Vietnam is set to meet its target of 6.7 percent economic growth this year inspite of encoutering severe natural disasters, and expects to see the same rate of expansion next year.

At the National Assembly’s opening session in Hanoi, Vietnam’s prime minister Nguyen Xuan Phuc highlighted the country’s fast growing economy. Manufacturing output rose 12.8 percent in the nine months through September from a year earlier. Meanwhile, foreign direct investment is rising, new factories are opening, and exports are increasing.

In July, Vietnam’s central bank cut its benchmark interest rate for the first time since 2014, giving the economy a further boost.

Do Ngoc Quynh, head of the treasury at the bank for investment & development of Vietnam in Hanoi said at the time: “These rate cuts will make it cheaper for businesses and individuals to borrow, so it will help spur loan demand and bolster consumption. Vietnamese companies still highly rely on bank lending. We just need to be mindful about how the loans will be used to avoid increasing bad debt.” Earlier in October, Nguyen Thi Hong, deputy governor of the state bank of Vietnam, said that the country was in a strong position to ensure fund availability for loans to companies.

With reserve levels at $45bn, he said that money will allow authorities “to step in to stabilize the money market when needed”. The government plans to exert more control over imports to reduce the country’s $442m trade deficit while increasing domestic sales.

The government also “needs to ensure it can control inflation and continue to improve the investment climate for businesses,” said Vu Hong Thanh, the head of the National Assembly’s Economic Committee. Inflation will average four percent next year. Economists have warned, however, that Vietnam must not neglect its debt problem.