IMF sees Vietnam economy growing at 6.5 pct

By Dat Nguyen April 7, 2021 | 09:32 pm PT

A container ship docks at a port at the Tan Cang – Cai Mep Thi Vai Terminal in Ba Ria–Vung Tau Province, southern Vietnam. Photo by VnExpress/Dang Khoa.

Vietnam's economy is set to grow at 6.5 percent this year, well above the ASEAN average of 4.9 percent, as it shrugs off the impacts of Covid-19.

It is the second highest rate forecast by the International Monetary Fund for ASEAN-5 countries. The Philippines tops with 6.9 percent, Malaysia ties Vietnam at 6.5 percent, Indonesia is expected to grow at 4.3 percent and Thailand at 2.6 percent.

Vietnam’s growth could rise to 7.2 percent in 2022, the IMF said.

Its unemployment rate of 3.3 percent last year is set to drop to 2.7 percent this year, the second lowest among the ASEAN-5 and only higher than Thailand’s 1.5 percent.

In the first quarter of this year GDP growth was 4.48 percent, 0.8 percentage points higher year-on-year.

Market research company Fitch Solutions has forecast Vietnam will grow at an average of 6.5 percent through the next decade.

The government targets 6.5–7 percent growth for 2021-25.