Vietnams 2021 Economic Recovery

Vietnam is open for business again in October 2021, after four months of economic interruptions in efforts to protect health and save lives. The mid-term prospects for Vietnam’s economic recovery are strong.

However, consumer spending will only return to pre-pandemic 2019 levels after 18 to 24 months. This pandemic will force a sharp drop in discretionary expenditure.  There will be GDP growth of approximately 2.4% in 2021. This is the lowest level since 1986 which recorded a 2.3% growth. It will be less than 2020 which recorded 2.9% and in sharp contrast to the 7.0% growth achieved in 2019.