Vietnam maintains continuous growth momentum, becoming a bright spot in the Asia-Pacific region

(Chinhphu.vn) - In the context of profound fluctuations in the global economy, Vietnam has maintained macroeconomic stability, controlled inflation and maintained continuous positive growth, becoming a bright spot in the Asia-Pacific region. This is the opinion of Associate Professor, Dr. Bui Quang Binh, University of Economics (University of Danang) when talking about Vietnam's economic picture in the past 5 years.

Vietnam's import-export turnover has increased sharply in the past 5 years - Photo: VGP/Nhat Anh

Bright spot in unpredictable global economic context

According to Associate Professor Dr. Bui Quang Binh, the 2021-2025 period is a big test for all economies. The COVID-19 pandemic, the Russia-Ukraine conflict and the US-China strategic competition have disrupted supply chains, caused high inflation and widespread trade protectionism. In that context, Vietnam has maintained macroeconomic stability, controlled inflation and maintained continuous positive growth, becoming a bright spot in the Asia- Pacific region.

The average GDP growth rate during this period reached about 6.3%/year, higher than the global average. The Government has operated a flexible fiscal and monetary policy, ensuring a large balance, promoting public investment and developing key infrastructure, creating a foundation for recovery and sustainable growth.

According to him, notable bright spots include continued strong growth in trade and foreign investment, helping Vietnam become an important link in the global supply chain. Import-export turnover in 2024 will exceed 700 billion USD, while disbursed FDI capital will reach more than 23 billion USD/year – the highest level ever.

Associate Professor, Dr. Bui Quang Binh - Photo: VGP

Strategic infrastructure such as the North-South Expressway, Long Thanh Airport, renewable energy and digital infrastructure have been invested synchronously, contributing to improving national connectivity and competitiveness. In addition, the digital and green transformation processes have been strongly promoted, the political and social environment is stable and investment confidence is maintained, creating an important foundation for long-term growth.

Associate Professor, Dr. Bui Quang Binh said that the overall period of 2021-2025 shows that Vietnam has demonstrated remarkable adaptability and resilience, but to maintain sustainable growth, the economy needs to strongly shift to a model based on productivity, innovation and technological autonomy, thereby enhancing the endogenous capacity and position of the economy in the global value chain.

Synchronously deploy short-term and medium-term solutions

Associate Professor, Dr. Bui Quang Binh said that Vietnam needs to synchronously deploy solutions in two directions: Short-term (2025-2026) and medium-term (until 2030).

First, in the short term, the focus is on stabilizing the macro economy and restoring domestic production. The Government needs to continue to operate a flexible fiscal and monetary policy, providing targeted support for small and medium-sized enterprises, especially in the processing industry, export agriculture and logistics. It is necessary to expand production credit with risk control, reduce capital costs and encourage private investment.

Associate Professor, Dr. Bui Quang Binh said that it is necessary to continue supporting businesses to expand their scale, transform digitally and connect with the FDI sector - Photo: VGP/Nhat Anh

At the same time, it is necessary to restructure domestic supply chains, develop supporting industries and increase the localization rate to reduce import dependence, especially in the context of protectionist trends and tax increases in major economies. Reforming administrative procedures, shortening investment licensing and accelerating public investment disbursement need to be implemented drastically. At the same time, digitalizing management, tax, customs and logistics activities helps reduce transaction costs and support businesses to meet green standards and carbon regulations in international trade.

Second, in the medium term, it is necessary to focus on improving endogenous capacity, technological autonomy and perfecting institutions for private sector development. "We need to promote the innovation ecosystem, encourage R&D investment and closely connect businesses - universities - research institutes. There should be tax, credit and land incentives for high-tech enterprises, clean energy and new materials to increase domestic added value. In particular, it is necessary to perfect transparent and competitive market institutions, protect private property rights and reduce compliance costs," Associate Professor, Dr. Bui Quang Binh recommended.

In addition, it is necessary to effectively implement Resolution 68 on private economic development, deploy the National Private Enterprise Development Program 2026-2030, support businesses to expand their scale, digitally transform and link with the FDI sector. In addition, it is necessary to form public-private venture capital funds, regional innovation centers and risk-sharing mechanisms for technology startups. At the same time, focus on training high-quality human resources in the fields of technology, energy, finance and logistics, combined with attracting international experts.

"Shifting the focus from 'expanding scale' to 'increasing autonomy and innovation capacity', along with institutions that empower, protect and encourage the private sector, will be the key to helping Vietnam improve its resilience, reduce the risk of dependence and maintain sustainable growth towards the goal of becoming an upper-middle-income country by 2030," Associate Professor, Dr. Bui Quang Binh said.

Nhat Anh

Source: https://baochinhphu.vn/viet-nam-giu-duoc-da-tang-truong-lien-tuc-tro-thanh-dem-sang-cua-khu-vuc-chau-athai-binh-duong-102251023155853587.htm