Ho Chi Minh City’s Economy Grows by 6.46% in the First Half of 2024
Government’s teleconference with localities. Photo: VGP
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In the first half of 2024, Ho Chi Minh City’s economy witnessed stable growth in various sectors, outperforming the same period last year. The overall growth rate reached 6.46%, with total retail sales of goods and services increasing by 8.8%, exports rising by 13.1%, industrial production index growing by 5.5%, and budget revenue achieving 55.7% (up by 18% compared to the previous year).
However, according to Chairman Phan Van Mai, the city faced certain challenges during this period, including a lower growth rate in the second quarter compared to the national average, a 19.5% decline in FDI attraction, only 14.3% disbursement of public investment, and a 28.3% decrease in registered business capital (despite an increase in the number of registered businesses).
“In the third quarter and the last six months of the year, Ho Chi Minh City will intensely focus on solutions to boost growth, especially through investment and consumption drivers,” said Mr. Mai. He added that the city is updating its growth scenario for the year and identifying breakthrough solutions to strive for a growth rate of 7-7.5%.
Additionally, the city will concentrate on breakthrough solutions linked to robust administrative procedure reform, removing obstacles to increase capital absorption, and aiming to mobilize a total social capital of VND 394 trillion. Furthermore, there will be a strong push for the digital economy, the development of social housing, and key projects of national and city significance.
In the latter half of the year, Ho Chi Minh City will also work diligently with ministries and sectors to finalize dossiers for the Government to submit to the Politburo and, by the end of the year, to the National Assembly. These include resolutions on urban railways, in conjunction with Hanoi, a resolution on the Ring Road 4, and a resolution on the international financial center.
At the conference, on behalf of the city’s leadership, Chairman of the People’s Committee Phan Van Mai proposed that the Government soon finalize and issue decrees and help localities address specific difficulties.
Ho Chi Minh City also hopes that the Prime Minister will soon approve the investment policy for the Ho Chi Minh City-Moc Bai Expressway project and the Can Gio International Transit Port project. They also requested that the Ministry of Finance and the Ministry of Justice soon provide opinions to complete the legal basis for the 4th loan package for Metro Line 1.
Proposed Planning for Adding 2 New Cities in Ho Chi Minh City
According to Architect Ngô Viết Nam Sơn, Ho Chi Minh City should consider planning two cities within the city in the south and north.
The Power of Lizen: Consistently Winning Massive Bids
Lizen has achieved a significant milestone by successfully deploying and implementing major high-speed construction projects in 2023. The company’s revenue has reached 2,030.5 billion VND, which is twice the amount compared to 2022. However, the post-tax profit has reached its lowest point in the past 6 years, dropping down to only 118.3 billion VND.
Comprehensive regional connectivity
In addition to building strong physical infrastructure, Ho Chi Minh City needs to strengthen its soft connections with other provinces in the region in order to promote economic development. This includes prioritizing the training of skilled workforce and ensuring access to quality healthcare.
