Vietnam Q2 GDP growth estimated at 7.6% y/y, deputy PM says

HANOI, June 20 (Reuters) - Vietnam's gross domestic product is expected to have grown 7.6% in the second quarter from a year earlier, Deputy Prime Minister Nguyen Hoa Binh told parliament on Friday.
Binh said annual growth for the first half is estimated at 7.3%, adding it would be a "big challenge" to reach this year's growth target of 8%.
He said Vietnam is seeking to maintain harmonious trade relations with the United States and China, its two largest trading partners.
Vietnam has been holding negotiations with the U.S. to strike a deal that would allow Vietnamese goods to avoid a 46% tariff rate, imposed largely as a result of its big trade surplus with Washington.
"Vietnam is doing its best to avoid the U.S.'s 46% reciprocal tariffs on its products," Binh said. "We don't assume that the tariff will take effect."
To meet this year's GDP target, Vietnam has been seeking to "renew" its existing growth drivers, including exports, manufacturing, public investment and foreign direct investment, Binh said.
He added that Vietnam is also seeking new growth drivers, including green investment as well as high-tech industries like semiconductors.

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

The Independent

an hour ago

• The Independent

Thai prime minister visits border with Cambodia after leaked conversation triggers resignation calls

Thailan d's Prime Minister Paetongtarn Shinawatra visited the border with Cambodia on Friday as she faced resignation calls following a leaked phone call between her and Cambodia's former leader discussing recent border tensions. Paetongtarn traveled to a border town in northeastern Ubon Ratchathani province, near a small contested territory with Cambodia where a brief confrontation between the two sides on May 28 killed one Cambodian soldier. A statement from Thailand's Government House said Paetongtarn's visit was aimed at boosting morale among soldiers who are working hard to protect the country's sovereignty and interests. Several groups of activists said Friday that they would rally next week to demand Paetongtarn's resignation. Cambodia's Senate President Hun Sen on Wednesday released a 17-minute recording of a conversation with Paetongtarn. She could be heard telling Hun Sen not to listen to 'an opponent' in Thailand. It's believed to be a reference to regional Thai army commander Boonsin Padklang, who had publicly criticized Cambodia over the border dispute. Before the leak, Paetongtarn had already been criticized for a perceived soft stance toward Cambodia, especially by right-wing nationalists who are longtime foes of her father, former Prime Minister Thaksin Shinawatra. During Friday's visit, Paetongtarn was filmed walking alongside Boonsin, the commander of the 2nd army area who oversees the border area including the site of the recent clash, in an apparent display of unity between the government and the military. Thailand's military plays a major role in politics. It has staged 13 coups since Thailand became a constitutional monarchy in 1932. Paetongtarn's father, Thaksin, was ousted in a coup in 2006, and Thaksin's sister, Yingluck Shinawatra, who became prime minister in 2011, was also toppled by the military in 2014.

