Vietnam among world's 45 largest economies

Vietnam is being among 45 world's largest-scale economy

Speaking at the Vietnam Reform Development Forum (VRDF) 2019 today, Minister of Planning and Investment Nguyen Chi Dung said that Vietnam has always been one of the countries with the highest speed of growth in the world since attaining middle-income status.

Average GDP in 2011-2018 was always higher than 6.2 per cent. At the end of last year, the country's GDP reached over $250 billion, placing it among the world's 45 largest economies, while GDP per capita was $2,600.

Vietnam is an attractive destination for international businesses and organisations, newly-registered investment capital is rapidly rising, especially reaching $200 billion in 2011-2018.

Following global trends, the Vietnamese economy is also developing on the basis of innovation and the application of Industry 4.0 achievements. Accordingly, Vietnam's Global Innovation Index ranking rose three levels compared to last year, ranking 42nd among 129 countries, ranking first among 26 low-middle-income countries, and ranking third in the ASEAN region (behind Singapore and Malaysia only).

However, the minister highlighted the multitude of challenges facing Vietnam, like weak competitiveness, low productivity, and incomplete economic institutions.

"The world is changing so much and is gaining in complexity while trade is growing fiercer by the day. Industry 4.0 and other disruptive technologies have changed business models and the way the economy and enterprises work. The sharing economy and the circular economy are very popular now, creating both opportunities and challenges for developing countries like Vietnam," Minister Dung said.

Sharing the minister's opinion, World Bank country director Ousmane Dione said that scientific and technical achievements play an important role for Vietnam to overcome challenges like the very fast population ageing, poorly performing investments, unskilled human resources, and the unbridged technical gap separating it from the developed world.

Thereby, Dione highlighted that finding a new engine for growth based on innovation, and improving productivity, and reforming the market economy are all needed for a breakthrough in Vietnam's development.