The Vietnam’s socio-economic development plan in the 2016-2020 period is near the finish line with the visible recovery of GDP and more sustainable economic growth.
During the period, the national GDP growth is about 6.84% per year, meeting the set target of 6.5-7% per year. Vietnam's economic growth is not only supported by the increase in the scale of production factors but is also driven by the improvement of productivity and investment efficiency.
The macroeconomic foundation has been strengthened with low inflation, flexible exchange rates, stable interest rates, and credit growth, and money supply being kept under tightened control.
The fiscal balance has also been improved while the ratio of public debt and government debt has decreased rapidly in a solid manner. The business environment has seen positive improvements, contributing to promoting the development of the private sector.
These are encouraging given that the world economy, global trade and economic growth in most areas are slowing down.
Notably, the process of restructuring the economy and changing the growth model has made initially positive changes in accordance with the set requirements, contributing to successfully maintaining the macroeconomic stability, controlling inflation and promoting GDP growth. The process has also created more room to perform tasks of ensuring social welfare, consolidating national defence and stabilising social order and security in order to gradually narrow the gap of national competitiveness with ASEAN-4 countries.
The three main focuses of the restructuring process including public investment, state-owned enterprises and the financial market continue to be promoted, creating a new step in mobilising resources and increasing investment efficiency.
However, the process of restructuring the economy and changing the growth model still reveals inadequacies. The growth model has yet to see significant changes despite certain improvements in productivity and efficiency. In addition, the growth rate, the improvement in labour productivity, and capital efficiency remain low compared to the set requirements.
As the chief architect of the country, the Ministry of Planning and Investment will review the restructuring of the economy in the 2016-2020 period and propose solutions for the 2021-2025 period.
The restructuring of the economy is a necessary condition to timely take advantage of opportunities and create a premise for a clearer transformation of the growth model and will help bring the country to a new level of development.
Of the 67 goals set for the restructuring of the economy until 2020, more than 40% of the goals have been completed, 35.8% of the goals are likely to be completed and 23.9% of the goals need more solutions to be completed.
Therefore, the completion of the above tasks is determined to be the focus and top priority of the Government, ministries, sectors and localities in 2020.
Right from the beginning of the year, the Government has directed ministries, sectors and localities to proactively promulgate solutions and step up the performance of tasks in order to accomplish the set targets. For the goals incapable of being fulfilled, it is necessary to report to the Government to devise measures to promptly remove and adjust them.