2013 is pivotal to HCM City’s five-year socio-economic development plan (2011–2015) but as experts have forecast, there will be numerous challenges for both the global and Vietnamese economies.
HCM City has defined 29 targets for this year, comprised of 6 for economic development, 12 for social affairs, and 11 for the environment.
The city’s GDP is expected to increase by 9.5–10 percent with per capita income at US$4,000. The service sector’s added values are set to rise 10.5–10.8 percent; industry and construction 8.5 percent–9.2 percent; and agriculture, forestry, and fishery 5 percent. Social investment capital will total VND 248,500–255,000 billion, accounting for 36–37 percent of GDP. Export turnover will grow by 13.5 percent and total budget revenue will exceed VND 236,8 trillion, equivalent to 112.9 percent of 2012’s revenue level.
The city’s social affairs targets include providing jobs to 265,000 laborers, generating 120,000 new jobs, and reducing the unemployment rate to 4.8 percent. Solutions have been devised to boost production and consumption; address business inventory excess; keep a check on the financial and monetary markets; develop the service, industry, and construction sectors; boost export-import, agriculture, and rural development; and restructure State-owned enterprises.
The city will adopt mechanisms and policy incentives to help businesses enhance their competitiveness and ease their access to capital, facilitating the development of the economy’s private sector.
The HCM City People’s Committee says the city will hold regular online conferences between State agencies and businesses to address production and business concerns as quickly as possible.
It will encourage open flows of credit for businesses and ask the State Bank of Vietnam (SBV) to maintain lending interest rates at reasonable levels while offering preferential loans to agriculture, rural development, support industries, and small and medium-sized enterprises (SMEs).
The City is intent on exporting products of higher added value, ramping up technology production and gradually reducing the volume of coarse and unprocessed products.
It is also set to expand major export markets such as the US, Japan, China and the EU; renew trade promotion programs provide customer markets with the most up-to-date information, and identify groups of products with a high competitive edge and maintain the overall quality of products.
The City will support export businesses in forwarding services at bonded warehouses, increasing unloading capacity at seaports, streamlining customs clearance procedures, intensifying business support programs, and developing logistical package services.
HCM City People’s Committee Chairman Le Hong Hai is confident that despite 2013’s inevitable challenges, the city—with specific action plans and united action—is destined to fulfill all its set socio-economic targets.