Ho Chi Minh City needs to concentrate on developing high growth in 2009, equal to one and half times that of the country’s overall target, Le Thanh Hai, Politburo member and the city’s Party committee secretary, said June 25.

The 16th conference of Ho Chi Minh City’s Party Executive Committee on June 25 (Photo: SGGP)

Speaking at the 16th conference of Ho Chi Minh City’s Party Executive Committee, he said “if the city determines to work hard, this difficult goal could be achieved.”

The city has a difficult task to fulfill Mr Hai’s hopes, as industrial growth for the rest of the year is expected to be slow.

The city, therefore, needs to concentrate on developing construction, trade and services to double the growth rate recorded in the first six months, Mr Hai said.

At the meeting, after listening to delegates’ reports and opinions, he analyzed policies to help achieve economic targets in the first half of the year.

The city has met a lot of difficulties in carrying out political and socio-economic duties due to the global financial crisis, however, under the leadership of the city’s Party committee and the guidance of the city’s People’s Committee, departments and businesses have received much help to overcome these difficulties, Mr Hai said.

The most important points for the city in the last six months were that it has not only prevented economic recession, but seen the economy recover.

The economic growth rate has bit by bit improved. In the first quarter, GDP increased by four percent. This rose to 5.2 percent in the second quarter.

The city’s Party committee secretary Le Thanh Hai (3rd L) talking with delegates at the conference (Photo: SGGP)

Growth in trade and services moved up by 5.9 percent in the second quarter, while it rose by 5.4 percent in the first quarter.

Industry and construction in the first quarter increased by just 1.9 percent in the first quarter and rocketed by 3.3 percent in the second.

The bank system and the stock market have also shown signs of recovery.

It is very meaningful that in the difficult economic condition, the city is second only to Dong Nai Province in attracting foreign investment, Mr Hai said.

Not only does it show that the city’s investment environment has improved, but also shows the great effort by departments and businesses in the city, Mr Hai stressed.

City tries to get a growth rate of 7.5 percent

Mr Hai said that the economic growth rate of HCMC is generally 1.4 to 1.5 times higher than that of the country.

In the first six months of the year, the city’s GDP reached 4.6 percent. According to estimates, Vietnam may get a growth rate of five percent in 2009. Thus, the growth rate this year of HCMC would be 7.5 percent.
 
Besides pushing the growth rate, HCMC has to implement social welfare policies. Specifically, the city should continue to deploy health insurance programs for the poor, school fee exemptions or reductions, and providing more jobs and skills training, Mr Hai added.

Finally he asked the city to carry out programs for building social housing, as well as dormitories for students.