The modern downtown area of HCM City along the Sài Gòn River. The city’s economy grew by 7.02 per cent in the first nine months. — VNA/VNS Photo

HCM CITY — HCM City’s economy expanded 7.02 per cent in the first nine months of the year, with momentum building each quarter despite concerns earlier this year about US tariff impacts, according to the municipal Statistics Office.

Gross regional domestic product rose 8.11 per cent in the third quarter from a year earlier, up from 7.24 per cent in the second quarter.

The acceleration lifted growth in the January–September period to 7.07 per cent, compared with 6.56 per cent in the first half.

Services continued to lead, expanding 8.59 per cent and accounting for more than half of output.

Retail sales and consumer services revenue rose 15.3 per cent to VNĐ1.4 quadrillion ($55 billion).

Industry and construction also strengthened, with construction climbing 8.57 per cent and industry up 5.07 per cent.

The industrial production index (IPI) gained 6.9 per cent, supported by processing and manufacturing.

Public investment disbursement reached VNĐ59.6 trillion ($2.2 billion), nearly half of the annual plan, helping to underpin the recovery.

Challenges

Still, challenges persist. The number of newly licensed businesses fell 11 per cent to just over 41,000 in the period, while registered capital slumped nearly a third.

Inflation picked up, with consumer prices climbing 4.06 per cent, compared with 3.17 per cent a year earlier. Gold prices surged 37.8 per cent.

The city, Việt Nam’s main growth engine, has set an 8.5 per cent expansion target for 2025.

To reach that goal, it would need to post quarterly growth of at least 12 per cent in the final three months.

Officials are betting on a new two-tier governance model and faster public investment to maintain momentum, though they caution the system is still being tested.

The city People’s Committee has formed three task forces to accelerate disbursement, oversee key projects, and remove bottlenecks in land clearance and infrastructure relocation.

Despite global uncertainty and structural adjustments at home, HCM City enters the last quarter of the year with growth running ahead of the national average, officials said. — VNS