Việt Nam emerges as bright spot of adaptation amid global turbulence: Malaysia-based economist

Việt Nam emerges as bright spot of adaptation amid global turbulence: Malaysia-based economist

Against the current challenging backdrop, international observers view Việt Nam as a model “success story” thanks to policy consistency and strong execution.

Rooftop solar panels in Cần Thơ city. — VNA/VNS Photo

As global geopolitics undergoes profound shifts, particularly with ongoing conflicts in the Middle East impacting energy security and global economic flows, Việt Nam is emerging as a standout example of resilience and adaptability, according to Shan Saeed, chief economist at Asian proptech group Juwai IQI.

In an interview granted to Vietnam News Agency correspondents in Kuala Lumpur, Saeed emphasised that in today’s era, energy is no longer merely a production input but a defining factor of national power and standing. He noted parallels with the 1970s, when geopolitical tensions were accompanied by oil price shocks, central banks accumulated gold, and the US dollar weakened, leading to high inflation and sluggish growth.

Against the current challenging backdrop, international observers view Việt Nam as a model “success story” thanks to policy consistency and strong execution, according to the economist.

Assessing ASEAN, Saeed described the region as possessing “asymmetric resilience”, where countries with strong commodity buffers, fiscal space, and credible policies outperform others. Malaysia and Indonesia, for example, demonstrated fiscal discipline by shifting from broad subsidies to targeted support mechanisms.

Việt Nam, meanwhile, stood out for its sustained macroeconomic stability and robust industrial growth momentum. The country has maintained key fundamentals, including foreign exchange reserves, budget deficit control, debt-to-GDP ratios, and currency stability, through flexible monetary and fiscal policies.

According to him, these achievements came as results of decades of the Government's skilful combination of economic tools for promoting growth.

One of Việt Nam’s most notable strengths is policy consistency. Across areas such as industrialisation, energy, and education, the country has maintained a clear and stable development roadmap, boosting investor confidence.

Entering a new energy era, Việt Nam is approaching a critical phase where success will hinge on implementation. Under Power Development Plan VIII (PDP VIII), the country aims to increase its installed power capacity from the current 84 GW to as much as 236 GW by 2030, positioning itself among the world’s most ambitious energy investors. With cumulative foreign direct investment surpassing US$500 billion, Việt Nam is transitioning from a labour-intensive export-driven economy to a more advanced industrial and high-tech manufacturing hub.

Strategic priorities such as grid modernisation, expansion of liquefied natural gas (LNG) infrastructure, and acceleration of renewable energy development are expected to serve as key growth drivers, according to the expert. 

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