ADB FORECASTS VIETNAM GROWTH ABOVE 7% THROUGH 2027

Workers assemble vehicle components on a production line at a manufacturing plant in Vietnam - PHOTO: ARCHIVES

HCMC – Growth is projected at 7.2% in 2026 and 7% in 2027, remaining above 7% despite global risks, the Asian Development Bank reported.

The forecast, published in the April 2026 Asian Development Outlook on April 10, is lower than the estimated 8% expansion in 2025 but reflects resilience to external shocks.

ADB attributed the outlook to steady exports, especially ahead of potential U.S. tariff adjustments, along with stable domestic policies and continued investment.

Risks remain from changes in U.S. trade policy, geopolitical tensions, and broader global uncertainty.

Shantanu Chakraborty, ADB country director for Vietnam, said flexible government policies have helped contain inflation and support short-term growth, including during energy supply disruptions linked to conflict in the Middle East.

For the longer term, ADB recommended improving energy efficiency, diversifying supply sources, and accelerating the shift to clean energy.

The report warned that tensions in the Middle East could disrupt oil and gas flows through the Strait of Hormuz, raising transport costs and pressuring global supply chains. Combined with the Russia-Ukraine conflict, these factors could drive commodity price volatility and affect global trade.

ADB also highlighted the need to develop the corporate bond market to diversify medium- and long-term funding. It pointed to greater transparency, a stronger legal framework, and broader investor participation as key to supporting sustainable growth.

Source: The Saigon Times