VINACHEM

Vietnam’s gross domestic product (GDP) is expected to grow by 6.14 percent in the third quarter (Q3) of 2016, higher than the level of 5.52 percent in the first six months of this year, according to the Central Institute for Economic Management (CIEM).

Export turnover is likely to expand by 6.8 percent while the consumer price index (CPI) is forecast to increase 1.31 percent with a trade deficit estimated at 0.4 billion USD in Q3, the CIEM said in its Q2 macroeconomics report.

According to the report, GDP growth in Q2 reached 5.55 percent, higher than that of Q1 (5.48 percent). Growth was seen in industry and construction (7.61 percent), agro-forestry-fisheries (0.06 percent), and services (6.6 percent).

Exports increased 4.9 percent to 43.4 billion USD in the second quarter, whilst the CPI rose 1.35 percent.

The whole year’s inflation could be kept at five percent, as per the National Assembly’s target, CIEM Director Nguyen Dinh Cung told Cong Thuong (Industry & Trade) Newspaper.

The institute estimated that economic growth in Q3 will be more positive than that of the previous quarter. However, the global economy’s impacts on the domestic market are unpredictable, especially Britain’s exit from the European Union, which will significantly impact the EU – one of Vietnam’s biggest trade partners.