 billion USD.

In the second one, CIEM expects the country's GDP will rise by 5.72%,with the export turnover decreasing by 3.66%, and the average CPI increasing by3.87%. The trade balance will reach a surplus of approximately 10.3 billionUSD.

The third scenario forecasts a more positive global economiccontext with improvements in growth recovery and credit and public investmentdisbursement, business environment and labour productivity; a significantreduction in supply chain disruptions, decreased inflation in the US, more favourableweather conditions, and Vietnam’s determined reforms and effective management.

CIEM expects the country’s GDP growth to surge by 6.46%in 2023. Accordingly, full-year exports will decrease by only 2.17%, while theaverage CPI increasing by 4.39%. The country will enjoy a trade surplus of around6.8 billion USD.

Phan Le Thanh Long, CEO of AFA Group, predicted that theexchange rate of VND/USD will slightly increase within 1%./.
VNA
#economic growth #WB #macroeconomic stability #economic momentum #industrial production value #CIEM #capital absorption capacity #GDP #Vietnamplus #Vietnam news #Vietnam News Agency
Follow VietnamPlus

Related News

Demand recovery expected to drive GDP growth: Experts

Demand recovery expected to drive GDP growth: Experts

It’s a big challenge for the economy to reach this year’s GDP growth target of 6.5%, and economic expansion is hoped to be boosted by some important demand factors in the second half of 2023, experts have said.
Economy improves but challenges remain: official

Economy improves but challenges remain: official

Despite strong efforts and more positive signals recorded, Vietnam’s economic growth stood at only 3.72% in the first half of 2023, putting heavy pressure on the realisation of this year’s GDP growth target of 6.5%, said Deputy Minister of Planning and Investment Tran Quoc Phuong.

See more

HCM City is now a regional specialised financial centre (Photo: VNA)

Vietnam should be flexible in selecting financial centre models: expert

Tuan also highlighted the importance of human capital, one of the five important factors to successfully build a financial centre, citing the Global Financial Centres Index, which ranks business environment, human capital, infrastructure, market development, and reputation as the key drivers of success.

Minister of Industry and Trade Nguyen Hong Dien (L) and US Secretary of Energy Chris Wright in Washington D.C. on March 13. (Photo: VOV)

Vietnam, US look to strengthen comprehensive energy cooperation

Vietnam’s consistent policy is to foster a balanced, sustainable, stable, and win-win economic relationship with the US, the minister stated. Vietnam does not intend to create any barriers that could negatively impact the US’s workers or its economic and national security, Minister of Industry and Trade Nguyen Hong Dien said.

Deputy Prime Minister Nguyen Chi Dung speaks at the first meeting of the steering committee for the building of a project on the private economic sector's development in Hanoi on March 15. (Photo: VNA)

Private sector's development key to Vietnam’s economic growth

Currently, the private economic sector comprises over 6.1 million business establishments, including approximately 940,000 registered enterprises and over 5.2 million household businesses. The sector contributes around 50% of the country’s GDP, accounts for over 56% of total social investment, employs approximately 82% of the workforce, and generates around 30% of state budget revenue and more than 30% of total import-export turnover.

Prime Minister Pham Minh Chinh receives Wouter Van Wersch, Executive Vice President of Airbus International. (Photo: VNA)

PM suggests Airbus help Vietnam in developing aviation ecosystem

During a meeting on March 14 with Wouter Van Wersch, Executive Vice President International of Airbus, Prime Minister Pham Minh Chinh praised the aerospace giant’s cooperation with Vietnamese partners, emphasising its role in boosting domestic and international connectivity and driving Vietnam’s socio-economic growth.

The Vietnam Consumer Rights Day 2025 is under the theme "Transparent Information – Responsible Consumption". (Photo: VNA)

Hanoi launches campaign for Consumer Rights Day

The event, organised by the city's Department of Industry and Trade, aimed to promote consumer protection as a long-term, essential task for all levels of government, businesses and society.