8M25: Domestic demand takes the lead as external risks recede

The macroeconomic landscape of Vietnam in August continued to present a multifaceted picture. Specifically, FDI showed improvement compared to the same period last year, though the overall growth trend remained subdued. Similarly, trade activity sustained modest gains, but lingering effects of tariff-related disruptions continued to cap momentum. On the brighter side, industrial production rebounded as policy clarity over trade measures helped ease manufacturing headwinds. Meanwhile, inflationary pressure remained contained and well within the set target. These positive signals, combined with strong retail sales further boosted by the Independence Day holiday, continued to serve as the primary drivers of growth. Overall, as external uncertainties gradually diminish, Vietnam’s economic development is increasingly being shaped by its internal drivers.