Logo of Phnom Penh Post newspaper Phnom Penh Post - Strong pick-up in HCMC economy

Strong pick-up in HCMC economy

Content image - Phnom Penh Post
A woman shops fruits at a supermarket in Ho Chi Minh City. The Vietnamese city’s total retail sales of goods and services in April jumped 3.2 per cent month-on-month and 6.2 per cent year-on-year. VIETNAM NEWS AGENCY

Strong pick-up in HCMC economy

Ho Chi Minh City’s (HCMC) economy is rebounding strongly, raising confidence among people and businesses, heard a recent meeting on the local socio-economic situation.

Speaking at the meeting on April 26, municipal Department of Planning and Investment director Le Thi Huynh Mai said the southern Vietnamese city’s Index of Industrial Production (IIP) in April expanded some two per cent from the previous month and 9.7 per cent year-on-year.

Its total retail sales of goods and services also jumped 3.2 per cent month-on-month and 6.2 per cent year-on-year. Lodging and catering services increased by more than 12 per cent and travel services grew over 18 per cent compared with March.

In the first four months of this year, the southern economic hub’s budget collection was over 168.77 trillion dong ($7.34 billion), fulfilling 43.51 per cent of the estimate for the whole year and up 13.87 per cent year-on-year.

Its IIP increased 2.6 per cent during the four-month period, of which the four main sectors of food processing, pharmaceutical chemicals-rubber-plastic, mechanical engineering, and electronics rose some six per cent against the corresponding period last year.

Despite difficulties caused by the Covid-19 pandemic, a number of foreign direct investment (FDI) firms are seeking local suppliers, which will be a good opportunity for enterprises operating in support industries to further integrate into the global supply chain and improve their competitiveness, a representative from the municipal Department of Planning and Investment said.

Notably, outcomes in pandemic containment and economic recovery have helped warm up the tourism market, with foreign tourists in April increasing 100 per cent year-on-year to 114,728. The city earned around 8.76 trillion dong from tourism, a year-on-year rise of 26.7 per cent.

Since April 25, the municipal Department of Health has applied measures to renovate the quarantine at Tan Son Nhat International Airport, including the exemption of Covid-19 test checks.

As airlines are already required to ensure all passengers are negative for Covid-19, the department asked the city’s Centre for Disease Control to skip this process at the airport.

Tourism Department director Nguyen Thi Anh Hoa said the local tourism sector is also offering new products like city tours by helicopters and cruise ships to attract more holidaymakers.

HCMC Institute for Development Studies Associate Professor Dr Tran Hoang Ngan held that the good control of Covid-19 has positively impacted local economic activities.

However, he said, the city should pay more attention to the living standards of labourers, poor households and social policy beneficiaries amid increasing inflation.

He also suggested HCMC speed up the implementation of the National Assembly’s Resolution No 43/2022/QH15 on fiscal and monetary policies in support of the socio-economic development and recovery programme, along with the government’s Resolution No 11/NQ-CP on the programme, making it easier for enterprises and people to access fiscal and monetary support packages.

City People’s Committee chairman Phan Van Mai ordered assessing the impacts of price hikes on people, especially low-income earners, and accelerating the implementation of support packages for people affected by the pandemic.

Regarding tasks for May, he asked departments and localities to continue efforts to fight Covid-19 and dengue, and implement resolutions on socio-economic recovery and development.

The city will focus on organising and participating in tourism and cultural events and activities, with the highlight being the 18th HCMC Tourism Festival, according to the official.

The southern metropolis will also work harder to complete procedures for the construction of Belt Road 3, and remove obstacles to the disbursement of public investments, he said.

VIET NAM NEWS/ASIA NEWS NETWORK

MOST VIEWED

  • ‘Education’ a priority traffic-law penalty

    A top National Police official on June 21 neither rejected nor confirmed the authenticity of a leaked audio message, which has gone viral on social media, on a waiver of fines for a number of road traffic-related offences. General Him Yan, deputy National Police chief in

  • Pursat Ford assembly plant opens

    The Kingdom’s first Ford assembly plant was inaugurated on June 16 in Pursat province amid rising demand for brand-new vehicles among Cambodians. The facility is seen as a game changer for the domestic automobile industry, which could bring a wave of investors seeking to cash

  • Volunteer scheme to foster ‘virtuous’ humanitarian spirit

    A senior education official said volunteer work contributes to solidarity and promotes a virtuous humanitarian spirit among the youth and communities. Serei Chumneas, undersecretary of state at the Ministry of Education, Youth and Sport, made the comment during the opening of a training programme called “

  • Siem Reap’s $18M zoo said to educate public, help wildlife

    Angkor Wildlife and Aquarium Co Ltd has invested $18 million in a zoo in Siem Reap province, which will be opened in October to educate and promote animal conservation as well as attract national and international tourists. Currently, the Angkor Wildlife and Aquarium is building the

  • $50B infrastructure plan en route

    The government’s upcoming $50 billion,10-year infrastructure master plan will provide tremendous investment opportunities for domestic and foreign entities, transport experts and economists say. Minister of Public Works and Transport Sun Chanthol revealed the plan to Japanese ambassador to Cambodia Masahiro Mikami on June 15. At

  • Chinese firms unveil preliminary results on metro, monorail for capital

    Minister of Public Works and Transport Sun Chanthol and representatives from China Road and Bridge Corp (CRBC) and its parent company, the state-owned China Communications Construction Co Ltd (CCCC), met on June 24 for talks on results of the firms’ preliminary study on a potential metro