For over three decades, Vietnam has not slipped into economic recession and analysts have attributed the country's economic stability to a ballooning population that supports developments in various industries.
According to Invest Asian, the Vietnam averaged around six percent in annual economic growth over the past few decades, allowing for stability and balance in the economy. One of the key drivers in maintaining this record is due to strong demographic trends in the country.
Some Asian regions have started preparing themselves for a drop in population but Vietnam is expected to grow by almost 20 million by the year 2040. Economists believe population growth has helped boost Vietnamese industries and will further encourage developments in the coming years.
One of the country's flourishing sectors is manufacturing. Analysts pointed out that this particular industry saw growth due to a boost in population growth. In fact, Vietnam is gradually transforming into a world competitor in terms of export. Samsung and Nike have already established their manufacturing plants in the country due to softer regulations and lower labor costs.
Aside from its manufacturing sector, Vietnam has two equity markets to take pride in - the Hanoi Stock Exchange and the Ho Chi Minh Stock Exchange. Over 800 firms have listed under the said equity indexes and these figures are expected to grow further this year.
Despite expected growth in a number of sectors such as manufacturing and finance, some experts stressed that the Vietnamese government should also ease up on property laws. In response to this issue, the government has started allowing for property purchases through a tourist visa. However, there are still some regulations that need to be revamped if the country wants to open up for other investments in property.
Last week, The Star reported that another possible reason for Vietnam's booming economy is the country's stand on women in business. The latest data revealed that the country now has an increased number of women running small and medium businesses.
Women's businesses in Vietnam accounted for 30 percent in the country's gross domestic product (GDP) last year. Over half of job creations have also been initiated by women business leaders. Furthermore the World Economic Forum (WEF) stated that Vietnam is among the top 25 nations that has welcomed the idea of gender equality in the workforce.
The Vietnamese government recently announced plans to grow its corporate realm within a year. The government said it wants to see one million firms by 2020, with a third of these enterprises owned and run by female entrepreneurs.
