Vietnam GDP grows 7.72% in Q2, record high in 12 years

Steel production at a factory of Hoa Phat Group, Vietnam’s biggest steel maker. Photo courtesy of the company.

Vietnam’s economic expansion is 7.72% in the second quarter of the year, a record high in 12 years, and the figure for the first six months is 6.42%.

Nguyen Thi Huong, chief of the General Statistics Office (GSO), said signs of robust recovery have been seen in almost all business fields and sectors.

“Growth higher than pre-pandemic levels were recorded in sectors like processing, manufacturing, goods retail, consumer services, and exports,” Huong told a press meeting Wednesday.

GDP in the first half of the year (6.42%) is higher than the 5.47% of the same period last year. The figure for 2020, 2019 and 2018 is 2.04%, 6.98% and 7.28%, respectively.

Agriculture, forestry and aquaculture expanded 2.78% in the period, accounting for 5.07% of the economic expansion.

Processing/manufaturing and services continued to be the major driving forces of the economic growth, growing 9.66% and 6.6%, respectively.

Industry and construction made up 48.33% of the GDP growth, while the tally for the service sector is 46.6%.

CPI in the six months rose 2.44% on average against the same period last year.

Export and import hit $185.94 billion and $185.23 billion, up 17.3% and 15.5%, respectively.

The World Bank on June 7 raised Vietnam’s GDP prediction this year to 5.8% from 5.3% in its April forecast. The revision is derived from a revival of activity supported by the removal of Covid-related restrictions in the country. “Vietnam’s economic expansion is expected to strengthen further to 6.5% in 2023 and 2024.”

Credit rating agency S&P Global Ratings in late May revised up the country’s long-term sovereign credit rating to BB+, a “stable” outlook. Vietnam is one of only two economies in the Asia-Pacific region to have been upgraded since the beginning of the year, the other being Taiwan.

https://theinvestor.vn/vietnam-gdp-grows-772-in-q2-record-high-in-12-years-d917.html?fbclid=IwAR1u8sg1fK2Lf6YSNPbdGThxvk3iNViJlN7382q4hcBCcctOEr8Yy8_cshI