Vietnam is a Southeast Asian country with a population of approximately 101.3 million in 2025, making it the 16th most populous nation globally. It features a youthful demographic profile with a median age of 33.4 years and is undergoing rapid urbanization, with over 41% of its population living in urban areas, particularly in major cities like Ho Chi Minh City and Hanoi[1].
Since the economic reforms known as Đổi Mới launched in 1986, Vietnam has transformed from one of the world’s poorest countries into a dynamic middle-income economy. Its GDP per capita rose from under $700 in 1986 to nearly $4,500 in 2023, with a strong GDP growth rate of 7.1% in 2024 and 7.52% in the first half of 2025, driven primarily by services, manufacturing, and exports[2][3][4]. The country aims to become a high-income nation by 2045, requiring sustained annual per capita growth of about 6% over the next two decades[3].
Vietnam is a major player in global trade, benefiting from 17 active Free Trade Agreements, including significant partnerships with the European Union and the United States. In 2024, bilateral trade with the EU reached nearly $65 billion, and exports to the US topped $119 billion, reflecting Vietnam’s role as a key component of the “China Plus One” strategy for supply chain diversification[2]. Foreign direct investment remains robust, with $38.23 billion registered in 2024, supported by reforms, stable governance, and improving infrastructure[2][4].
The government prioritizes infrastructure development, institutional reforms, and workforce upskilling to sustain growth and address challenges such as skill gaps and rising trade uncertainties. Public investment projects like Long Thanh International Airport and the North-South high-speed railway are expected to boost economic activity further[4][5].
Vietnam is governed as a one-party state under the Communist Party of Vietnam, maintaining political stability while advancing economic reforms. It faces challenges including climate change, social protection for an aging population, and the need to enhance productivity through education and market competition[6][7]. The country also pursues digital transformation and e-government initiatives to foster a tech-friendly business environment[1].
In summary, Vietnam stands as a rapidly growing, globally integrated economy with strategic importance in Southeast Asia and a clear agenda for sustainable, inclusive development.