GDP scale soars after reevaluation

The General Statistics Office of Vietnam announced that after reevaluating, the gross domestic product (GDP) scale of the country during the period from 2010 to 2017 rose by an average of 25.4 percent; however, annual economic growth was not much different from the announced figures.
Particularly, reevaluated GDP scale of the economy at current prices rose by 25.4 percent on average, or an increase of VND935 trillion per year, of which, GDP growth was highest in 2011 with 27.3 percent and lowest in 2015 with 23.8 percent. In 2017, GDP scale after reevaluation was more than VND6.29 quadrillion while it was announced to be more than VND5 quadrillion previously.

Regarding the economic sector, after reevaluation, the additional value of the service sector was the largest (increasing from VND316 trillion to VND615 trillion dong per year). For example, in 2017, the additional value after revaluation of the service sector reached VND 2.68 quadrillion, compared to the announced number of more than VND2.06 quadrillion. The additional values of industrial and construction sector and the agriculture, forestry and fishery sector were from VND211 trillion to VND555 trillion and from VND25 trillion to VND46 trillion respectively.

Change in GDP structure has reflected more clearly the movement tendency of the economy. Accordingly, on average, each year in the period from 2010 to 2017, in comparison with announced figures, structure of additional value of agriculture, forestry and fishery sector in GDP dropped from 17.4 percent to 14.7 percent; industrial and construction sector rose from 33 percent to 34.8 percent; and services sector surged from 39.2 percent to 41.2 percent. Product taxes minus product subsidies increased in scale compared to announced figure but structure in GDP declined from 10.4 percent to 9.3 percent on average.

However, also according to the national statistics office, annual economic growth was not much different from the announced figures.

By Anh Phuong – Translated by Bao Nghi

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