Although the world economy faced many difficulties and challenges, in 2023, Vietnam responded flexibly and effectively resolved the "headwinds" to continue the positive recovery trend, stabilize the macro economy, control inflation, promote growth... It is no coincidence that the Vietnamese economy is considered a bright spot in the gray picture of the world economy.
Container warehouse at Gemalink port, Ba Ria - Vung Tau province. Photo: Hong Dat/VNA
At the recent Policy Dialogue Session “Vietnam: Shaping a Global Vision” within the framework of the 54th Annual Meeting of the World Economic Forum (WEF Davos 2024), Professor Klaus Schwab - Founder and Chairman of WEF, stated that Vietnam is not only a star in the East Asia region, but is also in the process of rising to become a country with economic influence at the world level. Professor Schwab highly appreciated and believed in the increasing role of Vietnam; believing that Vietnam has truly become one of the pioneering countries in developing a green and smart economy. Famous international commentator Thomas Friedman at the New York Times Magazine, author of the book The World is Flat, said that Vietnam is a typical example of reform and development, internationally recognized as a model of rapid and sustainable economic development. In a report released earlier this year, the Asian Development Bank (ADB) highlighted how Vietnam has overcome challenges in 2023, especially in stabilizing monetary policy and controlling inflation. ADB Country Director for Vietnam Shantanu Chakraborty emphasized that the Vietnamese Government has many effective measures on monetary policy to ensure economic recovery in 2023, such as proactively reducing interest rates and easing monetary policy to increase the resilience of the economy. The International Monetary Fund (IMF) said that despite slowing growth in the context of many difficulties in the global economy, Vietnam is performing better than most countries in the world, considered an attractive destination for foreign direct investment (FDI) in the manufacturing sector. This is reflected in a series of indicators: total registered FDI capital in Vietnam last year reached nearly 36.61 billion USD, up 32.1% compared to 2022; The realized capital of foreign investment projects is estimated at about 23.18 billion USD, up 3.5%. This is a record disbursement level to date. Singapore's DBS Bank assessed that despite many challenges, Vietnam is still an attractive destination for FDI thanks to the trend of production shift, many free trade agreements (FTAs), bright medium-term growth prospects at 6-7% and a developing electronic ecosystem. Importantly, the new FDI inflows into the manufacturing sector increased sharply, reflecting the undiminished confidence of foreign investors in Vietnam's long-term potential. According to Mr. Marco Förster, Head of ASEAN Consulting at consulting firm Dezan Shira & Associates, in the face of current difficulties, Vietnam is expected to achieve rapid economic growth in the medium term thanks to its emerging position as a leading manufacturing hub in Southeast Asia, a highly educated population and increasing investment capital. One of the factors that determine investors' choice of Vietnam is political and social stability. S&P Global Ratings also assessed that the young, increasingly educated and highly competitive workforce is the main attraction for foreign investors, and forecasted that Vietnam's economy will recover quickly when global demand increases and Vietnam gradually solves domestic challenges. Despite the complicated and volatile world situation and internal difficulties, Vietnam's GDP in 2023 increased by 5.05%. Most experts assessed this as an appropriate growth rate in the general context of the global economy, and expressed optimism about the recovery of Vietnam's economy in the coming time. According to Bloomberg news agency, the logistics sector and the export of goods and services are the main drivers for Vietnam's impressive economic performance in recent times. With an efficient integrated network of air, sea and road transport services, Vietnam’s logistics industry has facilitated the exchange of goods across borders. This has attracted a large amount of foreign investment, contributing to the country’s economic growth. Vietnam’s economy is also driven by rising labor productivity and technological advancement. Vietnam has focused on developing a skilled workforce to meet the needs of its growing economy. Promoting digitalization and digital transformation in the economy has also contributed to maintaining and even accelerating growth. International experts say that although forecasts for Vietnam’s economic growth are positive, the road ahead is not easy. The global economic landscape is volatile and could impact emerging economies like Vietnam. Therefore, Vietnam needs to ensure the implementation of prudent economic policies to maintain growth and minimize risks. In addition, to ensure continued economic growth, Vietnam needs to focus on improving infrastructure and digital infrastructure, promoting the investment and trade environment, and focusing on sustainable development. Mr. Andrea Coppola, chief economist of the World Bank (WB), noted: "Vietnam should take advantage of its internal strength, promote infrastructure projects, and transformative public investment to support growth in the short and long term." Vietnam should also develop the private sector and improve productivity. Similarly, HSBC Bank recommends that Vietnam needs to improve indicators on infrastructure, labor, and improve the business environment to increase its attractiveness to investors. The Financial Times (UK) commented that in the next decade, Vietnam must improve its production capacity to meet increasing demand when manufacturers plan to invest in Vietnam. The population is young, the labor force is abundant, but the competition for skilled workers is increasing, requiring vocational training and universities to make a big turn. Over time, Vietnam needs to reinvest what it gains from economic growth to support the development of high-tech and high-productivity industries to meet the goal of becoming a “high-income developed country” by 2045. With a population of about 100 million, Vietnam must maintain a high position in the global industrial chain in many industrial sectors, especially emerging industries. Speaking to VNA reporters on the occasion of the Lunar New Year, French Ambassador to Vietnam Olivier Brochet said that Vietnam's economy has developed impressively and the Vietnamese people are increasingly prosperous, with increasingly growing needs. Vietnam is constantly developing with the desire to modernize its economy and further strengthen its advantages in the international arena. It can be said that this aspiration has been and is creating motivation for Vietnam to continue to overcome challenges, continue to develop strongly, and soon become one of the "mighty economic dragons", as wished by Saudi Arabian Ambassador to Vietnam Mohammed Ismaeil A. Dahlwy in an interview with VNA reporters.
Comment (0)