Vietnam’s economy wins against Covid-19
Vietnam has so far emerged as the sole country in Southeast Asia to post GDP growth this year, with expectations of a growth of 2.4 per cent, according to latest figures from the International Monetary Fund (IMF).
The IMF attributed this to “decisive steps” that the Vietnam government undertook to contain the fallout from the COVID-19 pandemic.
Looking ahead, the IMF is predicting a strong economic recovery for Vietnam in 2021, with growth projected to strengthen to 6.5 per cent as the economic environment returns to normal.
Although Vietnam lacks the health infrastructure of many wealthier countries, it has been widely praised for its public health measures, which quickly brought infections under control. The country was also quick to develop testing kits and implement contact tracing.
Avoiding the worst from the pandemic
While the country’s economy naturally took a hit, it has avoided the worst economic effects of the pandemic, the IMF economists say.
Overall, Vietnam has benefited from increased demand for electronics such as home computers and smartphones amid the pandemic, as much of those products are manufactured in the country. For example, Vietnam’s exports to the US have increased by 23 per cent in the first three quarters compared to the same period in 2019, with electronics exports up 26 per cent.
The ongoing US-China trade war has also made China a less attractive place to manufacture, and a lot of multinationals have moved their operations to Vietnam, including Apple and Samsung, with others to follow, the report said.
Vietnam has so far emerged as the sole country in Southeast Asia to post GDP growth this year, with expectations of a growth of 2.4 per cent, according to latest figures from the International Monetary Fund (IMF). The IMF attributed this to “decisive steps” that the Vietnam government undertook to contain the fallout from the COVID-19 pandemic. Looking ahead, the IMF is predicting a strong economic recovery for Vietnam in 2021, with growth projected to strengthen to 6.5 per cent as the economic environment returns to normal. Although Vietnam lacks the health infrastructure of many wealthier countries, it has...
Vietnam has so far emerged as the sole country in Southeast Asia to post GDP growth this year, with expectations of a growth of 2.4 per cent, according to latest figures from the International Monetary Fund (IMF).
The IMF attributed this to “decisive steps” that the Vietnam government undertook to contain the fallout from the COVID-19 pandemic.
Looking ahead, the IMF is predicting a strong economic recovery for Vietnam in 2021, with growth projected to strengthen to 6.5 per cent as the economic environment returns to normal.
Although Vietnam lacks the health infrastructure of many wealthier countries, it has been widely praised for its public health measures, which quickly brought infections under control. The country was also quick to develop testing kits and implement contact tracing.
Avoiding the worst from the pandemic
While the country’s economy naturally took a hit, it has avoided the worst economic effects of the pandemic, the IMF economists say.
Overall, Vietnam has benefited from increased demand for electronics such as home computers and smartphones amid the pandemic, as much of those products are manufactured in the country. For example, Vietnam’s exports to the US have increased by 23 per cent in the first three quarters compared to the same period in 2019, with electronics exports up 26 per cent.
The ongoing US-China trade war has also made China a less attractive place to manufacture, and a lot of multinationals have moved their operations to Vietnam, including Apple and Samsung, with others to follow, the report said.
