HCMC economy can grow 6-7% this year: city chairman

By Le Tuyet October 11, 2023 | 04:53 pm PT

Chairman of HCMC People’s Committee Phan Van Mai speaks at the HCMC Party Committee’s meeting on Oct. 10. Photo by VnExpress/An Phuong

Accelerating public and private investment, promoting consumption, and removing difficulties faced by businesses could help Ho Chi Minh City’s economy grow 6-7% this year, its chairman Phan Van Mai said.

International organizations forecast Vietnam’s economy will grow 5-6%, and data show the city’s economy usually grows higher than the country’s, he said a meeting of the municipal Party Committee Tuesday, expecting the city’s GRDP to expand by 6-7 %.

HCMC posted GRDP of 4.57% in the first nine months of 2023, compared to 7.5-8% target for the whole year.

To reach the anticipated economic growth of 6-7% this year, the city will focus on consumption, including intensifying public spending and stimulating year-end consumption with tourism promotions and shopping programs in the last months of the year, Mai said.

According to the HCMC Statistics Department, since the beginning of the year, domestic consumption has been the main driver of the city’s economic growth.

The total retail sales of goods and consumer service revenues stood at VND871.198 trillion (US$36.3 billion) in the first nine months, a year-on-year rise of 8.6%.

Meanwhile, public investment reached VND20.5 trillion, twice as much as the same period last year. The yearly target is to disburse 95% of the total allocated capital of nearly VND68.5 trillion.

The city aims to lure more foreign investment and remove all outstanding problems faced by real estate companies by the end of this year, he said.

The city has established a working group to support foreign-invested enterprises. It lured foreign investment of nearly $2 billion in the first nine months, down 34.1%.