Vietnam’s economy a bright spot amid regional volatility and inflation risks: Moody’s

Vietnam's economy is the only one in Asia-Pacific (Apac) to have had Moody's Analytics significantly increase its projection for GDP (gross domestic product) growth; the research firm now expects Vietnam's 2022 GDP growth to reach 8.5%, the highest among its peers.

“A very slow reopening of (Vietnam’s) economy earlier in the year has now turned into a rapid improvement in industrial production and export trade, supported by continued inward foreign direct investment,” noted economists in a Monday (Aug 15) report.

“The uncertainty of policy in China is directing investment toward Vietnam and other Southeast Asian countries,” they added

While the economists highlighted a deceleration of exports from all 3 export-related economies – Korea, Taiwan and Vietnam – based on July data, they believe demand could stabilise from the US as its labour market is “quite strong”, in their view.

Source: The Business Times