(VOVworld) – Vietnam’s economy overcame numerous difficulties last year to gain impressive achievements. The results are attributed to experiences gained in the 2 previous years and positive effects of adopted policies. Economists predict Vietnam’s economy will prosper this year.

2014 is expected to see improvement of the economy thanks to the effective policy to support production and business in recent time.

One of the most obvious signs that Vietnam’s economy will grow sustainably is that Vietnamese export items are now available in more than 200 countries and territories. Despite last year’s economic recession, Vietnam’s 20 groups of exported goods earned more than 1 billion USD each. Electronics and computer accessories and garments, textiles, and footwear, hard currency earners that account for nearly half of Vietnam’s total export turnover, achieved satisfactory growth.

Vietnam has a competitive advantage in natural resources and labor resources, according to economist Le Dang Doanh. He comments: “Vietnam’s economic prospects in the next two years could have potentials for growth depending much on reform determination. The government has already started the restructuring of the banking system, promulgated new policies, and tried to handle real estate problems.” 

Although the domestic economy is expected to continue growing in 2014, the growth will be slow.  The foreign direct investment sector will maintain its growth advantage but will not see any sudden surges. The service area is expected to improve but will do little to boost the overall economy.

Nguyen Ba An, General Secretary of the National Council for Sustainable Development and Raising of Competitiveness, underscored the need to stabilize the macro-economy, harmonize financial and monetary policies to help enterprises develop, and create reliability for the market and investors. This will make a contribution to economic growth in 2014. An explains: “Now that we have stable financial and monetary policies with proven market reliability, Vietnam remains an attractive investment target in the region. We need policies to boost equitization and a reorganization of State-owned enterprises to improve their efficiency and create an equal market for the private, State and foreign economic sectors. By doing that, it will be possible to obtain a 6% economic growth in 2014.”

Mai Thị Thu, Director of the Centre for Economic-Social Forecasts and National Information of the Ministry of Planning and Investment, said that Vietnam’s economy will recover in 2014, and though it’s unlikely difficult to reach a high level, signals are positive. She said the restructuring process has begun and Vietnam just needs more time to change its growth model. Thu says: “Enterprises have survived the most difficult period and have restructured their operations. These enterprises are trying to prove their strength by finding their own investment and business opportunities. Increasing trade and foreign investment, boosting the reform of SOEs, and giving support to small and medium-sized enterprises, will create breakthroughs in competitiveness and participating in the chain of added values and global values.”

According to experts, domestic private investment will improve in 2014 thanks to recently adopted policies supporting production and business. Trading and the attraction of foreign investment capital are also likely to increase. All of these, plus a more rapid equitization of SOEs and the efforts of enterprises ought to make Vietnam’s economy fare much better this year.