ASART EMPOWERS YOU WITH INSIGHTS.

After several years of rising global instability, 2025 continued to witness prolonged conflicts, resurgent protectionism, widening geopolitical tensions, and continued climate-related disruptions, creating a complex backdrop for economic activity and divergent asset performance. Despite these headwinds, global equity markets delivered a third consecutive year of double-digit gains, fueled by strong corporate earnings, resilient economic data, and investor enthusiasm for artificial intelligence (AI) and tech innovation.

Vietnam's economic performance in the first 8 months of 2025 demonstrates continued resilience and positive momentum, with robust growth, and a stable macroeconomic environment, despite ongoing challenges in the global and domestic landscape. Industrial production has continued a stable growth path. In August, the Industrial Production Index (IPI) maintained its positive momentum, rising by 2.2% compared to the previous month and by 8.5% year-on-year.

Vietnam’s economic indicators in the first 7 months of 2025 continue to reflect the resilience of the economy, despite ongoing global and regional trade and geopolitical tensions. Industrial production has maintained a steady growth trajectory. In July alone, industrial output continued its upward momentum, with the Industrial Production Index (IPI) estimated to have increased by 0.5% compared to the previous month and by 8.5% year-on-year.

Starting from July 1, 2025, Vietnam officially implements one of its most ambitious administrative reforms in decades, cutting the number of provinces and centrally governed cities from 63 to 34. This consolidation is part of a broader national strategy to improve governance efficiency, reduce bureaucratic fragmentation, and support long-term development.

Vietnam’s economy continues to maintain a solid growth trajectory, despite the increasingly complex business environment and unpredictable global landscape. In May, the domestic economy demonstrated not only resilience but also notable momentum, even amid persistent risks stemming from US retaliatory tariff measures, intensifying geopolitical competition among major powers, and downgraded global economic forecasts.

Vietnam's economy continues to maintain an overall positive momentum, despite seeing some impact of external uncertainties. April, marking the start of a sensitive period ahead of the announced tariffs from the United States (currently postponed to July and under negotiation), witnessed not only resilience but also remarkable momentum from the domestic economy.

Preliminary estimates indicate that Vietnam’s Gross Domestic Product (GDP) expanded by a robust 6.93% year-on-year (yoy) in Q1 2025, marking the strongest first-quarter growth in five years. This acceleration was driven by broad-based recovery across all three key economic sectors: agriculture, forestry, and fishery; industry and construction; services.