Tuesday, October 30, 2007

Indochain Capital MD says Vietnam’s economy will flourish in next five years

Managing Director of the Indochina Capital Group Peter Ryder has predicted that the Vietnamese economy will pick up as more foreign investors will come to the country in the next five years.

Peter Ryder has lived and worked in Vietnam since 1992 and is one of the leading experts in financial services and real estate. He regards Vietnam as the second most attractive and dynamic market in the world just behind China with an average economic growth rate of 7.6 percent over the past 15 years.

With a population growth of 1.5 percent, the Vietnamese population is considered relatively young, creating an attractive labour force and great potential for the development of the consumer market. On the other hand, Vietnam is an important part of ASEAN, which is a dynamic economic area in Asia. Vietnam’s cultural and language and religious characteristics are quite similar to those of developed nations in the region like Japan and the Republic of Korea. This shows that Vietnam has potential for economic development, said Mr Peter Ryder.

After US major chip maker Intel’s decision to build a factory in Vietnam, many foreign investors have showed their keen interests in the lucrative market.

Unlike other regional countries such as Thailand, Singapore and the Philippines, the country’s economic development doest not rely on exports despite being big exporters of agricultural products, garments and textiles.

In addition, the Vietnamese capital market has been flourished over the past two years and is predicted to develop further in the future. All of these factors are creating a huge attraction for Vietnam.