return icon Vietnamnet.vn

MPI: Growth scenario in 2023 of about 6.5 percent

Assessing that difficulties and advantages will be inextricably intertwined in 2023 but the difficulties will far overweigh the advantages.

MPI: Growth scenario in 2023 of about 6.5 percent ảnh 1 At the press brief ( Photo: SGGP)

The Ministry of Planning and Investment decided on a growth scenario in 2023 of about 6.5 percent at the Government press conference on the afternoon of October 1.

Deputy Governor of the State Bank of Vietnam Doan Thai Son yesterday said that in the past nine months, the world economy had many fluctuations, especially commodity prices as well as inflation in many countries increased significantly highly. Moreover, in recent times, the US Federal Reserve (FED) has continuously raised interest rates to combat inflation.

In that context, in order to cope with inflation and reduce external impacts, central banks of various countries have sharply increased their operating interest rates. Since the beginning of 2022, central banks of countries decided to raise interest rates 262 times. The fight against inflation around the world is taking place very fiercely and the Central Banks of countries are very determined to carry out this task.

In Vietnam, the Government's overarching goal is to administer tools to contribute to controlling inflation, stabilizing the macro-economy as well as supporting economic recovery, especially stabilizing markets to ensure the safety of the operations of credit institutions. Over the past time, the management of the State Bank has also followed closely towards this goal. In the first eight months of 2022, the State Bank of Vietnam will keep the operating interest rates unchanged.

In September, the most recent adjustment of the FED, the State Bank increased some ceiling interest rates on deposits for commercial banks with the aim to control inflation, stabilize the macro-economy and ensure the maintenance of positive real interest rates for deposit rates in order to harmonize the interests of participants in the money market.

At the same time, this decision aims to create good conditions for commercial banks to continue to attract deposits and have financial sources for lending, supporting the economy in the coming time. After the State Bank of Vietnam (SBV) increased the operating interest rate to 1 percent, many commercial banks simultaneously increased deposit rates, making many people fret that this will mean an increase in lending rates.

SBV Deputy Governor Doan Thai Son stated that when adjusting this interest rate, SBV has also taken this into account. Therefore, in addition to the adjustment of ceiling interest rate, the State Bank increased the operating interest rate and the deposit rate ceiling, while keeping the lending rate ceiling unchanged. This shows that the SBV's management has aimed at stabilizing lending interest rates. Simultaneously, the SBV also mobilized credit institutions to continue reviewing to reduce operating costs and stabilize lending interest rates to support people and businesses in the coming time.

Also at the press conference, talking about the GDP growth scenario in 2023, Deputy Minister of Planning and Investment Tran Quoc Phuong said that in 2022, the GDP growth rate for the whole year is expected to be about 8 percent. According to him, the country’s economy in 2023 will face more difficulties because the global economy sees inflation pressures persist as growth slows, current Russia-Ukraine conflict continues leading to concerns about energy security, food security, and supply of goods besides the impact of non-traditional risk issues such as storms, floods, epidemics.

Given the above circumstances, the Ministry of Planning and Investment reported to the Government to choose a growth scenario of about 6.5 percent in 2023.

Source: Saigon Times

MORE NEWS

Vietnam proposes EC early remove yellow card on fisheries

Prime Minister Pham Minh Chinh suggested the European Commission (EC) early remove the “yellow card” warning

Hanoi FC win national cup for a third time with two masterpieces

Hanoi Football Club seals the second title of the season after beating Topenland Binh Dinh in the final of the National Cup 2022

Banks slash lending interest rates by up to 3.5 percent per annum

After Vietcombank, HDBank has recently announced to lower lending interest rates for enterprises doing business in many industries with a total interest rate reduction of up to VND120 billion.

Foreign investors sign billion-dollar deals to invest in southeast

Foreign investors committed to investing billions of dollars in the southeast via signing memoranda of understanding (MoU) in petrochemicals, electronics, industrial park infrastructure, urban areas, and tourism.

Nha Trang school reopens after mass food poisoning case

ISchool Nha Trang reopened on Monday morning, a week after a mass food poisoning case left one student dead and hundreds of students and teachers hospitalised.

VN-Index breaches over 1,000 points

The rallies were driven by large-cap stocks in appealing industries, including banking, realty, manufacturing and utilities.

Da Nang hosts Western & Central Pacific Fisheries Commission’s regular session

The 19th regular session of the Western & Central Pacific Fisheries Commission (WCPFC) opened in the central city of Da Nang on November 28.

Ministry works to boost rail import-export volume to 5 million tonnes by 2030

The Ministry of Transport has submitted a plan to increase international freight transport by rail by 2030, with a target of shipping between 4 and 5 million tonnes.

PM holds telephone talks with French counterpart

Prime Minister Pham Minh Chinh on November 28 had a telephone conversation with his French counterpart Elisabeth Borne to seek ways to further strengthen the Vietnam-France strategic partnership, especially in economy, trade and investment.

Famous object designer presents art of assembling with Vietnamese lacquer

For the first time, Vietnamese people have a chance to see with their own eyes unique artworks by famous jewellery and object designer Gilles Jonemann that are on display at an exhibition in Hanoi.

Hanoi construction density from above

Many areas in Hanoi have seen high construction density with houses and high buildings due to rapid urbanisation.

Businesses in quandary due to credit limit

The long-term credit push to support the economy has a distorted capital flow.

VIETNAM NEWS HEADLINES NOVEMBER 28

National Assembly to hold extraordinary session in January 2023

Book tells journeys of Vietnamese immigrants to the UK in search of better lives

The life stories of Vietnamese migrants who are seeking better lives in the UK are vividly told in a new book.

Vietnamese movie honoured at France festival

“Tro tan ruc ro” (Glorious Ashes) by Bui Thac Chuyen won the "Golden balloon" award (Montgolfière d'or) at the Festival des 3 Continents 2022 which took place in Nantes, France, from November 18 – 27.
back_to_top