Việt Nam’s economy has a good start with a growth rate of 5.66 per cent in the first quarter of this year, the highest rate since 2020. However, whether the recovery is firm remains a question.
Policies on unemployment and social insurance have also created challenges in the labour market with a rise in minimum wage which raises input costs, but product prices have not increased.
The flow of foreign direct investment (FDI) into the Vietnamese garment and textile sector has rebounded thanks to the country’s sound investment climate and abundant workforce as well as its open economy, according to insiders.
Textile and garment businesses are making a green push with development of eco-friendly products adapted to global fashion trends and by meeting the stringent requirements under free trade agreements the country has signed, according to industry insiders.