The Standard Chartered Bank has predicted Vietnam is likely to post gross domestic product (GDP) growth of 8.8 percent in 2007, with strong likelihood of its accession to the World Trade Organization (WTO) late 2006, a local newspaper reported Thursday.

"Growth in 2007 and beyond for Vietnam will benefit greatly from lower tariffs and increased access to the world markets. I believed exports will be the engine for GDP growth in Vietnam," Josepth Tan, economist at the bank's global research team, was quoted by the Vietnam News as saying.

The country would have gained GDP growth of more than 8.2 percent in 2006, if it had joined WTO in 2005, said the Standard Chartered Bank, a London-based international bank with significant operations in Asia, Africa, the Middle East and Latin America, in its recent analysis.

The bank also sees Vietnam's inflation staying at 7.7 percent in 2006, before rounding off in 2007.

Vietnam is expected to witness GDP growth of 8-8.2 percent in 2007, Vietnamese Minister of Planning and Investment Vo Hong Phuc said at a recent meeting, noting it has targeted an economic growth of 8 percent in 2006 and more than 8 percent in 2007.

Vietnam's GDP, which grew 8.43 percent to 53 billion U.S. dollars, or GDP per capita of 640 dollars last year, increased 7.4 percent in the first half of this year, according to the country's General Statistics Office.

Source: Xinhua