Vietnam: Prime Minister requests fourth quarter growth to reach 7.5%

At the Government meeting on the morning of November 9, Prime Minister Pham Minh Chinh assessed that the socio-economic situation continued the trend of each month, the next quarter being better than the month, the previous quarter, this year better than last year.

The Prime Minister said GDP growth is a very important indicator, helping to increase labor productivity. “If the fourth quarter is about 7.5%, the whole year’s economic growth will reach more than 7%, nearly double the average of ASEAN and the world,” he said.

To achieve the goal, Government leaders require ministries and localities to be proactive and have operating scenarios for all situations. At the same time, mechanisms, policies, and solutions must be groundbreaking to promote science and technology, innovation, and growth drivers.

According to Minister of Planning and Investment Nguyen Chi Dung, the economy has regained growth momentum before the Covid-19 epidemic. In particular, the macroeconomy is basically stable, inflation is controlled, major balances are guaranteed, overspending, public debt, Government debt are lower than the allowed range, foreign debt is rapidly decreasing.

He said businesses continue to restore confidence in the economic outlook. Agricultural production maintains growth, meeting domestic consumption and export needs. Industrial production recovered quickly, which is the driving force for growth. The index of industrial production (IIP) in October increased by 7% over the same period last year. Overall for 10 months, this index increased by 8.3%, of which the processing and manufacturing industry increased by 9.6%.

However, the Ministry of Planning and Investment also commented that the economy still faces many difficulties, especially from outside. Meanwhile, domestic demand is low, many projects are stagnant and entangled, causing the economy’s resources to be backlogged.

“The task in the last months of the year is very challenging,” he said, saying that the Government needs a strong and practical solution. This is to increase domestic consumption, resolve backlogs, and support the economy to recover stronger, with yearly growth reaching and above 7%.

The Ministry of Planning and Investment proposed that the Government prioritize improving institutions, creating a favorable and open environment for production and business development and attracting investment. At the same time, management agencies need to continue to remove obstacles for projects and land. This is to maximize the release of backlogged resources in the economy for growth and development.

Phuong Dung