According to the ADB Country Director, Viet Nam can maintain its growth momentum in 2024 through sustained trade recovery in export-led manufacturing and positive inflows of foreign direct investment (FDI) and remittances, while making more efforts for growth restoration in services, stable agriculture production, and domestic consumption recovery.
Inflation is also expected to remain benign at 4 percent in both these years, despite persistent pressure from geopolitical tensions and disruptions in global supply chains.
Though the economy is expected to post a solid growth this year and growth at a slightly higher pace next year, several external downside risks could slow down Viet Nam's momentum.
The risks include softened global demand caused by slow economic recovery among its trading partners and continued geopolitical tensions, both of which would slow down the recovery of Viet Nam's export-led growth; and lower pace of normalization of interest rates in the U.S. and other advanced economies, which would continue to put pressure on the exchange rate.
Source: baochinhphu.vn