Ho Chi Minh City's economy recovers positively

On June 30, the Ho Chi Minh City Statistics Office reported on the socio-economic situation in June and the first 6 months of 2024, recording positive signs of recovery.

Specifically, the gross regional domestic product (GRDP) in the first 6 months increased by 6.46% over the same period, the industrial production index increased by 5.6%, the highest level in the past 3 years, total retail sales of goods and service revenue increased by 10%. Total budget revenue in the first 6 months of the year is estimated at more than 264,000 billion VND, up 16% over the same period and reaching nearly 55% of the 2024 estimate. Of which, domestic revenue increased sharply (26.1%) and increased evenly in all 3 sectors: state-owned enterprises, FDI enterprises and non-state sector.

Regarding business registration, in the first 6 months of the year, Ho Chi Minh City licensed more than 25,000 enterprises with registered capital of VND214,716 billion, an increase of 9.6% in licenses and 1% in capital compared to the same period. The results of the survey on business trends of enterprises in the processing and manufacturing industry showed that production and business activities in the second quarter were better than the first quarter, with about 74% of enterprises assessing the situation as stable and improving.

The report of the Ho Chi Minh City Statistics Office also pointed out concerns about the decrease in public investment and budget expenditure. Specifically, the accumulated disbursement of public investment capital in the first 6 months of the year was nearly 15,000 billion VND, equivalent to about 19%, although the target was set at least 30% by the end of the second quarter. Regarding the progress of some key projects, metro line No. 1 (Ben Thanh - Suoi Tien) is more than 98% complete and is trying to speed up the progress to put into operation in November 2024. Metro line No. 2 (Ben Thanh - Tham Luong) has basically completed the procedures for issuing compensation decisions for 584/586 cases, and 2 households in District 3 are being actively mobilized to hand over the site.

Particularly for the Ho Chi Minh City Ring Road 3 project, the construction component due to lack of sand has caused some packages to be behind schedule, typically in the area through Binh Chanh District, many sections of the ground have been ready but have not been implemented due to lack of sand. The General Statistics Office assessed that the lack of sand is a challenge for the goal of opening the road to traffic in 2025 and completing the entire project in 2026. The Tham Luong - Ben Cat - Nuoc Len canal renovation project has reached more than 50% of the total volume, although there are some difficulties and problems with sand materials for the foundation, the construction is still on schedule.

Source: https://thanhnien.vn/kinh-te-tphcm-phuc-hoi-tich-cuc-185240630232301822.htm