Capital City: Hanoi
	It is %T:%M %A in Hanoi, Saigon

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Economic trends

Vietnam's accession to the World Trade Organisation (WTO) on 11th January 2007 will provide an important boost to the economy and ensure the continuation of free-market reforms. The Vietnamese economy is enjoying one of the most sustained growth in the Asian area. Annual GDP growth rate was 8.2% in 2006 and 8.3% in 2007. The growth is mainly driven by exports and private investments. IMF forecasts a growth rate of 8.2% in 2008. Inflation was at 7.3% in 2007. Despite a regular improvement in the living standard, the per capita income in Vietnam still remains low at around 620 USD.

Main branches of industry

Land reform, de-collectivization, and the opening of the agricultural sector to market forces converted Vietnam from a country facing chronic food shortages in early 1980s to the second-largest rice exporter in the world. Besides rice, key agricultural crops are coffee, tea, and rubber. Agriculture contributes nearly 20% to the GDP. Fishing is also an important activity. Vietnam has mineral resources like coal, tin, phosphates and copper. Oil exploration and production is developing. Vietnam has successfully increased production of manufactured goods, especially in labor-intensive sectors like textiles, apparel and footwear. Industrial sector contributes nearly 40% to GDP. Foreign direct investment (FDI) is a dynamic feature of Vietnam's industrializing economy and contributes nearly 4% to GDP. The main investors are Taiwan, South Korea, Hong Kong and Singapore. The services sector contributes nearly 40% to GDP.

International trade

Vietnam has demonstrated its strong commitment to trade liberalization in recent years. It has signed Free Trade Agreements (FTAs) with ASEAN countries and the USA. Vietnam also has a agreement of cooperation with EU. The share of foreign trade in country’s GDP is nearly 150%. The top three export partners of Vietnam are: the USA, Japan, and China. The products mainly exported are crude oil, textile, footwear, sea products, and rice. Its top three import partners are: China, Japan and Singapore. It mainly imports petroleum, textiles & fabric, iron & steel, machinery, and vehicles.