HCMC urged to increase national GDP share

PM Nguyen Xuan Phuc (standing) addresses working session with leaders of Ho Chi Minh City, April 12, 2019. Photo: VGP

The Government chief also tasked the country’s biggest economic hub to raise national budget contribution ratio to about 28%.

In the first quarter this year, the city’s economy grew 7.64%, higher than the average growth rate of the national economy (6.79%).

Its budget revenues were estimated to rise 7.18% to VND 98,365 billion while foreign arrivals soared 14% to more than 2.2 million.

PM Phuc, however, pointed out that six out of nine domains of the city’s service sector posted lower growth rates compared to the same period last year.

Foreign investment inflows, particularly into high-tech industries remained incommensurate with the city’s economic position.

Particularly, foreign capital into manufacturing and processing only accounted for 8% of the country’s total foreign investment. Meanwhile, administrative reform has not brought about substantial progress, Phuc added.

Phuc tasked HCMC to focus on unleashing “bottlenecks” against development and take the lead in building smart city to a modern economic, financial, trade and scientific and technology of the country and ASEAN.

At the working session, PM Phuc assigned the Ministry of Transport to promptly finalize investment procedures for the belt road number 3, then the Ministry of Planning and Investment will verify and report to the PM.

By Thuy Dung