Ashmore: Live From The IC – Vietnam
Vietnam is often regarded as a ‘poster child’ for developing nations, offering a wealth of investment potential. This is with good reason, given several structural growth drivers are underpinned by attractive demographics, a young, well-educated, and low-cost workforce, as well as an advantageous strategic geographic location.
These advantages have seen Vietnam emerge as a leading logistics and manufacturing hub and one of the world’s fastest growing economies. In 2022, Vietnam’s real gross domestic product (GDP) growth was 8.0%. These positives, however, have not been reflected in stock market performance. The local index is 40% down from its 2021 year-end highs in US dollar terms.
Such a dichotomy has highlighted several challenges facing Vietnam. This paper brings readers into the discussion on the health of Vietnam.