Vietnam's GDP surges 5.05% in 2023

29 Dec '23

2 min read

Pic: Adobe Stock

Insights

Vietnam's GDP grew by 5.05 per cent in 2023, with a notable 6.72 per cent increase in Q4.
Industrial sector growth was 3.74 per cent, while final consumption and asset accumulation significantly contributed to the economy.
External trade improved, with a marked increase in exports and imports, and the trade surplus adding to overall growth.

Vietnam saw a 5.05 per cent increase in the gross domestic product (GDP) in 2023, according to the estimates of General Statistics Office (GSO). This growth trajectory is marked by a significant year-on-year expansion of 6.72 per cent in the fourth quarter, outpacing the growth rates recorded in the first three quarters of the year which stood at 3.41 per cent, 4.25 per cent, and 5.47 per cent, respectively.

The country’s consumer price index increased 3.25 per cent, which is well below the National Assembly target of under 4 per cent.

The industrial sector, a key component of the Vietnamese economy, experienced a growth of 3.74 per cent throughout the year. Manufacturing and processing saw a 13-year low growth rate of 3.62 per cent, as per Vietnamese media reports.

The fourth quarter witnessed a considerable rise in final consumption expenditure, which went up by 4.86 per cent compared to the same period in the previous year, contributing significantly to the economy with a 53.18 per cent share in the overall growth rate. Additionally, asset accumulation saw an increase of 6.21 per cent, playing a vital role with a 44.18 per cent contribution to the economic expansion.

Vietnam's external trade also showed positive dynamics, with exports and imports of goods and services growing by 8.68 per cent and 8.76 per cent, respectively. Notably, the trade surplus was a key factor, adding 2.64 per cent to the overall economic growth.

In terms of GDP scale at current prices, Vietnam's economy is estimated to have reached a staggering 10.2 quadrillion VND (approximately $430 billion) in 2023. The GDP per capita also saw an increase, estimated at 101.9 million VND (around $4,284), which is an improvement of $160 from the previous year.

Another highlight of the year was the increase in labour productivity. At current prices, it is estimated at 199.3 million VND (about $8,380) per worker, marking an increase of $274 compared to 2022. This rise in productivity is attributed to the enhanced qualifications and skills of the Vietnamese workforce, which saw a 3.65 per cent increase in productivity based on comparative prices.

Fibre2Fashion News Desk (DP)

More Textiles News - Vietnam...