Six-month growth higher than expected: official

The better-than-expected growth and a big trade surplus were among the results recorded during the first half of 2024, heard the Government’s regular press meeting held in Hanoi on July 6.

Minister - Chairman of the Government’s Office Tran Van Son, who is also Spokesman of the Government, said that generally speaking, the economy recovered to the pre-COVID-19 level during the first six months and continued the positive trend, with performance improving month over month and quarter over quarter.

Many important results were obtained, and most areas saw better performance than in the same period of 2023, he said, elaborating that the gross domestic product (GDP) strongly rebounded to grow 6.93% in the second quarter and 6.42% in H1, much higher than the 3.84% recorded during the same period last year and also better than the 5.5 -6% scenario set in the Government’s Resolution 01-CP.

The macro-economy has been kept stable, inflation under control, and major economic balances ensured. The six-month consumer price index (CPI) increased 4.08%, with the core inflation up 2.75%. Energy and food security has also been guaranteed.

Notably, exports continued soaring. Overseas shipments rose 14.5% while imports climbed 17% during H1, resulting in a trade surplus of 11.63 billion USD, helping ensure the balance of payments, Son noted.

The service and tourism sectors have also bounced back strongly. Total retail sales of goods and consumer service revenue increased 8.6%. Meanwhile, the number of international arrivals topped 8.8 million in six months, surging 58.4% year on year and 4.1% from the same period of 2019 before the pandemic broke out.

The official also underlined encouraging results in the financial and state budget situation, development investment, foreign direct investment (FDI) attraction, enterprise development, social security, per capita income, cultural and sports aspects, administrative reform, external affairs, and integration into the world.

However, Son added, officials also pointed out certain problems and challenges needing to be addressed such as the pressure on inflation, foreign exchange rates, and macro-economic stability, production and business hindrances in some areas, slow public investment disbursement, and the sluggish settlement of obstacles in the real estate market.

To achieve the growth target for H2 and create momentum for next year, the Government will continue to prioritise promoting growth in tandem with keeping macro-economic stability, controlling inflation, ensuring major balances of the economy, carrying out a reasonably expanded and focus-driven fiscal policy that is coordinated harmoniously with and facilitates the implementation of a proactive, flexible, timely, and efficient monetary policy.

Financial and budgetary discipline will also be tightened, the budget collection management enhanced, and state budget expenditure reduced, the Spokesman noted.

In addition, the Government will push forward with digital transformation; the exemption, reduction, and extension of the payment deadlines of taxes, fees, charges, and land use fees; along with obstacle removal to facilitate the real estate, corporate bond, and stock markets.

Electricity and petrol supply will be ensured for economic activities and consumption, Son went on, adding that key infrastructure projects will be accelerated while the traditional growth drivers (investment, export, consumption) renewed, and new growth drivers strongly promoted.

The Government is also set to step up institutional and legal perfection, administrative procedure reform, and national digital transformation, he told the press meeting./.