Vietnam’s economy grew more than 5% in the first three months of the year, the government said on Tuesday on the back of a recovery in exports as the country emerges from the worst of the global pandemic, although officials have warned against headwinds.
The communist state has long been a success story among Asian economies, posting 7% growth in 2019.
But growth only reached 2.9% in 2020 as the pandemic shut down most of the world, while last year saw just 2.6% expansion. The numbers are the worst the country has seen since the mid-1980s.
However, the General Bureau of Statistics said gross domestic product was 5.03% year-on-year.
Merchandise export revenue in the first quarter was $88.58 billion, up 12.9 percent year on year, the GSO added. “As the economy continues to show resilience and recover, downside risks have increased as Omicron infections sweep the country and the Russia-Ukraine conflict has heightened uncertainty over the global economic recovery. “, said the World Bank in a report on Vietnam in March. .
“Authorities should encourage exporters to seek new markets and innovate new products through global value chains and existing free trade agreements to build export resilience,” he added. .
After nearly two years of lockdown and strict measures to prevent the spread of the coronavirus, Vietnam began reopening to the world in mid-March, easing medical requirements and quarantine rules.
The country is still reporting more than 2,60,000 cases of infection with the virus per day, but hospitalization and death rates are relatively low, the health ministry said.
More than 90% of adults have been fully vaccinated, with the government urging vaccinations for adolescents and accelerating the rollout of boosters.