HSBC upgrades Vietnam’s GDP forecast to 6.9% in 2022

Kim Loan Thursday | 07/07/2022 13:35

Photo: VNA / Trần Việt

HSBC has revised Vietnam’s GDP growth forecast from 6.6 percent to 6.9 percent in 2012 following large-scale economic recovery and 7.72 percent GDP growth rate in Q2.

In Vietnam At A Glance report in July, the bank downgrades Vietnam's growth forecast in 2026 from 6.7 percent to 6.3 percent due to growing risks, especially in the energy sector.

The lender assessed that Vietnam set an example of economic recovery in the region after the Southeast Asian nation has eased restrictions and reopened the market over the past two quarters.

Tourism-related areas including transportation and accommodation have been revived. Retail sales grew rapidly by 17 percent against the same period last year.

The unemployment rate dropped to 2.3 percent in Q2 and the number of job generation nearly approached the level in pre-pandemic time.

HSBC forecast that Vietnam's inflation is forecast to stand at about 3.5% this year, but it may surpass the ceiling of 4% between Q4 of 2022 and Q2 of 2023, requiring the State Bank of Vietnam to begin normalizing the monetary policy.

Viet Nam has benefited from the economy reopening, and domestic demand has returned while external drivers remain favorable.

However, it is necessary to stay alert to increasing growth risks, especially the ones posed by surging energy prices.

Same category news

Hot news of the day

Latest news