VINACHEM

2024 is widely considered to be a pivotal year for Vietnamese economic recovery, with insiders believing that there are bright prospects ahead.

Vietnam last year recorded GDP growth rate of 5.05%, which was much lower than the set plan but relatively high in comparison to the rest of the region. 2024 is the penultimate year of the 2021-2025 socio-economic development plan, and if the 6-6.5% growth is not achieved this year, the goal of the 5-year plan becomes an impossible task.

To create growth momentum, the country is required to consolidate and renew existing growth drivers, and at the same time bring into full play new growth drivers.

Economist Can Van Luc offered several solutions aimed at strengthening existing growth drivers, emphasising the need to promote public investment disbursement, stimulate private investment and domestic consumption, and support businesses that are negatively impacted by the decline in exports and investment.

Special attention should be paid to reviving the growth of the country’s major economic hubs such Hanoi, Ho Chi Minh City, and Da Nang, he suggested.

He also underlined the necessity of accelerating the process of fining-tune institutions for the development of the digital economy, green economy, circular economy, and innovation, along with regaining the trust of the wider business community through improvements in the business climate.

Luc also underscored the importance of building a legal framework for new economic models, increasing labor productivity, and promoting green growth in the time ahead.

Minh Dang, director of Dragon Capital's Research Division, also expressed her optimism regarding the country's socio-economic development prospects this year, saying that Vietnam will see more opportunities than challenges.

She noted that 2023 was a challenging year for the manufacturing industry as the world has undergone a cycle of reducing inventory.

However, the inventory index of manufacturers in Europe and America and other retailes globally has reached a sustainable level, opening up a positive outlook ahead for Vietnamese economic recovery over the course of this year, Dang noted.   – VOV –