Ho Chi Minh City , the nation’s southern commercial hub, has recorded a
GDP of over 340.6 trillion VND (16.2 billion USD) in the first half of
2013, a year-on-year increase of 7.9 percent.

A report by Le
Hoang Quan, Chairman of the municipal People’s Committee at a meeting
held on June 28 to review the city’s socio-economic development in the
first six months of 2013, said that the city’s service sector rose by
9.1 percent over last year, the agricultural sector by seven percent,
and the industrial and construction sector by 6.2 percent.

The
city achieved an export turnover of over 13.7 billion USD, a
year-on-year increase of 6.2 percent, while its import turnover rose by
15.5 percent to 12.7 billion USD. The sharp increase in imports is due
to increases in the import of materials for textile and garments,
footwear, pharmaceuticals, plastics and fuel sectors, according to the
report.

Total retail sales went up by 11 percent year-on-year
to 288.9 trillion VND, up by 11 percent compared with the same period
last year, it said.

It, however, noted that the city’s economy
still faced difficulties due to the global economic turmoil, large
inventories and stagnant property market.

The report said the
city welcomed over 1.9 million foreign visitors in the first half of the
year, an increase of 5 percent compared with the first half of 2012,
and the tourism sector’s turnover of over 41 trillion VND (1.95 billion
USD) in the same period marked a significant 30 percent year-on-year
increase in value over last year. No explanation was given for the
apparently disproportionate surge.

Quan said at the meeting
that to reach targets set for the second half of 2013, all agencies and
departments will carry out several measures mapped out by the city
administration.

He said the city will continue to help
businesses solve their problems through policies and incentives
including exemption of some taxes and payment extensions for other taxes
so as to release more capital for development.

Quan said
priority will be given to farming and rural development, and to support
industries, medium- and small-sized enterprises (SMEs) and enterprises
using high and advanced technologies.

The city will also promote investment and exports, he said.

Quan asked State management agencies in the city to enhance dialogues
with businesses, especially SMEs, in their localities. He said this will
result in greater understanding of difficulties the firms are facing
and help create more favourable conditions to promote production.-VNA