Ho Chi Minh City set GRDP growth rate of 8-8.5 per cent in 2025

According to Directive No.12/CT-UBND, signed recently by Chairman of  the  People's Committee of Ho Chi Minh City, the southern city has set out 6 main development targets to be accomplished by the end of next year, including a gross regional domestic product  (GRDP) growth rate of 7.5 per cent in 2024 and between 8-8.5 per cent in 2025.

The city also aims to have the digital economy accounting for 22 per cent and 25 per cent of its economy in 2024 and 2025, respectively.

The city’s  index of industrial production (IIP) is expected to increase by 6.5 per cent in 2024, with 4 industries as the main driving force with higher growth rate.

Meanwhile, trade turnover is predicted to increase by 10 per cent year-on-year in 2024.

By the end of 2025, the city’s Provincial Competitiveness Index (PCI) and Public Administration Reform Index (PAR-Index) are expected to be among the top ten nationwide.

Moreover, Ho Chi Minh City aims to have a minimum of 40 million sq m of housing area and construct at least 26,200 social housing units as assigned by the government. 

In 2024, over 80 per cent of urban household wastes will be safely processed or recycled; and public green park land will be expanded by at least 150 hectares.

To achieve these targets, the Ho Chi Minh City’s People’s Committee has proposed 7 key tasks and solution groups. Of which, the city will focus on accelerating public investment disbursement; increasing the capital absorptive capacity of enterprises; implementing effective public targets; and continuing to stimulate consumer demand and market stabilization program.

Specifically, to promote the implementation and disbursement of public investment and enhance the absorption capacity of investment capital, the Chairman of the Ho Chi Minh City People's Committee has assigned the Department of Planning and Investment to take the lead in mobilizing investment capital from the entire society for infrastructure development, with VND394 trillion ($15.73 billion) and VND422 trillion ($16.85 billion) expected to be generated in 2024 and 2025, respectively. 

The Ho Chi Minh City Industrial and Export Processing Zones Management Board (HEPZA) and the High-Tech Park have been tasked with indentifying solutions to remove obstacles and accelerating the commencement of projects that have been approved by the city, focusing on areas such as digital infrastructure, data centers, logistics, and digital technology combined with research and development. The goal is to attract a total investment capital of approximately VND50-70 trillion ($1.99 - $2.79 billion) during the 2024-2025 period.

The Department of Industry and Trade has been directed to urgently finalize and implement the project on utilizing public buildings for installing rooftop solar power systems.

The State Bank of Vietnam's Ho Chi Minh City branch is to take the lead in coordinating and maintaining sustainable credit growth, with preferential green credit for the development of renewable energy and new energy sources.