Vietnam likely to miss GDP growth target
HANOI: Vietnam expects annual economic growth of 6.3-6.5% this year, below target and slowing from last year’s 6.68%, as weakness in agriculture and exports dragged on one of Asia’s most resilient economies.
Adverse weather, including drought in the coffee belt and salination in the Mekong Delta, have put the brakes on Vietnam’s rapid growth, biting into its industrial and agricultural production, its exports and imports. Vietnam’s exports should grow 6-7% this year, below the 10% target, while total loans as of now is seen growing 11.24% from the end of last year, Prime Minister Nguyen Xuan Phuc said yesterday.
“Besides advantages, we faced many difficulties and challenges; global growth and trade were both lower than expected and prices of many basic goods and crude oil were low,” Phuc said in an address to the country’s national assembly.
Gross domestic product growth, however, is seen rebounding to 6.7% next year, Phuc said, while average inflation is expected to hit 4% and exports are seen growing 6-7%. – Reuters