Fitch Ratings Warns Vietnam’s Growth Push May Raise Debt Risks
The level of debt in the economy is high, estimated at about 135% of gross domestic product.
Photographer: Linh Pham/BloombergVietnam’s strong push for rapid economic growth could lead to policy decisions that worsen already high debt levels, increasing risks to the country’s credit rating and the health of domestic banks, according to Fitch Ratings.
“We believe there is a risk that the authorities could loosen monetary and credit policy significantly as they seek to achieve the government’s ambitious target,” Fitch Ratings said in a statement Friday.