Citigroup Forecast Vietnam Economy to Grow 6 per cent a Year in 2008, 2009
Citigroup Aug 19 released a report, predicting Vietnam’s economy being driven by industrial production and exports will grow 6 per cent a year in 2008 and 2009 amid the global economic recession, Vietnamese state media said on August 28.
However, Citigroup is positive about the economy, which will see shrinking trade deficit, offset by robust growth in exports, rising 46 per cent in Aug. Citigroup attributed the rise to strong rise in prices of goods at the global market.
The forex rate is stabilized relatively and growing inflow of FDI hitting US$44.5 billion in January-July, which all are good signals of the Asean country’s economy, it noted.
Citigroup analysts said cheap labor force will be an edge of Vietnam, a magnet for FDI despite soaring inflation.
Vietnam exporters will face difficulties due to declining demand in Japan and EU, the major export markets of Vietnam, particularly apparel and electronic products will bear great pressures. (VietnamNet)
Vietnamese
