ASART EMPOWERS YOU WITH INSIGHTS.

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.

In August 2024, Vietnam’s economy experienced stable, rising deposit interest rates, and impressive trade growth. The inflation rate demonstrates a better result in this month when it increases modestly compared to the previous month. The deposit rate experienced an increase from various banks, which had Big 4. The bilateral trade between Vietnam and many other partners surged continuously prompting to trade surplus.

July was the second month in a row witnessing a surprisingly strong economic growth in Vietnam. The recovery of production, import and export in the region including Vietnam has continued. The tourism sector has also experienced a strong recovery, reaching 1.15 million international visitors, a 51% increase compared to the same month in 2023.

Vietnam’s macroeconomy data showed a significant growth in June. Contradicting with the conservative results and views of the first quarter which recorded only 5.7% growth, GDP of the second quarter reached 6.9%, driven by a recovery in exports, risen investment disbursement, and more efficient credit operations.