GDP growth in the first quarter of 2025 is estimated at 6.93%

Regarding the additional assessment of the 2024 results, the Prime Minister said that the comments and results of 2024 reported to the National Assembly at the previous session were basically consistent and had many better targets; all 15/15 main targets were achieved and exceeded, of which 12 targets exceeded the set targets. Notably, the target of increasing labor productivity exceeded the set plan, after 3 years of not achieving it.

The macro economy is stable, the major balances of the economy are ensured; the budget deficit and public debt are well controlled. The economy has recovered strongly, the GDP growth rate reached 7.09% (reported to the National Assembly as 6.8-7%), the highest in the region and among the group with high growth rates in the world; the size of the economy increased to 476.3 billion USD, up 3 places, reaching 32nd place in the world.

GDP per capita in 2024 will reach 4,700 USD, approaching the upper middle income threshold. Inflation will be controlled at 3.63%; the money and foreign exchange markets will be basically stable, and lending interest rates will continue to decrease. State budget revenue will reach a record of over 2 million billion VND, up 20.1% compared to the estimate, exceeding 342,700 billion VND; while 197,300 billion VND in taxes, fees, charges, and land rents have been exempted, reduced, and extended.

Traditional growth drivers have all been effective. Development investment has achieved positive results; public investment disbursement was VND132,000 billion higher than the same period; Vietnam is among the 15 developing countries attracting the largest FDI in the world; realized FDI capital reached a record of USD25.4 billion (an increase of USD2.4 billion compared to the reported figure).

Total retail sales of goods and consumer services revenue increased by 9%; international visitors increased sharply (39.5%). Trade surplus of 24.8 billion USD and successfully opened up potential markets in the Middle East and Africa. Exploiting new growth drivers well. Strong digital transformation with the highlight being Project 06. E-commerce has the leading growth rate in the region, up 20%. Many projects and investment cooperation in emerging fields have been implemented, creating good spillover. The 2024 Global Innovation Index increased by 2 ranks, to 44/133. National brand value reached 507 billion USD, up 1 rank, ranked 32nd in the world.

Prime Minister Pham Minh Chinh presents a report at the 9th session of the 15th National Assembly (Photo: VGP)

Regarding the results achieved in the first months of 2025, the Prime Minister said that GDP growth in the first quarter of 2025 is estimated at 6.93%, the highest compared to the same period in 2020-2025; many localities have double-digit growth. In the first 4 months of the year, the macro economy was basically stable, inflation was well controlled, and major balances were ensured.

Exchange rate is stable; lending interest rates continue to decrease, credit growth is positive. The average consumer price index is at 3.2%, creating room for flexible and effective management of macroeconomic policies. State budget revenue in the first 4 months reached over VND 944,000 billion, equal to 48% of the year's estimate and increased by 26.3%; total import-export turnover is estimated at over 275 billion USD, up 15%, trade surplus over 5 billion USD; ensuring domestic food security and exporting 3.4 million tons of rice; realized FDI capital reached over 6.7 billion USD, the highest in the period 2020-2025, showing that Vietnam continues to be an attractive destination for international investors.

All three economic sectors grew positively. Agricultural production maintained its growth momentum. Industry flourished, especially the processing and manufacturing industry, which grew at a double-digit rate (10.1%); electricity and petroleum for production, business and consumption were ensured. Trade and services continued to develop. Total retail sales of goods and consumer service revenue increased by nearly 10%; e-commerce grew strongly. Tourism was a bright spot, attracting nearly 7.7 million international visitors, the highest ever, up 23.8% over the same period.

Socio-economic infrastructure is developed in a synchronous and modern direction, prioritizing key and important projects on highways, high-speed railways, airports, seaports, educational, medical and social infrastructure... Simultaneously starting and inaugurating 80 key works and projects, strategic infrastructure to celebrate the 50th anniversary of the Liberation of the South and National Reunification, putting into operation Tan Son Nhat T3 terminal and opening the main route of 5 component projects of the North-South Expressway...

The work of preventing and combating waste has received special attention and achieved positive results, especially in handling backlogged and prolonged projects and works that have caused loss and waste of resources; in which, the Government has completed the review and is proposing to the Politburo and the National Assembly to remove obstacles for over 2,200 projects with a total capital of nearly 5.9 million billion VND (equivalent to about 235 billion USD) and a total land use scale of about 347,000 hectares...

In addition to the results, the Government's report also pointed out limitations and shortcomings such as the pressure on macroeconomic management and direction is still high, especially in terms of interest rates, exchange rates, and inflation control. Production and business activities still face many difficulties, especially in business development. Although traditional growth drivers have been effective, they have not met expectations; disbursement of public investment capital is still low; domestic purchasing power has recovered but slowly; exports still depend heavily on FDI and are adversely affected by the new US tariff policy...

From the shortcomings and limitations, the Prime Minister requested ministries, branches and localities to resolutely carry out the tasks and solutions set out in the fields in a synchronous and effective manner. In particular, closely monitor the international and domestic situation, proactively forecast and have flexible, timely and effective policy responses, especially to the new US tariff policy. Prioritize promoting growth associated with macroeconomic stability, controlling inflation, and ensuring major balances of the economy.

Strengthening financial and budgetary discipline, expanding the collection base, collecting correctly, fully, promptly and preventing revenue loss, especially through electronic tax collection initiated from cash registers; striving to increase state budget revenue by over 15%, adjusting budget deficit to 4 - 4.5% of GDP; saving expenditure, especially regular expenditure to increase expenditure for development investment. Effectively implementing policies on tax, fee and charge exemption, reduction and extension.

Actively, flexibly, promptly and effectively manage monetary policy, coordinate synchronously, harmoniously and closely with an expansive, reasonable, focused and key fiscal policy and other policies; regulate appropriate exchange rates and interest rates to meet capital needs for the economy. Improve credit quality, focusing on production and business of priority sectors, especially strategic infrastructure. Urgently and effectively implement the long-term incentive application package for investment in strategic infrastructure and digital technology; expand the scope of subjects participating in the preferential credit package for the fields of forestry, aquaculture, wooden furniture, housing for young people and low-income people; strive for credit growth to reach about 16%.

Promote disbursement and effective use of public investment capital, with focus and key points, not spread out; strive for the disbursement rate of public investment capital in 2025 to reach 100% of the plan...

Source: https://baodaknong.vn/tang-truong-gdp-quy-i-2025-uoc-dat-6-93-251540.html