Vietnam’s debts are forecast to reach a total VND1,375 trillion (USD66.5 billion) in 2011, accounting for 58.7% of the country’s GDP.
This rate would be higher than last year\'s VND1,122 trillion, which equaled 56.7% of the GDP, according to a report cited by the Department of Debt Management and External Finance.
According to the report, the total amount of the country\'s foreign debt reached VND835 trillion (USD40.39 billion) last year, or 42.2% of GDP; this year it is expected to mount to 44.5% of the GDP.
Even though debt is increasing, it is still within the targets set by Government decision in 2004, in which the country aimed to limit foreign debt to within 50% of GDP.
However, the department stated that public debt should be closely monitored, especially for enterprises, due to the fiscal austerity measures adopted by the Government since early this year.
The department is looking into which measures to take to build a legal framework to manage both public and national foreign debts.
Source: dtinews.vn