Fall in global demand hurts budgets and exports
It would be challenging for Vietnam to increase exports this year and will also have an impact on state budget receipts as a result of a persistent slowdown in global demand.
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A recent article posted on portfolio-adviser.com has pointed out the frequent hope that Vietnam will be upgraded from its frontier-market status to the emerging market status.
2023 is seen by the banking industry as a challenging year as they have to continue to share resources and help cushion pressure on businesses amid slowing global economic growth.
The move, effective from Monday (June.19), is the State Bank of Vietnam's fourth round of rate cuts since early 2023 to take an expansionary stance to support economic growth.
It would be challenging for Vietnam to increase exports this year and will also have an impact on state budget receipts as a result of a persistent slowdown in global demand.
Vietnam is drawing attention as an investment destination for global semiconductor companies while electronics makers continue to set up shop in the Southeast Asia country.
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