Striving for the country's economic growth in the third quarter to reach the scenario of 6.5-7.4%

At the regular Government meeting in July 2024 on August 5, Minister of Planning and Investment Nguyen Chi Dung reported on the socio-economic situation in July and the first 7 months of 2024, allocation and disbursement of public investment capital; and implementation of national target programs.

Macroeconomy is basically stable, inflation is controlled

According to the Minister, in general, our country's economy has recovered relatively clearly in all areas in the past 7 months, achieving many important results, highly appreciated by international organizations and businesses. The macro economy is basically stable, inflation is under control, and major balances are ensured.

The consumer price index (CPI) in the first 7 months increased by 4.12% over the same period, within the control level according to the National Assembly's target; the impact of the new wage policy is insignificant. The exchange rate is managed flexibly, promptly, and in harmony with interest rate management.

State budget revenue in the first 7 months is estimated to reach 69.8% of the estimate, up 14.6% over the same period. Import-export turnover, export and import in the first 7 months increased by 17.1%, 15.7% and 18.5% respectively; estimated trade surplus is 14.08 billion USD. Major balances are ensured; deficit, public debt, government debt, foreign debt are within allowable limits.

Regarding the allocation and disbursement of public investment capital, by July 31, 2024, ministries, agencies and localities had allocated VND 642.7 trillion in detail, reaching 96% of the plan assigned by the Prime Minister. The amount of capital not yet allocated in detail was VND 26.5 trillion, including: central budget capital of VND 6.1 trillion, local budget capital of VND 20.4 trillion.

Estimated payment by July 31, 2024 is about VND 232.1 trillion, reaching 34.68% of the plan (same period in 2023 reached 37.85%). There are 33 ministries, central agencies and 25 localities with disbursement rates lower than the national average.

Regarding the implementation of the 3 National Target Programs, by the end of July 2024, ministries, agencies and localities had allocated in detail about 26,345.48 billion VND of planned investment capital (reaching 97% of the plan) and 19,678.933 billion VND of public service capital (reaching 100% of the estimate) for the 3 National Target Programs. Estimated disbursement of public investment capital is about 11,841 billion VND, reaching about 44% of the plan.

However, Minister Nguyen Chi Dung commented that the difficulties and challenges in the coming time are still very large; growth drivers have not yet shown a clear acceleration.

Macroeconomic stability still has potential risks, exchange rate pressure remains a major challenge, the ratio of bad debt on the balance sheet remains high, requiring monetary policy to devote more resources to response. The lives of a segment of the population remain difficult.

Besides, although institutions and laws have been actively changed, there are still problems and shortcomings that have not kept up with practical requirements.

Resolutely rectify and overcome the situation of avoiding and shirking responsibility.

In the coming time, the Ministry of Planning and Investment recommends that all levels, sectors and localities need to coordinate closely and effectively, further promote the spirit of accompanying businesses, proactiveness, innovation, creativity, daring to think, daring to do to maintain the economic recovery momentum, strive for Q3 growth to reach the scenario of 6.5-7.4%, creating a foundation to complete and exceed the socio-economic development target in 2024.

Minister Nguyen Chi Dung noted 8 groups of main tasks and solutions, specifically urgently reviewing, resolutely removing and immediately handling difficulties and obstacles in terms of institutions, laws, and administrative procedures, ensuring progress and quality according to the direction of the Government and the Prime Minister, identifying this as the driving force to create a breakthrough for growth in the last 6 months of 2024 and the coming time.

Continue to strongly promote and renew growth drivers in investment, consumption and export. In particular, focus on effectively implementing policies to support businesses and people; focus on attracting large-scale, high-quality, high-tech FDI projects in the processing, manufacturing, electronics, semiconductor industries, etc.; promote disbursement of public investment capital; accelerate the handling of weak banks, specially controlled banks, weak enterprises, and slow-progressing projects, etc.

Ensuring macroeconomic stability and major balances of the economy, focusing on controlling inflation. Implementing proactive, flexible, timely and effective monetary policies; regulating exchange rates and interest rates synchronously, harmoniously and reasonably; strengthening financial and state budget discipline; implementing solutions to collect correctly, fully and promptly, expanding the collection base and preventing tax losses, especially from e-commerce...

Promote new growth drivers from the digital economy, digital transformation, green transformation, etc.; strengthen regional connectivity, promote the effectiveness of the operations of Regional Coordination Councils; urgently complete and promulgate the Semiconductor Industry Development Strategy; Project on Human Resource Development for the Semiconductor Industry to 2030, with a vision to 2050; develop a Project on developing the carbon market in Vietnam in accordance with the direction of the Prime Minister.

In addition, focus on doing well social security work, developing culture, education, health, environmental protection... Closely monitor the developments of natural disasters, storms and floods, respond promptly and effectively, minimize damage caused by natural disasters, support people to overcome the consequences of natural disasters, soon restore production and stabilize life.

Firmly ensure national defense, security, social order and safety. Strengthen international integration deeply, substantially and effectively; promote economic diplomacy, continue to consolidate and constantly enhance the country's international position and prestige.

Strengthen information and propaganda, especially policy communication work, improve the effectiveness of mass mobilization work, and create social consensus.

Strengthen discipline and administrative order; promptly complete overdue projects and tasks, and overcome the backlog of assigned tasks. Resolutely rectify and overcome the situation of avoiding and shirking responsibility; effectively implement regulations on protecting cadres, dare to think, dare to do.