Vietnam's economy recorded a growth of 5.3% in the third quarter of 2023, which is an interesting development given that many experts predicted a continued pessimistic outlook for the Southeast Asian markets. The Vietnamese government had set a target economic growth rate of 6.5%, and according to the General Statistics Office (GSO), the decrease in loan interest rates and increased public investment have had a positive impact on Vietnam's economic growth.

However, analysts caution that the achieved growth rate may not surpass 4.7%. As reported by AFP, Tran Thi Ha My, the Chief Economist of Rong Viet Stocks Company, pointed out that the government's expected growth is largely reliant on industrial production and exports. Many world-class footwear and apparel brands have made Vietnam one of their manufacturing hubs. Nevertheless, some brands like Adidas, Nike, and Reebok plan to conduct layoffs for the third time in 2023.

Although slightly more optimistic than analysts, the Asian Development Bank also predicts that Vietnam's growth will not reach 6%. The weak external environment may hinder production demand from the Vietnam region.

For Southeast Asian economists, Vietnam has been a noteworthy success story, especially after achieving an 8% growth rate in 2022. Vietnam's ability to bounce back from the pandemic has been one of the factors contributing to positive sentiment for the communist country."