Vietnam central bank says 2024 GDP growth seen meeting 6%-6.5% target

VIETNAM’S gross domestic product growth is expected to meet the government’s target of 6 to 6.5 per cent, the country’s central bank governor said on Friday (Jun 21).

“The domestic economy has seen positive signs of recovery,” the State Bank of Vietnam governor Nguyen Thi Hong said in a statement.

Hong said industrial production and investment had seen significant growth, while the operations of the banking system were “stable”.

Vietnam’s GDP in the first quarter grew 5.66 per cent from a year earlier, backed by robust exports, faster than an expansion of 3.41 per cent in the same period last year, but slower than the 6.72 per cent growth in the fourth quarter.

The South-east Asian country, however, is facing upward pressure on inflation, leaving the central bank little room to boost credit growth to underpin growth.

The annual inflation rate edged up to 4.44 per cent in May, nearing the government’s target ceiling of 4.5 per cent for the year. REUTERS