Vietnam
VIỆT NAM H2 GROWTH MAY TOP 8% ON PUBLIC SPENDING
Việt Nam’s economy is projected to grow over 8% in the second half of 2025, supported by strong public investment, resilient foreign direct investment (FDI), and a potential recovery in private sector activity, according to a new report from the HCM City University of Banking (HUB). Led by Associate Professor Dr. Lê Hoàng Anh, the report highlights the country's robust second-quarter GDP growth of 7.96%, predicting further acceleration in the third and fourth quarters. Public investment is expected to be the primary growth engine, with approximately 65% of the annual capital budget yet to be disbursed, likely stimulating key sectors like manufacturing and services. FDI remains strong, buoyed by Việt Nam’s strategic geopolitical position, ongoing economic reforms, and broad free trade agreement network. Private sector spending is forecast to pick up, driven by tax and credit incentives, improved investor confidence, and increased capital inflows into high-tech, digital, and green energy sectors. Inflation remains manageable, and credit growth is estimated to reach 16% by year-end. However, risks persist, including global trade instability, geopolitical tensions, and weak domestic consumption. To sustain growth, the report recommends accelerating administrative reforms, enhancing access to finance and technology, supporting private enterprises, and ensuring exchange rate stability amid recent currency depreciation. (ICE HO CHI MINH CITY)
Fonte notizia: Vietnam News
