World Bank2024-08-262024-08-262024-08-26https://hdl.handle.net/10986/42084Viet Nam’s gross domestic product (GDP) grew by 6.4 percent (y/y) in H1-2024 after a moderate 5 percent growth in 2023, boosted by a rebound in manufacturing exports as well as higher consumption and investment. On the production side, manufacturing, export-oriented services, and tourism posted robust growth. Despite recovering, consumer spending remained below pre-pandemic rates. Private investment growth accelerated in H1-2024 but remained below pre- Coronavirus (COVID) levels. The current account registered a substantial surplus, driven by a robust trade performance. However, a continued interest rate differential and strengthening US dollar in H1-2024 increased unrecorded capital outflows leading to a negative external position. The State Bank of Viet Nam (SBV) responded to emerging exchange rate pressures through a combination of gradual devaluation, foreign exchange (FX) interventions, and tighter liquidity. The gradual rebalancing of Viet Nam’s financial system towards a more prominent role of capital markets remains an important agenda, as discussed further in this edition’s special topic chapter.en-USCC BY-NC 3.0 IGOCAPITAL MARKETSFOREIGN DIRECT INVESTMENT ANALYSISEXPORT-ORIENTED INDUSTRIALIZATION AND JOBSTOURISMECONOMIC GROWTHJOBS STRATEGIESJOBSCOMPETITIVE INDUSTRIESINDUSTRY POLICY AND REAL SECTORSTOURISM, RETAIL, CONSTRUCTION, AND REAL ESTATESMANUFACTURING, AGRIBUSINESS, AND SERVICESPRIVATE SECTOR DEVELOPMENTINVESTMENT REFORM MAPPINGBUSINESS ENVIRONMENTINVESTMENT POLICY AND PROMOTIONFINANCIAL INSTITUTIONSFINANCIAL SECTOR DEVELOPMENTTRADE POLICIES AND JOBSDECENT WORK AND ECONOMIC GROWTHSDG 8ReportWorld Bank10.1596/42084