Vietnam’s economic growth no longer reliant on mineral resources: Deputy PM

Vietnam's economic expansion is no longer dependent on exports of mineral resources and crude oil, Deputy Prime Minister Trinh Dinh Dung said at the legislative National Assembly’s ongoing session on Thursday.

Vietnam’s domestic crude oil production reached its peak in 2004 with an output of more than 20 million tons, but has declined to an estimated 14.2 million tons this year. Around 11 million tons is forecast to be exploited in 2018. Crude oil exports have contributed 0.25 percent to the country’s GDP in recent years, said the deputy prime minister.

However, economic growth in general is still suffering from low investment effectiveness, poor supporting industries and limited application of high technology, he said.

To reach the country's economic growth target of 6.7 percent this year, the government is focusing on restructuring the economy, improving legal policies and expanding exports, Dung said.

Reaching the target would help maintain macroeconomic growth, boost job generation and ensure social welfare, he said.

The target of 6.7 percent growth set for this year is within reach, and we expect GDP growth of 6.5-6.7 percent next year, said Prime Minister Nguyen Xuan Phuc.

The World Bank projects Vietnam’s real GDP growth will accelerate slightly to 6.3 percent this year, boosted by buoyant domestic demand, rebounding agricultural production and strong export-oriented manufacturing.

In the medium term, growth is going to stabilize at around 6.4 percent in 2018-2019, the bank said in an October report.