Source: Socialist Republic of Vietnam
15:51 | 25/09/2019
Asian Development Bank (ADB) Country Director for Viet Nam Eric Sidgwick
Despite low inflation rate, the ADB suggests the Vietnamese Government continue monitoring the monetary policy carefully this year and maintaining the credit growth at 14%.
Viet Nam’s economy maintains healthy grows at 6.8% in 2019 and 6.7% by 2020.
“Despite a slowdown in export growth due to the escalation of the trade conflict between the U.S. and China and the consequent downturn in global trade, the economy remains healthy thanks to continued strength in domestic demand and sustained inflows of foreign direct investment,” said ADB Country Director for Viet Nam Eric Sidgwick.
“Prospects for domestic consumption continues to be positive, supported by rising incomes, buoyant employment, and moderate inflation”, Mr. Eric Sidgwick noted.
The recent signing of a free trade agreement with the European Union promises to further open market access for trade and investment, as does the regional Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
Thus, Foreign Direct Investment (FDI) will continue to thrive in the time to come, with the proof of the committed FDI capital flows of US$13.1 billion over the recent eight months of 2019.
These agreements will open more opportunities to get access to bigger trade and investment activities while recent amendments to the Law on public investment will help improve public investment activities by speeding up procedures, simplifying procedures and facilitating faster disbursement of public investment capital.
Prospects for industry and service sectors are positive but agriculture will be slow down. The service sector will continue high growth with the expansion of retails sales to meet domestic demands.
It is estimated that the nation will achieve the target of welcoming 15 million foreign arrivals at the end of the year.
The ADO 2019 provides economic analysis and growth projections for 45 economies in Asia and the Pacific.
By Thuy Dung