Vietnam’s economic growth seen at more than 7% this year, government website reports, citing Deputy Premier Vuong Dinh Hue during today’s meeting of the Steering Committee for Price Management on December 25, 2019.
- 2019 CPI seen at 3-year low of 2.73%
- Vietnam Forecasts 2019 Inflation to Be Below Govt Target
- World Bank Forecasts Vietnam’s 2020 GDP Growth at 6.5% (1)
According to a report by NDO, Vietnam’s Deputy Prime Minister Vuong Dinh Hue has stated that the country’s economy is likely to expand by more than 7% in 2019, the second year in the last five that such a rapid increase has been.
Citing calculations by the Ministry of Finance, Vuong Dinh Hue said inflation in 2019 is to be estimated at 2.73%, which is much lower than the growth rate, making the already strong growth figure even more significant.
In 2019 inflation has been primarily driven by higher food and fuel prices, especially in the latter half of the year when pork prices skyrocketed as supplies were reduced sharply due to the result of the deadly African swine fever.
But overall price increases have been restrained thanks to appropriate management which combines various measures in line with market developments and scenarios constructed by the steering committee.
Hue said the inflation rate in 2019 is the lowest it’s been over the past three years, compared with 3.54% in 2018 and 3.53% in 2017, adding that it is even lower than the committee’s projection of 3.3-3.9% made at the start of the year.
Despite lowering the economic growth forecast of Asia, the Asian Development Bank (ADB) recently revised the Vietnamese GDP growth forecast from 6.8 percent to 6.9 percent for 2019 and from 6.7 percent to 6.8 per cent for 2020. Vietnam News reports.