PM Pham Minh Chinh (standing) and other officials at the meeting between permanent Government members and the Standing Board of the HCM City Party Committee on April 16. (Photo: VNA)

The municipal Party Committee reported that despite numerous difficulties, the southern largest economic hub still recorded GRDP growth of 9.03% in 2022, higher than the national average.

However, the rate stood at only 0.7% in the first quarter of 2023, slowing Vietnam’s growth rate down to 3.32%. The local index of industrial production fell 0.9%. Many influential sectors also contracted as seen in the construction sector’s added value down 20% and the property business sector down 16.2%.

Facing that fact, HCM City submitted several proposals to the PM, including setting up a government working group to devise mechanisms for the city to make development breakthroughs, implementing key transport projects early, revising and supplementing some regulations on foreign workers in Vietnam, issuing a support policy for vocational training, and tackling obstacles to the property market.

In his remarks, PM Chinh attributed some low indexes, including the GRDP growth, to different reasons, including slow disbursement of public investment, enterprises’ modest capital absorption, and the shrunken market.

Pointing out difficulties and challenges caused by external and internal factors, he asked HCM City to keep a close watch on the local, domestic, and international situation to stay proactive and flexible while strongly and comprehensively carrying out recent directions given by the Party Central Committee, Politburo, Secretariat, Government, and National Assembly.

The city needs to focus on removing difficulties for people and businesses, facilitating production and business activities, creating more jobs and livelihoods, and diversifying products, markets, and supply chains. It should also promote innovation and science - technology application, he went on.

It is necessary to create a legal corridor to boost people and enterprises’ capital absorption, address problems in the bond and property markets, step up the socio-economic recovery and development programme, stimulate investment, mobilise all resources in society, and ramp up public investment disbursement.

The Government leader also underlined the importance of creating a fair business climate, promoting administrative procedure reforms, and fostering digital transformation.

In addition, he told Government members, ministries and sectors, in their functions and authority, to actively support and coordinate with HCM City to promptly, decisively, and comprehensively implement solutions for the city’s rapid and sustainable growth.

PM Chinh basically agreed on the city’s proposals and assigned ministries and sectors to work with the local authorities to handle.