(VOVWORLD) - Vietnam's economic growth in the third quarter of this year was an estimated 7.4% and about 6.8% in the first 9 months of this year, both greater than expected despite the disruption caused by typhoon Yagi in early September in some northern localities. With determination and effort by the Government, localities, businesses, and individual citizens, Vietnam’s annual economic growth target of 6.5% to 7% is within reach.
 Cat Lai cargo port in Ho Chi Minh City (photo: Hong Dat/ VNA) |
To achieve a growth of 7%, Vietnam needs a growth rate of 7.5% in the 4th quarter. The 3rd quarter’s higher-than-forecast growth and optimistic projections for the final quarter are encouraging indicators that the target can be achieved.
Good chance of achieving target
Since September, the Vietnamese government has been implementing solutions to help individuals and businesses recover from super typhoon Yagi. Affected localities have quickly recovered from the disaster, reassuring international organizations and businesses. The national economy has regained its pre-COVID growth momentum, and there are many bright spots in industrial production, export, and foreign direct investment attraction.
Industry’s added value increased 8.3%, more than in the same period last year. Export turnover reached 299 billion USD and the trade, tourism, and transportation sectors maintained good growth momentum, boosting the national economy. Vietnam continues to be an attractive destination for foreign investors, with registered FDI capital reaching 24.8 billion USD by September 30, up 11.6% over the same period last year.
The macro economy is stable; inflation is under control; major balances have been ensured; the financial and budget situation has improved; businesses are growing; innovation is expanding; and social security, culture, education, and health care are achieving good results.
Pií Thi Phuong Nga, Director of the Department of Industry and Construction Statistics of the General Statistics Office, said: “Typhoon Yagi affected the northern localities, including some industrial centers like Hai Phong and Quang Ninh. Businesses have responded to difficult conditions by reorganizing production and extending work shifts to ensure timely delivery to customers.”
 Deputy Minister of Planning and Investment Tran Quoc Phuong (photo: VGP) |
Deputy Minister of Planning and Investment Tran Quoc Phuong said: “Given the better performance in the 3rd quarter and the first 9 months, the Ministry of Planning and Investment has recommended to the Prime Minister and the Government that the annual growth target of 7% be maintained.”
International economic organizations and economists have made positive assessments of Vietnam's economic growth and made optimistic forecasts. Fitch Ratings forecast economic growth of 6 to 7% in the medium term, thanks to strong FDI inflows. The World Bank called Vietnam's economic outlook “positive”. And the Global Market and Economic Research Department of Singapore’s UOB Bank projected Vietnam's economic growth will be 6.4% this year.
Striving to reach targets
Despite the positive signs, to achieve its growth target, Vietnam needs the combined effort of the whole society, systematic coordination between ministries, sectors, and localities, and the initiative and creativity of businesses.
 The government meeting for September (photo: VNA) |
Prime Minister Pham Minh Chinh told a government meeting on Monday: “We should be focused on growth and balancing fiscal policy, monetary policy, and other policies. The monetary policy must be proactive and timely, while the fiscal policy must expand targets and key points. We need to focus on the 3 traditional growth drivers – investment, consumption, and exports – while developing new growth drivers. We must ensure sufficient electricity, petrol, medicine, and materials for production, business inputs, and people's daily lives. All resources should be mobilized for socio-economic development. Public investment should be stepped up. Production and business should be expanded to create jobs and improve people's lives. The construction of houses for people displaced by natural disasters should be completed on schedule.”
There are 3 months left for Vietnam to achieve its targets. Positive performance since the beginning of the year and the government’s timely instructions and policies, especially policies to stabilize the social-economy following typhoon Yagi, suggest that Vietnam will have a strong growth year.