Hanoi strives to achieve a GRDP growth 1.3 times higher than the national average (10:07 07/07/2020)
According to Toan, coping with the huge impact of COVID-19, Hanoi is determined to pursue the dual goal of fighting the pandemic and boosting socio-economic development.
The municipal administration has worked with ministries and ministerial agencies to deal with difficulties in terms of mechanisms and policies while guiding the city’s entities and localities to take various measures for the economic recovery. Hanoi aims to become a pioneer in post-COVID-19 economic reactivation and development.
Despite negative impacts of the COVID-19 pandemic, Hanoi still achieved a GRDP growth of 3.39% in the first six months of the year. This growth rate remains among the highest nationwide.
In the first half of the year, the agricultural, forestry and fishery sector increased by 1.61%; Industry and construction expanded by 5.94%; and the services sector rose by 2.59%.
Total State budget revenue in Hanoi between January and June was estimated at over VND142.01 trillion (US$6.14 billion), meeting 50.9% of this year’s expected volume, up 9.9% compared to the same period last year.
As global supply chains have been disrupted by the COVID-19 pandemic, between January and June, Hanoi’s export revenue was estimated at US$6.53 billion, a plunge of 6.7% over the same period in 2019; and import value was US$13.43 billion, posting a year on year decline of 9.2%. Total social investment was estimated to expand 5.9% year on year to VND152 trillion (US$6.5 billion).
In an effort to achieve the growth rate, the municipal government has rolled out diverse measures, with the focus on removing difficulties for business activities, improving investment environment, maintaining social security in the context of the COVID-19 outbreak.
Notably, Hanoi successfully held the conference “Hanoi 2020 - Investment and Development Cooperation” on June 27 after putting the COVID-19 pandemic under control and entering new normal. At the event, the municipal authorities handed over investment licenses to 229 projects worth VND405.57 trillion (US$17.6 billion). A total of 38 memorandums of understanding were signed between the municipal government and investors, with the total investment of US$28.6 billion.
Based on the city’s socio-economic achievements in the first half of 2020, Hanoi’s authorities have devised two growth scenarios for the remaining six months of the year. In the first scenario, Hanoi could achieve a growth rate of 5.9%, 1.3 times higher than the nation’s optimistic growth scenario from 4.4 - 5.2%, if the city achieves a growth rate of 7.8% in the third quarter and 8.4% in the last quarter of the year.
In the second, Hanoi’s gross regional domestic product (GRDP) would expand 5.4%, 1.3 times higher than the nation’s growth scenario from 3.6 - 4.4%, if the city’s economy expands 6.9% and 7.4% in the third and fourth quarters, respectively.
The municipal government also set forth nine key missions for the second half of the year. Accordingly, due attention will be paid to the organization of Party assemblies at all levels, and effective realization of the National Assembly’s resolution on specific financial-budgetary mechanisms for Hanoi.
Hanoi will also keep an eye on solving difficulties for local businesses, accelerating the implementation of large-scale projects, taking action to improve investment and trade environment and improve its Provincial Competitiveness Index (PCI), strengthening administrative reforms, increasing budget revenue, speeding up disbursement of investment capital, improving the efficiency of land use, boosting socio-cultural development, ensuring social security, among others.