The Vietnamese government targets an economic growth in range of 6 – 6.5% for 2021, according to a government resolution released on September 17 following a monthly meeting held in early September.
|The Vietnamese government targets an economic growth in range of 6 – 6.5% for 2021.|
Under the resolution, the government assigned the Ministry of Planning and Investment (MPI) to continue mapping out growth scenarios for the rest of 2020 and subsequent years.
Previously in the meeting, Minister of Planning and Investment Nguyen Chi Dung said the economy is set to face numerous challenges next year, given uncertainties stemming from the Covid-19 pandemic.
With growing global uncertainties, Vietnam’s major economic partners are predicted to take at least two to four years to return to their pre-Covid-19 levels. However, Vietnam’s GDP growth should rebound to around 6.7% in 2021, for which the government is set to continue to look for a rapid and sustainable economic growth rate, stated Mr. Dung.
Amid the severe economic impacts of the Covid-19 pandemic, the resolution stressed the government would continue to pursue the dual target of both containing the pandemic and boosting economic recovery.
The State Bank of Vietnam (SBV), the country’s central bank, is tasked with managing monetary and fiscal policies in a flexible manner to stimulate economic growth and ensure macro-economic stability.
Meanwhile, the MPI would cooperate with the government’s task force specialized in attracting FDI to Vietnam in coming up with drastic measures to draw quality foreign investment projects to the country, especially as Vietnam is looking to grasp opportunities from a shift in global supply chains.
The Ministry of Industry and Trade is responsible for promoting trade and export to high potential markets, as well as boosting domestic consumption and combating trade frauds.
This year, Vietnam targets an economic growth of 2% in normal conditions and 2.5% if favorable factors emerge.
The government’s GDP growth forecast is not too distant from that of the World Bank at 2.8% and higher than ADB’s 1.8%.