Vietnam expects accelerating economic growth

Thien Thanh Sanitaryware joint company

Vietnam expects accelerating economic growth

Vietnam expects a GDP growth of 6.53 percent this year and 6.7 percent in 2016 as efforts to cope with recent drastic fluctuations have created a solid foundation for its economy, Minister of Planning and Investment Bui Quang Vinh has said. At the Vietnam Global Investment Forum in Hanoi on September 30, Vinh noted that Vietnam will keep to the path of a market economy while speeding up integration into the global economies in order to fuel its economic expansion. As a result, it must align the economic institutions and law system with the world’s norm while domestic businesses must gear up for fierce competition.

Thorough preparations must be made by both the Government and enterprises, otherwise the local market will be dominated by foreign firms, he stressed.

Jonathan Choi, Chairman of the Sunwah and VinaCapital Groups, underlined massive opportunities for foreign investors in Vietnam in the time ahead while asking the country to continue to better its market economy mechanism and ensure consistent policies, which are prerequisites to attract long-term foreign investments.

The Southeast Asian nation faces both opportunities and challenges on the path to international integration, and domestic businesses should be well aware of and get ready to handle those challenges, Asian Development Bank Country Director for Vietnam Eric Sidgwick said.

Jonathan Choi suggested that the Government assist small- and medium-sized enterprises in accessing cutting-edge technologies to improve their product value.

Meanwhile, Saigon Securities Incorporation (SSI) Chairman and CEO Nguyen Duy Hung thought Vietnamese companies should partner with foreign firms to offer products best suit the market demand.

Macro policies need to ensure equality among companies and help local firms to develop, which will help achieve sustainable economic growth, he added.

Indochina Capital Corporation CEO Peter Ryder said Vietnam has made solid step forwards over the past two decades but needs a long-term vision and should not expect quick success.