BRAVE Southeast Asia Tech: Singapore, Indonesia, Vietnam, Philippines, Thailand & Malaysia Startups, Founders and Venture Capital VC

Vietnam: US & China "Love Triangle," 2023 GDP Growth Underperformance & 2024 Economy Forecast with Valerie Vu - E374

01.28.2024 - By Jeremy AuPlay

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Valerie Vu, Founding Partner of Ansible Ventures, and Jeremy Au talked about three main topics:

1. 2023 Vietnam GDP Growth Underperformance: Valerie Vu reflected on the challenges faced by Vietnam’s economy in 2023, including 2023's GDP growth of 5.1% being lower than the government target of 6.5%. They discussed root causes such as the global economic slowdown, slowing imports, US interest rates, inflation, Vietnam's domestic anti-corruption campaign, and intertwined local real estate turmoil and credit crunch.

2. 2024 Vietnam Economy Forecast: Valerie shared her optimistic outlook for Vietnam's economy in 2024 with her expectation that the government will implement stimulus measures and improve policies to achieve a 6 to 6.5% GDP growth target. She believes that this is driven by the upcoming 2026 14th National Congress as well as the the continued shift from traditional industries to technology-intensive sectors, particularly semiconductors and software. She also emphasized Vietnam's transition from 'Made in Vietnam' to 'Make in Vietnam', signifying a new industrial policy push to move up the production value chain (as Singapore had done in the 1970s).

3. US & China "Love Triangle": They discussed President Joe Biden and President Xi Jinping's 2023 diplomatic visits to Vietnam and how Western and Chinese media portrayed Vietnam's relationship with US and China. Valerie shared how the Vietnam government is focused on technology deals with the US, and infrastructure with China - and which country they are most aligned with.

Jeremy and Valerie also discussed the role of foreign direct investment (FDI) in the economy, Vietnamese youth’s passion for entrepreneurship, and the significance of educational reforms in fostering innovation.

Watch, listen or read the full insight at https://www.bravesea.com/blog/us-china-love-triangle

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