Vietnam’s economy rises from bottom‑ranked per‑capita to emerging growth hub

Vietnam has moved from a per‑capita GDP of about US$122 in 1990, ranked 193rd‑194th worldwide, to becoming a notable link in global supply chains. The shift began with the 1986 Doi Moi reforms that transitioned the country from a centrally planned system to a market‑oriented socialist economy, followed by the 1987 foreign‑investment law that spurred capital inflows. These measures curbed hyper‑inflation, boosted savings, and restored confidence in the banking sector.

Japanese Prime Minister Sanae Takaichi visited Vietnam on 2 May, praising the nation’s rapid development and describing it as a “dragon soaring upward.” She highlighted growing Japanese investment and Vietnam’s proactive foreign‑policy stance amid a complex international environment. Economists cite the reforms and foreign‑direct investment as key drivers of Vietnam’s sustained growth.

Data from the International Monetary Fund underline the historic turnaround, with Vietnam’s per‑capita GDP now far above its early‑1990s level, reflecting broader integration into the global economy.