Coin Geek

an hour ago

• Coin Geek

Philippines to implement ‘crypto' tax framework by 2028

Getting your Trinity Audio player ready... The Philippine government has committed to adopt an international reporting framework for digital currency assets by 2028, aligning with global efforts to curb cross-border tax evasion and illicit financial flows. The move underscores the country's Department of Finance's (DoF) push to strengthen fiscal transparency as digital currencies become more mainstream in the country. 'We need faster and stronger systems for collaboration if we are to beat tax evasion and illicit transactions,' Ralph Recto, Finance Secretary, said in a statement. 'The government must ensure that crypto-asset users are paying their fair share of taxes and that no illicit financial activity goes unpunished.' Joining 67 jurisdictions in global tax transparency initiative Source: Department of Finance/Facebook During the 8th Asia Initiative Meeting held in Malé, Maldives, Finance Undersecretary Charlito Martin Mendoza formalized the country's commitment to adopt the Crypto-Asset Reporting Framework (CARF), developed by the Organisation for Economic Co-operation and Development (OECD). The CARF is designed to standardize the automatic exchange of tax information on crypto-assets across jurisdictions. The framework ensures that individuals and entities engaging in cross-border digital asset transactions cannot hide income or gains from tax authorities. The Philippines joins 67 jurisdictions, 10 of which are in Asia, that have pledged to implement the CARF by either 2027 or 2028. The timing of the country's commitment aligns with the end of President Ferdinand Marcos Jr.'s six-year term, during which fiscal discipline and transparency have been recurring themes. 'This is a timely commitment as digital currency becomes one of the preferred means for transactions,' Recto noted. Digital currency growth and risks in the Philippines Recto previously stated that Filipinos have invested an estimated PHP6 trillion ($107 billion) in digital currencies, more than double the combined size of the country's business process outsourcing and offshore gaming sectors. 'In the Philippines, a lot of Filipinos have already invested in crypto. Something like 6 trillion pesos worth of investments in crypto is being done,' Recto told Bloomberg in an interview earlier this year. He attributed this growth to a tech-savvy, youthful population and the widespread use of digital wallets, noting that 90 million Filipinos now use such tools to save, invest, and transact. However, third-party data paints a more measured picture. Blockchain analytics firm Chainalysis estimated the Philippines' 2024 crypto flows at $43.1 billion, down from $66 billion in 2023. The firm attributed the apparent 40% drop to revised methodologies for tracking decentralized finance (DeFi) activity. Despite the discrepancy, the numbers underscore the importance of tax authorities keeping pace with the rapid adoption of digital currencies. The decentralized and borderless nature of digital assets presents challenges for enforcement and taxation. Boosting exchange of information ahead of CARF rollout The DOF also reported on parallel efforts to improve tax transparency and compliance mechanisms. At the Asia Initiative Meeting, the department shared the country's progress in adopting the Convention on Mutual Administrative Assistance in Tax Matters (MAAC), a multilateral tool for tax assessment and collection cooperation. It also outlined the steps taken to prepare for the Enhanced Monitoring Process, the strengthening of the Exchange of Information (EOI) on request, and the adoption of the Common Reporting Standards (CRS). The Asia Initiative aims to enhance international cooperation on tax transparency and combating illicit financial flows. The Philippines became a member in 2023 and has since been working to align with globally agreed-upon standards. The meeting also marked the launch of the 2025 Tax Transparency in Asia Report, which details regional progress made in applying tax transparency frameworks throughout 2024. Globally, efforts in tax transparency have proven effective. From 2009 to 2024, at least €24 billion ($27 billion) in additional revenue has been identified through EOI, offshore investigations, AEOI (Automatic Exchange of Financial Account Information), and related disclosure programs. In 2024 alone, €1.9 billion ($2 billion) in undeclared income was identified through these means. Raising revenue without tax hikes The CARF commitment comes as the Marcos administration reiterates its intention not to introduce new taxes. Instead, it aims to increase state revenue through improved collection and enforcement. This policy direction already has been bearing results, according to the government agency. In April 2024, revenue collection reached PHP522.1 billion ($9 billion), bringing the total for the first four months to PHP1.5 trillion($26 billion). Of this, 94% came from taxes, thanks to an 11.49% increase in tax revenues. The DOF says the digital currency framework complements these efforts by plugging gaps in areas where tax evasion risks are highest. Watch: The Philippines is moving toward blockchain-enabled tech title="YouTube video player" frameborder="0" allow="accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share" referrerpolicy="strict-origin-when-cross-origin" allowfullscreen="">

Reuters

an hour ago

• Reuters

Warplane maker HAL wins bid to privatise India's small satellite launch rockets

BENGALURU, June 20 (Reuters) - Hindustan Aeronautics Ltd ( opens new tab has won the bid to privately make India's small satellite launch rockets, the country's space regulator said on Friday, the government's biggest step yet to open its fast-growing space industry to private players. Reuters reported in February that three consortiums - Alpha Design Technologies, a unit of Adani Defence Systems and Technologies, state-backed Bharat Dynamics ( opens new tab and HAL - were the finalists to acquire India's Small Satellite Launch Vehicle (SSLV) technology. Fighter jet maker HAL had applied independently, Indian Space Research Organisation (ISRO) said in a statement on Friday, without disclosing the deal value. Reuters reported earlier that HAL was expected to pay about 3 billion Indian rupees (about $35 million). By winning the bid to make the rocket, capable of carrying 500kg payloads to low-Earth orbit, HAL will have the capability to independently build, own, and commercialize SSLV launches, said Pawan Goenka, the head of Indian National Space Promotion and Authorisation Centre. About 20 companies had initially expressed interest in bidding for the SSLV, the first privatisation of its kind under Prime Minister Narendra Modi's policy drive to open up India's space industry. The global low Earth orbit launch vehicle market was valued at $13.9 billion in 2023 and is estimated to grow to about $44 billion by 2032, according to Global Market Insights. India, which accounts for only 2% of the global space economy, is eyeing a fivefold expansion to $44 billion by the end of the decade. ($1 = 86.6450 Indian rupees)