ADB projects Viet Nam’s economic growth will slow (19/09)
06/08/2010 - 22 Lượt xem
In 2009, the bank projected 6 percent growth, down from the previous estimate of 8.1 percent.
The update projected double-digit inflation this year for Cambodia, Indonesia, Laos, Philippines, and Viet Nam. “Curbing inflation is the crucial macroeconomic challenge facing most Southeast Asian countries,” the bank said from Manila, where it is based.
For Viet Nam, the ADB forecast inflation of 25% and 17.5% for this year and next year, respectively.
“Our suggestion to the Government of Viet Nam is that it probably aims for lower growth rate with lower inflation and lower trade deficit next year,” said Ayumi Konishi, ADB country director for Viet Nam told reporters. “Then Viet Nam will be able to aim at much higher growth in 2010,” he said.
According to him, Viet Nam could achieve higher growth than projected by his bank.
Regarding curbing inflation and expanding growth, he said almost none country has succeeded in controlling inflation and at the same time promoting growth.
The bank’s update report was written before a weekend of financial market turmoil in the U.S. that has already had global repercussions, after Lehman Brothers filed for bankruptcy and Bank of America saved Merrill Lynch with a takeover.
The ADB sharply increased its inflation forecast for Asia for 2008 from the 5.1 percent predicted in April to 7.8 percent, and to 6.0 percent in 2009. Regional economic growth for 2008 was taken down marginally to 7.5%, largely on unstable financial markets and elevated commodity prices. Regional growth in 2009 is expected to further decelerate to 7.2%.
Source: SGGP
