A New Economic Vision: Aiming for 8% GDP Growth in 2025

8 February, 2025

On February 7, the National Assembly’s Economic Committee held its 21st plenary session to review the Government’s proposal on a supplementary plan for socio-economic development in 2025, targeting a growth rate of at least 8%.

In his opening remarks, Chairman of the Economic Committee Vu Hong Thanh emphasized that achieving the set targets in 2025 would make up for the previous years. He also highlighted that 2025 is a crucial year to accelerate and meet our goals.

While acknowledging the challenges ahead, Mr. Thanh questioned the measures to control inflation, given the proposed adjustment of the CPI to 4.5-5%. He also raised concerns about the potential need to raise the public debt and foreign debt ceilings, which are currently close to the warning threshold of 5% of GDP, and requested more aggressive tasks and solutions.

Local GRDP growth in 2025 to reach a minimum of 8-10%

Prior to this, the Government submitted to the National Assembly the proposal for a supplementary plan for socio-economic development in 2025, aiming for a growth rate of at least 8%. This will be decided by the National Assembly at an extraordinary session, expected to take place from February 12 to 18.

During the 8th session (November 2024), the National Assembly approved the resolution on the socio-economic development plan for 2025, targeting a GDP growth rate of approximately 6.5-7% and striving for 7-7.5%. The resolution also set a target for the average CPI growth rate of about 4.5%.

The Economic Committee of the National Assembly held its 21st plenary session to review the Government’s proposal on a supplementary plan for socio-economic development in 2025, targeting a growth rate of at least 8%.

According to the Government’s proposal, 2025 is of particular importance as it marks the final year of the 2021-2025 socio-economic development plan. It is also a year of acceleration and breakthrough to achieve our goals. This year will witness the organization of Party Congresses at all levels, leading up to the 14th Congress of the Party, and the preparation of fundamental factors to successfully implement the 2021-2030 strategy, marking the country’s entry into a new era of development.

The Government emphasized that any unmet targets from 2021-2025 must be achieved, and the quality and efficiency of met targets must be enhanced. Therefore, the country’s GDP growth rate in 2025 should reach at least 8%, laying a solid foundation for achieving double-digit growth over a sufficiently long period (starting from 2026).

While aiming for rapid growth, the Government also stressed the importance of sustainability, maintaining macroeconomic stability, controlling inflation, and ensuring major balances. It is crucial to strike a balance between economic development, social progress, and environmental protection, while also guaranteeing national defense and security.

The Government outlined a scenario to achieve the targeted growth rate of at least 8% in 2025. This scenario requires new thinking, approaches, and breakthroughs in institutional and solution reforms, as well as thorough decentralization and delegation of authority.

Additionally, the Government emphasized the need to complete the reorganization of a streamlined and efficient apparatus without disrupting the short-term lives of citizens and the production and business activities of enterprises.

The proposal also highlighted the role of growth drivers, economic corridors, and growth poles. It was suggested that the GRDP growth of localities in 2025 should reach a minimum of 8-10%, especially in Hanoi, Ho Chi Minh City, and other potential localities. These major cities and growth poles are expected to achieve growth rates higher than the national average.

The proposal also mentioned the possibility of introducing appropriate incentive mechanisms for localities with high growth rates, with a portion of their revenue being contributed to the central government.

Notably, the Government proposed that, if necessary, the budget deficit could be adjusted to around 4-4.5% of GDP to mobilize resources for development investments. The public debt, government debt, and foreign debt may reach or exceed the warning threshold of about 5% of GDP.

Effective Implementation of the International Financial Center Project in Ho Chi Minh City

The Government outlined key tasks and solutions to achieve the targeted growth rate of at least 8% in 2025. These include perfecting the institutional and legal framework, effectively utilizing public investment resources, promoting private investment and the processing industry, boosting consumption and tourism, and enhancing exports.

Another crucial aspect is the continued improvement of a consistent and unified legal system, with breakthrough mechanisms and policies, to effectively mobilize and utilize all resources, especially those from the people and external sources.

It is essential to immediately address bottlenecks in the real estate, capital, and corporate bond markets. Efforts should be made to meet the criteria and conditions for upgrading the stock market in 2025 and to establish efficient mechanisms to attract indirect investment and international funds.

Regarding the promotion of new growth drivers and the development of new and advanced productive forces, the Government emphasized the effective implementation of the International Financial Center Project in Ho Chi Minh City and the Regional Financial Center in Da Nang. Additionally, the establishment of free trade zones and border economic zones in key economic localities, such as Da Nang, Ba Ria-Vung Tau, Hai Phong, Quang Ninh, Khanh Hoa, Binh Duong, and Dong Nai, was proposed.

Hanoi, Ho Chi Minh City, and Da Nang were urged to develop and implement mechanisms for controlled trials of new technologies that have been approved by the National Assembly…

DUC MINH

– 10:31 02/07/2025