Vietnam’s first half of 2022 was marked by optimism and recovery post COVID-19; the second half by challenges in real estate, the corporate bond market and export-oriented industries. KPMG’s Vietnam Performance Monitor deep dives into full-year 2022 performance across sectors to set out key challenges and opportunities as we head into 2Q23. 

KPMG’s Financial Performance Index (“FPI”) indicates increased corporate distress levels in Vietnam since early 2022, with the score dropping from 94 in 4Q21 to 84 in 4Q22. Key drivers of uncertainty included slower than expected initial recovery of tourism after reopening post-COVID-19, reduced exports due to economic uncertainty overseas and turbulence in Vietnam’s real estate and corporate bond market around 4Q22.