Seafood is one of Vietnam's main export items (Photo: Vu Sinh/VNA)

The Ministry of Finance said, in addition to boosting consumption and exports, public investment is the primary engine for growth as it holds significant potential for further expansion and driving stronger economic performance in the second half of the year.

Public investment is the key growth driver

As of the end of Q2, disbursement of public investment capital exceeded 10 billion USD, a substantial increase compared to the same period last year and a clear sign of improved implementation. Many key infrastructure projects, including expressways, airports, and ring roads, are being accelerated, with some expected to be completed ahead of schedule. Deputy Minister of Finance Do Thanh Trung said these results were made possible by coordinated efforts from the central to the grassroots level.

"Ministries, agencies, and local authorities have made strong efforts to speed up implementation. But most important was the decisive guidance of the Prime Minister and Deputy Prime Ministers, who have regularly inspected and removed obstacles for the projects. Each month, the Ministry of Finance and related agencies are required to report to and work with government leaders to address bottlenecks. As a result, we’ve seen a positive trend in public investment disbursement," said Mr. Trung.

The acceleration of projects has strengthened private sector confidence, attracted foreign direct investment (FDI), and improved Vietnam’s business and investment environment.

The Government is also aggressively mobilizing other key resources to contribute to GDP growth. With a growth rate of 7.52% in the first half of the year, many economists believe Vietnam could maintain or even surpass that pace in the second half.

Determined action

Over the past two weeks, the Government has held multiple online conferences with local authorities to review socio-economic development, discuss economic growth scenarios, and identify tasks and solutions to meet the 2025 growth target.

Last Saturday, the Prime Minister made his eighth inspection of the Long Thanh Airport project and insisted on completion by December 19 this year. During a national online conference last Thursday to review progress on key national projects, he stressed the importance of accelerating public investment.

The Prime Minister said: “We must complete at least 3,000 kilometers of expressways by the end of 2025. That’s the target. We must stay committed and take action. No delays, no excuses.”

Although the economy recorded positive results in the first half, the Prime Minister said reaching the 8.3–8.5% target will be a challenge. The target, however, is irreversible and achievable. The Government will soon issue a resolution assigning new growth targets to provinces, cities, state corporations, and economic groups, he said.

“The Government is determined that we must push growth to 8.3–8.5% by the end of the year to build momentum for the next term, when we’ll usher in the era of national rise. Ministries and sectors must thoroughly review and propose actionable solutions, ensure feasibility and effectiveness, and be determined to drive development to achieve our goals,” said Mr. Chinh.

Several international organizations have recently raised their growth forecasts for Vietnam. Citigroup revised its forecast from 6.6% to 7%, Maybank to 7.3%, and UOB from 6% to 6.9%, following a stronger-than-expected Q2 performance.

Institutional reforms, unlocking of resources for the economy, and the activation of a two-tier local government system on July 1 are creating new development space for Vietnam. With coordinated and decisive actions from the Government, the GDP growth target of 8.3–8.5% this year is attainable, will lay a solid foundation for the 2026–2030 period, and will contribute to the strategic objectives of the 2021–2030 development agenda.