Vietnam could consider prolonging its economic support programme into next year as the economy continues to face headwinds, say World Bank experts.

As part of its Vietnam Macro Monitoring report published on Monday, the World Bank said restoring confidence and promoting the healthy development of the real estate market is crucial to boosting economic stability in the short term and economic growth in the long term.

The report revealed cumulative foreign direct investment (FDI) commitment between January and November continued to rise, reaching $28.8 billion, a 14.8% increase over the same 11 months last year.

This is despite global uncertainties, highlighting investor confidence in the country's economic outlook.

Nevertheless, Vietnam Plus reports that the figure is around 10% under the pre-pandemic level in 2019.

As of the end of November, FDI disbursement stood at $20.3 billion, a 2.9% increase over last year, the report adds.

Furthermore, a recovery in external demand continued to increase the export and import of goods, rising by 6.7% and 5.1% year-on-year, respectively.

The industrial production index edged up by 2.7% month-on-month in November, a result of the increased production of key export products, including textiles and electrical equipment. However, Vietnam's Purchasing Managers' Index (PMI) for last month remained under the 50-mark separating growth from contraction, at 47.3, the lowest level recorded since May this year.

The country's Consumer Price Index (CPI) inflation was stable in November at 3.5% year-on-year, compared to 3.6% year-on-year the month before, remaining under the 4.5% inflation target.

Moreover, the government's budget revenue collection between January and November declined by 6.2% compared to the same time last year due to a slowdown in economic activity.

In contrast, 11-month cumulative public expenditure accelerated by 10.6% year-on-year, highlighting government efforts to bolster the slowing economy.

In addition, there was an increase in public investment disbursement between January and November by 36.3% year-on-year, yet this still only represented 63.4% of the country's annual capital budget allocation, which the National Assembly approved for this year.