Vietnam looking to speed up public investment to curb slowing GDP

By Toan Dao   June 2, 2016 | 07:58 am GMT+7
Vietnam looking to speed up public investment to curb slowing GDP
Workers arrange a steel structure at a construction site in Hanoi, Vietnam May 31, 2016. Photo by Reuters/Kham
As the economy is showing signs of faltering, Vietnamese government is boosting public investment in a bid to spur gross domestic product (GDP) growth.

Vietnam’s GDP growth in the first quarter rose only 5.6 percent, lower than the 6.7 percent recorded in the same period last year. The low disbursement of public investment is considered as one of the reasons that led to the slowing economic growth, the government said in a statement on Wednesday.

Prime Minister Nguyen Xuan Phuc has asked the ministries, government agencies, cities and provinces to report by June 6 on the performance of disbursement of their planned public investment this year. The reports must show reasons behind obstacles, if any, during the disbursement process, such as those in investment procedures and project implementation, the statement said.

The ministries of finance, planning and investment, and Government Office are requested to receive the reports and propose to the Prime Minister before June 20 practical ways to accelerate the disbursement of public investment this year.

Phuc said Monday the government is determined to reach macro-economic goals previously set for 2016. The government targets to achieve 6.7 percent of GDP growth this year.

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