A company specialised in producing clothes for exports at Long Bình An Industrial Park, the northern province of Tuyên Quang. — VNA/VNS Photo Vũ Sinh

HÀ NỘI — Prime Minister Phạm Minh Chính has directed measures to resolve business difficulties, promote economic growth and maintain macro-economic stability in the monthly cabinet meeting held on Friday.

Global economic growth has slowed and inflation risks remain concerning, causing Việt Nam’s main markets to contract, PM Chính told the meeting.

“As a developing nation with a high level of economic openness, Việt Nam is vulnerable to external impacts while still dealing with internal problems,” the Government leader said.

Since the start of the year, the situation has been stable with positive achievements. Most international organisations – including the IMF, WB, and OECD – maintain optimism on Việt Nam’s socio-economic recovery, present and future.

"The application of global minimum tax faces challenges, and China's recovery creates opportunities but also competitive pressures, while the risks of finance, currency, and real estate in the world remain high," the Government leader noted. "All of this requires close monitoring for timely policy responses."

Specific tasks

PM Chính asked the Ministry of Planning and Investment to study and propose a programme to stimulate the economy's growth momentum and establish appropriate mechanisms and policies to attract investment following the global minimum corporate income tax application next year.

A comprehensive report on Việt Nam’s overall production and business situation is also expected, with proposed solutions to improve the Purchasing Managers Index (PMI) amid recent slumps.

The Ministry of Finance is told to coordinate with the Ministry of Justice, other ministries, and agencies to complete the draft National Assembly's resolution on the value-added tax reduction policy, as well as address and resolve all obstacles and shortcomings in the delayed implementation of value-added tax refunds, and soon propose solutions for issues concerning Official Development Assistance (ODA).

The State Bank of Việt Nam will continue to manage and direct credit institutions to reduce costs, “accompany people and businesses during difficult times,” stabilise and decrease lending rates, and direct credit towards production activities, priority sectors, and growth drivers of the economy.

The central bank authority will also need to facilitate customers’ access to credit, diversify products, simplify lending procedures, and publicly disclose and transparently monitor the lending process, procedures, and regulations.

Proper controls must also be maintained in credits for high-risk sectors, PM Chính said.

The Ministry of Industry and Trade is ordered to boost the recovery and development of industrial production, especially in the processing and manufacturing industries.

The ministry will need to implement or propose mechanisms and policies to encourage, support, and create favourable conditions for enterprises to meet domestic market demand and participate more deeply in the international production chain.

It will also continue to focus on implementing effective solutions to exploit large, traditional export markets while diversifying export markets.

Prime Minister Phạm Minh Chính presides over the monthly Government meeting held on Friday in Hà Nội. — VNA/VNS Photo Dương Giang

The Ministry of Agriculture and Rural Development must closely monitor weather conditions, especially El Nino, and proactively take measures to prevent disease outbreaks and prepare for abnormal weather developments.

The agriculture ministry should coordinate with the Ministry of Industry and Trade and the Ministry of Foreign Affairs to keep up with new technical regulations and barriers related to the origin of agricultural products and environmental standards for products in importing countries to develop plans, solutions, and adjust agricultural production activities, ensuring the maintenance and continued development of Việt Nam’s agricultural exports.

The Ministry of Transport is urged to urgently complete the Vĩnh Hảo-Phan Thiết section of the eastern part of the North-South Expressway project within May 2023.

The ministry is expected to lead and coordinate with national, local, and agency entities to open direct flight routes to potential markets, creating favourable conditions for international tourists to visit Việt Nam.

The Ministry of Construction has been told to expedite the progress of national key transportation projects while ensuring quality.

The Ministry of Health will continue to monitor the developments of the COVID-19 pandemic and seasonal diseases, as well as any new outbreaks, seek to raise public awareness in preventing and controlling diseases and focus on thoroughly addressing the shortage of medicines, medical equipment and supplies.

"The leaders of ministries, sectors, and localities should concentrate on directing and managing with a high level of determination, greater efforts, and more decisive action, focusing on successfully implementing the assigned tasks," PM Chính said. — VNS