Hanoi's GRDP increased by 6.27% in 2023.

Người Đưa Tin•29/12/2023

Specifically, the first quarter saw a growth rate of 5.81%; the second quarter 5.91%; the third quarter 6.22%; and the fourth quarter 7%. “In the context of complex and unpredictable global developments, declining global trade, and difficulties faced by domestic businesses in terms of output and export markets, the Hanoi economy achieving a growth rate of 6.27% with an improving trend each quarter is quite positive and noteworthy,” the Hanoi Statistics Department stated at a press conference announcing the socio-economic situation in the fourth quarter and 2023 on the afternoon of December 28th.

According to Economic & Urban News, the industrial and construction sector in 2023 is estimated to have grown by 5.29% compared to the previous year. The industrial sector in 2023 was negatively impacted by the decline in most of Hanoi 's major export and import markets, directly affecting the production and export activities of businesses. The estimated value added of the industrial sector in 2023 increased by 4.57%, contributing 0.64 percentage points to the overall growth (manufacturing increased by 4.28%; electricity production and distribution increased by 7.86%; water supply and wastewater treatment increased by 7.31%). The construction sector is estimated to have grown by 6.49% this year, contributing 0.54 percentage points to the GRDP growth.

Industrial production in 2023 faced numerous difficulties and challenges stemming from a decline in global trade, a decrease in key industrial exports, slow domestic consumption, and rising input costs, all of which put pressure on production. Overall in 2023, the industrial production index increased by only 3% compared to 2022, with manufacturing increasing by 2.6%; and the consumption index increasing by 3.3%.

In the early months of the year, the city's import and export activities faced many difficulties due to a decline in most of Hanoi's major and traditional import and export markets. From the fourth quarter onwards, the situation improved, but overall, challenges remained. Total import and export turnover for the whole year 2023 reached US$54.4 billion, a decrease of 6.4% compared to the previous year; of which export turnover reached US$16.7 billion, a decrease of 2.4%; and import turnover reached US$37.7 billion, a decrease of 8.1%.

However, according to the City Statistics Department, the bright spot helping to maintain growth momentum is trade, services, and tourism . Accordingly, domestic consumption remained stable, retail sales increased by 10.4%, and the retail sector alone increased by 10.6%. Transportation and warehousing recovered well after the Covid-19 pandemic. Tourism developed. Total outstanding credit increased by 14.07%, estimated to reach VND 3,361 trillion by the end of December 2023, an increase of 0.24% compared to the previous month and a 14.07% increase compared to the end of 2022, showing the capital absorption capacity of businesses in the city.

According to a representative from the Hanoi Department of Tourism, the total number of tourists visiting Hanoi in 2023 is estimated at 5.1 million, an increase of 93.7% compared to 2022. In 2023, Hanoi was honored to be selected by the World Tourism Awards Organization as "Asia's Leading City Destination 2023", "Asia's Leading City Destination for Short Stays 2023", and "Asia's Leading City Tourism Authority"; especially on December 4, 2023, Hanoi proudly received the title of "World's Leading City Destination 2023", affirming its important and solid position on the regional and global tourism map.

Hanoi also boasts the highest concentration of craft villages in the country, with 1,350 villages and villages with traditional crafts. Notable examples include Bat Trang ceramics, Van Phuc silk weaving, Ha Thai lacquerware, Quat Dong embroidery, Kieu Ky gold and silver leafing, Chuyen My mother-of-pearl inlay, and Phu Vinh rattan and bamboo weaving. The system of shopping, dining, and entertainment facilities meeting tourist standards has attracted a large number of visitors and locals alike.

According to Hanoi Moi newspaper , regarding foreign direct investment (FDI), in 2023, the city attracted $2,943 million, including 408 newly registered projects with a capital of $441 million; 175 projects with increased capital totaling $307 million; and 326 instances of foreign investors contributing capital or purchasing shares, reaching $2,195 million.

The results in attracting investment from the private sector were also quite good. In 2023, Hanoi saw 31,400 newly registered businesses, a 6.3% increase compared to the previous year; registered capital reached VND 346.6 trillion, a 5% increase; over 8,900 businesses resumed operations, an 8% decrease; 21,700 businesses registered for temporary suspension of operations, a 33% increase; and 3,500 businesses underwent dissolution procedures, a 2% decrease.

From the beginning of the year, the city has focused on directing and urging investors and units to increase resources and accelerate the construction progress of key projects. Overall in 2023, development investment capital in the area increased by 9.3% compared to the previous year, of which investment capital from the state budget managed by the locality increased by 11.5%.

In 2024, the city's Statistics Department assessed that the global economic context remained complex, with many potential difficulties and challenges affecting global trade. The real estate and bond markets remained sluggish. In this context, the city's growth target of 6.5%-7% for 2024 was deemed appropriate.

To overcome the challenges of 2023, according to the statistics agency, the city will develop industrial parks and clusters in a green direction, focusing on industries that create high added value. "This will help increase new production capacity and impact investment in the coming period," shared Dau Ngoc Hung, Director of the Hanoi Statistics Department.

Minh Hoa (compiled)

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