(VOVWORLD) -The Vietnamese economy will continue to expand vigorously in 2023 with a GDP growth of 7.2% before slowing down to 6.7% in 2024, according to a recent release by Standard Chartered Vietnam.
 Exports is a major driving force of Vietnam's economy. (Photo: Vietnam+) |
In its report "Vietnam - Still enjoying high-growth status", Tim Leelahaphan, economist for Thailand and Vietnam at the bank, said that the bank still has conviction on Vietnam’s high growth potential over the medium term.
Retail sales posted solid growth in the second half of last year, implying improved domestic activity.
Vietnam’s trade balance has tentatively improved but exports may face global headwinds and imports are at risk of reversal.
FDI disbursements have continued to increase, but the outlook hinges on the global economy. Inflation may pose a threat to Vietnam’s continued recovery, Standard Chartered commented in the report.
Vietnam’s inflation is anticipated to rise throughout 2023, potentially reaching 6% in the final months of the year and averaging 5.5% in both 2023 and 2024, from 3.2% in 2022.