Ho Chi Minh City’s economy on steady growth track

09:06 | 09/09/2017 Economy- Society

Ho Chi Minh City’s economy continued its steady growth in the first eight months this year, said the municipal authorities during a working session reviewing the city’s performance in the period on September 5.

ho chi minh citys economy on steady growth track
A corner of Ho Chi Minh City - Credit: VNA

Speaking at the event, Director of the municipal Department of Planning and Investment Su Ngoc Anh said that the total retail value rose 10.3% annually to surpass VND599.1 trillion (US$26 billion) during the period. The total export is estimated at US$22.8 billion, up 13.6% while the industrial production index increased by 7.31%.

Four key industries, namely mechanical engineering, electronics, chemicals – rubber – plastics, and food processing, continued expanding their markets. Investment in advanced equipment to improve quality and competitiveness surged 11.8% annually.

Since the beginning of this year, the city has granted licences to 26,614 new firms with a total registered capital of over VND358.89 trillion, marking 13.1% and 82.9% increases in the number of businesses and registered capital, respectively.

Up to 1,171 business households have switched their status to businesses. Meanwhile, the total foreign direct investment attraction hit US$3.23 billion, representing a 1.57-fold increase annually.

Anh attributed the growth to the city’s support in delivering innovation, improving the business climate and refining start-up ecology. Meanwhile, the city has also facilitated technological transfer in agriculture to produce safe and high quality farm produce.

The total agro-forestry-fisheries value was estimated at over VND7.63 trillion, up 6.5% on a yearly basis.

Director of the municipal Department of Finance Phan Thi Thang said that the city collected in excess of VND224 trillion to the State budget, or 64.39% of the estimate and up 11.47% from the same period last year. The total spending stood at VND33.58 trillion, or 47.54% of the estimate and up 20.64%.

Chairman of the municipal People’s Committee Nguyen Thanh Phong took the occasion to request that the agencies concerned continue perfecting start-up ecology, encouraging innovation and improving the business climate.