Vietnam sets goal of 6.7 percent economic growth for next year

By Nguyen Hoai November 7, 2016 | 11:00 am PT

A footwear factory in Hanoi. The National Assembly has passed a resolution targeting economic growth of 6.7 percent for 2017, higher than the estimate for this year. Photo by Reuters

Legislators eye a recovery after the economy cooled off in the first half of 2016.

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Vietnam’s National Assembly, the legislative body, on Monday passed a resolution targeting economic growth of 6.7 percent for 2017, higher than the estimate for this year.

The target for this year was orginally set at 6.7 percent too, but it has been revised down to a range of 6.3-6.5 percent. A few setbacks have caused the economy to cool down somewhat, including drought and saltwater intrusion in the southern region in the early months, and the mass fish death disaster along the central coast. Agriculture and mining actitivites in particular were badly hit.

Last year, growth accelerated to 6.68 percent, compared to 5.98 percent in 2014. Unlike most of the world, Vietnam's economy has been growing at a fast pace and is expected to keep expanding by 6.5-7 percent through 2020.

Gross domestic product last year was valued at $193.4 billion, with GDP per capita estimated at $2,109, the government said in March.

Legislators on Monday also eyed a 6-7 percent increase in exports for 2017, similar to the same rate for this year. Vietnam’s exports jumped to $162 billion in 2015, from $72.24 billion in 2010.

Inflation should be contained at 4 percent next year, legislators said. Annual inflation reached 4 percent in October, moving closer to the 5 percent target for the whole year.