A relatively broad-based restoration in export-led manufacturing and services, as well as stable performance of the agriculture sector, is expected to support Vietnam's recovery momentum, said the report.
Positive inflows of foreign direct investment and remittances, a sustained trade surplus, recoveries in domestic consumption, and continued fiscal stimulus characterized by a substantial public investment program are seen as key to boosting growth in 2024, the bank said.
The report also identified public investment as a catalyst for Vietnam's economic growth and highlighted the cruciality of its effective implementation.
ADB Country Director for Vietnam Shantanu Chakraborty said "Vietnam's economy is expected to grow at a solid pace this year and the next, despite a challenging global environment."
"However, global geopolitical uncertainties and domestic structural fragilities could impact the outlook. Therefore, policy measures in 2024 will need to combine short-term growth support measures to strengthen domestic demand with long-term structural remedies to promote sustainable growth," he said.
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