Vietnam Economy Estimated to Still Remain Challenges in 2012
Vietnam’s economic situation is forecasted to still remain many challenges in 2012 due to negative changes of the world economy and internal problems of the local economy, according to high-ranking economic experts at the Economic Forum organised by the Association of Chartered Certified Accountants (ACCA) in Hanoi on January 6.
Dr. Le Dang Doanh, Former Director of the Central Institute of Economic Management, remarked: “Vietnam has had to deal with a number of issues, including the high inflation, exorbitantly high interest rate for credit in VND, securities market at the lowest level and real estate market declining. The Vietnam' s Government has implemented the Resolution No.11 to control inflation and stabilize the macroeconomic situation, but more efforts must be done. For the year 2012 changing the growth model and restructuring the economy is on the agenda.”
Mr. Pham Hong Hai, Head of Global markets with HSBC Vietnam, adds: “We don’t know how the market in 2012 would turn. What we are certain is that 2012 will be the year of uncertainty. With the ongoing euro crisis, debt ceiling issue in US, slowing growth in emerging markets and restructures in Vietnam, business will need to be very cautious in growing the business. Business those could take advantage of market opportunities such as consolidation/M&A and overcome challenges such as tight funding/liquidity will succeed in 2012.”
Mr. Doan Hong Quang, Senior Economist with the World Bank, says: “Twenty-five years ago Vietnam turned a crisis into an opportunity. It started with a consensus, but it took few years to translate the vision into a detailed action plan. Vietnam enters 2012 with mounting challenges and remaining structural weaknesses. A consensus on restructuring the economy has been reached but the formulation of a feasible action plan may need time to accommodate different interests and ensure broad support. Vietnam can use the power of the market and the facilitating role of the state to chart a new course to create a more efficient economy and a more productive society.”
Ms. Len Le – Head of ACCA Vietnam says: “The past year has been one of the most turbulent on record, and has highlighted how interconnected economies around the world have become, and how problems thousands of miles away have implications for Vietnamese business. These forums will assess where we are, but also, more importantly, will look at the strategies which businesses should adopt to enable them to meet the challenges and take the opportunities presented by the coming year.”
The Economic Forum is one of the series of events to support ACCA influential insights.
Nam Pham
Vietnamese
