Vietnam’s 2020 economic growth slips to 30-year low, but outperforms regional peers

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Vietnam’s 2020 economic growth slips to 30-year low, but outperforms regional peers

Vietnam, the South-east Asian socialist-oriented market economy which had stamped a free trade treaty with EU commission earlier this year, had witnessed its slowest economic growth in more than three decades this year, as the world’s one of the fastest growing emerging economy appeared to be wrestling with a clattering drawdown in global economic activities amid a pandemic outbreak at large, Vietnamese Government data had revealed earlier on Sunday.

In point of fact, according to Govt. data, the world’s 23rd-largest economy by PPP (Purchasing Power Parity) and the 36th-largest by nominal GDP (Gross Domestic Product) having had an economic growth of over 7 per cent during 2018 and 2019, grew by only 2.91 per cent this year.

Nonetheless, Vietnamese economy is expected to grow by 6.8 per cent next year as pandemic vaccination campaigns had kickstarted across the globe, raising hopes of a quicker-than-anticipated rebound in economic activities.

Besides, the General Statistics Office (GSO) of Vietnam was also quoted saying in the statement that the country had clocked a trade surplus of $19.06 in the current fiscal year, while average consumer prices had stepped up 3.23 per cent.

Vietnam reports slowest economic growth in more than 30 years

If truth is to be told, in contrast with a raft of emerging economies across the globe, the Southeast economy had reported a comparatively brighter fiscal fundamentals with its manufacturing industry growing by 3.98 per cent, acting as a key propeller for the economy, while the country’s services sector and agriculture sector rose by 2.34 per cent and 2.68 per cent respectively.

Meanwhile, citing an out-and-out optimism over the country’s latest fiscal data, the GSO said in a statement earlier in the day, “This is the lowest GDP growth level in decades.

However, amid the negative impacts of the COVID-19 pandemic, it is considered a success for Vietnam, with the growth rate among the world’s highest. We’ve successfully battled against the virus but at the same time kept our economy open. The pandemic is more or less under control in Vietnam.