Ho Chi Minh City economy expands 4.57% over nine months

Thursday, 15:00, 28/09/2023

VOV.VN - Ho Chi Minh City, the most populous locality and largest economic centre in Vietnam, has recorded its gross regional domestic products (GRDP) growth of 6.71% in quarter III, helping raise its nine-month GRPD growth to 4.57%, heard a meeting on socio-economic development in the city held on September 28.

Services contributed the largest amount to GRDP growth, posting an increase of 5.67% over the same period last year, while the agriculture-forestry-fisheries and industry-construction edged up 1.14% and 2.57% respectively.

Amid the import-export value falling 14.2% over nine months, local consumption has become the main growth driver in fueling the city’s growth. Total sales of goods and consumption services was estimated more than VND870 trillion, a year-on-year rise of 8.6%.

It’s noteworthy that the local index of industrial production (IIP) has inched up 2% in the past three consecutive months, bringing its nine-month IIP rate to 3.2%.

Two other major growth drivers are public investment disbursement and tax policy for businesses (tax exemption, reduction, and extension). Public investment disbursement in nine months alone reached VND20.5 trillion, twice as much as the figure recorded in the same period last year.

Despite its economic rebound in quarters II and III, experts said the city will find it difficult to meet its 7.5-8% growth target this year. According to scenarios, the city’s economy is required to grow by 15% in quarter IV if it meets the 7.5% GRDP growth target for the whole year.   

Nguyen Van Nen, secretary of the Municipal Party Committee, said the committee would examine ways of improving public, private and foreign investments and ironing out snags for businesses in October.

He stressed the need to continue to stimulate domestic consumption and tourism, and support the business community with capital access and real estate - related issues.

Source: VOV