2023 CPI forecast at 3.2-3.6%

The Ministry of Finance (MoF) has forecast that the consumer price index (CPI) will come in at between 3.2 and 3.6 per cent in 2023.

The forecast was made based on the target of keeping annual inflation at 4.5 per cent, the Ministry said at a meeting of the Steering Committee on Price Management in Hanoi on October 11.

The General Statistics Office (GSO) made the same forecast while the State Bank of Vietnam predicted a rise of about 3.4 per cent.

Deputy Minister of Industry and Trade Do Thang Hai said that from now to the end of 2023 it is possible to fulfill the target of keeping inflation at 4.5 per cent or lower than 4 per cent.

The MoF said price management should be flexible to keep inflation for the year in line with the government's target and ease inflationary pressure, thus facilitating inflation control in 2024.

It also emphasized the need to further roll out monetary policy flexibly and effectively in combination with fiscal policy and other macro policies, while managing exchange rates based on the situation and controlling credit growth.

Ministries, agencies, and localities should proactively review plans to adjust the prices of State-managed goods and public services, the MoF added, noting that there needs to be a plan to minimize any negative impacts from price adjustments on the poor and vulnerable.

It highlighted ensuring goods supply for the end of the year and the Lunar New Year (Tet), and stabilizing their prices, especially essentials like oil, gas, and food.

Addressing the meeting, Deputy Prime Minister Le Minh Khai said CPI growth of 3.16 per cent in the first nine months of the year was a success in management. He asked relevant ministries and agencies to continue managing inflation to fulfill the set target.

Price management over the remaining months of the year should pay more attention to the prices of oil, gasoline, and food products, he said.