Salford & Co.

ECONOMIC
GROWTH
IN
Presentation

VIETNAM
Definition of “Economic
Economic growth is an increase in the production
growth”
of goods and services in an economy over a period
of time. It can be measured by indicators such as
gross domestic product (GDP), gross national
product (GNP), or per capita income.

How to
measure:
Quarterly growth at an annual rate
Four-quarter or year-over-year growth rate
Annual average growth rate
 FACTORS
AFFECT economic growth"

• ECONOMIC
Technological advancements and
GROWTH
innovation
• Increases in productivity
• Investment in capital
• Improvements in infrastructure
• Government policies that promote
entrepreneurship and innovation
 E X PA N S I
ON
4 PHASES
TROUG OF PEAK
H BUSINESS
CYCLE
CONTRACT
ION
THE FUNCTION
OF ECONOMIC
* Higher incomes and living standards for consumers.
GROWTH
* More profits and confidence for businesses.
* More employment opportunities and human capital for
workers.
* More tax revenues and public services for governments.
* More technological advancements and innovations for
society.

The function of economic growth is to improve the economic well-

being of a population. Economic growth can provide various
benefits
Challenges associated
with economic growth
ECONOMIC
GROWTH IN
VIETNAM
AN OVERVIEW OF VIETNAM’S ECONOMIC DEVELOPMENT
AND ACHIEVEMENTS IN EARLY 2023
AN OVERVIEW OF VIETNAM’S ECONOMIC DEVELOPMENT
AND ACHIEVEMENTS IN EARLY 2023

Summarize:
* GDP growth in the second quarter of 2023 and the first 6 months of the
year reached the lowest level from 2011 to 2023 but remained positive with
a stable economy and controlled inflation.

* Vietnam's economic situation in the second quarter of 2023

AN ANALYSIS OF VIETNAM’S ECONOMIC
GROWTH
Figure 1: GDP, GDP per capita and economic growth rate in 2019-
2022

Source: World Bank

When compared to other countries in
the ASIA, Vietnam has the 2nd highest
economic growth rate in 2023 with
8.80%, just after Malaysia with the
average rate of 9.36%.
 ECONOMIC
SECTORS
CONTRIBUTED
TO VIETNAM'S
ECONOMIC
DEVELOPMENT
Electrical machinery
and equipment
 GELEX ELECTRICITY JOINT
STOCK COMPANY
This company is a leading manufacturer of
electrical transformers, switchgear, cables, and
meters.
FOOTWEAR
Tae Kwang Vina Industrial Joint
Stock Company

This company is a
joint venture between
the Korean
corporation Tae
Kwang Industrial and
the Vietnamese
corporation Vinatex.
Services
 Vietcombank
This is the largest commercial
bank in Vietnam by total assets,
deposits, and loans
Agricultur
e
 Hoang Anh Gia Lai Agricultural Joint Stock Company

This company is a private

enterprise that focuses on
cultivating, processing,
and exporting rubber,
sugarcane, palm oil, and
fruits.
CHALLENGE
S
CHALLENGE
S
Summarize:
* The global economy is slowing down, and Vietnam's outlook is not optimistic.
- Global economic growth is forecast to drop to 2.8% in 2023.
- The contraction of the industrial sector is the main reason why Vietnam's economy decelerated in the first quarter.
- Concerns about the risk of the possibility of a global economic recession makes manufacturers less optimistic
about the recovery of Vietnam's aggregate demand.
- It is forecasted that Vietnam's industrial growth, trade, and foreign investment will be badly affected in 2023.
Solution
s
 Solution
s
- Find quality orders and reduce risks, it is necessary to share experiences and policy information between
Vietnamese trade agencies and businesses. For businesses facing problems in export activities, it is necessary
to ensure sustainability and stable growth.
- Improving government spending, implementing a policy that supports short-term demand, removing barriers
to the implementation of public investment, and addressing the difficulties and problems of ministries,
departments, and localities.
- Reducing cost losses related to logistics: misdelivery, delays, inefficient employee management, and lack of
planning and forecasting.
- Continue to monitor the situation to predict possible situations better, thereby ensuring the stability of the
market and operating policies to help businesses feel secure in planning their investments as well as
maintaining Vietnam's competition.
Solution
s