Việt Nam’s resilience helps it overcome a tough year and reset for new year

The year 2020 was a year like no other. Many unprecedented things happened during the pandemic – the word was named 2020’s word of the year. We’re entering the new year with a new hope despite the fact that COVID-19 transmission is still skyrocketing in many countries.

COVID-19 has turned the world upside down. Grief and sorrow may continue in 2021 but after one year, it’s important to reflect on the last 12 months and anticipate an opportunity to reset for the year ahead.

Việt Nam’s gross domestic product (GDP) was forecast to grow 2.91 per cent in 2020 – the lowest in recent decades. Like other countries, the pandemic had devastating impacts on the country’s economy and society with tens of millions of labourers affected while business closures hit a record high.

However, despite challenges, Việt Nam has been seen as a bright spot in a bleak picture of the world economy. The country is one of the 10 economies with the highest GDP growth in 2020.

When the virus emerged in Wuhan, China in early 2020, many people worried there could have been an outbreak in Việt Nam given it is China’s neighbour, but this did not happen. And when people feared its trade could have been strangled as most of its trading partners were under lockdown, Việt Nam’s trade surplus hit a 5-year high of more than US$19 billion.

The achievements Việt Nam has gained in this “unprecedented time” is testament to the strong resilience of the domestic economy.

Many experts and institutions highlighted Việt Nam’s success in controlling the pandemic as the top reason for the country’s economic success. Yes, but in my opinion, the intrinsic strength of Việt Nam’s economy has been tested in these hard times.

From the Government’s side, introducing appropriate policies at the right time is not enough, but enforcement is equally important. To a certain extent, the implementation of Việt Nam’s economic policies has not been as strong and consistent as the pandemic fighting policies.

If people talk about the pandemic and braving challenges together in 2020, in 2021 we will look forward to recovery post-pandemic. The APEC 2021 in New Zealand has selected the theme “Join. Work. Grow. Together.” with recovery being a focus in the three main areas, including strengthening economic and trade policies, increasing inclusion and sustainability by building a better society for all people and generating a green recovery and pursuing innovation and a digitally enabled recovery.

In 2021 Việt Nam can have economic growth of from 6.5 per cent to even higher than 7.0 per cent, as predicted by many local and international institutions. It is essential for Việt Nam to recover quickly while accelerating structural and institutional reforms, taking into account the advantages of deepening integration and the digital era as well as uncertainties for appropriate risk management./.