IFC in Ho Chi Minh City accelerates setup for initial transactions in November

Ho Chi Minh City is making unprecedented strides to double its economic growth, targeting a double-digit increase this year. In the third quarter, the city's gross domestic product (GRDP) growth soared to an estimated 8.9 to 9.5 percent, marking the highest quarterly performance in recent years. Revenue from taxes surpassed an impressive VND670.6 trillion ($25.8 billion). Foreign direct investment (FDI) has surged more than three times compared to the same period last year.

To achieve this ambitious goal, the city must accelerate public disbursements, streamline procedures for foreign investment, and stimulate tourism. Public investment capital acts as the primary fuel for the city's economic engine, with 70 percent of the capital plan expected to be disbursed by the end of September. To reach at least 95 percent, an additional VND37 trillion ($1.42 billion) should be invested in construction projects over the next three months, averaging over VND12 trillion ($461 million) per month.

Private and foreign investments play a crucial role, with the city aiming to disburse over VND140 trillion ($5.4 billion) in private investment capital. The city must address legal, land, and urban planning hurdles hindering projects and ensure that commitments translate into tangible growth. The final three months of the year are critical, as the economy transitions from maintaining pace to breaking away from the crowd.

The city's economy resembles a machine, with public investment capital as the initial fuel poured directly into the combustion chamber. Effective execution of projects requires a "firekeeper" who adheres to strict weekly progress metrics. Any bottlenecks must be dismantled promptly to prevent them from becoming "choke points" that stifle the economy's growth.

While public investment serves as the engine, private and foreign investments act as the sails, propelling the economy forward. The city's success in disbursing over VND140 trillion ($5.4 billion) in private investment capital is a promising sign. However, the final three months of the year are essential, as the city must relentlessly accelerate economic growth and create a vibrant, secure, and hospitable environment for residents and tourists alike.

With the right approach, Ho Chi Minh City can successfully double its economic growth and unlock a prosperous future.