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Vietnam’s economic growth is predicted to expand by about 6.5% this year based on numerous potentials, significant foreign direct investment, and ongoing efforts to improve the business environment and infrastructure.
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<h2 style="text-align:justify">Vietnam’s economic growth is predicted to expand by about 6.5% this year based on numerous potentials, significant foreign direct investment, and ongoing efforts to improve the business environment and infrastructure.</h2> <p style="text-align:justify"><img alt="vietnam to have opportunities from digitalisation, green transformation imf picture 1" src="https://media.vov.vn/sites/default/files/styles/large/public/2024-04/344863_305912_exprot.jpg" title="vietnam to have opportunities from digitalisation, green transformation imf picture 1" /></p> <p style="text-align:justify">The International Monetary Fund (IMF) has forecast that Vietnam will have many opportunities from digitalisation and green transformation.</p> <p style="text-align:justify">Addressing a press conference on the Regional Economic Outlook for Asia and Pacific in Washington DC on April 18, IMF Asia and Pacific Department Director Krishna Srinivasan said Vietnam’s economic growth was likely to expand by about 6.5% based on numerous potentials, significant foreign direct investment, and ongoing efforts to improve the business environment and infrastructure.</p> <p style="text-align:justify">According to the expert, growth surprised on the upside in the second half of last year, as robust domestic demand fueled activities, especially in emerging Asian economies. Malaysia, the Philippines, Vietnam, and, most notably, India recorded sizeable positive growth surprises.</p> <p style="text-align:justify">He stated that growth for the region reached 5% last year - much stronger than the growth of 3.9% in 2022 - and is 0.4% higher than what IMF had projected in the Regional Economic Outlook in October last year.</p> <p style="text-align:justify">The fund projects the region to grow by 4.5% this year - an upward revision of 0.3% relative to October, saying that with this, Asia will contribute about 60% of global growth.</p> <p style="text-align:justify">Srinivasan said that promoting growth would depend on each country individually. In China and India, IMF expects investment to contribute disproportionately to growth. Meanwhile, in emerging Asia outside China and India, robust private consumption will remain the main growth engine.</p> <p style="text-align:justify">He also mentioned the monetary policy challenge, recommending that governments should focus on consolidation to curb the rise in public debt and rebuild fiscal buffers.</p>
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