Singapore-based United Overseas Bank (UOB) has kept its GDP growth projection for Vietnam unchanged at 6% for 2024, although the performance of the second quarter exceeded the bank’s and market expectations, according to its latest report.

Vietnam’s GDP increased 6.93% year-on-year in the second quarter, continuing the momentum from the 5.87% increase in the first quarter. Overall, the economy expanded by 6.42% in the first half, significantly outpacing the 3.84% growth logged in the same period of 2023.

The report shows that the development in the second quarter was fuelled by the continuous growth of both the manufacturing and services sectors with 10% and 7.1%, respectively.

Additionally, foreign trade remained robust in the second quarter following increasing consumption demand and the increase in semiconductor sales in the world from mid-2023.

According to the report, the majority of foreign investors have a positive long-term outlook for Vietnam. The country attracted $15.2 billion of FDI capital in the first half of the year, up 13.1% year-on-year.