In the latest East Asia and Pacific Economic Update Report, the World Bank (WB) made a forecast for Vietnam’s economic growth. Although this forecast is not too high, it is still considered a positive growth rate compared to many other economies in the context of a complex global economy.
In an interview with a reporter from the Vietnam News Agency, the World Bank’s Chief Economist in Vietnam, Mr. Andrea Coppola, shared his views on Vietnam’s economic situation in 2023. He said if he had to choose one To describe Vietnam’s economy that year, he would choose the word “resilient”.
2023: Vietnam’s economy is “resilient”
According to Mr. Coppola, the global recession has caused a big shock to Vietnam’s open economy. However, Vietnam still maintains a growth rate many other countries can only dream of.
By the end of 2023, Vietnam’s economy has shown clear signs of recovery. This recovery is driven by three main factors. First, demand from Vietnam’s export market has begun to recover. Second, the authorities have recognized the critical role of increasing public investment disbursement, with a significant increase compared to 2022. Third, although the economy encountered a strong shock, consumption in the private sector is still recovering.
Vietnam is considered an attractive destination for international investors thanks to its economic and political stability and ability to integrate into the global economy. In the current context, it is crucial that Vietnam continues to strengthen its business environment to attract the attention of private investors, thereby making the most of the impact of global political developments on international investment and trade.
See more: Economic overview of ASEAN and Vietnam in 2023
Economic landscape in 2024
In 2024, Expert Andrea Coppola believes that the international context will face many challenges. After the global recession of 2023, global economic growth is expected to decelerate further in 2024, especially with Vietnam’s essential trading partners, such as the US.
Economic performance next year may not be high due to the delayed impact of the ongoing tightening monetary policy trend, credit restrictions, and weakening global trade.
Critical risks for 2024 include geopolitical risks, the impact of conflicts on energy prices, financial strains related to rising long-term interest rates, and weaker-than-expected economic activity in China.
