Vietnam’s economy and society in Q1 2026 show positive development with strong growth across sectors

In Q1 2026, Vietnam’s macroeconomic and social development showed positive progress across most sectors, according to the Government’s March 2026 regular press briefing held in Hanoi on April 4. The briefing was chaired by Minister-Chairman of the Government Office Tran Van Son, following the Government meeting and an online conference with localities earlier the same day, chaired by Prime Minister Pham Minh Chinh.

Global and domestic context

The Government said the assessment took place amid a world marked by new, complex, and unpredictable developments, including: (i) the United States’ tariff policy and varied responses from other countries; (ii) regional tensions in the Middle East that have disrupted supply chains and pushed up oil and gas prices and transportation costs; and (iii) high volatility in global commodities, financial, and monetary markets.

Domestically, the Government pointed to the 14th National Congress of the Communist Party and elections for the 16th National Assembly and People’s Councils for the 2026-2031 term, alongside the Central Committee of the Party’s Second Session, as reflecting renewed confidence, determination, and a development vision.

Q1 2026 growth and key indicators

The Government reported that, with support from the Party’s leadership and the engagement of the political system, the people, and the business community, Q1 2026 outcomes improved more comprehensively across most sectors, with many industries recording breakthroughs and regions posting high growth.

• GDP: Q1 2026 is estimated to rise 7.83%, compared with 7.07% in the same period of 2025.
• Sector performance: agriculture remained stable; industry and construction grew well; services and tourism grew notably, estimated at 8.18%; international arrivals rose by over 12%.
• Localities above 10% growth: Ha Tinh, Ninh Binh, Hai Phong, and Hung Yen all exceeded 10% growth.
• Inflation: CPI in March increased 4.65% due to higher fuel prices; the quarterly average CPI rose 3.51%.
• State budget: revenue in the first three months reached about 32.8% of the plan, up 11.4% year-on-year.
• Tax and fee support: about 43.6 trillion VND in tax and fee reliefs/extendable measures were implemented to support production and business.
• Trade: total import-export turnover in Q1 rose 23%.
• Investment: total social investment in Q1 increased 10.7%; registered FDI rose 42.9%; realized FDI rose 9.1% (the highest since Q1 2021).
• Business formation: in Q1, 96,000 new enterprises registered or resumed operations, up 31.7% year-on-year.

Progress in reforms and social development

The Government highlighted momentum in science, technology, innovation, and digital transformation, including the inauguration of the Vietnam Space Center and the start of construction on Vietnam’s first semiconductor fabrication plant.

It also cited continued administrative reform and improvements to the business environment, along with anti-corruption efforts, waste reduction, and measures to combat negativity. The Government said local governments at two levels operated stably and transparently.

In cultural and social areas, social security and living standards continued to improve. The Government noted that construction began on 121 boarding schools across 17 border provinces, and that Vietnam’s Happiness Index ranked 45, up one position from 2025.

Challenges identified

Despite the positive results, the Government said several challenges remain, including: pressures on macroeconomic management (especially inflation, exchange rates, and interest rates); Q1 growth that is high but not yet meeting the planned target; ongoing production and business difficulties for some enterprises; inadequacies in two-level local governance; and complex security and order issues in some areas.

Prime Minister’s directions for the next phase

At the conclusion of the meeting, Prime Minister Pham Minh Chinh urged ministries and local authorities to implement a coordinated and efficient program to deliver on the 14th Party Congress outcomes, keep growth at 10% or higher while maintaining macro stability, ensure major economic balances, and prepare scenarios and bold policy measures to shift growth drivers.

Key tasks outlined

• Legislative preparation: thorough preparation for the First Session of the 16th National Assembly, especially well-prepared documents for laws and resolutions.
• Macroeconomic stability: mobilize and use resources efficiently; adopt flexible and balanced monetary policy with credit directed to prioritized sectors while controlling risks; fiscal policy aimed at 10% growth in state revenue, saving over 10% and targeting a further 5% cut in current spending; accelerate anti-smuggling and counterfeiting; ensure national energy security, including oil and gas supply.
• Growth drivers: accelerate disbursement of 100% of capital allocated for 2026; complete and operate the International Financial Center; speed up key nationwide projects; boost domestic consumption and the digital economy ecosystem; promote exports through trade promotion and market diversification; advance science and technology, innovation, digital economy, AI adoption, 5G nationwide coverage, and data centers.
• Business environment: remove obstacles to production and business; improve the investment climate; cut unnecessary regulatory burdens; optimize use of existing office space and dispose of redundant assets.
• Resolve stalled projects: address stalled projects promptly, especially in energy, infrastructure, and real estate.
• Social development: implement a unified textbook program for the 2026–2027 academic year and prepare for the 2026 national high school graduation and university entrance exams; expand electronic health records nationwide and provide free periodic health checkups; aim to complete over 110,000 social housing units in 2026.
• Security and diplomacy: strengthen national defense and security; maintain public order; advance foreign policy and international cooperation, particularly economic and technology diplomacy, to sustain a peaceful and stable environment for development.
• Communication: enhance information and policy communication to build public consensus and support for development goals.

Press briefing wrap-up

At the end of the final weekly press briefing of the current Government term (2021-2026), the Government spokesperson thanked journalists and emphasized their role in reporting government policies and guiding public opinion. The Government also said that in the remaining days of the term, member agencies will consider personnel arrangements for the 2026-2031 Government, including appointments for new members.

Report timestamp: 17:00, 04/04/2026.