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A Bold Economic Vision: Targeting an Ambitious 8% GDP Growth for 2025

1 December, 2024

Vietnam is among the few countries with high growth rates

According to the Prime Minister, in 2024, the world situation will continue to evolve in a complex and unpredictable manner. Domestically, we have been both flexible and effective in responding to external changes, while also addressing long-standing limitations and bottlenecks across multiple terms. Additionally, we have had to dedicate significant time and resources to addressing unexpected issues, particularly in monetary and fiscal policies, as well as responding to and recovering from natural disasters that have caused severe and prolonged impacts in many localities.

In line with the resolutions and conclusions of the Central Committee, the Politburo, and the Secretariat, as well as the instructions of the General Secretary, the National Assembly, and the Government, all levels of government, sectors, and localities have closely monitored the practical situation, making decisions based on reality and focusing on directing the vigorous, flexible, and effective implementation of tasks and solutions in various fields.

Thanks to the resolute efforts of the entire political system, the business community, and the people nationwide, under the leadership of the Party and the General Secretary, the socio-economic situation has continued its positive recovery trend, with each month and quarter performing better than the last. Overall, the socio-economic situation in the first 11 months has achieved important and improved results compared to the same period last year across most fields.

It is expected that all 15 key targets will be met or exceeded, especially the growth target. The estimated growth rate for the whole year is above 7% (placing Vietnam among the few countries with high growth rates in the region and the world). Macroeconomic stability has been maintained, with inflation controlled below 4%, and major balances ensured with high surpluses. Specifically, in terms of food security, rice exports reached over 8.5 million tons, with a turnover of over $5.3 billion in the first 11 months, representing increases of 10.6% and 22.4%, respectively, compared to the same period last year. The value of the Vietnamese national brand in 2024 reached $507 billion, ranking 32nd out of 193 countries, up one place from 2023.

The Prime Minister stated that 2025 is considered a year of acceleration and breakthrough, focusing on overcoming difficulties and challenges, and striving to achieve the highest possible results for the goals and targets of the 2021-2025 plan – Photo: VGP/Nhat Bac

As of the end of November, the total import and export turnover was estimated at approximately $715 billion, up 15.3%, with a trade surplus of over $23 billion. The estimated turnover for the whole year is $807.7 billion, the highest ever. State budget revenue for the whole year is expected to exceed the estimate by over 10% (state budget revenue in the first 11 months reached 106.7% of the estimate and increased by 16.4% compared to the same period last year), while budget overspending, public debt, government debt, and national foreign debt are well controlled and remain within the permitted limits.

Development investment has yielded positive results, with a focus on key areas and improved efficiency. Many important and large-scale transport projects have been invested in and upgraded, ensuring connectivity between major economic centers, regions within the country, and international trade. Foreign direct investment (FDI) attraction has been a bright spot, with Vietnam ranking among the top 15 developing countries in the world in terms of FDI attraction. In the first 11 months, FDI attraction reached $31 billion, and FDI realization reached $20.4 billion, up 7%, the highest in many years.

Enterprise development has continued its positive trend, with state economic groups and corporations generally operating more efficiently, playing a key role in many important economic fields and sectors, and demonstrating competitiveness in the region and internationally.

The economic structure has shifted positively, with the digital economy and green economy playing an increasingly important role. All major sectors have grown. Agriculture, forestry, and fisheries have seen good growth. Industry has recovered positively, serving as an important driver of growth. Services have recovered well, with strong developments in e-commerce, cashless payments, and tourism.

There has been a focus on implementing three strategic breakthroughs (institutions, infrastructure, and human resources), and significant results have been achieved. The work of building and perfecting laws has been directed resolutely, with a renewed mindset and approach, greater flexibility, and improved compliance with authority. At the same time, there has been a focus on reviewing and removing difficulties, bottlenecks, and obstacles arising in practice.

The 500kV power line project from Quang Binh to Hung Yen has been completed after more than six months of rapid construction, and many key energy projects have been actively implemented, such as the exploitation of the Lo B gas field and the O Mon Thermal Power Center. Several sections of expressways have been completed, bringing the total length to 2,021 km. Digital and energy infrastructure has been improved in terms of both institutions and investment.

There has been a focus on training and developing human resources, especially high-quality human resources (the Scheme for Developing Human Resources for the Semiconductor Industry towards 2030 has been issued and is being actively implemented).

At the same time, positive results have been achieved in the fields of culture and society. Social security has been a priority, and people’s lives have improved. The poverty rate has been reduced to 1.93%. According to the United Nations ranking, Vietnam’s happiness index in 2024 rose 11 places to 54th out of 143 countries. Support has been provided to people affected by Storm No. 3, with the spirit of “mutual affection” and “national and ethnic solidarity” shining brightly.

Practicing thrift and combating wastefulness have yielded positive results, with more effective management of state budget revenue and expenditure, especially regular expenditure (in addition to saving 10% for salary increases, about VND 6 trillion was also saved in regular expenditure in 2024 for the elimination of temporary and dilapidated houses), allowing for increased investment in human development, social security, and development. Ineffective and scattered investment has been overcome.

