Malaysian media gives positive assessment of Vietnam's economic growth
VOV.VN- Website digitalnewsasia.com of Malaysia cited research results on December 20 compiled by consulting firm Oxford Economics, authorised by the Institute of Chartered Accountants in England and Wales headquartered in the UK, and gave assessment of economic dynamics in Southeast Asia, including a positive assessment of the Vietnamese economy in 2023 and a positive outlook in the medium term.
According to Oxford Economics, the nation enjoyed outstanding export growth in the region this year.
In line with this, the country’s GDP growth in the third quarter of the year stood at 5.3% over the same period from 2022, up from 4.1% in the second quarter of the year.
This is largely due to a strong recovery occurring in the manufacturing sector due to increased export value amid improved electronics exports, especially exports to China.
According to Oxford Economics’ experts, thanks to the Government increasing public investment in the third quarter of the year, the country still has ample room to boost investment spending ahead in the next quarter.
Regarding the Southeast Asian region's economy, Oxford Economics sees economic momentum in the third quarter of the year on the rise, but there are still concerns about potential challenges moving into 2024.
Factors influencing the 2024 forecast include slowing global growth, while tourist attractions lose their appeal and private consumption declines.
Southeast Asia recorded strong economic momentum in the third quarter of the year with improved trade and accelerated GDP growth beyond expectations.
Oxford Economics' report also said that exports in Singapore, Malaysia, and Vietnam increased in the second and third quarters of the year, in which Singapore and Vietnam faced notable changes as both markets had a strong position in e-commerce.
However, Southeast Asia's exports will still be affected by the prolonged global recession, especially in the US and Chinese economies. Although a recession may be avoided, the US is anticipated to face a period of weak growth in the near future.
Other developed economies are also expected to slow down due to tightening monetary policies, while China's spending remains low due to facing domestic difficulties.
Even the once promising tourism industry is losing its appeal as most other Asian economies endured slow recovery in terms of tourist arrivals.
Meanwhile, personal consumption is at a moderate level due to a number of factors. The previous tightening of monetary policy is also starting to impact spending capacity amid higher debt service costs.
This period is even more difficult due to fiscal tightening policies as the 2024 budget is forecast to decrease, along with rising oil prices coupled with the risk of rising food prices.
Although inflation may continue to fall in the near future, analysts predict that from now until the second quarter of 2024, banks will not lower interest rates.
