Shoes are made for export by workers of TEXCHE Ltd Co in Hanoi (Photo:VNA) Phu told online paper laodongthudo that Vietnam needed a great amount ofinvestment for its development, adding that effectively attracting domestic andforeign investment capital would lead to the launch of new production factoriesand agricultural farms and the development of new roads, airports and ports.That would not only help create new jobs for local people but also foster thecountry's economic growth.
However, Phu said Vietnam could not attract investment at any cost. It wasnecessary for the country to seek investment selectively, including projects ondeveloping factories and farms that would apply 4.0 technology in productiontowards a green and circular economy and churn out products that could competewell in both domestic and international markets.
Phu also explained why he outlined export as the second pillar of economicgrowth this year. He said that despite many difficulties caused by theprolonged COVID-19 pandemic, Vietnam remained one of the countries with largeexport turnover in the region and world. Last year, Vietnam's trade valuetopped 668 billion USD with exports accounting for 336 billion USD, up 19 percentyear-on-year.
But, in order to increase its export turnover, Vietnam should overcome manyshortcomings such as goods being mainly exported in raw and processed form,dependence on imported raw materials, high production and export costs, andunstable export markets with dependence on one or two importing countries, Phusaid.
The lack of official distribution systems in foreign countries led to manyVietnamese-made goods labelled under foreign branding when exported, he added.
He emphasised the importance of reducing imported raw materials, focusing onproduct creation and design, and reducing the proportion of processing inexports in order to enhance the efficiency of exports.
It was also necessary for Vietnamese exporters to create long-term trust forthe importing country, to do business responsibly, seriously and honestly withpartners around the world.
In terms of domestic consumption, the third pillar, many countries around theworld assessed that the potential of Vietnam's domestic market remained huge.With the final consumption of the entire population accounting for 65-70 percentof GDP growth, the domestic market was attractive to domestic and internationalinvestors.
According to Phu, if Vietnam wants to speed up domestic consumption, thecountry should restructure its trade system so that goods, especiallyVietnamese-made ones, could be presented properly in supermarkets, traditionalmarkets and grocery shops.
Regular and effective inspection should be also included to preventorganisations and individuals from smuggling, committing commercial fraud andmanufacturers importing counterfeit goods that might hurt customers anddomestic producers.
Vietnam’s gross domestic product in 2021 expanded by 2.58 percent over theprevious year, despite the adverse impact of the COVID-19 pandemic in allfields, according to the General Statistics Office (GSO).
"This is a great achievement for Vietnam, especially as in the thirdquarter of 2021 many key economic localities had to implement prolonged socialdistancing to prevent the pandemic spreading," said GSO General Directorof Nguyen Thi Huong.
Huong said that GDP in the fourth quarter rose 5.22 percent over the sameperiod last year. This figure was higher than the growth rate of 4.61 percentseen in the fourth quarter of 2020, but lower than the average fourth-quartergrowth rates in 2011-19.
Final consumption rose by 2.09 percent against 2020, while accumulated assetsincreased by 3.96 percent./.
VNA
