Prime Minister Pham Minh Chinh has signed Directive No. 128, instructing ministries and localities to implement urgent, strategic solutions to spur economic growth, control inflation, and ensure macroeconomic stability while balancing key national economic indicators.

The directive reaffirms the government’s determination to achieve a GDP growth rate of 8.3-8.5% in 2025, with the average consumer price index (CPI) increase kept below 4.5%. It also sets a goal to further improve citizens’ material and spiritual wellbeing.

To realize these targets, the Prime Minister emphasized the need for feasible, targeted measures to generate more resources for production and business activities.

Priority credit packages for young homebuyers under 35

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Prime Minister Pham Minh Chinh chaired the government's July regular meeting held online with all centrally governed provinces and cities on the morning of August 7. Photo: Nhat Bac

The State Bank of Vietnam has been tasked with actively and flexibly managing monetary policy in line with macroeconomic trends and policy goals. It must closely coordinate monetary, fiscal, and macroeconomic policies to drive growth while keeping inflation under control, maintaining stability, and ensuring sufficient capital for business operations.

The State Bank is also directed to prepare a roadmap to pilot the removal of credit growth limits starting in 2026.

It will be responsible for conducting inspections, supervision, and post-monitoring to prevent systemic risks, safeguard the security of credit institutions, and control inflation as planned. The bank must also maximize efforts to implement the "Restructuring credit institutions in tandem with bad debt resolution for the 2021-2025 period" project.

Furthermore, credit institutions must be urged to cut costs, simplify administrative procedures, and accelerate digital transformation to create more room for interest rate cuts, benefiting both businesses and individuals. The government’s guiding principle is “harmonized benefits, shared risks.”

A top priority is the immediate development and supplementation of mechanisms and policies to effectively and aggressively implement a credit program for people under 35 years old to buy or rent social housing. The directive also refers to a $20.8 billion (500 trillion VND) credit package for businesses investing in infrastructure, science and technology, innovation, and digital transformation.

The Prime Minister demanded timely and effective policy implementation, ruling out any delay or symbolic efforts. He emphasized that funds must not remain idle due to bottlenecks in disbursement and called for an urgent monetary policy management plan for the rest of 2025 and 2026, to be submitted to the government by August 30.

Finance Ministry to focus on public investment and market upgrades

The Ministry of Finance is expected to step up public investment disbursement and develop capital, securities, and corporate bond markets. These efforts must be resolute, efficient, stable, and sustainable.

Additionally, the Ministry is directed to urgently implement necessary steps to upgrade Vietnam’s stock market from a frontier to an emerging market. This includes swiftly addressing any issues to meet upgrade criteria and facilitate capital mobilization for national development.

Unfinished power projects must be resolved by August

The Ministry of Industry and Trade is charged with intensifying supply-demand matching and trade promotion. It must proactively negotiate with high-potential markets, particularly countries with free trade agreements with Vietnam, to diversify export markets, supply chains, and product offerings.

The ministry is also instructed to ensure these activities are substantive and impactful, not formalistic or superficial.

Alongside relevant agencies, it must strengthen state management, inspection, and oversight of energy projects and infrastructure to guarantee national energy security. Essential supplies like electricity, fuel, and production inputs must be adequately maintained.

Long-delayed power projects must be conclusively resolved within August.

Construction Ministry tasked with boosting domestic materials and social housing

The Ministry of Construction will take the lead in stabilizing supply, demand, and prices of domestically-produced building materials. It must also develop a clear roadmap to boost social housing development.

The ministry is further expected to push forward with key railway projects connecting Vietnam with China, Central Asia, and Europe and to optimize other modes of transport for national benefit.

The Prime Minister assigned detailed tasks to every ministry and agency, emphasizing their proactive responsibility in helping the country achieve its macroeconomic targets: controlling inflation below 4.5% and securing GDP growth of 8.3-8.5% in 2025.

Deputy Prime Minister Ho Duc Phoc has been assigned to monitor progress and handle issues within his jurisdiction, reporting any matters beyond his authority directly to the Prime Minister.

Ngan Anh