Economic Experts emphasized the leading factors in the increasing economy of Vietnam. The country's gross domestic products (GDP) growth rate and its flourishing business environment are among the highlights noted by experts.
Nguyen Minh Phong, an economic expert, said that country's GDP is expected to rise by 6.8 percent. The fast-growing GDP rate is faster than China's. The economist also identified the country's slowing credit growth and declining bad debt as a sign that the investments in Vietnam proved to be effective.
The Expert also claimed that one of the highlights of the Vietnamese growing economy is its improved investment environment which was recognized locally and internationally. Phong added that the Vietnamese government has slashed red tape in its offices which added to the country's assurance as a good business environment.
Phong also noted that Vietnam continued as a sought-after destination for foreign investments and tourists. He cited that the country is continuously active in investing overseas and it is integrating with the global economy. Le Dang Doanh, Former Director of the Central Institute for Economic Management, agreed with Phong and he added that Vietnam has obtained relatively comprehensive economic achievements this year.
The Vietnamese government encourages the establishment of new businesses through its startup movement. Between the months of January to November, not less than 121,250 new businesses were set up with total registered capital of 1.23 quadrillion VND. The data shows that the business climate in the country in improving and it is creating more optimal conditions for firms to be formed.
Another highlight in the country's economy is the increase in its average registered capital per company. It is up by 4.1 percent compared to last year hitting 10.2 billion VND. Doanh also noted the effort of the government in improving the country's export industry and its move to modernize its agriculture. The economist said that, despite improving Vietnamese economy, the country still has problems in Administrative reforms, overspending, and the waste of State funds, high public debt, slow restructuring of State-owned enterprises and incomplete e-Government Building.
Phong also cited areas be improved that includes labor productivity, national competitiveness, product's added value, public investment's effectiveness, bad debt settlement, and pressure on inflation. The expert also warns about the incoming effect of the China-U.S trade frictions which will affect the nation next year.
Le Quang Manh, Deputy Minister of Planning and Investment, said that Vietnam needs to continuously improve the investment and business climate, promote economic growth, and restructure the economy to sustain its growth trend in the coming year.
