Vietnam revises GDP in line with international practices

The revision of the size of Vietnam’s gross domestic product (GDP) for 2011-2017 is in line with international practices and serves as a foundation for the country's development path in the next 10 years, an official has said.

Vietnam revises GDP in line with international practices

Chief of the General Statistics Office Nguyen Bich Lam

Chief of the General Statistics Office Nguyen Bich Lam made the statement at a seminar in Hanoi on December 13 to announce the results of the revision of the size of Vietnam’s gross domestic product (GDP) for 2011-2017.

“As Vietnam is developing a 10-year socio-economic development strategy for 2021-30 and a five-year plan for 2021-25, it (the revision) will help the Government address the country’s future path in 5-10 years,” he told the seminar.

Lam announced the revision resulted in an averaged enlargement of 25.4 percent annually of Vietnam’s economy in 2010-2017 compared to previous data, an increase of 935 trillion VND (40.5 billion USD) in GDP per year.

Of the estimates, 2011 witnessed the highest growth rate of 27.3 percent and 2015 saw the lowest at 23.8 percent.

In 2017, the revised GDP size reached 6.29 quadrillion VND, while the previously announced figure was more than 5 quadrillion VND.

According to him, Vietnam’s revised per-capita GDP in 2010-2017 rose by an average of 25.6 percent per year compared to the announced figure, corresponding to an average increase of 10.3 million VND per person.

According to UN Resident Coordinator Kamal Malhotra, in the past decade, Vietnam’s economy had achieved high growth rates and witnessed vast changes in economic structure.

The influx of foreign investment and flourishing information technology had created great potential for domestic enterprises, he said.

GDP revision was a common international practice, he said, adding that the practice included re-basing, new surveys and administrative data, thus better reflecting the scale of GDP.

The revision would assist the Government in the formulation of socio-economic development strategies and help businesses with their plans, he said.

 

The United Nations Development Programme (UNDP)’s Country Economist Jonathan Pincus said Vietnam needed to constantly update and adjust its GDP, especially the use of statistics to suit the current period.

According to the General Statistics Office (GSO), besides per capita GDP, the revision will also lead to changes in other indicators relative to GDP gross national income, government revenues to GDP, spending deficit to GDP and public debt to GDP.

A revised GDP also changes GDP structure, in which the proportion of industry, construction and service sectors increases while the farming sector’s contribution decreases.

According to the GSO, the re-assessment of Vietnam’s GDP will not affect the country’s growth targets and socio-economic development strategy as the growth rates over the years recorded minor changes.

GSO General Director Lam said the GDP re-assessment was based on methodology recommended by the UN’s statistics division.

The GSO said the review was in line with international practice and not a change in calculation method.

Across the world, most countries conduct regular GDP re-assessments depending on available information, the scope and purpose of the review.

In Vietnam, GDP re-evaluation only takes into account defined economic activities, without including the underground and illegal economy, and is carried out periodically every 5-10 years./.VNA

Statistics bureau to revise GDP reading

Statistics bureau to revise GDP reading

The General Statistic Office (GSO) announced on August 16 that it has started a process to revise the country’s GDP calculation.

Vietnam's GDP revised upwards by massive 25.4% for 2011-2017 period

Vietnam's GDP revised upwards by massive 25.4% for 2011-2017 period

Vietnam’s total gross domestic product (GDP) may increase by 25.4 per cent per year for 2011-17 period after calculation is revised.

 
 

Other News

.
ASEAN pushes forward with 5G connectivty cooperation
ASEAN pushes forward with 5G connectivty cooperation
BUSINESSicon  17/10/2020 

As ASEAN chair this year, Vietnam is playing a crucial role in further cementing joint activities within the bloc via boosting the application of high technologies to adapt to Industry 4.0, which is sweeping throughout the region.

Real estate stocks await cash flow
Real estate stocks await cash flow
BUSINESSicon  17/10/2020 

Domestic and foreign capital flow is expected to bolster real estate shares after the COVID-19 pandemic as many investors are paying attention to the industry.

Online exports require professionalism
Online exports require professionalism
BUSINESSicon  17/10/2020 

Using online platforms to boost exports is the fastest way to bring Vietnamese goods to the world, said business leaders and industry experts.

Many hoteliers intend to divest capital due to heavy losses
Many hoteliers intend to divest capital due to heavy losses
BUSINESSicon  16/10/2020 

Over the past eight months, hotel room tariffs have plunged and hotel room occupancy rates have remained low, forcing several hoteliers to divest capital with many financially weak hotels in the local market being put up for sale.

