Hai Phong, Quang Ninh, Phu Tho… are localities heavily affected by Typhoon Yagi, but still maintained high growth momentum in the first 9 months of the year.
At the regular Government meeting on the morning of October 7, Minister of Planning and Investment Nguyen Chi Dung said the economy has recovered positively, although it was recently severely affected by Typhoon Yagi.
Accordingly, GDP growth in the third quarter is estimated to reach 7.4% over the same period, 0.7% higher than the previously set scenario (6.7%). Overall for 9 months, GDP growth reached 6.82%.
“Despite difficulties caused by storms and floods, the economy still achieved positive results in the third quarter and 9 months,” Minister Dung stated.
Also according to Mr. Dung, many localities have high growth rates in 9 months, such as Bac Giang (13.89%), Thanh Hoa (12.46%), Lai Chau (11.63%). Even some localities heavily affected by Typhoon Yagi still kept their 9-month GRDP at a high level, such as Hai Phong (9.77%), Quang Ninh (8.02%), Phu Tho (9.56%). %), Lao Cai (7.71%), Cao Bang (7%), Yen Bai (7.15%)…
Minister of Planning and Investment spoke at the regular meeting in September, October 7. Image: VGP
The planning industry agency forecasts fourth-quarter GDP at about 7.6-8%. This level helps the whole year’s growth reach and exceed 7%, according to the plan. However, Minister Nguyen Chi Dung said that the economy still faces many difficulties to achieve this goal.
Previously, according to statistics from the Ministry of Agriculture and Rural Development, storm Yagi severely affected agricultural production and tourism in the North and caused damage to the economy of about 81,500 billion VND.
Updated data from the Ministry of Planning and Investment shows that the storm caused flooding and damage to about 384,800 hectares of rice, crops, and fruit trees; causing 35,000 hectares of aquaculture and 11,800 cages to be damaged or swept away. Along with that, many accommodation and tourist establishments were damaged and had to close for repair, possibly missing the year-end tourist season. “Solutions to support people and businesses need to be implemented promptly so that they can soon restore production and business activities. This will limit the negative impact on growth in the fourth quarter and early 2025”, Minister Dung suggestion.
In addition to the difficulties caused by storms and floods, according to Mr. Dung, the speed of investment recovery is still slow, investment resources of the State sector have not been activated effectively. Not to mention, exports are forecast to be more difficult in the near future, especially from the beginning of 2025. The reason is due to the unpredictable world situation, including conflicts in the Middle East, Ukraine, and growth in purchasing power in Chinese markets. China, US, EU slow down.
“Therefore, the domestic market will be an increasingly important driving force,” he said, arguing that this area needs to be exploited more effectively to maintain growth and increase the economy’s resilience. with external challenges.
Minister Nguyen Chi Dung requested all levels, branches and localities to coordinate more effectively to achieve this year’s GDP target of over 7%. In particular, he said that the Government needs to continue to renew traditional growth drivers of investment, consumption and export, taking advantage of opportunities to promote goods consumption at the end of the year, Lunar New Year 2025. New growth drivers from the digital economy, digital transformation, and green transformation need to be promoted.
Concluding the meeting, Prime Minister Pham Minh Chinh requested the State Bank to stabilize the exchange rate, reduce loan interest rates, increase credit for the whole year by about 15% and control bad debt.
The Ministry of Finance needs to have policies to extend and reduce taxes and fees, and strive to increase yearly revenue by at least 10% of the estimate. This agency must also soon propose the issuance of an additional VND 100,000 billion to invest in national strategic infrastructure projects.
The Prime Minister asked leaders of ministries and localities to give top priority to growth, so that “this year’s GDP is over 7%”. At the same time, these agencies are assigned to ensure there is no shortage of wages, food, electricity, gasoline, and input materials for people’s production, business, and consumption. Ministries and localities have solutions to increase production and business, disburse public investment, create jobs and livelihoods for people.