The 2024 Socio-Economic Report and the 2025 Socio-Economic Development Acceleration Solutions also point out some existing shortcomings and limitations. In particular, institutions and laws remain the “bottleneck of bottlenecks,” especially in terms of perspectives, processes, methods, and approaches to building legal documents. The investment of financial resources and human resources in law-making has not been commensurate with practical requirements…

Highlighting five key lessons learned, the Prime Minister emphasized that promoting great national unity, valuing time, promoting intelligence, and fostering innovation and breakthroughs are the most important factors for success, along with resoluteness, decisiveness, timeliness, and focus.

Maintaining momentum and accelerating in 2025

According to the Prime Minister, 2025 is a year of special importance, marking the 95th anniversary of the founding of the Party, the 50th anniversary of the liberation of the South and the reunification of the country, the 135th birthday of President Ho Chi Minh, and the 80th anniversary of the establishment of the country. It is also the year when Party committees at all levels will be held, leading up to the 14th National Party Congress, a pivotal moment for the nation.

The world and regional situation is expected to continue to evolve in a complex and unpredictable manner. Domestically, difficulties and challenges will be intertwined with opportunities and advantages, but the former will outnumber the latter. Therefore, in 2025, we must both “accelerate and break through,” striving to achieve the socio-economic development goals for the entire 2021-2025 term, while also reorganizing the apparatus and successfully holding Party congresses at all levels, leading up to the 14th National Party Congress.

The Prime Minister emphasized that this context requires all levels, sectors, and localities to embrace a mindset of innovation and breakthrough, with high determination, great efforts, and resolute actions. Implementation must be timely, flexible, and effective, with a spirit of “daring to think, dare to do, and dare to break through for the common good”; “once committed, it must be done, and once done, it must be effective”; “when the Party has directed, the Government has agreed, the National Assembly has agreed, and the people have supported, we should only discuss how to do it, not whether to do it.”

Regarding the overall goal, the Prime Minister stated that 2025 is considered a year of acceleration and breakthrough, focusing on overcoming difficulties and challenges, and striving to achieve the highest possible results for the goals and targets of the 2021-2025 plan. We will continue to prioritize promoting growth while maintaining macro-economic stability, controlling inflation, ensuring major balances, and achieving high surpluses. We will also promote the implementation of strategic breakthroughs, restructuring the economy in association with growth model innovation, and improving productivity, quality, efficiency, resilience, and competitiveness.

Highlighting some key targets, including a GDP growth rate of around 6.5-7%, the Prime Minister stressed the need to prioritize growth, striving for a GDP growth rate of around 8% to create momentum, energy, and enthusiasm for the implementation of the 2026 plan and the entire 2021-2030 period. We aim to complete at least 3,000 km of expressways, basically complete Long Thanh Airport, and eliminate temporary and dilapidated houses nationwide…; thereby creating a solid foundation for the country to enter a new era, an era of national prosperity and a happy and prosperous people.

The 2024 Socio-Economic Report and the 2025 Socio-Economic Development Acceleration Solutions propose eight main tasks and solutions for 2025. First is to continue perfecting the institutions, considering this as the “breakthrough of breakthroughs”; streamlining the apparatus, improving effectiveness and efficiency; and building mechanisms and policies strong enough to encourage officials to dare to think, dare to do, and dare to take responsibility for the common good.

Second, continue to prioritize promoting growth in association with macroeconomic stability, controlling inflation, ensuring major balances, and achieving high surpluses; keeping budget overspending and public debt within safe and reasonable limits; maintaining momentum and accelerating and breaking through, striving for a growth rate of around 8% and creating momentum for striving for a double-digit growth rate in the 2026-2030 period. We will renew traditional growth drivers and promote and create breakthroughs for new growth drivers, focusing on solutions to increase labor productivity rapidly, sustainably, and sustainably.

Third, mobilize all social resources and make effective use of resources from state-owned enterprises, while promoting the strong development of private enterprises.

Fourth, promote the development of strategic infrastructure, especially key national projects; and research and exploit the potential of space, sea, and underground space.

Fifth, ensure electricity supply in all situations to meet the needs of production, business, and consumption in the short and long term.

Sixth, strengthen the prevention and combat of corruption, negative phenomena, and wastefulness; focus on reviewing, classifying, and building and proposing mechanisms and policies to remove projects and works that are wasting land, investment resources, opportunities, jobs, and assets… and have clear, feasible, and effective solutions to resolve them thoroughly, avoiding waste and supplementing resources for socio-economic development.

Seventh, pay attention to cultural development, ensure social security, and proactively prevent and respond to natural disasters and adapt to climate change.

Eighth, ensure political stability, firmly defend independence, sovereignty, unity, and territorial integrity; and promote external relations and international integration.

The Prime Minister emphasized the need to prioritize growth, striving for a GDP growth rate of around 8% to create momentum, energy, and enthusiasm for the implementation of the 2026 plan and the entire 2021-2030 period – Photo: VGP/Nhat Bac

Tu Kinh