View Towards Vietnam Growth


Vietnam Growth

The Vietnam bank was established on 1st April, 1963. This is the bank exclusively established for foreign trade. In the year 1990, the Vietcombank focused only on foreign trade to aim at mass market commercial bank. In the year 1996, the official name of the bank was changed. This Vietcombank possesses seven members as Board of Directors. All the share of the Vietcombank stock trades on the Stock Exchange under the tag of VCB. Along with the banking services the bank has extended its services in collective ventures and also in subsidiaries. In the year 2008, the government selected the Vietcombank to privatize and merge with the state owned companies, which raised nearly US$ 650 million, this made the government to Vietcombank to initial for public offering.

In the year 2009, the Vietcombank has been secured the title as ‘Best Vietnamese Bank' for trade and finance. The bank secured this title for two continuous years, and it included in the list of the most prestigious banks in Vietnam. The bank maintained its position for more than a half century by rendering its services in finance and international trade services. Now the Vietcombank occupies a share in the markets in loans and deposits. The bank's profits in the first six months reached more than 2 trillion, VND occupied the first place in reaching the targets among the other banks. Along with the international trade, the Vietcombank concentrated on the domestic banking, for which it was selected as the ‘Best Vietnamese Domestic Bank'. The bank also received an offer from the investor to build few constructional projects. Later the investor asked to withdraw from the project, yet the matter has to be settled.
There is a slight GDP growth rate of the city during the first term of the year, whereas the economic growth decline in the first quarter due to the drop in crude and agricultural production. Whereas the Gross Domestic product increased slightly, when compared with the earlier report. Now the economy is facing many challenges in the international market because of the drop in the prices of the crude oil. If we have a clear glance at the economy of Vietnam, there are imbalances in the economic growth. There is a slight rise in exports, whereas imports declined in the same proportion. The industrial production and Manufacturing sectors jumped higher, whereas agricultural based sectors declined because of severe drought, the growth rate has fallen down in the beginning of the year. The economic expansion of manufacturing and construction has increased the economic growth in the year 2015, The five year social economic plan of Vietnam has started focusing on the restructuring areas like banking sectors, state owned sectors and private sectors to increase the growth in the economy.
Apart from the a decline in the growth rate, in the agricultural sector , the state also wields more influence on land and capital , this has been stagnating for longer period and now the Vietnam needs more productivity growth to meet the current situations. Vietnam started boosting the international economic trade with the other countries such as Eurasian Economic, South Korea and so on. The slowdown in the economy is started with the global crisis . The ASEAN community was established to create more opportunities in the nation to initiate in the regional and global economies. The experts analyzed that the country's recent slow down in the growth was due to the merger and expansion of the provinces and also added few factors between the growth rates in the local areas as there is an absence of connectivity with domestic firms. The Vietnam economy is preparing for a change in the economy, ultimately there may be a change in the development of the economy. Let us wait and see the forecasting developments in the economy.


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