Minister of Planning and Investment Nguyen Chi Dung speaks at the meeting of the NA Standing Committee on October 17 (Photo: VNA)

Hanoi (VNA) – The economic growth rate in the fourth quarter of 2016 must be much higher than that of the previous months in order to achieve the target of 6.3-6.5 percent growth in GDP at the year’s end, heard the National Assembly Standing Committee in Hanoi on October 17.

The Government said in its report submitted to the fourth session of the NA Standing Committee that NA-set goal of a 6.7 percent increase in GDP in 2016 is unlikely to be met, and the economic growth rate for this year is estimated to be 6.3-6.5 percent.

The NA Standing Committee said even the revised estimated growth rate would not be achieved without drastic and synchronous measures by the Government.

The NA Committee for Economics urged the Government to immediately address the long delay between the promulgation and implementation of policies, while continuing with efforts to remove barriers for businesses.

The committee stressed the need to tighten the management of the State budget and public investment projects as well as administrative discipline and order.

The Government should also push ahead with economic restructuring, especially in public investment, commercial banks, and State-run businesses.

The NA Standing Committee commended the Government on its measures to support businesses in terms of market and credit access.

Nevertheless, the high rate of bad debts, the weak performance of some commercial banks, and the high government bond interest rates have made it difficult to lower lending interest rates.

Some deputies expressed concern that public debts could breach the 65 percent of GDP limit in 2016 while the increasing disbursement of official development assistance (ODA) capital will disrupt budget spending estimate and raise State budget deficit.

Head of the NA Economic Committee Vu Hong Thanh requested that the Government make more detailed assessment about macro economy, major balances of the economy and the implementation of key economic restructuring tasks in the context of failing to achieve the yearly growth target.-VNA