The government proposed nine solutions including a focus on prevention of the Covid-19 epidemic for promotion of socio-economic development in addition to maintaining macroeconomic stability. Additionally, the government mentioned acceleration of disbursement of public investment capital and import and export.
Last but not least, the government ensured to support people and businesses by removing difficulties for production and business. Finally, to boost economic growth, the government needs to increase the disbursement of public investment sourced from the State budget, promote exports and develop the local market.
In the report "Review - Updating Vietnam's economic situation" published on August 2021 by the World Bank, the WB has made recommendations that, in the coming time, Vietnam needs to pay special attention to the development of industrial production and retail, both of which may continue to be affected by the Covid-19 epidemic.
Furthermore, WB warns that exports may also be affected because of shrinking production in some industrial zones amid the Covid-19 outbreak. Meanwhile, other development partners said that at present, the Government of Vietnam has only had activities to stimulate the economy through public investment; therefore, the government should give greater attention to non-performing loans and adopt a more appropriate fiscal policy for long-term economic growth.
The government’s solutions have met the recommendations; however, they must be carried out synchronously and drastically to achieve the dual goals. In particular, the government is presently placing the prevention of Covid-19 on top priority to create momentum to promote socio-economic development. In addition to the 5K principles, vaccines are the key factor to curb the pandemic. Once herd immunity is achieved by the end of the year, the situation will soon stabilize again.
