Vietnam expects 7% - 8% annual GDP growth in 2011 - 2015
(Source: Bloomberg)

Vietnam's economy may grow between 7 percent and 8 percent annually from 2011 to 2015, according to a statement on the government's website that cited draft measures from the ministry of planning and investment.

The Southeast Asian nation expects the economy to expand 5.2 percent this year, Prime Minister Nguyen Tan Dung said Nov. 19. The $91 billion economy grew 6.2 percent in 2008 and 4.6 percent in the first three quarters of this year.

Vietnam also forecast exports to rise 12 percent a year in the 2011-2015 period, according to the statement. It didn't say what measures would be implemented to meet the goals.

In the 2006-2010 period, the country "basically stabilized the macro economy and maintained growth," the ministry of planning and investment said, according to the statement.

VIETNAM SHINES ON GLOBAL INVESTOR'S MAP
(Extracted from Saigon Times Weekly - September 26, 2009)

Vietnam continues to top the list of prioritized markets for global investors behind the BRIC (Brazil, Russia, India and China) countries in a new research released by the UK Trade & Investment (UKTI) last week.

The research shows Vietnam remains the number 1 destination for global investors in 2009, above United Arab Emirates, Mexico, South Africa, Malaysia, Indonesia, Singapore, Turkey, the Philippines, Saudi Arabia, Ukraine and Poland.

Up to 38% of the 513 respondents who are corporate executives chose Vietnam when asked about the emerging markets they are considering to enter over the next 5 years beyond the BRIC countries.
United Arab Emirates attracted 26% of respondents in the report titled "Survive and prosper: emerging markets in the global recession, " which UKTI conducted in collaboration with the Economist Intelligence Unit of the Economist Group.

In the context of global economic slump this year, more corporate executives still selected Vietnam as its gross domestics product (GDP) has been doubling every 10 years since 1986. The income of people has increased ten-fold since 1986. With a population of 86 million, Vietnam is the 13th most populous country in the world and has a young population whose 65% is under 35 years old.

As a whole, China was chosen as the preferred investment destination over the next year and beyond by most respondents (45%) followed closely by India (43%) and other Asian nations (35%).

UKTI is the government organization that helps the UK-based companies gain success in the global economy. It also helps overseas companies bring their high quality investment to the UK's economy.

Vietnam has attracted US$12.54 billion in foreign direct investment (FDI) in the first nine month of this year, with two thirds of the money pouring into the tourism and real estate sectors.

The Ministry of Planning and Investment's Foreign Investment Agency said US$7.67 billion had gone to 583 newly licensed projects in January - September, down 85.7% year-on-year, and the remaining US$4.86 billion to 168 operational projects, up 7% year-on-year.

Hotel and Restaurant services have set a record with almost US$4.57 billion followed by real estate with US$3.65 billion and processing and manufacturing with US$2.53 billion. Foreign investors believe that Vietnam's real estate market will warm up gradually by the end of this year or early next year.

The top foreign investor in the period was the U.S with combined capital of US$3.96 billion in 24 new projects. It was followed by South Korea, Hong Kong, the U.K, and Singapore.

Vietnam expects to attract US$20 billion in fresh FDI this year.

Major Imports Value
(estimated result in the first nine months / 2009 for key import commodities)

Chemicals: US$1,181 million
Chemical products: US$1,093 million
Plastic materials: US$2,015 million
Machinery, Equipment and Components: US$8,327 million
Auto parts: US$1,095 million
Textiles, Garments and Leather materials: US$1,350 million

Major Exports Value
(estimated result in the first nine months / 2009 for key export commodities)

Crude oil: US$4,768 million
Hangbag, suitcases, hats and umbrellas: US$544 million
Textiles and garments: US$6,730 million
Footwear: US$2,958 million
Machinery, Equipment and Components: US$1,369 million