Vietnam: consumer confidence on the rise

Consumer spending in Vietnam will increase in the coming months

Good news comes from the Vietnamese economy. Based on what was reported by Vietnam Briefings, the consumer confidence index in the third quarter of 2014 recorded the highest value since 2012, reaching 102 points: if we consider that the figures above 100 points are indicative of the optimism that families have towards the economies in which they live, it is easy to understand how this positive signal is representative of the satisfactory path undertaken by Vietnam.

The value in question, which has risen by four points compared to the previous quarter, will consequently be reflected in consumption: the evolution of the index in fact suggests greater spending by families in the coming months as regards clothing, technological products, furniture, holidays and free time.

It is considered appropriate to note that the Vietnamese population still shows a cautious attitude in relation to spending and consumption: to date, seven out of ten citizens prefer to save rather than make new purchases. However, since consumer behavior generally follows that of the economy, one cannot help but deduce that the situation has undoubtedly improved since the summer of 2014.

The data on Foreign Direct Investments also testify to the trust in the Asian country: according to the Foreign Investment Agency, which falls under the control of the local Ministry of Planning and Investments, from January to October 2014, Vietnam attracted a flow of FDI amounted to USD 13.7 billion, an increase of 5.9% compared to the same period last year. On the basis of these figures, Hanoi has therefore declared that it will continue its policy of openness towards foreign countries and that the economic prospects are considered very favourable.

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