Vietnam's economic growth slows to 3.82% in first quarter

ABO/NDO - The Vietnamese economy expanded by 3.82% in the first three months of 2020 amid slowing global growth due to the raging coronavirus (Covid-19) outbreak, according to the General Statistics Office (GSO).

Vietnam's economic growth slows to 3.82% in the first quarter of 2020 due to the impact of the coronavirus outbreak.

The statistical agency said on March 27 that despite the government prioritising combating the outbreak and protecting public health over economic benefits, Vietnam’s growth has been maintained without falling into negative territory.

Manufacturing remained the main engine of growth, though rising by just 7.12%, the slowest pace across the 2016-2020 period.

The farming sector barely expanded in the first quarter with a negligible increase of 0.08% while services grew by a modest 3.27%, as the coronavirus outbreak prompted consumers to cut down on shopping in public places as well as cutting expenses on travel and eating out.

Foreign arrivals to Vietnam also dropped by 18.1%, especially those from China, the Republic of Korea and the United States.

On a positive note, Vietnam posted a trade surplus of US$2.8 billion in the first quarter, compared with US$1.5 billion recorded in the first three months last year.

Official data showed exports growth of 0.5% while imports fell 1.9% due to the spread of Covid-19 in many of Vietnam’s major trading partners, including China, Japan, the Republic of Korea, the EU and the United States.

The consumer price index in March decreased by 0.72% as against the previous month as the coronavirus outbreak sent oil prices into a dramatic fall while the supply of poultry products was ample.

(Source: NDO)