ADB forecasts robust GDP growth for Vietnam

The Asian Development Bank on April 9 released Asian Development Outlook 2013, forecasting the country’s GDP growth at 5.2 percent in 2013, with expectations of growth to 5.6 percent in 2014, provided the banking sector is strengthened and a major recovery is made in the industrial sector.

ADB also forecasts a yearly average inflation of about 7.5 percent by end of 2013, slightly lower than previously projected because of weaker-than-anticipated domestic demand.

However, inflation is seen to be easing to 7.5 percent on an average this year, but may quicken to 8.2 percent in 2014. This view presumes better weather conditions for food production, a broad and stable dong exchange rate, and restrained policy stimulation.

Tomoyuki Kimura, ADB Country Director for Vietnam, said the government must take a strategic and selective approach towards SOE restructuring as it is not possible to do everything all at once.

By Ham Yen – Translated by Uyen Phuong

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