While Vietnam's exports to the US have bolstered GDP growth this year, domestic factors, including the Government’s increasing spending on infrastructure, real estate market recovery, and consumption, will help the country maintain its economic expansion at around 6.5% in 2025, according to the latest report from VinaCapital.
Green, clean development and semiconductor chip production are among the sectors in Vietnam that foreign investors are interested in, according to VinaCapital CEO and Founding Partner Don Lam.
Investment funds are currently focusing on capitalising on opportunities in sectors that exhibit robust resilience or the ability to go against the cycle.
Many international financial institutions have expressed their optimism about Vietnam’s GDP growth, and shared the view that it would reach at least 6% this year.
Listed companies’ earnings growth is expected to recover from zero last year to 10-15% this year, but with a wide variation between sectors, according to Michael Kokalari, a chartered financial analyst and chief economist at VinaCapital.
The investment fund VinaCapital expects Vietnam’s GDP growth to rebound to 6.5% next year, driven by a recovery in exports, which will in turn be closely accompanied by a rebound in the local manufacturing sector output.
The investment fund VinaCapital expects Vietnam’s GDP growth to rebound to 6.5% next year, driven by a recovery in exports, which will in turn be closely accompanied by a rebound in the local manufacturing sector output.
There are concrete signs that Vietnam’s exports are set to recover in the fourth quarter driven by a bottoming out of the US inventory cycle and by an acceleration in multinational firms’ movement of manufacturing to Vietnam.
The stock market recovery, which has been driven by lower interest rates in 2023, is likely to be sustained by higher earnings and attractive valuations in 2023, according to Michael Kokalari, chief economist at VinaCapital.
Foreign direct investment (FDI) had been one of Vietnam’s most important economic growth drivers over the last decade and the Southeast Asian country had significantly outperformed its regional peers in attracting FDI since the US-China trade war emerged, said Michael Kokalari, Chief economist at investment fund VinaCapital.
The global corporate minimum tax is unlikely to impede Vietnam’s FDI inflows given the fact that tax incentives are not the primary attraction for setting up a factory in Vietnam, said Michael Kokalari, chief economist at investment fund VinaCapital.
The global corporate minimum tax is unlikely to impede Vietnam’s FDI inflows given the fact that tax incentives are not the primary attraction for setting up a factory in Vietnam, said Michael Kokalari, chief economist at investment fund VinaCapital.
VinaCapital, Vietnam’s most diversified asset manager, and A.P. Moller Capital, a global fund manager focused on high growth markets, have set up a joint platform to grow and scale investments in transportation and logistics infrastructure in Vietnam.
With the Government’s initiatives to address disappointing GDP growth in the first quarter and the fact that foreign companies’ orders are likely to increase in the second half of the year, the economy is expected to rebound then, Michael Kokalari, chief economist at investment fund VinaCapital, has said.
The Silicon Valley Bank (SVB) collapse by itself will end up being neutral for Vietnam’s stock market and economy, Michael Kokalari, chief economist at investment fund VinaCapital, has said in a report.
The profit growth of listed companies is forecast to cool down in 2023 but experts said there are still many positive factors to support the market in the near future.
China’s reopening is expected to boost Vietnam’s GDP growth by over 2 percentage points next year, driven by the full resumption of Chinese tourist arrivals in the second half of 2023, Michael Kokalari, chief economist at investment fund VinaCapital, said in a recent report.
