Vietnam News Today (Jan. 11): Vietnam Emerges as Beacon of Growth And Resilience

	Vietnam News Today (Jan. 9): Prime Minister Leaves For Working visit to Laos
	Vietnam News Today (Jan. 10): Vietnamese Treasures Relations With China

PM Pham Minh Chinh meets with former Party General Secretary and former President of Laos Bounnhang Vorachit in Vientiane on January 10. (Photo: VNA)

PM values former Lao leaders’ contributions to Vietnam-Laos relations

PM Chinh said he hopes the former Lao leaders, with their prestige and experience, will continue to support and give opinions to strengthen and deepen the cooperation between the two Parties and the two countries.

During the meetings, PM Chinh conveyed greetings and New Year wishes from Party General Secretary To Lam, State President Luong Cuong, and National Assembly Chairman Tran Thanh Man to the former high-ranking leaders of the Lao Party and State.

Chinh informed the former Lao leaders about the outcomes of his meetings with leaders of the Lao Party, State, Government, and National Assembly, as well as the results of the 47th meeting of the Vietnam-Laos Intergovernmental Committee for Bilateral Cooperation that he co-chaired.

He affirmed that the Vietnam-Laos relationship is an invaluable asset, vital to both countries' revolutionary cause, cited VNA.

The former Lao leaders expressed their joy to meet the Vietnamese PM again and asked him to convey their sincere thanks and warm greetings to Party General Secretary To Lam and other high-ranking leaders of the Vietnamese Party and State.

They also expressed their delight at Vietnam's strong and stable development and its increasing role and position on the international stage, as well as the special solidarity between the two Parties, states, and people of the two countries.

They appreciated the results of the 47th meeting of the Intergovernmental Committee, and the leadership of Party General Secretary To Lam, Prime Minister Pham Minh Chinh, and other high-ranking leaders in continuously consolidating, protecting, and promoting the Vietnam-Laos solidarity for the benefit of the two countries' people.

The leaders agreed to continue focusing on educating and promoting the great friendship and special solidarity tradition to both countries' people, especially younger generations.

This was the final activity of PM Chinh in his Laos visit to co-chair the 47th meeting of the Vietnam-Laos Intergovernmental Committee. Later the day, the PM, together with the Vietnamese delegation, left Vientiane, concluding his working trip.

Vietnam emerges as a beacon of growth and resilience: French media outlet

French newswire reportlinker.com published an article on January 8, highlighting that Vietnam is emerging as a beacon of growth and resilience amid the dynamic landscape of global economies.

The media outlet outlined that recent forecasts made by prestigious financial institutions like the Asian Development Bank (ADB) and Standard Chartered Bank spotlight the momentum of the Vietnamese economy, projecting an impressive GDP growth trajectory for the years 2024 and 2025.

The ADB’s optimistic revisions envision growth of 6.4% in 2024, surging from an initial 6%, and a further leap to 6.6% ahead in 2025, up from 6.2%. This upward trend was echoed by Standard Chartered, which anticipates a growth rate of 6.8% for 2024, a notable jump from its previous forecast of 6%, according to VOV.

Photo: VOV

According to the article, such robust growth projections are underpinned by the strong performance of the Vietnamese economy over recent quarters, a factor which has not only exceeded initial expectations, but also garnered upward revisions from several foreign agencies.

This positive outlook is further bolstered by ambitious targets set out by the Vietnamese Government, with the Prime Minister specifically advocating for a groundbreaking 8% growth rate by 2025.

The banking sector stands at the heart of the nation’s economic resilience, playing a critical role in propelling the country towards its ambitious growth targets. A significant driver of this momentum is therefore the surge in consumer credit growth. With approximately 20% of customers previously unable to access traditional banking credit now leveraging alternative credit forms, the banking sector’s contribution to the economy has become increasingly pivotal.

This expansion in consumer credit not only underscores the sector’s adaptability to market needs, but also highlights its integral role in facilitating both economic inclusivity and growth.

Despite some of the challenges posed by limited access to bank loans for industrial production enterprises, the Government’s proactive stance, led by Prime Minister Pham Minh Chinh, emphasises a concerted effort towards achieving double-digit economic growth moving forward. This ambition in turn reflects a comprehensive approach to economic development, where easing lending rates and expanding credit access play essential roles.

The newswire pointed out that as the country strides towards exceptional economic milestones, the banking sector remains a critical player in this journey of growth and resilience.

Vietnam, Mongolia strengthen cooperation between presidential offices

Chairman of the Presidential Office of Vietnam Le Khanh Hai hosted his Mongolian counterpart Gombojav Zandanshatar in Hanoi on January 10.

The Mongolian official is on a Vietnam visit from January 9–14.

Hai highlighted that since Vietnam and Mongolia established their diplomatic ties in 1954, their traditional friendship has been consolidated and developed continuously. Both countries have supported each other in national safeguarding, construction and development while maintaining close collaboration across Party, government, and people-to-people exchange channels. Cooperation in politics, diplomacy, trade, investment, agriculture, and education has grown significantly, achieving practical outcomes.

The recent upgrading of bilateral relationship to a Comprehensive Partnership during a state visit to Mongolia by Party General Secretary and State President To Lam in September 2024 marked a pivotal milestone, opening up a new chapter in bilateral ties, he noted.

