The World Bank (WB) on December 3 revised its growth projections for Viet Nam from 5.4% to 5.6% in 2014 in its economic update report.

According to the WB, the domestic economy showed signs of recovery in which GDP growth rate in Q3, 2014 was encouraging at 6.2%, bringing the total figure to 5.6% in the first nine months.

The WB also forecast that Viet Nam would gain a GDP growth of 5.6%  in 2015 thanks to its improved macro-economic stability and the strong performance of the export-oriented industries.  

According to the institution, the positive macro-economy contributed to raising Viet Nam’s credit ratings and assisting the Government’s successful issuance of US$ 1 billion bonds to the international market.

Its medium-term economic outlook was positive on a par with the modest GDP growth and maintained macro-economic stability.

World Bank Country Director for Viet Nam Victoria Kwakwa said that Viet Nam’s potential for much more rapid growth can only be realised if substantial progress is made in addressing distortions in the State enterprise and banking sectors.

She added that stepping up the reform agenda and strengthening the business environment are critical for the Vietnamese economy to move forward.

VGP