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Mr. Nguyen Ngoc Hoa, Chairman of Ho Chi Minh City Business Association, reports on the city's the socio-economic situation in the first 6 months of 2023 (Photo: SGGP) |
He made the statement at yesterday’s conference to review the activities of the first 6 months of the year and the key work program for the last 6 months of 2023 held by the Ho Chi Minh City Business Association with the participation of Chairman of the People's Committee of Ho Chi Minh City Phan Van Mai.
Speaking at the conference, Chairman of Ho Chi Minh City Business Association Nguyen Ngoc Hoa said that the socio-economic situation of the city in the second quarter of 2023 took place in the context of more difficulties than advantages as businesses have reported modest profits. As per the association’s survey on the operation of enterprises in the first and second quarters, some industries such as food and foodstuff have seen good growth yet others are still facing difficulties.
The survey has shown that the proportion of enterprises with reduced revenue accounted for 51 percent while the number of enterprises with reduced profits accounted for 62 percent.
Worse, companies’ inventory increased by 41 percent. Most businesses are reporting that they’re not doing well, and it is forecasted that the next quarters will be difficult. Therefore, the possibility of enterprises continuing to withdraw from the market will increase, affecting the supply of goods and services as well as the budget revenue.
In the face of the poor socio-economic situation, many businesses suggested that the city should soon put the new mechanisms of the National Assembly's Resolution No. 98/2023/QH15 on piloting a number of specific mechanisms and policies to develop Ho Chi Minh City into practice to create a new force for the economy. Businesses expected that city authorities will promote public investment, remove the legal backlog of stagnant projects for years; develop infrastructure to pave the way for future development and create a source of capital for businesses to access and create jobs for businesses and employees.
Businesspersons at the meeting expected that the city will soon implement preferential loans with low-interest rates for environment-oriented technologies, projects, industries or businesses and digital transformation investment projects. Moreover, they hoped the State Bank and commercial banks to pour more money into the economy by reducing loan procedures and conditions.
