First quarter, economy continues to grow despite difficulties

Over the past three months, the world economic changes have made negative impact on Việt Nam’s economy. However, thanks to the Government’s drastic solutions and great efforts of all agencies, sectors, enterprises and the whole people, the national economy continued to grow.

Production value in industry and agro-forestry-fishery rose up by 16.3% and 4.1% respectively compared to the same period last year.

The total retail sale of goods and services reached VND 218,300 billion, increasing by 29.2% against the first quarter of 2007, in which the collective, private and individual economic sectors obtained the high growth rate of 34-36%. In this total figure, the trade sector accounted for 82.5%, followed by hotel and restaurant, travel, and services.

The GSO reported that, in the first quarter, export turnover of most of major products went up compared to the same period last year. By the end of March 2008, three products – crude oil, textile, and footwear – earned US $1 billion each.

Import also sharply increased, reaching nearly US $20.4 billion, up 62.5% against last year. The key imports included machinery and materials to serve production activities.

The investment capital of the whole society was estimated to reach VND 105,100 billion, increasing by 15.9% in comparison with the same period of 2007, in which the State-run sector held the highest percentage.

The total FDI was around US $1.68 billion, up 24%. The ODA commitment was nearly US $369 million (up 16%) in which loans reached over US $342 million and the non-refundable aid US $26.4 million. The total disbursement of ODA was estimated to be US $210 million, equivalent to 11% of the yearly plan.

The number of international arrivals to Việt Nam rose up 15.7% against the same period last year, including 772,100 turns of tourists, 237,700 turns of business guests, and 198,800 turns of those to visit their relatives.

According to the GSO’s estimate, the passenger transport in the first three months of 2008 was 437 million turns, of which 98.4% was hold by locally-run enterprises.