The Australia and New Zealand Banking Group (ANZ) has revised up forecasts for Vietnam’s economic growth to 6.8% this year and 6.9% next year from the respective 6.5% and 6.5% previously, after a higher-than-expected rate of 6.5% in the first three quarter of 2015, buoyed by resilient external trade and rising domestic demand.
Vietnam’s gross domestic product expansion could beat 7% in 2017, the bank said in a report released in Hanoi Wednesday.
From now to 2017, Vietnam’s economic growth will be stronger than that of regional countries and could even outstrip China’s by one percentage point, Glenn Maguire, ANZ’s chief economist for Asia-Pacific, said at the press meeting.
Coupled with India and the Philippines, Vietnam’s economy is poised to grow at the most rapid rate in Asian, outpacing Malaysia, Indonesia, Singapore and Thailand, the bank noted.
Car sales in Vietnam reached 124,000 in the first eight months this year, compared to 76,000 in the same period last year, suggesting a strong recovery of consumer confidence.
Inflation in Vietnam is forecast at 1.0% in 2015 and 2.8% in 2016, thanks to the abundant food supply and low oil prices, said ANZ.
Vietnam, which has diversified its exports, is the single nation in Asian that will not be affected by the Chinese economic slowdown, ANZ noted. Vietnam’s exports, which increasingly have added value and technology content, have helped the country consolidate its economic resilience and deal with external shocks.