Many localities are also targeting double-digit GDP growth in 2025 while the government targets over 8% this year and potentially 10% under favorable conditions to lay the foundations for double-digit growth in subsequent years. 

Vice Minister of Planning and Investment Nguyen Duc Tam shared this view during a government’s monthly press conference held on January 8.

Deputy Minister of Planning and Investment Nguyen Duc Tam at the press conference. Photo: Nhat Bac/VGP

Tam said that Vietnam's GDP growth in 2024 reached 7.09%, surpassing the original target of 6.5% due to a 0.8 percentage point drop caused by the impact of Typhoon Yagi and its remnants hit northern provinces in September.

“This strong performance provides a critical foundation for achieving the 8% GDP growth target in 2025,” Tam said.

The ambitious GDP growth target of 8-10% exceeds the National Assembly's projection of 6.5-7%. However, international organizations remain conservative in their forecasts. The IMF projects Vietnam's 2024 GDP growth at 6.1%, still outperforming regional peers like China, Indonesia, and Thailand (3-5.1%). The Asian Development Bank (ADB) predicts a higher rate of 6.6%, citing trade and investment momentum from 2024. Nonetheless, the government views these gains as a stepping stone to double-digit growth in 2026-2030.

Minister of Planning and Investment Nguyen Chi Dung previously emphasized that Vietnam must maintain a high growth trajectory of 10% or more over the next 20 years to achieve high-income status by 2045.

According to Tam, key drivers of Vietnam’s robust growth include institutional reforms and decentralized governance. Last year, a number of laws related to investment and finance were amended to grant greater autonomy to local authorities. At the upcoming mid-year session, the government plans to propose revisions to key laws, such as the Law on the Management and Use of State Capital in Enterprises and the Law on Enterprises, to ease constraints for businesses.

Electronics production at JK Vietnam Company in Chuong My District, Hanoi. Photo: Pham Hung/The Hanoi Times

Public investment disbursement has also been prioritized early in the year. "Every dollar of public investment disbursed can catalyze two dollars of private investment, creating a multiplier effect to stimulate growth," said Tam.

In addition, the government is fast-tracking strategic initiatives, including the resumption of the nuclear power plant project, the establishment of international financial centers in Ho Chi Minh City and Danang, and the creation of free trade zones in selected localities. High-priority infrastructure projects, such as 3,000 km of expressways, 1,000 km of coastal roads, and the Long Thanh International Airport, are being expedited to enhance connectivity and economic competitiveness.

"Expanding roads from two to three lanes and building international financial centers are transformative efforts that can significantly boost national resources," Tam added.

The government is also revitalizing traditional growth engines, including domestic consumption and exports. Initiatives to stimulate domestic demand aim to attract 120-130 million domestic tourists and 20 million international visitors this year.

In tandem with the pursuit of growth, the government remains committed to macroeconomic stability, inflation control, and the maintenance of key economic balances.

“High growth needs to be underpinned by strong fundamentals,” Tam stated, highlighting flexible and proactive monetary policy alongside fiscal stimulus, such as the corporate tax cuts, which will remain in place until mid-year.

“These measures will enable businesses to grow and contribute to the state budget while stimulating domestic demand,” he continued.

This balanced approach reflects Vietnam’s determination to achieve sustainable and inclusive economic growth, added Tam.