WB report: Viet Nam’s economic recovery continues despite economic uncertainties
VGP - Viet Nam’s economic recovery has continued despite heightened economic uncertainties regarding higher global inflation and weakening economic growth in main trade partners, announced the World Bank (WB) report on Viet Nam macro monitoring for September 2022.
The WB report shows that the nation's industrial production and retail sales posted another month of high growth rates (witnessing respective year-on-year growth of 15.6 percent and 50.2 percent).
Exports and imports grew by 22.6 percent and 13.3 percent in August, respectively, higher than in July 2022.
Credit growth remained strong at 16.2 percent while overnight interbank interest rates (end of period) increased from 0.71 percent in June to 4.19 percent in July and 4.42 percent in August.
The WB recommended that the authorities should remain vigilant about inflation risks associated with food and core prices. Also, while fuel prices have softened recently, global fuel price movements are uncertain.
Thus, incentivizing alternative energy production and use would reduce the economy's dependence on imported fuels and promote greener growth, the report noted.
Also, strengthening the social support system, including its registration, targeting, and disbursement systems would facilitate reaching affected citizens during such shocks, suggested WB specialists.