Maybank says Vietnam's GDP likely to grow by 5% in Q2 2023

30 Jun '23

1 min read

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Vietnam's GDP is likely to grow by 5 per cent in the second quarter this year, and by 4 per cent in the full year, according to a recent report by Singapore-based Maybank Research Pte Ltd.
It is projected to reach 6 per cent next year.
The country's manufacturing and production sector, however, will remain weak due to weak external demand.

Vietnam’s gross domestic product (GDP) is likely to grow by 5 per cent in the second quarter (Q2) this year, and by 4 per cent in the full year, before hitting 6 per cent next year, according to a recent report by Singapore-based Maybank Research Pte Ltd.

The country’s growth is led by the service sector, which accounts for 43.1 per cent of the GDP. This sector is projected to post 7 per cent growth in Q2 2023.

Though the industry and construction sector is expected to grow by 2 per cent compared to a year ago, the report said the manufacturing and production sector will stay weak due to weak external demand.

Growth in the construction sector, however, is predicted to be more robust due to increased public investment disbursement for infrastructure projects and government efforts to resume real estate projects, a news agency reported.

The drop in exports will continue in the second half this year due to slowing global growth, while domestic consumption is projected to decline in the next months amid a weak labour market, Maybank experts predict.

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