At the event, Nguyen Ba Hung, ADB Chief Economist in Vietnam, said slowing global demand and high international interest rates have impacted Vietnam's growth in 2023. However, the rapid shift to pro-growth monetary policy and large-scale public investment is one of the key measures taken to sustain growth recovery.

A relatively broad-based restoration in export-led manufacturing and services and the stable performance of the agriculture sector are expected to support Vietnam’s recovery momentum.

Positive inflows of foreign direct investment (FDI) and remittances, a sustained trade surplus, recoveries in domestic consumption, and continued fiscal stimulus characterised by a substantial public investment programme are seen as key to boosting growth in 2024.

ADB Country Director for Viet Nam Shantanu Chakraborty said that Vietnam’s is expected to grow at a solid pace this year and the next, despite a challenging global environment.

However, global geopolitical uncertainties and domestic structural fragilities could impact the outlook. Therefore, policy measures in 2024 will need to combine short-term growth support measures to strengthen domestic demand with long-term structural remedies to promote sustainable growth.

Softened global demand caused by a slow economic recovery and delayed normalisation of interest rates in the US and other advanced economies, coupled with continued geopolitical tensions, are likely to hamper a full recovery of Vietnam’s export-led growth in 2024.

To accelerate growth, stronger measures are required to address domestic structural fragilities, such as heavy reliance on FDI-led manufacturing exports, weak linkages between manufacturing export industries and the rest of the economy, incipient capital markets, an overreliance on bank credit, and complex regulatory barriers to business.

Public investment remains a catalyst for Vietnam’s economic growth, so its effective implementation is crucial. Although the Government has applied various measures to expedite public investment and enhance effective execution, more systematic measures are required to improve legal and regulatory processes and reduce constraints on efficient delivery.

Bac Giang further supports businesses in recruiting workers

BAC GIANG - To promptly support businesses in recruiting labor from outside the province, the Bac Giang Provincial People's Committee issued Plan No. 44/KH-UBND dated February 29, 2024 on promoting the labor attraction to work at businesses in Bac Giang province. 

Bac Giang attracts investment to develop logistics services

BAC GIANG - The logistics industry plays an important role in business activities of most types of goods and services. Tapping local advantages, Bac Giang has paid attention to improving infrastructure, raising business capacity and service quality, and developing logistics services.

Bac Giang and Hau Giang share experiences in administrative reform and competitiveness index improvement

BAC GIANG - On the afternoon of April 4, Le Anh Duong, Deputy Secretary of the Bac Giang Provincial Party Committee, Chairman of the Provincial People's Committee (PPC) worked with a delegation of Hau Giang province led by Dong Van Thanh, Deputy Secretary of Hau Giang Provincial Party Committee, Chairman of the Provincial People's Committee. 

Bac Giang promotes lychee consumption in domestic market

BAC GIANG - On April 3, Tran Quang Tan, Director of Bac Giang Department of Industry and Trade received and worked with representatives of MM Mega Market Vietnam Group on a plan to promote lychee consumption in the domestic market.

Bac Giang makes joint efforts in removing obstacles to soon complete social housing projects

BAC GIANG- The Department of Construction of Bac Giang province held a meeting on April 3 to review implementation progress of the social housing projects.

Bac Giang enterprises at IP employ more than 15,000 labourers in Q1

BAC GIANG - In the first quarter of this year, the enterprises, especially foreign direct investment (FDI) one at the industrial parks (IP) in Bac Giang province maintained good growth, reported the Provincial Industrial Park Management Board.

Source: VNA