The World Bank recently released a forecast that Vietnam’s economy “will grow by 5.3% in 2022.”
The financial institution’s April 2022 “East Asia and Pacific Economic Update” states that the forecast “is based on the COVID-19 living policy, solid results of the export-oriented manufacturing and processing industries, and a recovery in domestic demand.”
The World Bank further assesses that “Vietnam’s GDP growth is forecast to reach 5.3% in 2022 and then stabilize around 6.5% under the scenario where travel restrictions are eased both at home and abroad.”
“The service sector is expected to gradually recover as consumer confidence is restored and international tourism is expected to gradually recover from mid-2022,” the World Bank said in its report publicized on April 4.
The financial institution said that the outlook “also faces growing negative risks” such as “slowing growth in major trading partners along with a trade rate shock due to the invasion of Russia in Ukraine and related sanctions could affect the recovery process.”
These factors “could be exacerbated by the emergence of a new strain of COVID-19,” the World Bank said.
Vietnam’s economy grew 2.6% in 2021, much lower than the 7.0% average growth trend before the pandemic, according to the World Bank.
As VOA Vietnamese reported, Vietnamese Prime Minister Pham Minh Chinh last month asked the Ministry of Industry and Trade to “study” the World Bank’s previous recommendation on Vietnam’s economic situation, especially related to COVID-19.
During a meeting with Ms. Manuela V. Ferro, World Bank Vice President for East Asia and the Pacific when she visited Vietnam last month, according to the Vietnam Government Portal (VGP), Mr. Chinh said that “2021 is the most difficult year since Doi Moi/renovation” and “Vietnam has persisted in safe and flexible adaptation, effective disease control, and is promoting rapid recovery and sustainable economic development. Social, major industries and fields are continuing to have a very positive recovery trend, being in the top 20 countries leading the world in attracting foreign direct investment (FDI).”
According to VGP, Mr. Chinh also “welcomes the World Bank for taking initiatives and supporting countries in the fight against COVID-19, especially the World Bank has shared with Vietnam during difficult times, non-refundable aid of $ 6.2 million to Vietnam in 2020.”
Translated by thoibao.de from VOA: https://www.voatiengviet.com/a/6517559.html
