Slowdown in Vietnam’s Economic Growth Forecasted by UOB for the Second Half of the Year

Vietnam’s Economic Outlook: UOB Forecasts a Slowdown in the Second Half of the Year

UOB Bank has forecasted that Vietnam’s growth may slow down in the next two quarters due to high base and existing external risks. According to the General Statistics Office, GDP in the second quarter increased by 6.93% compared to the same period in 2023, continuing the 5.87% growth in the first quarter. In the first half of the year, Vietnam’s economy grew by 6.42%, far exceeding the 3.84% growth in the same period last year, which creates a positive signal for the rest of the year.

However, UOB’s research team believes that external risks such as conflicts in Ukraine and the Middle East could disrupt trade and energy markets, which may slow down Vietnam’s economic growth momentum. On the other hand, factors like recovery in semiconductor demand, stable growth in China and Southeast Asia, as well as possible monetary policy easing by major central banks will be supportive for Vietnam’s outlook.

Despite this forecast, UOB maintained its forecast for Vietnam’s growth this year at 6%, which is lower than