Vietnamese economy facing new challenges amid global uncertainties
VOV.VN - The Economic Daily of China has recently published an article stating that the Vietnamese economy is currently enjoying rapid development, although it is facing new challenges amid the constantly fluctuating international situation.
According to details outlined in the article, recent years has seen the local economy capture the attention of the international community.
The national economy can be viewed as resilient, especially in terms crisis response. In 2020, amid the initial break out of the COVID-19 pandemic, Vietnam was one of the few countries enjoying GDP growth.
The first quarter of the year witnessed Vietnamese GDP soar by 5.03% over the same period last year, with inflation initially contained.
Furthermore, consumer price index (CPI) in the first four months of the year grew by 2.1%, while financial, monetary, and credit indexes remained stable amid the national budget revenue growing steadily.
Although the Vietnamese economy is in the process of gradually recovering and traffic in major cities has almost returned to normal as it was before the pandemic, it is also facing a "headwind" from the outside, the article said.
Economic globalisation is confronting a range of difficulties and challenges, such as the development trend of regionalisation gradually appearing, inflation is increasing, and the Russia-Ukraine conflict is seriously impacting global economic development. These factors have started to affect the development of the Vietnamese economy.
The article highlighted the increasingly obvious difficulties faced by issues such as inflation and supply chain challenges.
The World Bank (WB) anticipates that that a sharp increase in oil prices will push up global inflation, while Vietnamese firms also face difficulties amid the supply of raw materials and production components being more or less disrupted.
Furthermore, the situation of goods clearance remains serious. Despite enterprises diversifying their transportation channels, the high transportation costs have put great pressure on them.
Moreover, the imposition of sanctions by the United States and Western countries on Russia has also had an impact on the Vietnamese economy.
In order to solve the current difficulties and challenges, the WB anticipates that the country needs to improve its operational efficiency in a bid to meet the challenges and realise its development goals. In line with this, there should be particular focus on improving finance, the environment, digital transformation, social insurance, and infrastructure facilities, the article concluded.