At the 10th session meeting of the 9th Party Committee of Ho Chi Minh City, Mr Thai Van Re, Director of Department of Planning and Investment, said: Despite socio- economic difficulties in the country and in the world, Ho Chi Minh City has still maintained stable growth.
In the first six months, the city’s GDP reached VND288.59 trillion (US$14 billion), up 8.1 percent year on year (compared with 9.9 percent in the same period of last year), which the first-quarter growth was 7.4 percent and the second quarter growth was 8.8 percent. Mr Le Thanh Hai, Member of Politburo and Secretary of HCM City Party Committee, stressed: Though the increase is lower than last year, it is reasonable in the current context of difficulties. This shows that the city’s economy has improved and tended to resume growth. With the local rapid economic recovery, HCM City is actively contributing to the country’s realisation of socioeconomic objectives in 2012.”
At least 10 percent GDP growth in 2012
Despite signs of economic recovery, risks are still present because of reduced State Budget revenues, slow credit growth owing to poor production and business performances of local businesses, frozen real estate market, and shrinking consumer demand. These adverse effects dragged on local economic growth and the economy was forecast to face fresh challenges in the coming time. To overcome this situation, the city has organised a lot of business solutions to support production stability and development, including stimulus borrowing and proactive access to concessional credits from international financial institutions.
From practical difficulties in the first six months, the city defines key tasks in the last six months of 2012: Resolving difficulties and promoting business development for enterprises while continuing with consistent policies to curb inflation and stabilise the macro economy to lay the foundation for sustainable growth, accelerating economic restructuring to boost quality, efficiency and competitiveness. In the last six months, HCM City aims to attain GDP growth of 11.2 percent, helping raise GDP growth in 2012 to at least 10 percent.
In the first six months, the budgetary revenue in HCM City reached VND102.32 trillion (US$5 billion), equal to 43.79 percent of the estimation. Thus, the city needs to collect VND131.36 trillion in the last sixth months to fulfil the task. Particularly, export and import turnover in the January - June period was only 37.39 percent of estimates and the revenue must nearly double in the last half.
Mayor Le Hoang Quan said the top tasks of the city are to implement Resolution 13 of the Government, remove difficulties for enterprises and economic sectors and stabilise the market. He stressed, “The goals in the last six months of the year are to concentrate resources to stabilise production and business activities and support economic growth. But, these activities must be double-checked and enterprises must understand their capital need, sales performance and production plans. Support will be given to effective performers.”
Thanh Thao
Vietnamese
