Home / Knowledge / News / Textiles / World Bank's thumbs up to Vietnam's economic recovery
World Bank's thumbs up to Vietnam's economic recovery
03
Dec '15
Vietnam’s economy has weathered the recent turbulence in the external environment fairly well with GDP growth expected to grow at 6.5 per cent this year, according to the World Bank’s Taking Stock report. The performance is underpinned by further recovery in domestic demand, in turn reflecting robust private consumption and investment growth.

“Stronger domestic demand, robust export performance, low inflation and improved confidence have enabled Vietnam to create firmer foundations for mid-term growth,” said Victoria Kwakwa, the World Bank Country Director for Vietnam. “This is a good time to solidify macroeconomic stability and rebuild policy buffers including through decisive efforts to rein in fiscal imbalances and tackle remaining vulnerabilities in the banking sector.”

According to the report, better macroeconomic conditions helped maintain stability in the banking system. On the external front, Vietnam’s export performance remains strong, with total export turnover increasing by 9.2 per cent compared to the same period last year, mostly because of strong performance of manufacturing exports, especially high technology products such as cell phones, electronics, and computers.

The report said the medium-term outlook for Vietnam remains positive, with growth projected to strengthen and inflation expected to remain low. However slow structural reform progress poses risks to medium-term growth prospects, while delays in implementing fiscal consolidation could undermine debt sustainability.

Against the backdrop of these uncertainties, the report suggested that sound macroeconomic management remains crucial to rebuild policy buffers and safeguard against future shocks. Fiscal consolidation, structural reforms, and a further build-up of reserves could help reduce vulnerabilities.

The report also features a special section on the Trans Pacific Partnership Agreement, in which it said that the TPP is expected to generate considerable benefits for Vietnam.

“The recently concluded TPP will not only improving market access, but will also serve as a critical anchor for the next phase of structural reforms in Vietnam,” said Sandeep Mahajan, Lead Economist for the World Bank Vietnam.

Among the current TPP signatories, Vietnam as the economy with the lowest per capita GDP, has unique comparative advantages, particularly in labour-intensive manufacturing. On the economic impacts, simulations suggest that the TPP could add as much as 8 per cent to Vietnam’s GDP, 17 per cent to its real exports, and 12 per cent to its capital stock over the next 20 years. Despite various implementation challenges, the impact of the TPP on Vietnam is expected to be positive. (SH)

Fibre2Fashion News Desk - India


Must ReadView All

Textiles | On 25th Sep 2017

SVP Group to build $300 mn spinning plant in Sohar

ShriVallabh Pittie Industries (SVP) Group, a diversified yarn...

Apparel/Garments | On 25th Sep 2017

Vietnam textile sector to gain if EU FTA gets ratified

Experts feel the Vietnam-European Union (EU) free trade agreement...

Courtesy: Business Wire

Textiles | On 25th Sep 2017

Invista to use ADN technology at joint project in France

Invista, a leading producer of chemical intermediates, polymers, and...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Stefan Warnaar
Peak to Plateau

People are willing to pay for quality and performance

Shiladitya K Joshi
Truetzschler India Private Limited

India ITME provides a platform to interact with our stakeholders

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Anisha Chaudhari
Threads & Shirts

Threads & Shirts is a freshly-tailored concept providing men/women a...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

September 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
74.5%
No
12.8%
Skip
12.8%

Total Votes: 47

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.7%
No
25.5%
Skip
12.8%

Total Votes: 47

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.2%
No
6.4%
Skip
6.4%

Total Votes: 47

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
70.2%
No
10.6%
Skip
19.1%

Total Votes: 47


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search