Prime minister: no change to 10% target for economic growth

Prime Minister Pham Minh Chinh said there will be no change to the government’s 10% economic growth target, urging ministries, local authorities and enterprises to turn current difficulties into momentum for economic restructuring and improved competitiveness. Speaking at the regular Government meeting on 4 April, he said the global environment remains volatile and complex, but also creates opportunities for Vietnam to pivot and manage risks more effectively.

Growth target maintained amid volatile global conditions

The Prime Minister reiterated the leadership’s commitment to achieving a two-digit growth target alongside macroeconomic stability, inflation control and ensuring major macro balances. He called on agencies to identify clear catalytic drivers and practical solutions to reach the target.

Three months into the year, Vietnam’s GDP grew 7.83% year-on-year, higher than 7.07% in the same period of 2025. All three economic sectors expanded positively.

Local performance and manufacturing momentum

Of 34 localities, 23 achieved GRDP growth of 8% or higher. The leading performers were Ha Tinh (12.42%), Ninh Binh (11.63%), Hai Phong (11.21%) and Hung Yen (10.43%).

Vietnam’s manufacturing PMI in March was 51.2, maintaining expansion for nine consecutive months.

Macroeconomic indicators and trade

Macroeconomic indicators were described as stable. The CPI in March rose 4.65%, while the first-quarter average increased 3.51%. Fuel supplies were reported as secured.

State budget revenue in the first three months was about 829.4 trillion dong, equivalent to 32.8% of the year’s estimate. Total imports and exports reached nearly 249.5 billion USD, up about 23%.

Business formation and market dynamics

In the first quarter, around 96,000 new enterprises were established or resumed operations, up 31.7% year-on-year. This figure was higher than the number leaving the market (91,800).

Government directives: investment, infrastructure and consumption

PM Pham Minh Chinh assigned tasks to ministries and localities to achieve a full-year growth target above 10%. He emphasized ensuring 100% disbursement of public investment, with no allocated funds left idle.

He also directed acceleration of the start of component projects 2 and 3 of railway lines connecting with China, and asked agencies to address bottlenecks in long-standing projects to free up resources.

To support demand, the Prime Minister reiterated measures to stimulate domestic consumption and develop the domestic market, including reducing taxes and fees, increasing promotions, and expanding efforts to bring goods to rural and remote areas.

Institutional reforms and administrative efficiency

Agencies were asked to continue reviewing and improving institutions, cutting administrative procedures and enhancing decentralization.

The Prime Minister also requested readiness for operating scenarios with breakthrough solutions to turn the situation around, transform the state and seize opportunities to boost growth.

Monetary and fiscal policy priorities

On monetary policy, the State Bank of Vietnam was tasked with leading efforts to avoid a situation where inflation undermines growth or where growth pressures conflict with inflation control. The central bank should implement solutions to bring deposit and lending rates down to appropriate, stable levels to support production and business while controlling risks in potentially risky sectors.

On fiscal policy, the Ministry of Finance aims to increase state budget revenue by 10%, save over 10% and save an additional 5% of current expenditures. Ministries and localities were also urged to strictly handle violations related to pricing, smuggling, commercial fraud, counterfeit goods and infringements of intellectual property.

Restructuring through digital and green transformation

PM Pham Minh Chinh emphasized that difficulties and challenges can be opportunities for digital and green transformation, sustainable economic restructuring, fuel and energy savings, solar rooftop installations and nuclear power.