Dear readers,

As of the end of August, Vietnam’s economy had completed two-thirds of its 2025 development journey. With circumstances at home and abroad continuing to experience both favorable and challenging developments, with the latter outweighing the former, the majority of socio-economic indicators for August and the first eight months of the year generally maintained positive growth.

Such an assessment can be illustrated by typical economic data for August. The Index of Industrial Production (IIP) increased by 2.2 per cent compared to July and 8.9 per cent compared to the same period last year. Total foreign trade value stood at $83.06 billion, up 0.9 per cent from July and 16.0 per cent from July 2024. More than 20,500 new businesses were established, an increase of 23.9 per cent compared to the previous month and 52.9 per cent compared to the same period last year. Over 1.68 million international tourists visited Vietnam, an increase of 7.8 per cent compared to the previous month and 16.5 per cent compared to the same period last year. Total registered FDI capital in the first eight months, as of August 31, reached $26.14 billion, up 27.3 per cent compared to the same period last year; while disbursed FDI capital was estimated at $15.40 billion, up 8.8 per cent compared to the same period of 2024 and the highest figure in the eight-month period for the past five years.

The achievements posted in August contributed to perfecting Vietnam’s socio-economic picture in the first eight months, with many bright spots recorded, most notably total import and export turnover of $597.93 billion, an increase of 16.3 per cent compared to the same period last year; of which exports increased by 14.8 per cent and imports by 17.9 per cent, with a trade surplus of $13.99 billion.

Socio-economic development indicators are, however, only part of the picture. More importantly, the macroeconomy remains stable and pressure from the increased risk of inflation, exchange rates, and interest rates has been overcome, while negative impacts from the consequences of natural disasters and the recent instability of gold prices have been effectively dealt with.

All of this allows the government to maintain the targets set for the year, regardless of the difficulties and challenges.

Speaking at the regular government meeting for August, held on September 6, Prime Minister Pham Minh Chinh emphasized the steadfast pursuit of goals in maintaining macro-economic stability, controlling inflation, ensuring major economic balances, and promoting GDP growth of 8.3-8.5 per cent; achieving high yet sustainable growth; ensuring social security; and improving the material and spiritual well-being of the people.

The socio-economic achievements recorded in the first eight months of 2025 will provide a solid foundation and foster greater confidence for all economic sectors, and especially business communities, both domestic and foreign, to continue to strive to boost production and business activities, thus contributing to achieving the economic growth target of 8.3-8.5 per cent for 2025 as a whole, as directed with high political will by Party and State leaders.

Our Cover Story for this edition therefore focuses on the country’s socio-economic situation in August and the first eight months of this year, assessing the achievements the economy has made while analyzing any potential risks, both subjective and objective, the economy may face, and proposing solutions to help ease the difficulties in the final sprint to the end of 2025.