GDP forecast to grow 6.9-7.1% in 2019
Wednesday, 19/12/2018 09:28 (GMT+7)
Vietnam’s Gross Domestic Product (GDP) is predicted to grow about 6.9-7.1% in 2019, according to the latest forecast of the Ministry of Planning and Investment’s National Center for Socio-economic Information and Forecast (NCIF).
Photo for illustration
Dr Dang Duc Anh, NCIF head, said the macroeconomic stability, FDI attraction, speeding up economic restructuring and implementation of free trade agreements are expected to support economic growth. These are also factors for NCIF to believe that growth in the next period will reach more than 6.9%.
However, NCIF researchers noted that in the 2019-2020 period, Vietnam will face many risks as economic growth increasingly depends on the FDI sector. FDI in Vietnam is focusing on a number of key commodities, thus, as trade lawsuits or conflicts happen, economic growth will be greatly affected.
In addition, if latent risks on national debt and macroeconomic instability persist, credit growth and money supply will stand at a high level. Vietnam’s financial openness is now higher than its economic development level.
High public debt and payment obligation are forecast to affect macroeconomic management and the possibility of reducing interest rate. The roadmap for marketization and adjustment of public services prices on electricity, environmental protection taxes and healthcare should be carefully considered to minimize the impact on macroeconomic stability in the next period./.
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