Regional Strengths Signal Encouraging National Economic Growth Momentum
The Ministry of Finance (MoF) recently submitted a report to the government detailing that the national economic landscape, observed from both a macro and local perspective, is showing highly encouraging signs of strong economic growth and vitality.
The report specifically highlighted that “All major economic centres reported inspiring results in the first eight months of 2025,” underscoring the broad-based nature of the recovery and expansion.
This positive trend is evident across all 34 localities nationwide, with every single one recording year-on-year increases in their Index of Industrial Production (IIP).
Phu Tho province led this industrial charge with a remarkable surge of 26.2 percent in its IIP.
Other significant performers included Ninh Binh at 22.8 percent, Hue at 18.7 percent, Nghe An at 16.4 percent, and Quang Ninh at 15.6 percent, among many others showcasing rapid industrialization.
Beyond the industrial output, each locality made its unique mark on socioeconomic development during August and the entire eight-month period.
For example, Hanoi’s critical tourism sector staged a strong recovery, attracting 3.18 million visitors in August alone, a substantial year-on-year increase of 27.5 percent.
Haiphong stood out with its robust fiscal health, reporting a state budget revenue approximating $5.27 billion, which represented nearly a 30 percent jump on-year.
Its IIP also rose by 14.5 percent, firmly reaffirming Haiphong’s role as a key growth driver in the Red River delta.
Meanwhile, Bac Ninh province demonstrated powerful export capability, overtaking Ho Chi Minh City to become the country’s top exporter in August, with its export value reaching nearly $8.7 billion, a 33 percent increase year-on-year.
Diverse Localities Exhibit Strong Momentum and Exceed Targets
The strong socioeconomic performance is evident across diverse sectors and regions, with multiple localities attracting substantial foreign direct investment, boosting tourism, and proactively setting ambitious growth targets that surpass those assigned by the central government.
Several other localities also recorded solid performance across key economic indicators.
Dong Nai province, for instance, successfully attracted over $2 billion in foreign direct investment (FDI) and saw the establishment of 4,971 new businesses, indicating a dynamic business environment.
Phu Tho, in addition to leading the nation in IIP growth, also recorded strong FDI inflows with 39 new projects, diversifying its economic base.
Da Nang remained a major tourism magnet, recording an impressive 12.8 million tourist arrivals over the eight-month period, highlighting its appeal as a central coastal hub.
In the Mekong Delta, An Giang’s industrial production value rose by 13.9 percent, while its tourism sector saw a skyrocketing growth of 76 percent.
Similarly, Lam Dong, in the Central Highlands region, sustained stable growth, with exports climbing by an impressive 64.7 percent year-on-year.
The country’s established economic locomotive, Ho Chi Minh City, also maintained strong momentum.
The MoF highlighted that diverse localities have been proactive in adjusting their growth scenarios in accordance with the government’s Resolution 226/NQ-CP.
Many have even set local targets that surpass those assigned by the central government.
Quang Ninh, for example, aims for 14 percent GRDP growth compared to its assigned 12.5 percent, and Haiphong targets 12.35 percent growth, higher than the allocated 12.2 percent.
Phu Tho is striving for 10.3 percent growth compared to a 10 percent government target, while both Dong Nai and Da Nang are aiming for 10 percent growth, exceeding their respective targets of 8.7 percent and 9 percent.
This determination “demonstrates the strong determination and development potential of localities in contributing to the nation’s overall growth goals,” the MoF stated.
Challenges Remain Despite Optimism and Ambitious Future Planning
Despite the broadly optimistic socioeconomic situation and the ambitious targets set by local governments, significant challenges remain, requiring the vigorous implementation of growth-promoting measures, particularly in key areas like public investment disbursement and structural reform for sustainable economic growth.
At a review meeting on September 9, Ho Chi Minh City People’s Committee Chairman Nguyen Van Duoc noted the city “has effectively executed its dual mandate – ensuring smooth operations under the new two-tier local government model, while simultaneously focusing on economic and social recovery – continuing to play the role as a national growth driver.”
During the eight-month period, Ho Chi Minh City’s IIP rose by nearly 6 percent on-year, total retail sales of goods and consumer service revenue grew by 15.6 percent, and its export value touched $61.2 billion, maintaining the top position nationwide.
While the socioeconomic situation is optimistic, Minister of Finance Nguyen Van Thang offered a candid assessment: “The growth task for 2025 still faces many challenges. Although forecasts suggest Vietnam’s GDP growth could reach a minimum of 8 percent this year, reaching the 8.3–8.5 percent target will require significant effort.”
To achieve its assigned target of 8.5 percent regional GDP growth in 2025, Ho Chi Minh City has mapped out a scenario projecting growth exceeding 10 percent in both Q3 and Q4.
The city is also prioritizing the acceleration of public investment disbursement, which Chairman Duoc acknowledged is still unstable and could negatively impact the city’s overall growth rate.
Alongside Ho Chi Minh City, growth momentum is strongly expected from other dynamic provinces like Phu Tho, Bac Ninh, and Quang Ninh.
Tran Duy Dong, Chairman of Phu Tho People’s Committee, shared that Phu Tho will focus on key pillars such as attracting investment in high-tech, processing, and manufacturing sectors; accelerating strategic infrastructure projects; developing green and sustainable agriculture; and applying advanced technologies to enhance GRDP growth—all vital steps for achieving long-term economic growth.
