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Foreign investment funds have made optimistic projections about Vietnam’s economic recovery in 2022 and the steady growth of foreign investment inflow.
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<p style="text-align:justify">Foreign investment funds have made optimistic projections about Vietnam’s economic recovery in 2022 and the steady growth of foreign investment inflow.</p> <p style="text-align:justify"><img alt="" src="https://dalat-info.gov.vn:444/uploads/202204221007367964f0a0f1ec7a11579d1f6ee1d55189.jpg" /></p> <p style="text-align:justify">Many expect to see Vietnam’s economy expand by 7.5% this year thanks to the strong recovery of domestic consumption, construction and inbound tourism, as well as the government’s 15 billion USD fiscal stimulus package.</p> <p style="text-align:justify">VinaCapital chief economist Michael Kokalari said that he expects household consumption in Vietnam to rebound from minus 6% in 2021 to 5% in 2022, adding that the return of international tourists will also boost domestic consumption.</p> <p style="text-align:justify">Recent surveys in the US and elsewhere show a strong demand for travel to Vietnam, with many organisations anticipating that the partial recovery of international tourism will boost Vietnam’s GDP by at least 3%.</p> <p style="text-align:justify">In addition, one third of the stimulus package will be spent on infrastructure development while the government appears to be increasing investment in 2022.</p> <p style="text-align:justify">As such, the growth of Vietnam’s construction sector, which accounts for 6% of GDP, is expected to rise from 0.6% last year to 10% this year, equivalent to pre-pandemic levels.</p> <p style="text-align:justify">The purchasing managers index soared in January thanks to foreign orders rising to the highest level in four years. Foreign-invested firms are ramping up the import of materials to fulfil orders, so it is possible that growth will be stronger this year.</p> <p style="text-align:justify">Foreign direct investment (FDI) into Vietnam has remained resilient over the past two years of the pandemic. Vietnam’s FDI fell by only 3% while the global reduction was over 40% in 2020.</p> <p style="text-align:justify"><em><strong>https://en.nhandan.vn/</strong></em></p>
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