Government leader collaborates with Policy Advisory Council on maintaining economic steadiness

Vietnam is embarking on a transformative journey, with the government implementing a series of significant programmes and strategies to drive economic growth and development.

The Prime Minister, Pham Minh Chinh, has called for the reorganisation of administrative units, the establishment of a two-tier local government system, and the enforcement of key resolutions. This restructuring aims to streamline governance and improve efficiency.

In terms of infrastructure, Vietnam is investing in strategic projects such as high-speed railways, intermodal rail systems, nuclear energy, an international financial center, and a free trade hub. These initiatives are designed to boost the country's competitive edge in the global market.

To finance these ambitious projects, the government aims to diversify credit sources and increase bond funding by 20-25%. This move will ensure a steady flow of funds for the country's development.

Recognising the importance of small businesses, the government is advocating for gradual, well-supported, and voluntary compliance-inducing policy shifts to support household businesses, which contribute nearly 25% of the country's GDP.

The Prime Minister has also emphasised the need to stimulate consumption, expand domestic production and business, reduce input costs, and enhance product competitiveness. This focus on domestic demand is expected to bolster the economy and create jobs.

In the realm of digital transformation, the government is pushing for increased staff capacity, accelerated digital transformation, especially in administrative services, and proper staffing based on capability at the commune-level agencies. A digital literacy campaign at the grassroots level is also being promoted to ensure widespread adoption of digital technologies.

To foster innovation, the government is advocating for efforts to digitalise institutions and workforces. This focus on innovation is expected to drive productivity and economic growth.

The discussion at a recent workshop, attended by institutions such as the Ministry of Industry and Trade, the Prime Minister’s Economic Advisory Council, state-controlled BIDV bank, the High-Quality Vietnamese Goods Business Association, and other relevant ministries and business sectors, centred around the impacts of US tariff policies and potential adaptations for Vietnam.

The government is also implementing social welfare policies to ensure all citizens have housing, children receive education, and no one is left behind.

Looking ahead, the Prime Minister has set a goal of achieving 8.3-8.5% growth by 2025, with ambitions for double-digit expansion in subsequent years.

The government is also actively addressing legal frameworks, incentives, and administrative reforms to ease luxury property overstock and promote social housing supply.

In terms of macroeconomic stability, the government is paying close attention to certain sectors such as exchange rates, gold prices, the stock market, and real estate.

Prime Minister Pham Minh Chinh held a working session with the Policy Advisory Council on Sunday, marking another step in Vietnam's ongoing economic strategy discussions.