In 2021, Vietnam’s GDP per capita will reach 3,743 USD/person/year. Currently, the price of RON 95 gasoline in Vietnam is not higher than 26,830 VND/liter. So will the gasoline price compare to Vietnam’s income be high or low for other countries in South Asia?
GDP per capita will show the relative income level as well as the quality of life of people in each country. Therefore, looking at GDP per capita data of countries in Southeast Asia, Singapore has the highest GDP per capita and has the best quality of life for its people.
In 2021, Vietnam’s GDP per capita will reach 3,743 USD/person/year. In Southeast Asia, Vietnam’s GDP per capita is higher than that of Laos (US$2,718/person/year), the Philippines ($3,438/person/year) and Cambodia ($1,730/person/year). Besides, Vietnam’s GDP per capita is much lower than Singapore’s at 62,113 USD/person/year; Brunei is 32,100 USD/person/year, Malaysia is 11,056 USD/person/year; Thailand is 7,030 USD/person/year and Indonesia is 4,349 USD/person/year.
According to international statistical data, gasoline prices in Vietnam are cheap compared to many countries and territories around the world. In Southeast Asia, Malaysia, Indonesia and Cambodia are three countries with lower gasoline prices than Vietnam. Specifically, in Vietnam, the price of E5RON92 gasoline is not higher than VND 26,077 / liter and the price of RON 95 gasoline is not higher than VND 26,830 / liter ($1,197). For Malaysia, Indonesia and Cambodia, gasoline prices are $0.491/liter, $0.895/liter and $1,157/liter, respectively.
Countries like Singapore, Brunei, Thailand, Philippines, Laos and Myanmar have higher gasoline prices than Vietnam. Specifically, the price of gasoline RON95 in Singapore is 2,194 USD/liter, Bruinei is 1.5 USD/liter, Thailand is 1,444 USD/liter, Philippines is 1,261 USD/liter, Laos is 1,482 USD/liter and Myanmar is 1,296 USD. /liter.
Based on data on GDP per capita of Southeast Asian countries, Vietnamese people have an income of about 10.25 USD/day, Singaporeans have about 170.2 USD/day, Bruneians about 97.95 USD/day, Malaysian about 30.29 USD/day, Thai about 19.26 USD/day, Indonesian about 11.91 USD/day, Filipino about 9.42 USD/day, Cambodian about 4, 74 USD/day, Lao people 7.45 USD/day and Myanmar people about 4.47 USD/day.
Therefore, 1 liter of gasoline is accounting for about 11.66% of the daily income of Vietnamese people. Compared to some other countries in the region, this percentage is not high. Typically, in the Philippines, Cambodia, Laos and Myanmar, people of these countries have to pay 13.4%, 22.41%, 19.89% and 29% of their daily income for 1 liter of gasoline, respectively.
In Vietnam, the basic price structure of gasoline and oil, for each liter of petrol and oil sold, there are 4 types of taxes: Value added (VAT, 10%), import (10%), special consumption (10) %) and environmental protection (for E5RON92 gasoline is 3,800 VND, RON95 gasoline is 4,000 VND, diesel is 2,000 VND…).
Recently, the Ministry of Finance has decided to reduce the environmental protection tax rate for gasoline 2,000 VND/liter, diesel oil, fuel oil, lubricants 1,000 VND/liter; grease 1,000 VND/kg; kerosene 700 VND/liter from April 1, 2022 to the end of December 31, 2022. This tax reduction helps to lower gasoline prices, thereby supporting people and businesses.
@ Cafef
Related
Source: Vietnam Insider