Nevertheless, Vietnam's GDP grew by approximately 9.01% in the first nine months of the year, placing the country among the world's fastest-growing economies.

The government has introduced policies to support households and businesses while maintaining social welfare. During the first nine months, approximately VND 360 trillion ($13.7 billion) was allocated to tax and fee relief measures, while more than VND 200 trillion ($7.6 billion) went toward social welfare programs, including healthcare and education.

To achieve the full-year growth target of 10%, Vietnam's economy would need to expand by 12.5% in the fourth quarter, Thang said.

The government recognizes this as an extremely challenging target, but not an impossible one, given the economy's remaining growth potential and momentum.

In the final months of the year, the government will focus on removing institutional and regulatory obstacles related to land, investment procedures, construction materials, financing and market access.

It will also accelerate projects ready to enter production or commercial operation, strengthen investment, consumption and exports, and help businesses maintain and diversify markets, secure additional orders and increase added value.

The government will provide targeted support to localities, particularly major economic growth centers, to help achieve the national growth objective.

Public investment disbursement exceeds 75% of annual plan

Turning to public investment allocation and disbursement, Thang emphasized the importance of public capital in developing strategic infrastructure, stimulating economic growth and attracting broader investment.

Of the approximately VND 3.42 quadrillion ($130 billion) in public investment approved by the National Assembly, the government has endorsed allocation plans for around VND 3.15 quadrillion ($120 billion), equivalent to 92% of the total.

The government and Prime Minister have allocated and assigned detailed funding of VND 1.98 quadrillion ($75.3 billion), 1.5 times the amount in the previous term.

The remaining capital, totaling more than VND 1 quadrillion ($38 billion), has already been earmarked for specific programs and projects.

Of this, VND 103 trillion ($3.9 billion) is expected to support projects implementing Resolution 57, while VND 194 trillion ($7.4 billion) is planned for major interregional projects.

An additional VND 890 billion ($33.8 million) has an allocation plan in place but is awaiting the completion of investment documentation and procedures by local authorities, ministries and agencies.

Thang said the government and Prime Minister had made considerable efforts to allocate medium-term public investment capital in accordance with National Assembly resolutions.

By the end of September, disbursement had reached 63% of the plan, an increase of VND 203 trillion ($7.7 billion) in absolute terms compared with the same period last year.

Updated figures as of October 29 showed further improvement, with disbursement exceeding VND 720 trillion ($27.4 billion), equivalent to more than 75% of the public investment plan.

The Deputy Prime Minister described the progress as evidence of substantial efforts by the government, ministries, agencies and local authorities.

However, he acknowledged that disbursement rates at several ministries, agencies and localities remained below expectations. Eight localities, in particular, had relatively high levels of advance payments.

Thang explained that 2026 was the first year of the medium-term public investment plan, meaning many newly launched projects required advance payments.

The government expects the proportion of advance payments to decline as implementation progresses under closer supervision.

It is working toward full disbursement of the public investment capital plan, which is expected to contribute approximately 2.5 percentage points to fourth-quarter growth and 1.7 percentage points to full-year economic growth.

Electricity price reduction among measures to contain inflation

On the government's 4.5% inflation target, Thang said authorities had made considerable efforts to keep prices under control despite significant pressures.

The government has proactively advanced budget funds to the petroleum price stabilization fund while implementing tax and fee reductions on fuel products.

These measures have helped keep domestic fuel prices substantially lower than those in many neighboring countries.

The government has also maintained a two-percentage-point reduction in value-added tax through 2026 and sought to stabilize prices of state-regulated goods and services without further increases.

As a result, the average consumer price index (CPI) rose 4.52% during the first nine months, remaining within the permitted range.

According to Thang, more than VND 64 trillion ($2.4 billion) has been committed since the beginning of the year to fuel-related tax and fee reductions.

From November through the end of 2026, the government expects to allocate another VND 4 trillion ($152 million) to reduce the special consumption tax on gasoline from 7% to zero.

Meanwhile, the government is directing Vietnam Electricity (EVN), the state-owned power utility, to urgently review its operations and maximize cost savings, potentially allowing retail electricity prices to be reduced by approximately 2% between now and March 31, 2027.

Together with the planned elimination of the special consumption tax on gasoline, the electricity price reduction could create additional room of approximately 0.07 percentage points to help keep inflation within the target set by the National Assembly, Thang said.

Tran Thuong