Stimulating consumption: Creating momentum for achieving 8% growth this year

Consumers shop at a supermarket. (Photo: Duc Duy/Vietnam+)

The domestic market and domestic trade have made an important contribution to the economic restructuring towards increasing the proportion of industry and services and associated with the development of Vietnamese brands.

According to experts, together with exports and investment, domestic trade has created a solid complementary "tripod", contributing significantly to realizing the growth target of 8% or more this year.

Unblocking the market

In the first two months of 2025, the total retail sales of goods and consumer services revenue at current prices is estimated at VND 1,137.5 trillion, up 9.4% over the same period last year (the same period in 2024 increased by 8.4%), excluding price factors, it increased by 6.2% (the same period in 2024 increased by 5.3%). In the total, retail sales of goods in the first two months of 2025 are estimated at VND 878.4 trillion, accounting for 77.2% of the total and up 8.7% over the same period last year.

It can be seen that retailing goods is one of the most important factors contributing to the total retail sales of goods and consumer service revenue. This is the reason why large enterprises in the retail industry have been making efforts to invest in expanding the distribution system, in order to contribute to the overall growth rate of the domestic market in 2025.

Mr. Nguyen Anh Duc, General Director of the Ho Chi Minh City Union of Trading Cooperatives (Saigon Co.op) assessed that the country's economic growth (GDP) and the growth of total retail sales of goods and consumer service revenue have a similar relationship.

Therefore, to promote domestic consumption growth, according to Mr. Duc, it is necessary to have fundamental, long-term solutions to directly support manufacturers and distributors to help them survive and develop. In addition, there needs to be a connection between industries and associations to create an overall driving force for the economy rather than local competition in each industry. For example, tourism should join forces with trade to develop.

For the capital city of Hanoi, economic development will have a strong impact on the growth of the whole country. Ms. Nguyen Kieu Oanh, Deputy Director of the Hanoi Department of Industry and Trade, said that the city is accelerating the implementation of the goal of the city's service sector developing rapidly, effectively and sustainably, ensuring basic services with increasingly high quality to serve the country's socio-economic development, towards forming a modern economic structure.

In addition, the city also increases support for businesses to overcome difficulties, speed up the progress of projects of trade centers, supermarkets, and markets in the area, and at the same time supports distribution businesses to develop their commercial business networks, harmoniously combining traditional commercial business with business in the online environment.

In particular, the continued implementation and effective promotion of the campaign "Vietnamese people prioritize using Vietnamese goods"; Development of OCOP product introduction and sales points associated with business locations, craft village tourism, rural tourism, etc., promoting the regional linkage program, connecting supply and demand of goods, supporting provinces and cities to consume products in Hanoi are also promoted.

“The city continues to support and promote the development of e-commerce in the city; accelerate the commencement of investment projects to build logistics service infrastructure that have investment policy decisions; research and propose to complete the legal basis to promote and call for investment in developing new types of civilized and modern trade and services such as Outlet models, automatic vending machine systems, etc.,” said a representative of the Hanoi Department of Industry and Trade.

Supply Chain Optimization

The Government's target is to increase retail sales and consumer revenue to about 12% in 2025. According to Mr. Nguyen Anh Duc, the sector that contributes significantly to total domestic consumption and has great potential for development in the coming time is e-commerce. Vietnam's e-commerce market in 2024 will exceed 25 billion USD, growing 20% ​​compared to 2023 and accounting for 9% of total consumer goods.

“Therefore, maintaining an e-commerce growth rate of about 20% in the next five years is necessary to boost GDP to double-digit growth,” said Mr. Nguyen Anh Duc.

According to economic expert Vu Vinh Phu, to promote consumption, it is necessary to implement many synchronous policies, including stimulus policies, tourism development and, more importantly, to increase people's income through developing other pillars of GDP such as investment and export.

“The State needs to soon issue specific and detailed financial support policies to help those who have lost their jobs find new jobs through vocational training and career conversion programs. Along with that, it is necessary to create conditions for unemployed workers to have capital and the ability to start their own businesses through activities to improve the investment and business environment,” Mr. Vu Vinh Phu shared.

To achieve the growth target of 12% in 2025, the Ministry of Industry and Trade has identified key groups of solutions, focusing on stimulating consumption and creating new growth momentum.

Along with that is ensuring a stable supply, optimizing the supply chain, specifically supporting businesses in producing and circulating goods, especially essential goods, ensuring a stable supply and minimizing the impact from external economic fluctuations. Developing a smart logistics system, combining modern warehouses, artificial intelligence (AI); building an early warning system on supply-demand and prices of goods, helping businesses proactively adjust production and business plans.

The representative of the Ministry of Industry and Trade said that functional units are focusing on developing modern commercial infrastructure and promoting digital transformation. Accordingly, promoting e-commerce and multi-channel retail models, supporting small and medium enterprises to participate in the digital market, increasing customer access. Enhancing the role of shopping centers, supermarkets, and convenience store chains in serving modern consumer needs, ensuring diverse and quality sources of goods, while strengthening supply-demand connections, ensuring market stability...

According to Ms. Tran Thi Phuong Lan, Vice President of the Vietnam Retailers Association, in addition to synchronously implementing solutions to stimulate consumption proposed by the Ministry of Industry and Trade, businesses in the retail industry must focus on solutions such as digital transformation to catch up with the trend of closely linked supply chains, implementing multi-channel sales, serving people's shopping and tourism experiences, thereby increasing people's confidence and stimulating consumption.

In addition, manufacturers, distribution systems and consumers need to work closely together towards green production and green consumption. All are aimed at serving the interests of consumers, then consumers will have confidence in the product. This is an important way to stimulate consumption, promote growth and achieve the 12% figure we have set.

According to Vietnam+

Source: https://baodanang.vn/kinhte/202504/kich-cau-tieu-dung-tao-da-cho-viec-thuc-hien-tang-truong-8-trong-nam-nay-4003070/