A steady and consistent economic growth is set to help the Vietnamese economy to overcome major economies in Asia such as Taiwan (China) at 21st and Thailand (25th) to climb to the 19th position among the world’s largest economies by 2035, according to the UK-based Center for Economics and Business Research (CEBR).

20 largest economies by 2035. Source: CEBR.

Vietnam’s annual rate of GDP growth is forecast to pick up to an average of 7.0% between 2021 and 2025. Over the subsequent ten years, the economy will expand by 6.6% on average each year, stated CEBR in its latest report on the outlook of 193 economies until 2035.

“The next 15 years are set to see Vietnam climb rapidly up the rankings of the World Economic League Table,” it noted, adding the country’s  position will move from 37th in 2020 to 19th in 2035.

The report estimated by 2035, Vietnam’s nominal GDP is estimated at US$1.59 trillion from the current US$341 billion, a nearly 5-fold increase in a 15-year span.

Source: CEBR.

In 2020, despite the Covid-19 pandemic, the economy was able to escape a contraction and in fact delivered a positive growth rate of 2.91%, a 10-year low but remains among highest in the world.

The country has so far had a better containment of Covid-19 outbreak than than in other parts of the world. As of the middle of December, the country had recorded 35 COVID-19 related deaths, equating to less than 1 death per 100,000 people.

For 2021, the Vietnamese government target an economic growth of 6.5%, a 0.5 percentage points higher than the goal set by the National Assembly.