Hai expressed his confidence that the newly signed cooperation agreement between the two presidential offices will foster effective information exchange and sharing of experience and strategies to further enhance collaboration. He said he wished that the agencies would maintain regular delegation exchanges to share experience in their work, thus bolstering cooperation and mutual support in areas of shared interest, VNA reported.

Chairman of the Presidential Office of Vietnam Le Khanh Hai and his Mongolian counterpart Gombojav Zandanshatar (Photo: VNA)

For his part, Gombojav Zandanshatar praised the robust progress in Vietnam-Mongolia relations, especially through the exchange of all-level delegations.

He called for close coordination between the two offices to effectively implement the agreed initiatives and expressed his agency's willingness to collaborate more closely with its Vietnamese counterpart. He also emphasised expanding cooperation in economy, trade, tourism, and other areas.

On the occasion, a cooperation agreement between the two presidential offices was signed.

Vietnam's 2025 GDP growth target forecast to face major challenges

Vietnam achieved an impressive GDP growth rate of approximately 7% in 2024, a significant accomplishment, especially given the global economic uncertainties and the severe impact of natural disasters.

However, the target of 8% GDP growth for the year ahead presents numerous challenges, despite the emergence of fresh opportunities.

Experts believe that the Vietnamese economy in 2025 will still have substantial growth drivers, including rising consumer spending, accelerated public investment, a recovery in the real estate market, and expectations of an upgrade in the stock market's status. However, resolving legal hurdles for real estate projects needs to be pursued more decisively, while businesses continue to face significant difficulties in accessing capital.

Nguyen Duy Ninh, CEO of Ho Guom Group, highlighted the struggles of labor-intensive enterprises like this, stating that their thin profit margins make them highly vulnerable to fluctuations in exchange rates or labor costs, potentially turning profits into losses. He expressed hope for greater stability in monetary policy and the labor market to ensure smoother business operations.

The Institute for Economic Research and Policy pointed out several risks that could impact Vietnam's economy in 2025, including slow and uneven public investment disbursement, persistent risks in the corporate bond market, and inflationary pressures. While inflation in 2024 was projected to remain below 4.5%, global oil prices, commodity price fluctuations, and exchange rate volatility could negatively affect exports, imports, and consumer purchasing power.

Dr. Nguyen Quoc Viet, deputy director of the Institute for Economic Research and Policy, underscored the need for medium-term investments to upgrade infrastructure, enhance workforce skills, and promote scientific and technological development. He noted that Vietnam's global competitiveness has long been hindered by bottlenecks in these areas, making it crucial to foster innovation and sustainable business practices to achieve fast and resilient growth.

Globally, economic growth from 2024 to 2026 is forecast to average 3.2%, lower than pre-pandemic levels. For comparison, China is expected to grow at 4.5%. The nation's target of nearly 8% growth is ambitious, particularly as the country faces huge challenges from exchange rate pressures, geopolitical risks, increasing trade protectionism, and high global inflation—all of which directly affect Vietnam’s highly open economy, cited VOV.

Photo: VOV

Economist Dr. Can Van Luc noted that high interest rates and exchange rate pressures remain key challenges, alongside the strong impact of trade protectionism on Vietnamese businesses. Another risk is the possibility of Vietnam being labeled as engaging in currency manipulation. Luc stressed the importance of leveraging domestic strengths, particularly consumption and investment, to overcome these challenges.

To address the obstacles of 2025, experts recommend policies to attract high-quality foreign direct investment (FDI) into emerging industries and advocate for stronger investment in agriculture, forestry, and fisheries through high-tech applications to improve quality and promote organic farming.

In the short term, measures to boost growth include focusing on stimulating investment, particularly private investment, to ensure high total social investment and expanding the money supply appropriately to drive economic activities. Efforts to boost credit growth in priority sectors also remain critical to maintaining momentum.

Vietnam is third populous country in Southeast Asia

As of April 1, 2024, Vietnam’s population reached 101,112,656 people, ranking third in the Southeast Asia and 16th in the world, the General Statistics Office reported on January 6.

Of the figure, 50,346,030 were male, making up 49.8 percent; and 50,766,626 were female, accounting for 50.2 percent.

There were 38,599,637 people living in urban areas and 62,513,019 people living rural areas, making up 38.2 percent and 61.8 percent, respectively.

Between 2019 and 2024, Vietnam's population increased by 4.9 million people. During the reviewed period, the annual population growth stood at 0.99 percent, a decrease of 0.23 percentage points compared to the 2014-2019 period (1.22 percent).

In 2024, the nation was home to 28,146,939 households, an increase of 1.3 million compared to 2019, VGP reported.

Photo: VGP

The population density of Vietnam was approximately 305 people per square kilometer. These results positioned Vietnam as the third most densely populated country in Southeast Asia, behind the Philippines and Singapore.

The country is experiencing a golden population structure, with the share of the population aged between 15 and 64 years making up 67.4 percent.

The aging index was 60.2 percent in 2024, an increase of 11.4 percentage points compared to 2019.

Vietnam's total fertility rate (TFR) in 2024 was around 1.91 children per woman.

The average life expectancy of Vietnamese people was 74.7 years old in 2024, an increase of 1.1 years compared to 2019.

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