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PM warns about inflation pressure

  

PM warns about inflation pressure

Workers at the Samsung Electronics Việt Nam Thái Nguyên (SEVT) factory in Yên Bình industrial zone in the northern province of Thái Nguyên. Tens of billions of dollars in foreign investment will be poured into the country as foreign direct investment this year, Prime Minister Nguyễn Xuân Phúc said. — VNA/VNS Photo Hoàng Hùng

HÀ NỘI — Prime Minister Nguyễn Xuân Phúc on Thursday warned about fluctuations in global prices and asked ministries and departments to maximise efforts to curb inflation and ensure macro-economic stability.

He issued the charge as he chaired the Government cabinet’s regular meeting, the first of the Lunar New Year, in Hà Nội.

Phúc said inflation pressure this year could be high due to the increase of crude oil and goods prices. Meanwhile, tens of billions of dollars in foreign investment will be poured into the country as foreign direct investment. Furthermore, Việt Nam is one of the  一0 biggest recipients of remittances in the world with US$ 一 三 billion per year, which will make curbing inflation even harder, he noted.

Focusing on business and production development and creating a healthier business environment remain major requirements for all departments and sectors, the PM stressed.

The Prime Minister said many countries in the world are adjusting their economic policies, including reducing corporate income tax, increasing imported goods tax and setting up trade barriers. Such factors would certainly impact Việt Nam’s economic prospect.

Thus, he urged economic restructuring, increasing labour productivity, attracting more foreign investment, improving domestic production efficiency and better Government policies in socio-economic management in the context of the fourth industrial revolution.

The PM called for bottlenecks in production of small-and medium-sized enterprises to be removed to drive growth in  二0 一 八.

Impressive beginning

The cabinet also reviewed the Tết holiday, which lasted from February  一 四- 二0. The Prime Minister lauded efforts of agencies and sectors to ensure a warm festival for people nationwide.

The leader expressed his delight at seeing business activities promptly resuming after the festival.

Regarding the country’s development in February, the PM said despite the week-long holiday, the macro economy, as well as interest and foreign exchange rates remained stable.

PM warns about inflation pressure

February’s consumer price index (CPI) increased by 0. 七 三 per cent, with food and catering services up  一. 五 三 per cent. The index in the first two months of this year rose by  二. 九 per cent year-on-year.

The leader also co妹妹ented on exports in February, which stood at some $ 一 三. 四 billion, raising the total export value in the two months to $ 三 三. 六 billion, up nearly  二 三 per cent year-on-year. The number of foreign visitors to Việt Nam was  一. 四 三 million, increasing by  一 九. 四 per cent compared to last year’s period.

Phúc cited a trade surplus of $ 一.0 八 billion as a highlight of the national economy in February.

In the first two months of the year, more than  一 八,000 new enterprises were established with the registered capital reaching more than VNĐ 一 九 七 trillion ($ 八. 七 五 billion), an increase of  二 九. 三 per cent compared to last year’s registered capital figure.

The PM also recognised achievements in various fields from foreign direct investment disbursement, business establishment, social welfare and rural development to defence-security.

He mentioned unpredictable developments in the region and the world, and pointed out shortcomings in the domestic socio-economic situation, including low investment from the State budget.

At the meeting, cabinet members discussed the draft law revising and supplementing some articles of the Law on Special Amnesty and bills on cultivation, animal husbandry, urban development management and population. — VNS

 

 

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