These issues have come to light after being consistently mentioned in a recent quick assessment report released by the Vietnam Chamber of Commerce and Industry (VCCI) in collaboration with the Australian Aid and Logistic Vocational Training Advisory Board.
“Whilst the impact of the COVID-19 could lead to the possibility of millions of workers losing their jobs, simultaneously it has inspired employees to learn many new skills, such as helping businesses to adapt to new forms and scales of business,” the report said.
According to figures released by the Ministry of Agriculture and Rural Development, the total export value of agriculture, forestry, and fishery, the nation’s economic cornerstones, suffered an annual drop of 2.8%.
This negative trend can be seen in the majority of major export markets of agricultural, forestry, and fishery products, with the trend being particularly prevalent in exports to China, the largest market share holder at 38.8%, which has suffered a drop of 15.3%. The decline in Vietnamese-made products to the United States, a market that makes up 23.8% of the overall market share, is even higher, with a decline of 15.8%.
Elsewhere, domestic social distancing orders have led to a fall in the demand for essential commodities, therefore causing unemployment and potentially poverty for those out of work, according to the report.
It is possible that the COVID-19 pandemic could act as a catalyst for a global economic recession that may put the Vietnamese economy at risk due to its heavy dependence on partner countries and the international trade environment, the reported noted.
“So far, the Government of Vietnam has been very effective in keeping the pandemic in check, providing that the national economy is supported by the Government to prevent mass bankruptcy, especially for small and medium enterprises, this is a prerequisite for the country's post-pandemic economic recovery,” it outlined.