Prime Minister Nguyễn Xuân Phúc chairs a Government meeting in Hà Nội on Friday. — VNA/VNS Photo

 HÀ NỘI — Prime Minister Nguyễn Xuân Phúc asked the entire political system to speed up the economic recovery in order to gain a growth rate of 2.5-3 per cent this year.

At a regular Government meeting in Hà Nội on Friday, the PM said the economy had bottomed out in the second quarter and started to recover following a V-shaped trend in the third quarter.

The economy was likely to reach the targeted growth rate of 2-3 per cent despite serious flooding and the COVID-19 pandemic, which had been basically kept under control, creating conditions for economic development, he said.

Inflation was also tightly managed with the Consumer Price Index in October increasing 0.9 per cent in comparison with last month, the lowest rate in five years.  

The PM said the International Monetary Fund assessed Việt Nam as the only country in ASEAN which was forecast to post positive growth this year at 1.6 per cent, and would reach 6.7 per cent by 2021. At that rate, Việt Nam's GDP would hit US$340.6 billion in 2020, making it the fourth-largest economy in Southeast Asia.

Standard Charter Bank forecast that Việt Nam would post a growth rate of 3 per cent this year and surge to 7.8 per cent in 2021, while the World Bank expected Việt Nam’s economy to grow 2.5-3 per cent this year.

The Ministry of Planning and Investment reported that exports had been positive in the first ten months with a record trade surplus of $18.7 billion. Agriculture remained the key pillar of the economy and national food security was ensured.

The total number of new businesses established in October increased 18.4 per cent in comparison with September and the number of businesses resuming operation surged 10.4 per cent.

However, PM Phúc said challenges remained as the COVID-19 pandemic was still posing global complications together with financial instability, along with natural disasters at home. The industrial and construction sectors continued to be affected by disruptions to the supply chain while the services and consumption sectors were recovering slowly.

In order to help the economy to recover as targeted, the PM pointed to the need to multiply the value chain model for prioritised products and tackle difficulties facing energy projects, while enhancing domestic tourism promotions and continuing to promote exports to key markets.

He also highlighted the need to increase disbursement of public capital, including Official Development Assistance, while ensuring quality investments and preventing wastefulness.

Localities were required to boost private investment, including both domestic and foreign direct investment.

Mentioning the development of the digital economy, e-Government and non-cash payments, PM Phúc ordered the Ministry of Information and Communication to improve digital infrastructure and information technology.

He asked localities, agencies and sectors to spare no efforts to quickly recover from the storms and floods in the central region, and help the victims return to stable lives.

“Saving people is the top priority,” he said, asking for all possible measures to be taken to ensure people are not left hungry, cold or homeless.

Concerning COVID-19 prevention and control, the PM ordered immigration to be tightened at border gates and medical checks for all arrivals to the country, while allowing experts, investors and Vietnamese citizens to enter safely. — VNS