Janice R. Andrews
Vietnam’s economy showed surprising strength in the latest quarter, with growth accelerating despite the challenges posed by Typhoon Yagi. According to the General Statistics Office, the country’s gross domestic product (GDP) expanded by 7.4% in the third quarter, outpacing the Bloomberg survey’s projection of 6.1% and improving upon the revised 7.09% growth seen in the previous quarter.
The nation’s economic resilience was evident in its robust export and manufacturing sectors, which performed well even as Typhoon Yagi inflicted damages exceeding $3 billion. While the government estimates the storm will reduce this year’s GDP growth by 0.15 percentage points, Vietnam remains committed to its ambitious 2024 growth target of up to 7%, a significant increase from last year’s approximate 5% growth.
The typhoon did cause some disruption, leading to the first contraction in factory activity in five months. However, Vietnam’s overall economic outlook remains positive, demonstrating the country’s capacity to bounce back from natural disasters and maintain its status as a key economic force in Southeast Asia.
