Vietnam Urged to Strengthen Economic Resilience Amid Strong Growth

Vietnam is facing the necessity to further strengthen its economic resilience amidst global uncertainties, while maintaining a strong growth trajectory. According to World Bank (WB) analysis, the country's robust economic performance is primarily driven by a strong recovery in exports, which expanded by more than 15% during 2024–2025, and by its ability to sustain strong GDP growth of 7% and 8% in two consecutive years. The strongest first-half industrial growth since 2019 not only underscores the sector's solid recovery but also provides a firm foundation for Vietnam to sustain robust economic growth throughout 2026. With manufacturing continuing to lead, supported by improving demand, employment, and production capacity, industry is expected to remain a key pillar of economic expansion. The elevation of Vietnam–EU relations to a comprehensive strategic partnership in early 2026 is expected to provide fresh momentum for cooperation in trade, investment, digital transformation, the green transition, energy, climate action, and supply chain resilience. Campaigns to stimulate domestic consumption, boost retail sales, support economic growth, and promote Vietnamese brands are also anticipated. However, Vietnam faces the challenge not simply of adopting new technologies but of ensuring that its supply chains are sustainable and capable of generating long-term value. Investors globally are increasingly choosing locations based not only on costs and logistics but also on renewable energy, carbon performance, circular economy solutions, and ESG standards. To meet these international demands, it is imperative for Vietnam to continue improving its investment climate, upgrading logistics and energy infrastructure, accelerating digital transformation, and developing a highly skilled workforce that meets the requirements of emerging technology sectors. Strengthening economic resilience goes beyond simply maintaining growth. For instance, Vietnam was upgraded to a higher income category by the WB Group, moving from the lower-middle-income group where it had remained for 17 years. This upgrade, one of only six among 218 economies assessed, marks a notable milestone. However, to solidify this achievement, Vietnam must continue to address its structural economic challenges and meet the expectations of the global community. In other economic developments, the current trading band for the Vietnamese Dong (VND) against the US Dollar (USD) is set at +/- 5%, with the ceiling rate for commercial banks at 26,481 VND/USD and the floor rate at 23,959 VND/USD. A recent report by BIDV Securities (BSC) highlighted that infrastructure projects in Vietnam span residential and urban developments, airports, expressways, high-speed rail, industrial facilities, and other strategic infrastructure. The advisory board will support research, provide policy advice, and recommend strategic directions for the development of the Vietnam Institute for Financial and Economic Research (VIFC)-HCMC Executive Board. Hanoi aims to maintain annual gross regional domestic product (GRDP) growth of 11% during 2026–2035 and 2036–2045, before easing to 5% during 2046–2065 and 4.5% during 2066–2085. The Ho Chi Minh City Development Joint Stock Commercial Bank (HDBank) has successfully raised 721 million USD in an international syndicated loan from international financial institutions in the form of a Social Loan. Globally, investors are increasingly choosing locations based not only on costs and logistics, but also on renewable energy, carbon performance, circular economy solutions, and ESG standards. Vietnamese Ambassador to Brazil Bui Van Nghi informed that two-way trade reached 4.22 billion USD in the first six months of 2026, up 16.8% year-on-year. Brazil's exports to Vietnam exceeded 2 billion USD, rising 16.6%, while its imports from Vietnam totalled about 2.11 billion USD, an increase of 17%. The restored Kunming–Nha Trang route is expected to cater to growing travel demand and facilitate tourism, trade, and cultural exchanges between Vietnam and China. Among the 218 economies assessed this year, Vietnam was one of only six to be upgraded to a higher income category by the WB Group. The move marks a notable milestone after 17 years in the lower-middle-income group, where Vietnam had remained since 2009. For Vietnam, the challenge is not simply adopting new technologies but ensuring that supply chains are sustainable and capable of generating long-term value. The company sold 172,299 motorcycles in June, up 4.7% from the same month last year, highlighting steady consumer demand even as the market gradually shifts towards greener transport options. For the first six months of 2026, motorcycle sales reached 515,743 units, up 0.6% year-on-year. Developed under a strategic cooperation agreement between the Vietnamese and Japanese governments, the nearly 1,000-hectare industrial park is expected to become the city's first eco-industrial park under the country's new regulatory framework. A key target is that by 2030, all concentrated agricultural, forestry, and fisheries production areas will have access to essential services, including product traceability, quarantine, testing, quality certification, processing, and market development. The move reflects growing international demand for stricter food safety, quality, and traceability standards, which have become increasingly important for agricultural exports. The magazine said the VF 2 retails at 188 million VND (7,200 USD) with the battery included, making it one of the most affordable electric cars in the Vietnamese market. Vietnam's young population, dynamic market, and big growth potential are a perfect fit for the strengths that Korean micro-businesses bring in K-brands, technology, and service expertise, said KFME President Song Chi Young. It marked the first time an automotive brand in Vietnam has exceeded 100,000 vehicle deliveries in the first half. With auto loan interest rates remaining competitive, stable vehicle supply, and an increasingly diverse product range, Vietnam's automotive market is expected to maintain its growth momentum through the remainder of 2026. SUVs, MPVs, and hybrid vehicles are likely to remain the main drivers of overall market sales. To convert these opportunities into growth, it is a must for Vietnam to continue improving its investment climate, upgrading logistics and energy infrastructure, accelerating digital transformation, and developing a highly skilled workforce that meets the requirements of emerging technology sectors, an expert has said. Vice Chairman of the provincial People's Committee Nguyen Huu Que said ESG is no longer a communications message or a cost burden, but an essential requirement for accessing global capital. Gia Lai has chosen ESG as a pillar for building new competitive advantages and achieving sustainable development. Copyright, VietnamPlus, Vietnam News Agency (VNA) Editor-in-chief, Mr. Tran Tien Duan.