(Illustrative photo: VOV)

Vietnam’s GDP grew 7.52% in the first half of this year, the highest first-half growth rate in 15 years. Total import-export turnover rose more than 16% year-on-year, while the trade surplus reached more than 7.6 billion USD.

Foundations for growth

During the early months of 2025, several strategic policies were implemented across different levels of government. At the recent mid-year National Assembly  session, lawmakers passed a resolution amending several articles of the Constitution, along with a set of coordinated laws and resolutions to provide a foundation for implementing a two-tier local government model. This institutional shift is expected to expand the development space, simplify administrative procedures, and delegate more authority to grassroots units.

During this period, the Party and State also launched the "strategic resolution quartet," aimed at building a transparent, stable, and efficient institutional environment for economic activity, expand the development space, attract global resources, foster endogenous growth, and build an independent, self-reliant, and innovation-driven economy.

In tandem with this framework, the Government has directed ministries and localities to protect businesses, foster a healthy market economy, safeguard the investment climate, and enhance Vietnam’s national reputation amid economic challenges and geopolitical and economic uncertainties worldwide.

The Government’s holistic development mindset and efforts to establish a healthy market economy have fueled domestic and international investors’ confidence in Vietnam’s business environment. Total implemented investment in the first half of 2025 rose 9.8%, 3 percentage points more than in the same period of 2024. The non-state sector contributed the largest share – 54% of total realized investment.

Director of the National Statistics Office Nguyen Thi Huong said the key to the improvement has been unified and resolute leadership across the political system.

Director of the National Statistics Office Nguyen Thi Huong (Photo: VOV)

Huong said: “Empowering collectives and individuals at all levels has allowed for the full mobilization of capacity and resources. Delegating authority enhances performance and clearly defines rights, responsibilities, and contributions in addressing both specific tasks and broader goals.”

Maximizing growth potential

Positive results from the first half of the year provide a foundation for Vietnam to realize its ambitious target of 8% GDP growth this year and potentially double-digit growth in subsequent years. According to Nguyen Thi Mai Hanh, Head of the System of National Accounts Department of the National Statistics Office, these results are a necessary condition for realizing the 8% target. She said Vietnam must unlock all remaining growth potential in the latter half of the year. Hanh noted that public investment is the most significant driver. The Government is pushing for full disbursement of public investment funds, especially for key national-level infrastructure projects.

Hạnh elaborated on other key drivers: “Science, technology, digital transformation, and innovation will play a strategic role. Their rapid development opens new opportunities for businesses. Adopting AI and other technologies will help reduce costs, boost productivity, and enhance competitiveness. Targeting credit growth of 16% with adjustment aligned with economic conditions will create potential for further growth with abundant capital while stimulating production, investment, and consumption.”

Vietnam aims to be proactive, flexible, and resilient amid global political and economic turbulence. A favorable institutional framework, an expanded development space through administrative consolidation, and strong coordination from the central to the local level provide momentum for Vietnam to realize its growth targets for 2025.