Economic experts and policy makers gathered at a seminar on September 19, hosted by the Ministry of Planning and Investment (MPI), to discuss the necessary measures for ensuring consistency in policy adjustment to achieve the growth targets.
Speaking at the event, Head of MPI's Department for National Economic Issues Tran Quoc Phuong stressed the need for the effective implementation of solutions to achieve the set growth target for the whole year, in the context of limited budgets.
According to Phuong, to achieve GDP growth of 6.7% this year, in addition to the overall measures, focus should be placed on short and long-term sustainable solutions in order to take advantage of all opportunities and conditions to accelerate growth in 2017, while supporting sustainable development, enhanced competitiveness and innovative growth models.
He also pointed to three main solutions, in which the priority is on flexible financial and monetary management to control inflation and stabilise the currency.
It is important to take advantage of both international and domestic opportunities to boost production and business in all areas, especially in the manufacturing and processing industries, to stimulate exports and imports, develop tourism, strengthen services, and accelerate disbursement of FDI and private capital. Meanwhile, the long-term solution is to restructure the economy, Phuong added.
Scrutinising the macro economy, Phuong said that over the first half of 2017, growth in Q2 exceeded Q1. The growth gap from Q1 to Q2 increased by more than 1%, the largest gap in recent years. Other indicators remain stable and supportive, with inflation under control at below 4% and guaranteed indexes for financials and monetary, while credit growth for the last eight months is expected to be at over 10%.
In addition, Phuong is also optimistic about the growth of the processing, manufacturing and import-export industries. Exports grew by 18%, while imports increased by over 22%, mainly through importing machinery and raw materials, showing that domestic production is positive. It is expected that this year's export-import growth will far exceed the set target.
However, Phuong also affirmed that in the Prime Minister's view, economic growth will not be attained at all costs but through taking all opportunities in order to overcome difficulties. The GDP growth target is important because it’s related to the budget target.
In the context of budget limitations, according to Phuong, the aim is to facilitate policies and mechanisms to create a favourable business environment for businesses.
Agreeing with Phuong’s opinion, Dau Anh Tuan, Head of Legal Department at Vietnam Chamber of Commerce and Industry, said that long-term economic development solutions need to focus on reforming procedures, reducing expenditure and shortening the time for businesses.
The government is stepping up reforms in a variety of areas to achieve the economic growth target of 6.7% in 2017, aiming at creating a momentum for high-level and sustainable economic development in the coming years.
Breakthroughs are determined to drastically improve business environment, create confidence and encourage enterprises to invest and expand their production and business operations. The focus is on the private sector, which still has untapped potential for development.
