Notably, Vietnam’s public debt is expected to stay at the lowest as compared with eight other ASEAN member countries, the fund said.
The fund also forecast that Vietnam’s GDP growth will rebound to 6.9% in 2024, the highest in Southeast Asia, and its public debt will fall to 31.3% of the national GDP in 2028 from the record 47.5% in 2016. The debt-to-GDP ratio in 2028 will be the lowest within two decades.
In terms of inflation, the lender said it will reach 5% and 3% in 2023 and 2024, respectively.
Over the past time, the State Bank of Vietnam (SBV) has constantly cut regulatory interest rates, paving the way for credit institutions to reduce their lending interest rates, thus spurring economic growth.
Experts described the central bank’s reductions as flexible and timely, and expected that 12-month deposit interest rates will hover around 7% and lending interest rates, 10%./.
