Vietnam’s economic performance in 2025 was remarkable despite global challenges, Asian Development Bank (ADB) Country Director for Vietnam Shantanu Chakraborty said

In a recent interview with the Vietnam Government Portal,
Mr. Shantanu Chakraborty, Asian Development Bank (ADB) Country Director for
Vietnam, held that 2025 has been a rollercoaster year for the global and
regional economies, with a lot of uncertainties and surprises although with
mixed impact on growth and global integration.

However, Vietnam achieved 7.9 per cent GDP growth in the
first three quarters of 2025, up from 6.8 per cent  in the same period of 2024, with positive
quarter-on-quarter growth, according to him.

As of the end of November, exports increased by 16.1 per cent
from the previous year, reaching $430 billion, while imports rose by 18.4 per
cent to $410 billion, resulting in a trade surplus of $20.5 billion.

Robust foreign direct investment (FDI) attraction with
disbursed inflows for the first 11 months reached $23.6 billion, up 8.9 per cent,
while registered capital reached $33.7 billion, up 7.4 percent.

Vietnam’s economic success in 2025 was driven by both
external and domestic factors, with robust trade and investment, and effective
policy responses, he remarked.

“The Vietnamese government has shown tremendous efforts
in undertaking wide ranging reforms to achieve the growth ambition. The
accelerating pace of ongoing institutional reforms with a drive to improve efficiency
is timely and commendable. The focus should be on ensuring prompt and thorough
implementation to deliver the results”, he said.

In terms of directions, the broad reforms in development
policies – ranging from science and technology, innovation and digital
transformation, private sector development, human development in education and
health, and energy security – are all relevant and urgently needed, added the
ADB Country Director.

With a strong performance in 2025, Vietnam is in a good
position to maintain the momentum to push for further growth and manage the
emerging risks effectively.

However, the country faces important challenges in financial
stability, external pressures, climate resilience, and the need for continued
competitiveness and diversification.

Vietnam has many
opportunities to sustain economic growth, attract investment

Regarding main opportunities for Vietnam in 2026 and beyond,
Mr. Chakraborty said, reforms to improve the business environment, strengthen
institutions, and enhance market efficiency can unlock productivity and support
faster, more sustainable growth. There are some mixed results in the early
stage, and more efforts are needed to sustain the early gains.

Besides, a young, tech-savvy workforce supports growth in
digital services, fintech, e-commerce, and smart logistics. The country should
continue making progress in skills upgrading and innovation ecosystems to drive
higher-value, knowledge-based growth.

Building on existing strength, Vietnam has potential to
attract more high-quality FDI in electronics, high-tech manufacturing, and
green industries, supported by investment in renewables, grid upgrades, and
climate-resilient infrastructure. This will create opportunities for both
domestic and foreign investment growth.

The ADB Country Director suggested Vietnam give priority to
expanding domestic demand – both in consumption and investment, which is
supported by continued public investment in transport, digital infrastructure,
and climate-resilient projects, while sustaining structural reforms to improve
the business environment, raising productivity, and advancing digital and green
transitions. Measures to foster innovation and technology can be pursued
through functional markets for science, technology, and entrepreneurship, a
vibrant start-up ecosystem, a robust regulatory framework and public-private collaboration.
They are essential for strengthening competitiveness and securing higher-value,
more sustainable growth and raise household incomes, improving consumer
confidence.

Mr. Chakraborty emphasized the need to sustain external
demand, particularly in manufacturing and exports, by enhancing competitiveness
and diversifying markets as well as deepen domestic firms’ integration into
global value chains by linking with FDI exporters, maintain strong
manufacturing performance and FDI inflows.

Vietnam’s economic outlook is still positive, with strong
opportunities in FDI, digital transformation, green growth, and innovation.
Realizing these opportunities will require effective implementation of
structural reforms, balanced macroeconomic management, and continued investment
in human capital and infrastructure. The main risks are external shocks and
domestic structural challenges, but with the right policies and support, Vietnam
is well-positioned for sustainable, high-value growth,  said Mr. Chakraborty.

Key measures for
Vietnam to drive double-digit growth

The Vietnamese Government has set course for an ambitious
goal to achieve high-income status by 2045, and a growth target of double-digit
growth in 2026-2030, especially in a challenging global environment.

In the ADB Country Director’s opinion, the target is
meaningful as a directional guidance for the government’s reform efforts, and
its achievement is dependent on effective implementation of necessary actions.

To maintain high growth over a long period, Vietnam needs to
push further foundational reforms to expand its exports, investment, and
consumption, while maintaining macroeconomic stability, recommended Mr. Chakraborty.

In the near term, a large stimulus for public investment can
be a boost for growth, and careful project selection and swift execution are
important to ensure high return to investment and strengthen fiscal
sustainability.

In the longer term, accelerated public investment in quality
infrastructure can help unlock private sector investment and FDI to strengthen
the country’s competitiveness. Such investments including clean energy
infrastructure, and a modernized power grid will also support the government’s
net-zero commitment and mobilize climate finance.

Fiscal stimulus and monetary easing can only push the
economic development in the long run if they are accompanied by efforts to
improve the business environment, ensure transparent regulations, and promote
digital transformation.

These reforms will help Vietnamese businesses move up the value
chain and improve efficiency in both private and state-owned enterprises. They
should promote innovation and technology development through establishing
robust markets for science, research, and entrepreneurship to speed up digital
transformation and foster a thriving start-up ecosystem. Collaboration between
public and private sectors is key to enhancing innovative capacity.

In addition to business regulation reforms, the country also
needs to invest in human resource development, particularly upgrading digital,
technical, and green skills, and strengthening social protection to build
resilience and fostering inclusive growth. They will help enhance the
workforce’s productivity, which is crucial to transform the growth model.

If Vietnam maintains steady progress on macroeconomic
stability, near-term stimulus and longer-term structural reforms, and human
capital development, it is poised to achieve sustained growth goals and build a
more resilient, competitive economy, said the ADB Country Director.

VGP-Van Nguyen