IMF forecasts Vietnam’s economy to grow close to 6% in 2024
(VOVWORLD) - Vietnam’s economic growth is projected to recover to close to 6% this year, supported by continued strong external demand, resilient foreign direct investment, and accommodative policies, the International Monetary Fund (IMF) said on Wednesday.
 Bicycle production at Thong Nhat Hanoi Joint Stock Company. (Photo: VNA) |
Exports, a key driver for Vietnam’s economy, could weaken if global growth disappoints, global geopolitical tensions persist, or trade disputes intensify.
Domestically, persistent weakness in the real estate sector and corporate bond market could weigh more than expected on banks’ ability to expand credit.
Given easy monetary conditions, if exchange rate pressures were to persist for longer it could lead to a larger pass-through to domestic inflation. Increasing productivity, further investing in human and physical capital, and incentivizing private investment in renewable energy is key for Vietnam, the IFM said.