Meeting expectations of the corporate bond market
Meeting expectations of the corporate bond market
BUSINESSicon  16/10/2020 

A new government decree tightens conditions on the issuance of corporate bonds. However, before the decree came into effect, enterprises flooded the market with new issuances.

M&A activities signal promising fortunes
M&A activities signal promising fortunes
BUSINESSicon  17/10/2020 

Although merger and acquisition levels dropped in 2020 across Vietnam, the prospect for such activities remain bright for next year as overseas investors look to local businesses in order to improve market access.

Thai billionaire, European brewer lose money in Sabeco investment deal
Thai billionaire, European brewer lose money in Sabeco investment deal
BUSINESSicon  16/10/2020 

The Sabeco price has seen a strong recovery in the last half a year, but is still at a low price. Both Thai billionaire and the big brewer Heineken have lost money because of the drop in Sabeco share price.

Investors lose billions of VND as land prices keep rising
Investors lose billions of VND as land prices keep rising
FEATUREicon  17/10/2020 

A lot of real estate traders have missed opportunities to make huge profits because they decided to postpone purchasing plans, hoping that prices would decrease further.

Salary increases in 2020 lowest in 10 years: survey
Salary increases in 2020 lowest in 10 years: survey
BUSINESSicon  16/10/2020 

Salaries increased by 6.5% this year at multinational companies (MNCs) and 5.2% at Vietnamese companies, and are forecast to increase by 7 per cent and 7.7% next year, according to the Talentnet – Mercer Total Remuneration Survey.

The right structural adjustments help Vietnam achieve long-term growth aspirations
The right structural adjustments help Vietnam achieve long-term growth aspirations
BUSINESSicon  17/10/2020 

No nation has escaped the threat of COVID-19 to lives and livelihoods, with many countries seeing cases resurge recently. 

State firms more resilient than foreign, Vietnamese private companies: survey
State firms more resilient than foreign, Vietnamese private companies: survey
BUSINESSicon  15/10/2020 

Business resilience is highly correlated with level of digitisation, the Business Pandemic Resilience Diagnostic conducted by Grant Thornton...

Pandemic a test of fire for Vietnamese enterprises
Pandemic a test of fire for Vietnamese enterprises
BUSINESSicon  15/10/2020 

The COVID-19 pandemic has been a test for Vietnamese businesses as many have been and will be struggling to recover for the foreseeable future. 

Five expy projects unlikely to attract private investors
Five expy projects unlikely to attract private investors
BUSINESSicon  15/10/2020 

Although the National Assembly Standing Committee has given its approval to switch three of the eight subprojects of the North-South Expressway from the public-private partnership (PPP) format into wholly State-invested, 

Only 5% FDI projects in Vietnam use high technologies
Only 5% FDI projects in Vietnam use high technologies
BUSINESSicon  15/10/2020 

Vietnam is home to 32,539 valid foreign direct investment (FDI) projects with registered capital of a combined US$381 billion, of which US$233 billion has been fully disbursed.

The Vietnamese brain will decide
The Vietnamese brain will decide
FEATUREicon  16/10/2020 

"Vietnamese have nothing but brains to develop the country in the future." 

Stable outlook expected for Vietnamese dong
Stable outlook expected for Vietnamese dong
BUSINESSicon  16/10/2020 

While Vietnam is at risk of being listed as currency manipulator by the US, such a risk appears low, as the US will likely continue to reduce its dependence on Chinese exports by reorganizing its supply chain with other partners.

Vietnam banking sector to suffer in 2020 before rebounding in 2021
Vietnam banking sector to suffer in 2020 before rebounding in 2021
BUSINESSicon  15/10/2020 

Fitch Solutions expected credit growth to weaken to 7% in 2020 from 13.7% in 2019, but the growth is predicted to pick up to 12% one year later.

Realising revised growth ambitions
Realising revised growth ambitions
BUSINESSicon  15/10/2020 

Vietnam’s fourthquarter economic outlook is brighter on the back of a rise in domestic consumption and public investment.

Businesses line up for further support
Businesses line up for further support
BUSINESSicon  15/10/2020 

Continued facing with massive woes, the business community in Vietnam is in dire need of the government’s assistance for investors and enterprises to struggle through the global health crisis and grabbing new business

Infrastructure development at the centre of PPP decree direction
Infrastructure development at the centre of PPP decree direction
BUSINESSicon  16/10/2020 

Further clarifying the legal framework for infrastructure development via wider participation of private investors is expected to help the country attract more funding into the industry.

 
 
 
Leave your comment on an article

OR QUICK LOGIN