Prime Minister Orders Measures to Address...

Government ministries and local authorities are required to play a key role in easing administrative procedures and business-related regulations in order to promote and support consumption, exports, and investment activities.

This directive was stated in Prime Minister Pham Minh Chinh’s official telegram issued on April 10, which focuses on boosting manufacturing, construction investment, and import–export activities.

The Prime Minister’s telegram was released amid global economic instability and a general worldwide slowdown. Vietnam’s domestic economy has also been affected by both external and internal factors.

Therefore, Prime Minister Pham Minh Chinh requested that ministries and local authorities address issues related to administrative procedures, the business environment, debt and taxation, and service fees in order to support business operations, accelerate key projects, revitalize the manufacturing sector, and drive economic growth through the three main pillars of investment, exports, and consumption.

Prime Minister Chinh also instructed local leaders to review and report on the situation of manufacturing, construction investment, and import–export activities, focusing particularly on sectors and key construction investment projects that play an important role in local economic growth. Reports must specify the challenges related to markets, labor, credit, investment project procedures, and land acquisition, propose solutions, and be submitted to the Ministry of Planning and Investment by April 13.

Upon receiving reports from localities, the Ministry of Planning and Investment will categorize the issues, report those under the Prime Minister’s authority, and propose assignments and work plans for the relevant government agencies.

Prime Minister Chinh also directed relevant government bodies to cooperate with local authorities to identify the causes of the economic slowdown and to propose effective solutions to quickly restore economic growth.

According to data from the Ministry of Planning and Investment, Vietnam’s GDP growth rate in the first quarter of 2023 was 3.32%. While agriculture, forestry, and fisheries grew by 2.25%, and the service sector expanded by 6.79%, the manufacturing sector recorded a negative growth rate of -0.82%. The relatively low GDP growth rate of 3.32% was attributed to a decline in orders in key industries such as textiles, footwear, and wood processing, which reduced the added value of manufacturing and construction by 0.4% and dragged down overall growth by about 4.8%.