Vietnam’s Economy Soars in First Half of 2024 with Record Growth Rate, but Room for Reforms Still Exist

Vietnam’s economy experienced remarkable growth in the first half of 2024, with a 6.4% expansion compared to 3.7% in the same period last year, according to government data released on Saturday. The General Statistics Office (GSO) attributed this growth to various measures taken to improve supply chains, the foreign exchange market, and public investment.

Industrial production rose by 7.5%, while foreign investment increased by 8.2% compared to the previous year. To maintain and enhance this growth, VPBank Securities analyst Duong Thien Chi emphasized the importance of focusing on key sectors such as manufacturing and processing, logistics, and hospitality. Additionally, policymakers should consider external factors like the US Federal Reserve’s decisions regarding interest rates.

Despite positive export performance, which earned Vietnam $190 billion in the first half of 2024, an International Monetary Fund (IMF) analyst stressed the need for new reforms in the country. The IMF’s Paulo Medas highlighted the importance of increasing productivity, investing in human and physical capital, and encouraging private investment in renewable energy. Vietnam aims to achieve a growth rate between six and 6.5% for the year, compared to 5.05% in 2023.

In conclusion, Vietnam’s economy has shown strong signs of growth in the first half of 2024 due to various measures taken by policymakers to improve supply chains and public investment. However, there is still room for improvement through new reforms that will increase productivity and encourage private investment in renewable energy while achieving a stable economic growth rate between six and six