EuroCham Survey: Vietnam's Business Climate Index Rises 6 Points
Vietnam's Business Climate Surges in Q2 2018 (EuroCham Survey)
This article highlights the strong positive outlook for Vietnam's business climate in the second quarter of 2018, based on a survey conducted by the European Chamber of Commerce in Vietnam (EuroCham).
BCI Soars, Reflecting Business Sentiment
Vietnam's Business Climate Index (BCI) saw a significant jump of 84 points compared to the previous quarter.
This surge indicates a major improvement in business sentiment among European companies in Vietnam.
The BCI score reached its highest level in 18 months, just two points below the all-time high recorded in Q3 2016.
EuroCham Members Express Widespread Optimism
EuroCham members reported a positive outlook across various aspects of their businesses.
This optimism includes their own investment and profit projections, workforce levels, and Vietnam's overall economic outlook.
Over 70% of members described the situation for their companies in Q2 as positive, with a significant portion rating it as "good" or even "excellent." This positive sentiment extends to the next quarter, with strong expectations for continued growth.
Confidence in Vietnam's Economic Stability
EuroCham members anticipate stability or improvement in Vietnam's macroeconomic situation in the coming quarter.
Only a minimal percentage expressed concern about economic deterioration.
Expansion Plans and Revenue Growth Projections
A majority of companies project staff and investment increases in the following quarter, indicating confidence in future growth.
Over three-quarters of members expect a significant or moderate rise in orders and revenue during Q3.
Focus on Corporate Social Responsibility
The survey introduced a new category - Corporate Social Responsibility (CSR).
Interestingly, 87% of respondents viewed CSR as a crucial element of their business operations in Vietnam.
Overall Positive Message for Vietnam
EuroCham's Co-Chairman, Nicolas Audier, emphasizes the positive sentiment among European companies and investors regarding Vietnam. The growing EuroCham membership exceeding 1,000 further reinforces this message, showcasing Vietnam's attractiveness as a trade and investment destination.
