Want to be in the loop?
subscribe to
our notification
Business News
VIET NAM FORECAST TO BECOME SECOND-LARGEST ECONOMY IN SOUTHEAST ASIA BY 2036
Viet Nam will become second-largest economy in Southeast Asia by 2036, according to experts.
2023 is predicted to be the year of many challenges for the Vietnamese economy due to the gloomy outlook of the global economy and multiple crises.
However, with many positive signals and prepared efforts in advance, Viet Nam's economy is still expected to maintain a good growth momentum compared to other economies in the region and the world. The international press has had many remarkable articles related to this topic.
According to Forbes, Viet Nam can be the most interesting macroeconomic and investment story in 2023.
Besides, the recently released World Bank's Global Economic Prospects Report said that 2023 was the second year the global economy has suffered severe decline, predicted to grow at only 1.7 percent.
In that context, Viet Nam is forecasted to grow at 6.3 percent, becoming the second fastest-growing economy in the region. At the same time, it is recommended that Viet Nam should proactively respond to immediate challenges.
World Bank (WB) Lead Country Economist and Program Leader for Equitable Growth, Finance and Institutions in Viet Nam Andrea Coppola suggested that the State Bank of Viet Nam should consider operating the exchange rate more flexibly to deal with the pressure of the exchange rate.
If this leads to increased inflation, the central bank may consider using the reference interest rate tool. In the medium term, Viet Nam can modernize its monetary policy by promoting a gradual transition to an inflation-targeting mechanism.
According to The Star, although Viet Nam's economy is forecasted to face headwinds in 2023, there are still bright spots for hope.
Several factors motivate the economy to grow, such as the reopening of China, helping Viet Nam boost exports and develop tourism. Additionally, Viet Nam has stepped up public investment and domestic consumption to offset the drop in exports.
Most importantly, in the context of many challenges, Viet Nam is still an attractive destination for foreign investment.
The Viet Nam Briefing page and the STAT Trade Times page give reasons why Viet Nam can become Asia's next industrial hotspot, such as competitive advantages in terms of young and skilled workers, an open FDI environment, and expansion of trade with many countries.
Source: VCCI
Related News
VIETNAM’S GDP TO GROW 5.5% THIS YEAR – WB
This forecast is based on the assumption of a moderate recovery in manufacturing exports in 2024, fueled by rebound growth of 8.5% year-on-year in the fourth quarter of 2023 and 17.2% year-on-year in the first quarter of 2024, reflecting strengthening global demand, said Dorsati Madani, senior country economist at the WB in Vietnam.
FARE REFUND FOR VISA REJECTION
Cathay Pacific will offer full refunds for cases of visa rejection to provide you with the confidence to explore the world with ease. If you are planning to fly to a destination that requires an entry visa, you can now book with greater peace of mind.
FOUR COMMODITIES POST Q1 EXPORT VALUE OF OVER 5 BILLION USD
The total export turnover of agricultural, forestry, and fisheries products in the first three months of 2024 is estimated to reach 13.53 billion USD, an increase of 21.8% compared to the same period of 2023.
MOIT PROPOSES SCHEME TO BOOST RENEWABLE ENERGY PROCUREMENT
The proposed Direct Power Purchase Agreement (DDPA) mechanism, outlined in the draft decree, targets organisations and individuals consuming electricity from the 22kV power grid or higher, with a monthly consumption averaging 500,000kWh. However, residential households are excluded from direct procurement.
REAL ESTATE BONDS PLACE PRESSURE ON ISSUING FIRMS
The ministry’s recent report underscores concerns within Vietnam’s corporate bond market for 2023 and 2024. It emphasizes the critical need to address hindrances to the real estate sector in line with the objectives provided in Government Resolution No. 33/NQ-CP, which aims to stabilize the industry.
DA NANG CUSTOMS FOCUSES ON DEVELOPING CUSTOMS-BUSINESS PARTNERSHIPS
Da Nang Customs Department issued an action plan for developing customs-business partnership in 2024. One of the new events this year is the workshop on “Settlement reports for enterprises engaged in outsourcing, export production and export processing” held in Da Nang Customs Department on April 16, 2024.