HCM City’s economy sees huge boost in first quarter
Socio-economic development in Ho Chi Minh City in the first three months of this year continues to show strong growth across fields, according to the municipal People’s Committee.
HCM City (VNA) - Socio-economic development in 🌺Ho Chi Minh City in the first three months of this year continues to show strong growth across fields, according to the municipal People’s Committee.
In the first quarter, t he gross regional domestic product (GRDP) was estimated at nearly 222 trillion VND (9.99 billion USD), a year on year rise of 7.1 percent.
Of the sum, services accounted for 57.7 percent, while industry and construction made up 27.7 percent and agriculture, 0.8 percent.
Retail and service revenues totalled more than 175 trillion VND (7.87 billion USD), an annual rise of 11.6 percent. Meanwhile, export turnover reached 6.7 billion USD, up 0.1 percent over the same period last year.
The industrial production index recorded an annual expansion of 5.72 percent, with prominent growths of beverage production (23.19 percent), non-metallic mineral exploitation (18.33 percent), mechanics (12.9 percent), and paper sector (10.2 percent).
Local authorities have so far this year granted new investment licenses to 158 projects worth 192.4 million USD, up 58 percent in the number of projects and down 66.3 percent in terms of capital.
Additionally, 39 existing projects increased their investment capital to 85.7 million USD.
According to the municipal Department of Finance, the city collected nearly 72 trillion VND (3.24 billion USD) to the State budget, up 0.92 percent over the same period last year.
The municipal People’s Committee forecasted that the city is likely to reach higher growth in the next quarter thanks to facilitations of the State’s policies and the global market’s stable growth.
In the coming time, the local authorities will intensify measures to realise economic development targets, focusing on bettering the local investment climate, promoting production and business and market management, said Su Ngoc Anh, Director of the municipal Department of Planning and Investment.
To support local businesses in the process of international integration, direct dialogues between enterprises and the municipal authorities will be arranged, thus timely taking measures to help solve difficulties facing enterprises as well as updating information related to free trade agreements joined by Vietnam.
Creating the most favourable investment environment for investors and businesses will help the city achieve higher growth, said Nguyen Thanh Phong, Chairman of the municipal People’s Committee.-VNA
Head of the Party Central Committee’s Economic Commission Vuong Dinh Hue has hailed Ho Chi Minh City’s economic growth as a valuable example for other localities in terms of management and policymaking.
During the visit, office representatives held a working session with the Tipaza Chamber of Commerce and Industry and met with several prominent local businesses operating in key sectors including industry, agriculture, fisheries, food processing, chemicals, pharmaceuticals and plastics.
A Nordic delegation to Vietnam International Sourcing 2025 in September will feature leading names in retail, consumer goods, logistics, and sustainable manufacturing, including global fashion giant H&M, offering fresh prospects for partnerships in fashion, textiles, and green supply chains.
With the current trading band of +/- 5%, the ceiling rate applicable for commercial banks during the day is 26,276 VND/USD and the floor rate 23,774 VND/USD.
Effective from the date of signing on June 18, the decision halts procedures outlined in the 2005 Memorandum of Understanding (MoU) between the governments of Vietnam and Laos on the initial implementation of the Greater Mekong Subregion (GMS) Cross-Border Transport Facilitation Agreement at the Lao Bao–Densavan border gate.
The event aimed to update businesses on new regulations and compliance requirements regarding US tax, trade, and customs policies, while offering practical solutions to facilitate exports amid shifting trade dynamics.
The festival marks a significant milestone in promoting the brand, value, and legacy of traditional fish sauce - a product deeply rooted in the island’s identity and history spanning over 200 years.
According to Mastercard data, Vietnam has recorded a remarkable 92% compound annual growth rate (CAGR) in contactless transaction volume from Q4 2022 to Q4 2024.
Tuan expressed his confidence that LH, with its expertise and experience, would swiftly implement the urban area project, contributing to a modern urban landscape for the province.
With its strategic location, abundant workforce, and modern infrastructure, Vietnam holds significant potential to become a leading centre for power and electronics production in the region and the world.
The renewable energy workforce training and development centre, invested by Germany's GEO Group, is expected to be a cornerstone in shaping Binh Dinh as a renewable energy and innovation hub in central Vietnam, meeting the growing demand for skilled technical personnel in offshore wind, solar farms, and green hydrogen projects.
A notable trend is the shift toward satellite regions. With land scarcity and soaring prices in Ho Chi Minh City and Hanoi, investors are eyeing provinces like Hung Yen, Bac Ninh, and Hai Phong, which are benefiting from improved technical infrastructure and transport connectivity.
To further strengthen private-sector innovation, Bac Ninh plans to accelerate administrative reforms, build a digital, service-oriented government, and develop an integrated innovation ecosystem that connects businesses with domestic and international institutions, universities, and experts.
The participation of H&M, one of the world's largest fashion corporations, in Vietnam International Sourcing 2025 in Ho Chi Minh City in early September is considered a special highlight, opening up many cooperation opportunities for Vietnamese businesses in the fashion, textiles and sustainable supply chains.
This latest order builds on a previous agreement signed at the Singapore Airshow last year for 40 engines, bringing the total number of Trent 7000 engines ordered by the airline to 80.
Minister of Industry and Trade Nguyen Hong Dien acknowledged that despite concerted efforts by ministries and local authorities in combating fake and substandard goods, the situation remains highly complicated, attributing the persistent challenges to high profits luring numerous participants, increasingly sophisticated violations, limited resources within enforcement agencies.
The group also placed among the Top 5 energy companies in Southeast Asia and secured the top spot among the largest Vietnamese enterprises featured on the list.
A corner of Ho Chi Minh City (Source: VNA)
