At the business forum in Ho Chi Minh City on August 22. (Source: VNA)

The World Bank, and Organisation for Economic Cooperation and Development issued different forecasts for the global economic growth for the whole year, with that of former being 2.4% and the other 3.1%, they said, pointing Vietnam’s formidable challenges in the first half which included high interest rates, and skyrocketing VND/USD exchange rates.

According to the experts, although the Vietnamese economy expanded 5.66% in Quarter 1, the highest as compared to the same time from 2020-2023, there were no robust signs in several economic sectors. Weak global trade flow over the past two years has adversely impacted Vietnam’s exports, while important business areas such as realty market, bond market, consumption and labour have been dwindled due to difficulties in the domestic market.

They held that the country’s growth motives will come from its comprehensive strategic partnership with major economies, as well as investment and reform in the domestic market.

Vietnamese firms, whose growth is backed by basic resources, labour, and financial levers, should get prepared, and restructure their growth models, making them suitable for the new development period. Besides, amidst the boom of technology which brings golden opportunities to young firms to reach out to the world, they should keep up with the new market trends.

The Vietnamese community, boasting young labour force, dynamism, and boundless creativity, must capitalise on the technology waves to create breakthrough solutions to their business, they stressed.

General Director of Marvell Technology Vietnam Le Quang Dam said that technology is the key to help Vietnam push ahead its development speed, and narrow down gaps with developed countries, adding the country has various chances to engage deeper in the global semiconductor production chain following its historic strategic cooperation with partners.

Meanwhile, Dr Peter Redhead, head of Research at the Ho Chi Minh City Securities Corporation, forcast that Vietnam will be the nation with the highest GDP growth in ASEAN in 2025, and domestic consumption and purchasing power will be the major drivers for the economic expansion.

Experts relished their prospects for the Vietnamese economy, which will be a bright spot in foreign investment attraction, and have an important position in the global production chain and trade. That the nation has become a comprehensive strategic partner with many large economies will open up new development opportunities for it.

Within the framework of the forum, Forbes Vietnam honoured 50 best listed firms in the country in 2024. This was the 12th time the magazine announced the list.