IMF sees Vietnam strength, says Bloomberg

Bloomberg wrote that the IMF last month cut its forecast for Vietnamese economic growth in 2009 to 3.3% from a previous prediction of 4.8%.

Vietnamese construction output expanded 6.9% in the first quarter, a “surprise on the upside,” according to a note last month from Viet Nam Property Fund Ltd. Retail sales of goods and services in the country grew 21.5% in the first four months, according to the country’s General Statistics Office.

“We expect some recovery in agriculture in the remainder of 2009, and this combined with robust construction and resilient private consumption should provide support to economic activity despite continued weakness in manufacturing exports and foreign direct investment,” Benedict Bingham, the IMF’s senior resident representative in Hanoi, was quoted by Bloomberg.

The paper said Bingham was commenting in a telephone interview May 4, in response to questions about the lender’s reduction of its 2009 growth prediction for Viet Nam.

“With the global environment this tough, some downward revision in growth was inevitable in 2009,” Bingham was quoted as saying. “Nevertheless, Viet Nam is still going to be one of the strongest performers in the region this year, and we remain positive about the longer-term outlook for Vietnam.”