Cabinet meeting reviews socio-economic situation in first half

The conference reviews the implementation of the Government’s Resolution No.01/NQ-CP dated January 6, 2023 the socio-economic recovery and development; the allocation and disbursement of public investment capital; the implementation of three national target programmes; and the draft Resolution on tasks and solutions to overcome difficulties in production and business, stabilize the macro-economy, control inflation, propel growth, and ensure major economic balances and social welfare in the new context.

Cabinet members discussed the State budget in the first half, a report on mobilizing official development assistance and foreign concessional loans, and the ratio of re-borrowing foreign loans for projects in the Mekong Delta in line with the Government's Resolution on sustainable development in the Mekong Delta in adaptation to climate change.

In his speech, Prime Minister Pham Minh Chinh touched upon complicated developments, difficulties and challenges of the world situation with slow growth, inflation cooling down but still at a high level; the consequences of the COVID-19 pandemic severely affected geostrategic competition, protectionism, separation, fragmentation, lack of close linkage, and global supply chain disruptions.

Import-export, FDI attraction face plenty of challenges when global trade declines and competition increases along with pressure from practical situation such as global minimum tax issue, new regulations from major markets on imported goods with more stringent requirements.

Despite complicated developments in the world, ministries, agencies and localities have taken concerted efforts to basically meet overall goals in June and the first half of this year. Specifically, the macroeconomic situation remained stable, inflation was brought under control, and growth was promoted while major economic balances ensured.

The monetary policy was managed in a proper, flexible, proactive and timely manner, with further reductions in policy interest rates. Key sectors of the economy continued to see positive changes while social security was guaranteed.

The fields of culture, sports, health care, and education-training also reaped positive results, he said, adding the national sovereignty together with political security, social safety and order were maintained while external activities and global integration proved effective.

He straightforwardly pointed out existing difficulties and obstacles, such as lower-than-expected economic growth, challenges faced by businesses, job losses, and reduced working hours. Disciplines and regulations were yet to be strictly enforced while many officials and civil servants showed fear of making mistakes and taking responsibilities.

The cabinet leader said it is imperative to clearly identify achievements and shortcomings that need to be resolved as well as lessons learned in socio-economic development in June and the first half. Based on this, they were required to propose key solutions and breakthrough measures to perform tasks in July and the second half.