Vietnam Deputy PM: economy facing mounting pressure

By Thomson Reuters May 19, 2024 | 10:13 PM

HANOI (Reuters) – Vietnam’s economy is facing mounting pressure and the government will maintain policies that support growth, Deputy Prime Minister Le Minh Khai said on Monday.

Khai said inflation is on the rise while credit growth remains weak, adding that global geopolitical situations are unfavourable and unpredictable.

“It’s a huge challenge to reach this year’s socio-economic targets,” Khai said at a month-long National Assembly meeting starting on Monday.

Vietnam is targeting economic growth of 6.0%-6.5% this year, faster than an expansion of 5.05% last year.

Khai said Vietnam will continue policies that are supportive for economic growth, including seeking to cut loan interest rates, restructuring loans for firms facing difficulties and boosting public investment.

He said Vietnam will stick to its target of 15% credit growth this year.

(Reporting by Khanh Vu; Editing by John Mair)