return icon Vietnamnet.vn

VN to be only country in region to attain positive growth in 2020: report

Vietnam is expected to be the only Southeast Asian economy to achieve growth this year, with its GDP rising by a likely 2.3 per cent.

 

A factory in Hung Yen Province. Viet Nam is expected to be the only Southeast Asian economy to grow this year as a result of the pandemic. 

 

 

The Global Economic Outlook report said recovery prospects look brightest for Viet Nam, which had contained the Covid-19 outbreak very effectively until recently.

The pandemic has delivered the biggest growth shock to South-East Asia since the Asian financial crisis in 1997, and regional growth is forecast to contract by 4.2 per cent in 2020, according to a new report.

The report, commissioned by chartered accountancy body, the Institute of Chartered Accountants in England and Wales, suggested that while economic activity was picking up again and growth was expected to eventually rebound to 6.4 per cent in 2021, the pace of recovery over the second half of 2020 would vary across the region depending on the easing of lockdown restrictions and improved export demand.

The Covid-19 outbreak had reduced global GDP by around 9 per cent in the first half of 2020, at least three times the size of the decrease during the 2007-09 global financial crisis. Despite a strong rebound in the third quarter of 6.4 per cent, global GDP would contract overall by 4.4 per cent this year.

However, momentum had been building in the second half of 2020, which would drive growth to 5.8 per cent in 2021, and lead the global economy to recover to its pre-crisis peak by the mid-point of next year, a similar time frame as the post-2008 financial crisis recovery.

The strength of the rebound over the coming quarters in South-East Asia remained uncertain, particularly in the fourth quarter of 2020, after the expected initial strong bounce in global trade and domestic activity post-lockdowns faded.

Additionally, varying success rates in containing the Covid-19 outbreak, and differing lockdown exit strategies would widen the disparities in economic growth in the region.

Economies which had convincingly contained the outbreak such as Thailand and Viet Nam would see a stronger recovery than Indonesia and the Philippines, which were battling new waves after restrictions were prematurely relaxed, the report said.

The pace of recovery in the second half 2020 would vary across South East Asia.

Mark Billington, ICAEW Regional Director, Greater China and South-East Asia, said: “The road to recovery for economies in South-East Asia will be a long one, with existing US-China tensions, a long-term slowdown in global trade activity, and a prolonged Covid-19 pandemic weighing on the region’s growth prospects.

“While each region’s economy has suffered due to the crisis, the unique economic structures mean the crisis has played out in different ways.

“Ultimately, countries that can strike a balance between resuming economic activity and keeping the outbreak under control will see their economies bounce back faster than the rest.” — VNS

Foreign banks confident and committed to Vietnam's economy

Foreign banks confident and committed to Vietnam's economy

International Finance Corporation (IFC) announced on Tuesday they have granted a US$70 million loan to Vietnamese Indo Trans Logistics Corporation (ITL Corp). 

MORE NEWS

Lonely Planet reveals eight attractive treks in Vietnam

Tribal treks around Bac Ha and Cultural treks from Sa Pa have been named among the eight best treks for travelers to enjoy when visiting the nation, according to the Australian version of renowned travel guide Lonely Planet.

Vietnam posts US$10.6 billion trade surplus in Jan-Nov

The country’s exports amounted to US$342.2 billion while its import spending totaled US$331.6 billion between January and November, generating a trade surplus of US$10.6 billion, according to the General Statistics Office of Vietnam.

What are Vietnam’s opportunities in the face of new reforms in China?

Vietnam-China relations in the past were based mostly on trade and construction bids. What will be important for the new period?

US spends over US$13 billion purchasing local computers and electronics

Vietnamese electronic computers and component exports to the United States during the initial 10 month of the year surged by 26.4% to reach US$13.23 billion against the same period from last year.

Experts discuss need for capital disbursement, loans to enterprises

More public investment funds should be disbursed and credit limits lifted to provide capital and improve capital flow, experts have said.

Vietnam welcomes 2.95 million foreign tourists over 11-month period

The country welcomed 2.95 million foreign visitors during the initial 11 months of the year, a figure 21.1 times higher compared to the same period from last year, but still down 81.9% compared with pre-pandemic levels in 2019.

Ministry to tighten control of joint training programs with foreign partners

About 25,000 students are studying in about 300 joint programs with foreign schools in Vietnam.

IPP Air Cargo approval procedure suspended at investor's request

The Transport Ministry has informed to the Prime Minister of a suspension of the approval procedure for the IPP Air Cargo JSC at the request of the carrier’s investor.

Borussia Dortmund touches down in Vietnam

Renowned midfielder Marco Reus and a delegation made up of 123 players and staff from leading German side Borussia Dortmund landed at Noi Bai International Airport on November 29.

National Assembly Chairman begins official visit to Australia

National Assembly Chairman Vuong Dinh Hue and the Vietnamese NA's delegation arrived in Canberra on November 29 evening (local time), starting an official visit to Australia from November 30 - December 3.

VIETNAM NEWS HEADLINES NOVEMBER 29

International Circus Festival to open in December

VIETNAM BUSINESS NEWS NOVEMBER 29

EVN's losses estimated at VND31.3 trillion in 2022

Co la, the food tray that demonstrates Muong ethnic culture in Hoa Binh

For Muong ethnic people, especially those living in Hoa Binh Province, cỗ lá (literally means a food tray displaying several dishes) is more than just a popular food.

Experts call for Hanoi to become a 'creative city'

Cultural industry development is a new issue, and Hanoi does not have much experience promoting its potential advantages.

Apple jumps to second highest seller of smartphones in Vietnam for first time

iPhone accounted for 20.5 percent of market share in Vietnam in October 2022, according to GfK.
back_to_top