Hanoi (VNA) - Vietnam's economy w🃏itnessed impressive growth, with GDP expanding by 7.09% in 2024, showing a strong recovery from the severe impact of the COVID-19 pandemic and global uncertainty, General Director of the General Statistics Office (GSO) Nguyen Thi Huong has said.

Impressive GDP growth

According to Huong, Vietnam's GDP growth in 2024 was driven by contributions from economic sectors, including agro-forestry-aquaculture, industry and construction, and services. Despite adverse weather conditions, saltwater intrusion, and the impact of Typhoon Yagi, the agro-forestry-aquaculture value grew by 3.27%. The added value of the sectors increased by 2.94%, 5.03%, and 4.03% year-on-year, respectively, showing commendable efforts in ensuring food security and contributing to the country's development. Meanwhile, the industrial and construction sector saw a breakthrough year with a growth rate of 8.24%, driven by the manufacturing and processing industry, which expanded by 9.83%, the highest level since 2019. Additionally, the service sector emerged as the primary growth driver for the national economy, expanding by 7.38%. The nation’s economic growth was driven by exports, with 4.3% growth, and the impact of free trade agreements fueled by recovering consumer demand in major markets such as the US, European Union, and the Association of Southeast Asian Nations (ASEAN). According to Huong, Vietnam's total import-export turnover reached a record high of 786.29 billion USD in 2024, marking a 15.4% increase compared to 2023. This was a remarkable achievement, underscoring Vietnam's growing role in the global supply chain. Vietnam's key export commodities include electronics, computers and components, mobile phones, machinery and equipment, textiles, footwear, wood products, and agricultural goods. The export turnover grew significantly in most major markets, including the US, the EU, the Republic of Korea, and ASEAN. Additionally, the rising inflow of foreign direct investment (FDI) also continued to be a key driver, supporting production and export expansion. FDI disbursement in 2024 increased by 9.4% year-on-year, a significant leap from the 3.5% growth recorded in 2023. This surge not only reflected the recovery of export activities but also demonstrated investors’ growing optimism and confidence in Vietnam’s business environment, Huong said. Domestic consumption also played a crucial role in the nation’s economic growth, bolstered by macroeconomic policies such as VAT reductions, fee and tax relief, wage reforms, and efforts by businesses to lower the costs of goods and services. Domestic shopping and tourism promotion programmes have also further stimulated consumer demand, which had weakened during the COVID-19 pandemic. Accelerating digital economy development and digital transformation has driven breakthroughs across various sectors, helping increase labour productivity and expand opportunities for businesses to access global markets, Huong noted. Despite positive results in trade performance, businesses still faced challenges, Huong stressed. To effectively support enterprises’ production and business activities, the GSO has conducted surveys and provided specific recommendations, focusing on manufacturing, processing, and construction firms, Huong noted. She also underlined the need to issue measures and policies to cut lending rates, stabilise raw material prices, and simplify administrative procedures./.