Vietnam wants to win the trust of enterprises

Driving forces for Viet Nam’s economic growth need to be maintained not only in 2018, but beyond, Prime Minister Nguyễn Xuân Phúc said at a Government meeting yesterday.

“We should continue working to create market confidence and win trust of enterprises so as to branch out business and production”, he stressed.

Regarding the country’s socio-economic development, PM Phúc noted that four macroeconomic targets have been ensured, including sound growth of gross domestic production (GDP), price stability, reduction of unemployment rate and net export turnover. The nation’s unemployment index fell 2.2 per cent for the first time.

Thanks to institutional reform, the Government’s direction and benefits from global integration, the economy grew in the second quarter.

High-tech application has improved labour productivity, he said, adding that Viet Nam’s logistics index moved five steps to be in the top three among ASEAN members, just behind Thailand and Singapore.

However, he pointed out some short-term risks that the economy may encounter, namely impacts of the US-China trade war, trade deficit, reversing foreign direct investment flow, reducing remittances and trade protectionism.

“Our foreign currency reserve is now at US$63 billion, but it cannot ensure that the economy is able to control the exchange rate amid impacts of global financial market”, he said, requesting flexible management of the exchange rate.

PM Phúc agreed not to change financial policy in the fiscal year 2018, comprising gasoline tax, VAT and prices of commodities and public services. He ordered tight control of education and health care service prices to prevent inflation soaring.

He asked ministries to tighten fiscal discipline, complete budget collection plans and accelerate disbursement of public investment in line with plans.

Additionally, he urged the finalisation of public investment law and construction of key infrastructure works, especially in the transport sector.

Besides export markets, local firms should pay attention to the nearly 100 million strong domestic market by improving service quality and food hygiene and safety, he noted.

Regarding slow equitisation in some State-owned companies, PM Phúc called for inspections in relevant localities.

Ministries and agencies must complete the draft decree on amending and supplementing business conditions, he said, recommending cutting the number of commodities that must go through specialied inspections by half.

Agricultural reform must be promoted, encouraging firms and co-operatives to land more investment in the sector to generate incomes for farmers. This should be made in companion with market reorganisation in processing and manufacturing for sustainable development for post 2020.

As economic growth is closely attached to local livelihoods and environment, the Government leader stressed environmental protection and social order and safety.

He lauded the police forces for busting a large-scale drug trafficking ring in Sơn La Province and other serious cases.

He ordered the Ministry of Agriculture and Rural Development and relevant ministries and agencies to devise specific programmes in response to natural disasters.

Mentioning critical losses in terms of officials following wrongdoings in the Ministry of Public Security and the Ministry of Information and Communications, PM Phúc called on Cabinet members to set the example in implementing the Resolution adopted at the 4th plenum of the 12th Communist Party of Việt Nam Central Committee on enhancing Party building and rectification, and preventing and curbing ideological, ethical and lifestyle degradation as well as the manifestation of “self-evolution” and “self-transformation” inside the Party. (Courtesy Vietnam News)

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