A new study shows that Vietnam is projected to experience surging wealth expansion in the next ten years as it emerges as a global manufacturing powerhouse.
Citing a study by global wealth intelligence firm New World Wealth, CNBC reported that the Southeast Asian country will see a staggering +125 percent increase in wealth growth by 2034, representing the highest expansion in terms of GDP per capita and millionaire population.
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According to the global wealth intelligence firm, Vietnam currently has 19,400 millionaires, 58 of whom have more than US$100 million.
Forbes also reported that Vietnam now has five billionaires with a combined net worth of USD11.8 billion.
With the country regarded as a safe place to do business compared to its regional neighbours, CNBC said that it attracts manufacturers seeking to set up operations in another country.
Its geographical location, with its proximity to the most important shipping routes and a shared land border with China, as well as its low cost of labour and infrastructure supporting exports make it a more attractive destination for global investors.
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Vietnam’s manufacturing sector represents 25 percent of its GDP. Aside from manufacturing, foreign direct investments have significantly contributed to its GDP. In 2023 alone, FDI surged by +32 percent to USD36.6 billion.
Official data shows that Vietnam’s GDP last year fell by -5.05 percent, following +8.02 percent growth in 2022.
(Source: The Moodie Davitt Report)