Staff Reporter

The World Bank has forecasted that Vietnam’s gross domestic product (GDP) will grow by 6.8% in 2025, according to a report released on Wednesday.

The organization highlighted that the uncertain outlook for global trade poses risks for the nation’s export-driven economy.

This GDP prediction falls short of the Vietnamese government’s official growth target of at least 8.0% for this year, following a growth rate of 7.09% in the previous year.

The World Bank noted that export growth is expected to moderate to 12.1% this year, down from 14% in 2024. Further declines are anticipated in 2026 due to expected slowdowns in major markets like China and the U.S., coupled with unpredictable global trade conditions. Inflation is projected to be around 3.5% this year.

Vietnam’s export-oriented economy faces challenges from the U.S. imposing tariffs on its trading partners, as well as the potential for an escalating global trade war.

However, Sacha Dray, a World Bank economist, pointed out that increased public investment could bolster demand and stimulate growth.

“An accelerated recovery in the real estate market, aided by faster project approvals, could further enhance domestic demand,” Dray mentioned during the report’s launch.

The forecast predicts that economic growth will further moderate to 6.5% next year.