Ho Chi Minh City's economy is recovering positively.

On June 30th, the Ho Chi Minh City Statistics Department released a report on the socio -economic situation in June and the first six months of 2024, noting positive signs of recovery.

Specifically, the Gross Regional Domestic Product (GRDP) for the first six months increased by 6.46% compared to the same period last year, the industrial production index increased by 5.6%, the highest level in the last three years, and total retail sales of goods and services increased by 10%. Total budget revenue for the first six months is estimated at over 264,000 billion VND, an increase of 16% compared to the same period last year and reaching nearly 55% of the 2024 budget forecast. Of this, domestic revenue increased sharply (26.1%) and increased steadily across all three sectors: state-owned enterprises, FDI enterprises, and the non-state sector.

Regarding business registration, in the first six months of the year, Ho Chi Minh City granted licenses to over 25,000 businesses with registered capital reaching VND 214,716 billion, an increase of 9.6% in licenses and 1% in capital compared to the same period last year. Survey results on business trends in the processing and manufacturing industry show that production and business activities in the second quarter were more positive than in the first quarter, with approximately 74% of businesses assessing the situation as stable or improving.

The report from the Ho Chi Minh City Statistics Department also points out concerns about a decrease in public investment and budget spending. Specifically, in the first six months of the year, the estimated disbursement of public investment capital was nearly 15,000 billion VND, equivalent to about 19%, despite the target of at least 30% by the end of the second quarter. Regarding the progress of some key projects, Metro Line 1 (Ben Thanh – Suoi Tien) is over 98% complete and efforts are being made to accelerate its completion for operation in November 2024. Metro Line 2 (Ben Thanh – Tham Luong) has basically completed the procedures for issuing compensation decisions for 584 out of 586 cases, with two households in District 3 being actively persuaded to hand over the land.

Regarding the Ho Chi Minh City Ring Road 3 project, the construction component is behind schedule due to a sand shortage, particularly in the Binh Chanh district where many sections have ready ground but construction has not yet begun because of the lack of sand. The Statistics Department assesses the sand shortage as a challenge to the goal of opening the road to traffic in 2025 and completing the entire project in 2026. Meanwhile, the Tham Luong – Ben Cat – Nuoc Len canal renovation project has reached over 50% of its total volume. Although facing some difficulties and obstacles regarding sand for embankment construction, the project is still on schedule.

Source: https://thanhnien.vn/kinh-te-tphcm-phuc-hoi-tich-cuc-185240630232301822.htm