The Center for Economics and Business Research (CEBR) has published the economic growth forecast of 191 countries in 2036, highlighting that Vietnam will unexpectedly rise to the second place in Southeast Asia, while Indonesia still has the biggest economy in Southeast Asia and ranks eighth on the planet.
According to the report, Vietnam’s GDP per person in 2021 is estimated to be $11,608 after taking into consideration purchasing power parity.
The current five-year plan, covering the years 2021-2025 and emphasizing the continuation of the present economic development model, serves the economy to forecast its future. Manufacturing will underpin growth, supported by deeper integration into global supply chains, the pursuit of trade alliances and export diversification.
Strong GDP growth in 2021 will probably be supported by a labor market that has demonstrated resilience. The unemployment rate in 2021 fell to 2.7%, a decline of 0.6 percentage points.
Public debt as a percentage of GDP increased to 47.9% in 2021. with 46.3 percent a yr before. This increase will be attributed to the impact of the pandemic on tax revenues and government spending.
According to the IMF, by 2025 Vietnam will overtake Malaysia ($556 billion), the Philippines ($523.53 billion) and Singapore ($496.81 billion) and advance to the third place in Southeast Asia by way of economic size, behind Indonesia (1 .63 trillion dollars) and Thailand ($632.45 billion).
By 2027, Thailand’s GDP will reach $692.6 billion and Vietnam’s GDP will reach $690.11 billion. After 2028, Vietnam’s economy is predicted to officially surpass Thailand’s.
According to CEBR forecasts, by 2036 Vietnam’s economy will overtake Poland, Switzerland, Sweden, Belgium and Australia.
It will probably be one other 14 years before we discover out whether this prediction comes true or not.
Source: Report of the Center for Economics and Business Research (CEBR), vir.com.vn
