MAKING THE TRADE-OFF

摘要

Bank lending is being used as a direct and often blunt lever by which to manage Vietnam's economy, proving a critical first defence against the global economic slump. But the medium-term consequences of over-interference may be another bubble, warn analysts.rnThe Vietnamese economy has endured a fast-paced if jerky ride in recent years. Boasting gross domestic product (GDP) growth rates in excess of 8% for both 2006 and 2007, driven in large part by thumping credit growth, which reached a whopping 54% in 2007, Vietnam's recent economic history has been characterised by both extraordinary exuberance and nerve-wracking volatility.