HSBC has revised its forecast for Vietnam's GDP growth this year to 6.5 percent, up from the previous projection of six percent, following the country's better-than-expected performance in the first half of the year, according to the bank's latest 'Vietnam at a Glance' report. Yun Liu, ASEAN economist at HSBC Global Research, noted that Vietnam's GDP grew 6.9 percent year-on-year in the second quarter of this year, nearly the highest level in two years and well above market expectations of six percent. Along with a small upward revision--5.66 percent in the first quarter, Vietnam’s GDP growth expanded 6.4 percent year on year in the first six months of 2024. Unlike growth, inflation appears to be an imminent concern, read HSBC’s report. However, inflation is likely to subside in the second half of 2024, as favorable effects start to kick in.
