Abstract

Rising trade tensions and volatility in emerging economies were felt in Vietnam in 2018. Nevertheless, the real economy remains resilient, the private sector-led expansion is broad-based, and inflation remains muted. The public finances are being consolidated, bank capital rules strengthened, and capital markets are deepening. Risks are related to geopolitics, trade policy uncertainty and domestic reform implementation. Longer term risks relate to aging, climate change and digitalization.

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