Vietnam wind sector to see growing opportunities: Fitch Solutions
Vietnam contains one of the highest potential for wind power in the region, as it is endowed with high wind speeds particularly in the offshore or near-shore areas.
Vietnam contains one of the highest potential for wind power in the region, as it is endowed with high wind speeds particularly in the offshore or near-shore areas.
Vietnam holds a number of advantages against other countries at a time when investors are looking to exit China, according to experts.
A lack of a unified legal framework governing PPP is the main factor that Vietnam’s infrastructure sector growth potential is capped at 6.1% per year through 2029.
Fitch expected the central bank to further cut the benchmark rates, which would take the refinancing rate to 4.0% and the discount rate to 2.5%.
FDI will play a key role for the expansion of Vietnam’s industrial buildings sector, as Vietnam emerges as a global manufacturing hub, stated Fitch Solutions.
Any currency weakness is likely to be mild so as to avoid possible sanctions from the US given Vietnam's inclusion in the US Treasury’s currency manipulator watch list.
The growth deceleration was broad-based across the primary, secondary, and tertiary sectors.
Fitch Solution revised its forecast for Vietnam’s credit growth to come in at 11% in 2020, from 12.50% previously.
Fitch Solutions has revised its forecast for Vietnam to record a fiscal deficit of 3.8% of GDP (excluding debt principal repayments) in 2020, versus 3.4% previously.
Coal remains the most practical option in the near-term to stimulate affordable electricity generation growth at the pace and scale needed by the country, said Fitch Solutions.