(Illustrative photo: VNA)

UOB said Vietnam's real GDP growth in the first quarter of this year slowed to 3.32% year-on-year. However, inflation is showing signs of cooling down, as Vietnam's consumer price index in the first quarter increased at 4.18% over the same period last year and was lower than the government's expectation of 4.5%.

With the US Fed poised to end its rate hike as soon as May, and domestic inflation rates showing some tentative signs of turning in the second quarter of this year, it is forecast that Vietnam's GDP growth in 2023 will be about 6%.