Relying very heavily on tourism, Covid-19 hit Vietnam hard, much like many other countries across the globe. They locked down immediately: many of the workforce had to take unpaid leave, hotel occupancy rates dropped and flights in and out got been cancelled.
Immediately after the outbreak of Covid-19 in Wuhan, China in November 2019, the ASEAN countries – Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam – were amongst the most vulnerable.
Vietnam and the coronavirus
Southeast Asian country Vietnam is known for its fascinating history, cultural and religious sites, beautiful beaches, bustling cities and incredible culinary options – and as a result attracts many visitors every year. Relying very heavily on tourism, Covid-19 hit Vietnam hard, much like many other countries across the globe. They locked down immediately: many of the workforce had to take unpaid leave, hotel occupancy rates dropped and flights in and out got been cancelled. Due to their quick actions though, as of 29th May, this country has yet to record its first death.
Vietnam was also thought to have an insufficient infrastructure in place to effectively treat and contain the virus, yet it has had major success in flattening the curve. The World Health Organisation’s representative to Vietnam, Kidong Park, has praised the country for how well they have handled it. "Vietnam responded to this outbreak early and proactively. Its first risk assessment exercise was conducted in early January, soon after cases in China started being reported.”
Strict lockdown measures
Not only were thousands of individuals quarantined in military-style camps, Vietnam made huge efforts to create campaigns such as handwashing songs, which in fact went viral. Gatherings of large groups were banned, and face masks were made a mandatory part of everyone’s dress code.
Rigorous testing and admittedly very harsh containment measures worked. As a result, this country has already started opening businesses back up. In late April, some individuals were able to start getting their lives back to normal and head back into work.
Non-essential businesses, however, still remain shut, and with the rest of the world still in lockdown, tourism is not likely to return any time soon – which will naturally put the country to the test.
The financial markets mirror this and present fluctuations of the Vietnamese Dong, which in turn is becoming an interesting opportunity for Forex investments. While there is no confirmed end date to the pandemic, Vietnam, like many other nations, faces an uncertain economic future. However, there certainly signs of hope.
