return icon Vietnamnet.vn

Vietnam swims against current, creating ‘Asian miracle’

Vietnam now has a rare opportunity to make a breakthrough after being one of the economies that successfully controlled Covid-19 to obtain a positive growth rate and attract foreign investors.

The World Bank (WB) on December 21 released its ‘Taking Stock’ report, showing a positive review of Vietnam’s economy.

 

 

{keywords}

 

The institution predicted a growth rate of almost 3 percent for Vietnam in 2020, while the world economy is expected to contract at least by 4 percent amid the Covid-19 pandemic.

As such, the growth rate predicted by WB is much higher than that predicted by other organizations. ADB one week ago predicted a growth rate of 2.3 percent, while IMF forecast 2.4 percent and the Vietnam Institute for Economic and Policy Research (VEPR) 2.8 percent.

The reports released recently show a brighter outlook about Vietnam’s economy than reports in early or mid-year.

The reports showed positive outlook for medium and long term. According to WB, Vietnam may see a 6.8 percent GDP growth rate in 2021 and the figure will hover around 6.5 percent in next years.

Prior to that, ADB predicted 6.1 percent, and IMF 6.4 percent for Vietnam in 2021.

Analysts said that Vietnam went against the downward trend and obtained a positive growth rate because it promptly tackled Covid-19 and controlled the spread of the virus.

WB’s Vietnam Country Director Carolyn Turk said that Vietnam has been doing well in coping with Covid-19. Quick decisions and prompt solutions have helped the economy recover strongly.

WB attributes Vietnam’s good economic performance to the resilience of both its domestic economy and external sector. It took early, bold and innovative measures against the virus, and also used fiscal and monetary policies in a flexible way to ease difficulties for the private sector and accelerate the recovery.

Public spending has started to increase after three years of fiscal tightening. In the first nine months of 2020, the disbursement for public investment soared by 40 percent in comparison with the same period last year.

Regarding the external sector, Vietnam expects to see the highest trade surplus so far in 2020 and forex reserves increase.

The continued inflows of foreign investment capital to Vietnam, plus the stable increase in exports, can offset the decrease in revenue in foreign currencies from decreased tourism activities and overseas remittances.

Since mid-September, Vietnam has become known as ‘Asian miracle’ after a series of international newspapers reported the achievements Vietnam gained after the second epidemic outbreak.

Nikkei Asia published an article about the confidence of the Vietnamese people in the government in the fight against the pandemic.

The newspapers noted that with the success in controlling Covid-19, Vietnam now has a great opportunity to make a breakthrough in developing the economy. 

Duy Anh

Vietnam economy continues to strengthen, reports VDSC

Vietnam economy continues to strengthen, reports VDSC

Optimism for the year ahead has been improved to the highest thanks to the country's effective control of Covid-19 pandemic.

Banks forecast lower profit and credit growth rates

Banks forecast lower profit and credit growth rates

Domestic activities have returned to normal, but Vietnam’s major partner economies are still affected by the Covid-19 pandemic.

 

MORE NEWS

Industry in need of strategic links

With not everyone in Vietnam’s industrial landscape yet recovering from 2021’s troubles, many groups have no choice but to move from low-cost production to manufacturing higher-value products.

Cherry blossoms attract tourists to Sapa

Cherry blossoms have been in full bloom in the tourist town of Sapa, attracting lots of visitors.

President to pay State visit to RoK next week

President Nguyen Xuan Phuc and his spouse will pay a state visit to the Republic of Korea from December 4-6.

Fansipan among five top destinations for mountain trekking at year-end

Renowned tourism website Women's Weekly of Singapore has named Fansipan among the leading five destinations to visit for mountain trekking at the end of the year, with the website noting the Vietnamese mountain’s impressive views.

Dortmund chiefs predict bright future for VN football

Although this was only a friendly game with many of the German stars absent from the starting eleven due to the Qatar World Cup, the victory gave the Bundesliga team food for thought about Vietnamese players.

International designers dazzle fashion fans in Hanoi

International designers left a deep impression on fans of fashion in Hanoi with hundreds of fascinating designs presented at the Aquafina VN International Fashion Week (AVIFW) Fall/Winter 2022.

Monthly Government meeting focuses on year-end key tasks

The Government has established working groups on liquidity and currency, the real estate market and corporate bonds led by deputy prime ministers to stabilise these markets.

Vietnam to reduce environmental impact of textile-garment industry by 2030

The Vietnam Textile and Apparel Association (VITAS) has set a goal of helping Vietnam's textile and garment industry be more environmentally friendly by 2030.

Property brokers no longer manipulate prices as buyers become more cautious

As buyers have become more aware and careful about shady practices, real estate brokers have not been able to sell properties at prices much higher than their real value.

Hanoi to turn middle alluvium ground into park

One more park has been designed for Hanoians. However, it is still unclear when the project will appear, as a number of other projects are still on paper or pending.

Asian investors eye more M&A opportunities in Vietnam

Investors from Japan, the Republic of Korea (RoK), and Singapore are looking for more potential merger and acquisition (M&A) opportunities in Vietnam, pinning high hopes on the long-term growth prospects of the market.

Vietnam's fishery exports exceed 10 billion USD in 11 months

Fishery exports reeled in 10.14 billion USD as of November this year, up 27% annually, said the Ministry of Agriculture and Rural Development.

HCM City want foreign doctors to be fluent in Vietnamese

The HCM City Department of Health has just proposed that foreign doctors should be fluent in Vietnamese if they want to work in the country.

Use of toxic e-cigarettes among students on the rise

After a trial smoke, T lost consciousness, was foaming at the mouth, and his limbs were curled up. Two days later, T regained consciousness at the hospital, but was still in the status of extreme fear.

Vietnam spends US$7.74 billion importing petroleum products

Vietnam imported over 7.5 million tonnes of oil and petrol worth around US$7.74 billion as of mid-November, up 24.1% in volume and 122% in value year on year, according to the General Department of Vietnam Customs.
back_to_top