(VOVWORLD) - Vietnam’s economy is projected to maintain sustainable growth in the coming years, Mariam J. Sherman, WB Country Director for Vietnam, Cambodia, and Laos said at the launch of the WB’s Vietnam Economic Update Report in Hanoi on Wednesday.
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The WB releases its Vietnam Economic Update Report (Photo: VOV5/Le Phuong)
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The World Bank forecasts that Vietnam’s GDP growth would reach 6.8% this year before stabilizing at 6.5% in 2026. Several uncertainties could impact Vietnam’s growth, including slower-than-expected global economic growth, particularly in powers such as the US, the EU, and China. Global trade shifting policies and trade fragmentation may challenge Vietnam’s exports of processed and manufactured goods.
The WB expects Vietnam’s domestic economic and service activities to strengthen in 2025 and 2026, supported by a gradual recovery in the real estate market. Public investment will continue to be a key driver of demand and economic growth. Foreign direct investment is forecast to remain at around 25 billion USD, illustrating Vietnam’s attractiveness.
“To sustain and enhance economic prospects, Vietnam can continue to position itself as an attractive destination for business. Further supporting domestic activities and services will be increasingly crucial to drive growth, given risks from the external environment. Facilitating the recovery of the real estate sector and expanding quality public investments can play a pivotal role in that regard. By fostering a conducive environment for business and encouraging private consumption, Vietnam can build resilience and ensure a sustainable economic future,” said Sherman.
The report has a special annex on “Transition to electric vehicles”, emphasizing that transitioning to electric vehicles is an important step in creating a greener transport sector, while reducing air pollution in cities.