Vietnam faces challenges to reach its 6.5% economic growth target

Vietnam's ambitious economic growth target of 6.5% for this year is facing significant hurdles due to a global economic slowdown affecting exports, a crisis in the local property sector, and higher interest rates that are hampering businesses, lawmakers have warned. The weak GDP growth in the first quarter and financial difficulties in the construction sector and capital markets are making the forecast expansion challenging, according to Vu Hong Thanh, head of the Vietnamese Economic Committee of the National Assembly. Vietnam's economy, highly dependent on exports, is feeling the impact of global demand slowdown and funding challenges, aggravated by the government's anti-graft campaign that has deterred investors.