UOB revises Vietnamese economic growth downward to 5.9% this year

VOV| 26/09/2024 09:23

Singapore-based United Overseas Bank (UOB) has downgraded Vietnam’s economic growth rate to 5.9% this year due to the impact of recent typhoon Yagi, according to the bank’s latest report on the economic situation in the third quarter of the year.

According to the report, UOB forecast that the economic growth will slow to 5.7% in the third quarter, down from 6.0%, and to 5.2%, down from 5.4%, in the fourth quarter.

As a result, the growth projection for the entire year will be lowered to 5.9%, down by about 0.1% from the previous forecast of 6%. This is still mark a positive recovery compared to the growth rate of 5% recorded in 2023.

Moving into 2025, the UOB expects the Vietnamese economy to grow at 6.6% to compensate for the previous decline.

According to the UOB, before the typhoon Yagi, the Vietnamese economy during eight-month period witnessed strong growth momentum.

The country’s Purchasing Managers' Index (PMI) has outperformed its neighbouring countries in the ASEAN region since June, posting 52.40 points in August.

Exports recorded double-digit growth throughout the reviewed period with the country racking up a trade surplus of US$18.5 billion.

Retail sales maintained an average monthly growth rate of 8.8% year on year, despite a high base in 2023.

Furthermore, foreign direct investment (FDI) inflows continue to surge, which in turn reflects the optimism held by foreign investors, reaching US$20.5 billion in eight months, 7% higher than the figure recorded in the same period last year.

Despite the impact of the storm, Vietnamese growth momentum is forecast to remain strong this year and ahead into 2025, driven by both manufacturing and trade activities, according to experts.

Theo vov.vn
https://vov.vn/en/economy/uob-revises-vietnamese-economic-growth-downward-to-59-this-year-post1124062.vov
Copy Link
https://vov.vn/en/economy/uob-revises-vietnamese-economic-growth-downward-to-59-this-year-post1124062.vov
    Highlighted VietBao
    Don't miss
    UOB revises Vietnamese economic growth downward to 5.9% this year
    POWERED BY ONECMS - A PRODUCT OF NEKO