GDP expands 6.81%, exceeding set target

General Director of the General Statistics Office (GSO) Nguyen Bich Lam at the press briefing, Ha Noi, December 27, 2017

Mr. Lam made the announcement on December 27 at a press briefing on socio-economic indexes in 2017.

Successful factors beyond forecast

Big balances of the economy were stable, inflation rate was put under control at reasonable level, and GDP growth pace hit 6.81%, surpassing the National Assembly’s preset goal of 6.7%, the highest rate in the 2011-2017 period. 

The agro-forestry-fishery sector is expected to increase by 2.9%, contributing 0.4 percentage points to the 6.81% GDP growth level. The industrial and construction sector posted an 8% growth rate, contributing 2.77 percentage points whilst the service industry climbed by 7.44%, contributing 2.87 percentage points.

The GSO reported that the economy in 2017 was worth VND 5 quadrillion (equivalent to US$ 223 billion); the average GDP per capita is estimated at VND 53.5 million (US$2,385), up US$170 compared to the 2016 rate. Goods and service exports increased by 16.74% while imports of goods and service rose by 17.5%.

General Director Lam said that Viet Nam’s socio-economic affairs 2017 took place in the context of steady recovery and growth of major economies such as China, the US, Japan, the Republic of Korea (RoK) and the European Union (EU). 

Improved growth quality and business environment

Mr. Lam reported that the economic structure transformed positively in which the agro-forestry-fishery sector accounted for 15.34%; industrial and the construction sector made up 33.34%; the  service sector occupied 41.32%. Product tariffs accounted for 10%.  

The country recorded high credit growth, abundant remittances and foreign direct investment (FDI), stable exchange rate, and increasing foreign exchange reserves. 

Viet Nam continued focusing on economic restructuring to increase competitiveness, improve the business environment, and promote start-up movements.

However, the country faced certain difficulties such as a strong reduction in farm produce and food prices, which had negative impacts on livestock breeding, while natural disasters and diseases wrecked havoc in many localities./.

By Khanh Phuong