In the context of a slowing global economy, Vietnam’s economy performed very well in 2019. 

According to General Statistics Office’s announcement on December 27, GDP expanded by 7.2 per cent. Trade turnover is estimated to hit a record $517 billion, with a trade surplus posted for the fourth year in succession.

The country has also remained an attractive destination for foreign investors, with FDI inflows averaging $3 billion per month. Private consumption, meanwhile, has emerged as an important contributor to GDP growth as the result of an expanding middle class and rising wages. 

Private enterprises also increased their investment, by 17 per cent. Vietnam will see 136,000 newly-established enterprises for the year as a whole, bringing the total number of operating businesses to about 760,000. The World Economic Forum’s Global Competitiveness Index (GCI) 4.0 in 2019 ranked Vietnam 67th out of 141 economies, with a score of 61.5 out of 100, up 3.5 points from 2018. 

Though there remain many challenges, the government understands that to maintain high and sustainable growth is a must and is determined to further economic and trade integration through liberalization at the multilateral, regional, and bilateral levels and actively pursuing new-generation free trade agreement (FTAs).

Vietnam assumes the Chairmanship of ASEAN in 2020 at a time of special significance, as 2020 also marks the 25th anniversary of its admission into the bloc. Vietnam is also a non-permanent member of the UN Security Council in 2020-2021. Such posts enhance its position and profile in the region and the world.

The National Assembly last month issued Resolution No. 85 on the socioeconomic development plan for 2020. The associated resolution aims to stabilize the macroeconomy, control inflation, raise productivity, and improve quality, efficiency, and self-reliance in the national economy. It also targets speeding up economic restructuring in combination with transforming the country’s growth model, accelerating key projects, and upholding the roles of economic regions and urban areas.

The growth forecast for Vietnam in 2020 is both strong and positive, and the new year looks to be one of continued prosperity.

Happy New Year to all of our readers and contributors!