Vietnam's economy delivered a strong performance in 2025 and is now positioning itself for even faster growth next year, according to a government report reviewing the implementation of the country's socio-economic development plan.
The report showed that gross domestic product grew by 7.85% in the first nine months of 2025, with full-year growth estimated at around 8%. The pace places Vietnam among the fastest-growing economies in Asia and globally, despite a challenging international environment marked by weak recovery, inflationary pressures and geopolitical uncertainty.
Vietnam's GDP is projected to reach about US$510 billion this year, while average per capita income is expected to surpass US$5,000 for the first time.
This milestone signals a significant step in Vietnam's transition towards a high-middle-income economy, underpinned by what the report described as decisive and flexible government leadership throughout 2025.
To sustain growth amid global headwinds, the government focused on maintaining macroeconomic stability, controlling inflation and safeguarding key economic balances.
A coordinated policy approach was adopted, including prudent monetary management, interest rate reductions to support businesses, faster disbursement of public investment — particularly in strategic infrastructure — and stronger export promotion through market diversification.
The authorities also prioritised improving the business and investment environment, easing constraints faced by enterprises, accelerating digital transformation, promoting the green economy and encouraging innovation.
At the same time, social welfare measures and support for people and businesses affected by natural disasters and epidemics were implemented promptly, helping to stabilise livelihoods and maintain economic momentum.
Looking ahead, Vietnam is setting ambitious targets for 2026. A resolution passed during the 10th National Assembly session outlined a goal of achieving GDP growth of 10% or higher, alongside raising per capita income to between US$5,400 and US$5,500.
Dr. Can Van Luc, chief economist at BIDV and a member of the Prime Minister's Economic Advisory Council, said Vietnam's growth next year could reach 9% to 10%, supported by a broad-based recovery in key economic drivers.
He highlighted public investment as a critical engine, with planned disbursement set at 100%, equivalent to about US$34–35 billion, or roughly 7% of GDP — the highest ratio in Asia.
According to Dr. Luc, effective public investment alone could contribute up to two percentage points to economic growth. Domestic consumption, which currently accounts for about 60% of economic expansion, is also expected to remain a central pillar of growth.
Prof Vu Minh Khuong from the Lee Kuan Yew School of Public Policy in Singapore said Vietnam has entered a pivotal stage of development that could lead to a sustained economic take-off over the next two decades. He noted that strong macroeconomic fundamentals, renewed national ambition and rapid progress in digitalisation and innovation have created favourable conditions for faster growth.
To achieve and sustain double-digit expansion, Prof Khuong emphasised the need for deeper institutional reforms based on evidence-driven policymaking, greater value addition in exports — particularly in major markets such as China — and stronger investment in high-quality human capital. He also advocated the development of free trade zones linked to universities and research centres to nurture innovation-led growth.
