Fitch Ratings: Vietnam’s economy outperforms among Asia’s frontier markets
(VOVWORLD) - Vietnam is positioned to stand out among Asia’s frontier and emerging markets this year in terms of its economic resilience and success in bringing the coronavirus outbreak under control, according to the American credit rating agency Fitch Ratings.
The agency said Vietnam is one of only four economies in the Asia-Pacific region expected to see positive economic growth in 2020. Vietnam’s GDP is expected to grow 0.4% in the second quarter, despite the impact of the COVID-19 pandemic on tourism and exports.
Vietnam will benefit from low production costs and the EU-Vietnam Free Trade Agreement (EVFTA) which will take effect in August, said Fitch. The agency predicts that Vietnam’s expansion will accelerate next year, as external demand begins to recover.