Export growth forms backbone of Vietnamese economy

Ba Thi
Chia sẻ
(VOVWORLD) - Vietnam's export turnover greatly contributed to the national economic development in 2019 despite difficulties and challenges caused by the US-China trade war, global trade protectionism, political instability, armed conflicts, and fierce competition with other countries.
Export growth forms backbone of Vietnamese economy - ảnh 1 (Photo: VOV)

According to the latest report by the World Bank published last Tuesday, Vietnam's exports grew 8% in 2019, nearly 4 times the world average. Although the rate is somewhat lower than that of the previous year, it still met the target of 7 to 8% set by the National Assembly. With the export value likely to reach 263 billion USD, Vietnam is expectred to enjoy a trade surplus of 9 billion USD, a new record for 3 consecutive years.

Deputy Minister of Industry and Trade Do Thang Hai said that stable export growth will ensure a good trade balance, creating a positive effect for the whole economy.

“The effective control of trade balance will ensure the supply of foreign currencies, reduce the pressure on exchange rates, and stabilize the market. Most importantly, a good trade surplus means  good export performance, creating more jobs, and bringing more benefits to the country,” said Hai.

Notably, the domestic economic sector achieved an export growth rate of more than 18% as of the end of November, 5 times higher than the growth rate of the FDI sector capital with less than 4%, and accounted for more than 30% of total export turnover.

Associate Professor Pham Tat Thang of the Ministry of Industry and Trade said: “Domestic enterprises have made progress. In previous years, the growth rates of FDI businesses was higher than domestic enterprises. But it was different this year Vietnamese businesses have begun to keep pace with international businesses.”

Economists say Vietnam’s impressive achievements are attributed to the effective reform of policies and administrative procedures, Vietnam’s increasing participation in the global economy and trade, and a global perspective on the part of businesses. But to maintain the export growth rate in the future, Mr. Thang called for joint efforts of state management agencies and businesses.

He said: “It is not clear how the US-China trade war will go. In addition, there is a trade war between Japan and South Korea. Thus we need to be watchful over any potential disadvantages resultant from those situations. Moreover, it’s necessary to pay close attention to the fact that more foreign exports masquerading as Vietnam-made goods, threatening domestic production and legitimate exports.”