HSBC: 6.7% GDP growth target within reach

VGP – Viet Nam’s 6.7% GDP growth target in 2016 set by the Government is definitely within reach, said the Hongkong and Shanghai Banking Corporation (HSBC).

January 07, 2016 8:46 AM GMT+7

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The HSBC recently published a report on Viet Nam’s macro-economic prospect under the theme “Great expectations.”

The report assessed that Viet Nam’s economy performed properly in 2015 with nearly 6.7% GDP growth rate, the fastest pace over the last eight years and slower inflation rate to only 0.6%.

The bank attributed increasing domestic demand to the economic growth. Consumption power picked up 9.1% against the same period last year, much higher than 6.5% in 2014.

HSBC forecast that credit growth would go up from 14% in 2014 to 18% in 2015. On the contrary, inflation decreased at 0.6% in 2015 thanks to lower petrol prices.

According to HSBC, economic prospects for 2016 would be positive.

The norm of 6.7% GDP growth rate is feasible amidst two-digit export recovery and strong domestic demands.

HSBC experts also predicted that if inflation bounces back in the second half of 2016, the State Bank of Viet Nam will shift to tight policy./.

By Kim Anh