Prime Minister: May 7 will be the first negotiation session with the US on reciprocal taxes

On the morning of May 5, at the opening session of the 9th session of the 15th National Assembly, Prime Minister Pham Minh Chinh reported on the results of socio -economic implementation in 2024, the plan for 2025 and the results of budget implementation in the first months of the year.

The economic scale reached 476.3 billion USD, ranking 32nd in the world.

At the 8th session, the Government reported to the National Assembly on the positive results and difficulties and limitations in socio-economic development in 2024. Supplementing this report, the head of the Government said that in 2024, the socio-economic situation had achieved and exceeded 15/15 targets, of which 12 targets exceeded the set targets. Notably, the target of increasing labor productivity exceeded the set plan, after 3 years of not achieving it.

Prime Minister emphasizes economic growth target of 8% or more

PHOTO: GIA HAN

The economy has recovered strongly, with a GDP growth rate of 7.09% (reported to the National Assembly as 6.8 - 7%), the highest in the region and among the highest growth rates in the world; raising the size of the economy to 476.3 billion USD, up 3 places, reaching 32nd place in the world. GDP per capita in 2024 will reach 4,700 USD, approaching the upper middle income threshold.

"In the context of many difficulties, the results achieved in 2024 are very valuable and proud, better than in 2023 in most areas," the Prime Minister emphasized.

According to the Prime Minister, earlier this year, the US unexpectedly announced a high reciprocal tax policy across the board, negatively impacting global economic growth. In that context, the Government is still focusing on promoting growth with a target of 8% or more. Vietnam is one of the first countries the US agreed to negotiate with. The Prime Minister also said that the first round of negotiations with the US will be held on May 7.

There is still a "hot above, cold below" situation.

Regarding growth in the first months of 2025, GDP in the first quarter is estimated at 6.93%, the highest compared to the same period in 2020 - 2025. The average consumer price index is at 3.2%, creating room for flexible and effective management of macroeconomic policies.

Realized FDI capital reached over 6.7 billion USD, the highest in the 2020 - 2025 period, showing that Vietnam continues to be an attractive destination for international investors.

At the 9th extraordinary session, the Government submitted to the National Assembly for approval 3 important laws. At this session, the Government submitted to the National Assembly the largest number of laws and resolutions ever at a single session (44 draft laws and resolutions); including many important and "pioneering" contents such as science and technology development, private economic development, etc.

Regarding the arrangement and streamlining of the apparatus and structure of the Government, there are 14 ministries and 3 ministerial-level agencies (reducing 8 ministries, ministerial-level agencies, and agencies under the Government).

In addition, the Government has completed the review and proposed to the Politburo and the National Assembly to remove obstacles for over 2,200 projects with a total capital of nearly VND5.9 trillion (equivalent to about USD235 billion) and a total land use scale of about 347,000 hectares.

However, according to the head of the Government, disbursement of public investment capital is still low; domestic purchasing power is recovering but slowly; exports still depend heavily on FDI and are adversely affected by the new US tariff policy.

New growth drivers are in their early stages and need time to take effect. Administrative procedures are still cumbersome, causing difficulties for businesses and people; there is still a situation of "hot above, cold below". The Prime Minister also emphasized that decentralization and delegation of power to localities are still "complained a lot". To overcome this, the draft laws are drafted by the Government in the spirit of thorough decentralization, not doing things for others, not pushing them to the Central Government to cause congestion.

Breakthrough to grow 8% or more

Regarding solutions for the coming time, the Prime Minister emphasized that it is necessary to achieve a growth target of 8% or more, an economic scale of over 500 billion USD (expected to rank 30th in the world, up 2 places), and GDP per capita in 2025 of over 5,000 USD. Accordingly, ministries, branches and localities must closely monitor the situation and have flexible and timely policy responses, especially to the new US tariff policy.

Institutionalizing the Politburo's resolutions - as General Secretary To Lam pointed out - is the "strategic quartet" including Resolution 57 on breakthroughs in science and technology development, innovation and national digital transformation; Resolution 59 on international integration; Resolution 66 on innovation in law-making and enforcement; Resolution 68 on private economic development.

Build special policies to develop border economic zones, free trade zones, economic zones with great potential such as Van Don, Van Phong, new economic zones...

Leaders of the Party, State, Government and National Assembly salute the flag at the opening session

PHOTO: GIA HAN

By 2025, abolish at least 30% of unnecessary business investment conditions; reduce at least 30% of administrative procedure processing time; reduce at least 30% of administrative procedure costs. Ensure smooth and continuous implementation of administrative procedures in the process of rearranging administrative units and organizing two-level local government.

Deeply reform state administration, perfect the organizational model of the political system in the spirit of "not doing things halfway, doing them thoroughly". Organize to collect public opinions on amending and supplementing a number of articles of the 2013 Constitution.

Strive to complete the goal of having over 3,000 km of expressways and over 1,000 km of coastal roads nationwide by 2025. By the end of 2025, the expressway from Cao Bang to Ca Mau will be open. Complete procedures and start construction of the Lao Cai - Hanoi - Hai Phong railway; the Hanoi - Vientiane expressway (Vinh - Thanh Thuy section); the Ca Mau - Dat Mui expressway and Hon Khoai port...

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Source: https://thanhnien.vn/thu-tuong-ngay-75-se-dam-phan-phien-dau-tien-voi-my-ve-thue-doi-ung-185250505081444993.htm