According to the Vinh Phuc Statistics Office, Vinh Phuc province's economic growth in the first quarter of 2025 reached 7.4-8%, the highest first-quarter rate from 2022 to 2025, achieving the goal set by Resolution 45 of the Provincial People's Council on the socioeconomic development plan for 2025. Particularly, the industrial-construction sector boasted the highest growth of 11.5-12%, followed by the service sector (5-6%) and the agriculture, forestry and fishery sector (1.1-1.2%).
Businesses make significant contributions to Vinh Phuc's economic development
The agriculture, forestry, and fishery sector showed solid performance thanks to favorable weather conditions for crop growth and development, stable and rising prices of some livestock products, which brought stable income to farmers and businesses. Notably, some largescale concentrated commercial production areas have been formed in the province, including pig farms in Quang Son, Bac Binh and Ngoc My communes in Lap Thach district and Lien Chau, Nguyet Duc and Yen Phuong communes in Yen Lac district; egg- and meat producing poultry farms in Thanh Van commune, Tam Duong district and Tam Quan commune, Tam Dao district; dairy farms in Vinh Tuong, Lap Thach and Tam Dao districts; VietGAP-certified exported vegetable and fruit areas of high economic value such as pumpkin, green squash, tomato, chayote and melon in Yen Lac, Vinh Tuong and Tam Duong districts.
Thanks to an improved investment environment and timely support for businesses, the industrial production index rose by 12.74% year-on-year in the first quarter, marking the second-highest quarterly growth from 2021 to 2025. The strongest growth was seen in automobile manufacturing as it rose 22.42%. Motorbike manufacturing expanded by 7%.
Driven by reforms in investment promotion and immediate support for investors, Vinh Phuc licensed five new foreign direct investment (FDI) projects with US$21 million and allowed 10 existing projects to add US$51.29 million, fulfilling 14.5% of the plan assigned by the Provincial People's Council in Resolution 45. At the same time, the province permitted six domestic direct investment (DDI) projects, both new and existing, to invest VND480 billion in the quarter, equal to 21% of the 2025 plan. Seven additional projects became operational in the first quarter of 2025, bringing total active FDI and DDI projects to 428, accounting for nearly 84% of all investment projects.
Although first-quarter growth was high, external factors, especially U.S. reciprocal tariffs, continue to pressure the domestic economy and businesses. To achieve the expected double-digit GRDP growth, the Vinh Phuc Provincial People's Committee has directed relevant agencies and localities to take several key actions. These include removing bottlenecks and creating favorable conditions for both people and businesses; strengthening decentralization; and enhancing the responsibility and accountability of agency leaders. They are also tasked with tightening administrative discipline in conjunction with inspection, supervision, and the control of power and resource allocation. In addition, the province aims to complete a synchronous and modern infrastructure system, accelerate project implementation to boost public investment disbursement, and focus on developing highquality human resources, especially in the chip and semiconductor industries. It will also foster scientific research, technological development and application, and promote innovation and startups.
By Hien Nam, Vietnam Business Forum
Vietnamese
