Workshop reviews Vietnam’s economic performance in 2020

Tuesday, 2021-01-05 16:32:50
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The workshop on Vietnam's economic performance in 2020
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NDO - The Institute of Economics and Finance under the Academy of Finance held a workshop on January 5 to review Vietnam’s economic performance in 2020 and make forecasts for 2021.

More than 50 papers and opinions presented at the workshop showed that despite a sharp slowdown in economic growth, Vietnam is one of the few economies in the world to exhibit positive growth, at 2.91%.

The rate of inflation reached its highest in the past five years but remained below the limit allowed by the National Assembly.

Furthermore, Vietnam’s inflation in 2020 was strongly influenced by both monetary and imported inflation due to an expansionary monetary policy, an increase in public investment and supports for businesses and the people.

The pressure of cost-push and demand-pull inflation was reduced thanks to lower taxes and financial costs, and negative total demand.

Last year Vietnam posted a record trade surplus of US$19.1 billion while the stock market rode out the challenges of Covid-19 and made a strong recovery, exceeding all expectations.

In 2021 the Vietnamese economy is expected to make a V-shaped recovery, with a growth rate projected to be more than 6% and inflation kept below 4%.

Vietnam’s recovery in 2021 will depend on the coronavirus situation, as well as its efforts to boost public investment, implementation of support policies, reforms to improve the business climate and the opportunities arising from new free trade agreements.