EuroCham suggests Viet Nam adjust ongoing policy to maintain momentum
VGP - Viet Nam should adjust its ongoing policy to maintain growth momentum despite its robust GDP growth in the first six months this year, suggested the European Chamber of Commerce in Viet Nam (EuroCham).
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In its latest report, EuroCham noted that Viet Nam's Business Confidence Index (BCI) experienced a marginal decline from 52.8 in Q1 to 51.3 in Q2 2024, underscoring the necessity for ongoing policy adjustments to maintain momentum.
The BCI survey, conducted by Decision Lab and distributed to EuroCham’s network of 1,400 members, serves as a barometer of sentiment among European businesses operating in Viet Nam. This quarterly assessment provides real-time insights into the evolving business environment of one of Southeast Asia’s most dynamic markets.
A majority (68 percent of respondents) still maintain a neutral to positive outlook regarding their own business conditions, suggesting an overall sense of stability, according to the report.
“Viet Nam’s economic potential is undeniable, and the European business community remains confident in its long-term growth,” said Dominik Meichle, Chairman of EuroCham Viet Nam.
Though overall sentiment towards Viet Nam’s economic outlook in Q3 2024 is cautiously optimistic. Individual businesses are more hesitant about their own prospects for the quarter, with 45 percent remaining neutral and 23 percent expressing concerns.
This short-term uncertainty is balanced by robust long-term confidence, with nearly 70 percent of businesses expressing optimism about Viet Nam’s economic growth over the next five years.
This confidence is further reflected in the fact that a comparable percentage would recommend Viet Nam as an investment destination./.
