LookAtVietnam – The city achieved significant economic growth over the last six months despite the global downturn, HCM City leaders said at a three-day People’s Council meeting that began yesterday, July 7.

HCM City achieved significant economic growth over the last six months despite the global downturn. (Photo: VNN)

Despite the difficult economic situation, the city ranked second in the country in attracting foreign direct investment, with 173 new projects. But that figure represented a fall of 19 per cent compared to the same period last year.

The city’s GDP for the period was VND135.06 trillion ($7.5 billion), an increase of 4.6 percent compared with the same period last year, which saw the lowest growth in the last 10 years.

The service sector achieved the highest growth, at 6 percent, and agriculture the lowest increase, with 3.6 per cent.

Despite some progress, Tai said service sectors that contributed to the city’s growth, such as transportation, travel and finance, fell dramatically in value during the period.

For the second half of the year, the city will launch stimulus packages to help the business community in the fields of construction, commerce, agriculture and rural development, among others. Preferential loans will be part of the package.

Export-import turnover was $9.2 billion during the first six months, a fall of 18 per cent against the same period last year.

The city reported that three projects funded with official development assistance (ODA) had been completed, and another 17 projects were in the pipeline, with a total investment of VND50 trillion, of which VND38 trillion was from ODA.

“The city said it had moved quickly to disburse funds for projects invested with State and foreign capital as well as ODA funds.

Administration reform, which had been carried out for years, had also progressed well, city officials said.

Nguyen Minh Hoang, head of the People’s Council’s Budget Committee, said that the usage of public land was not effective and that many investment projects were carried out too slowly.

During the meeting, the city pledged to improve health care, control epidemics, and provide jobs and welfare to the poor. The deputy head of the municipal People’s Committee, Nguyen Thanh Tai, and leaders of the departments of Transport; Natural Resources and Environment; Health; and the Labour, War Invalids and Social Affairs were scheduled to take part in a televised meeting to answer questions from the public today.

They were to discuss a number of contentious issues, including construction work on city streets, traffic jams and air and water pollution.

Pham Phuong Thao, chairwoman of the municipal People’s Council, said cooking safety and the control of epidemic outbreaks would also be on the meeting’s agenda.

VietNamNet/Viet Nam News