PM Dung vows further control of inflation

Prime Minister Nguyen Tan Dung

The meeting opened with an update on the fate of guest workers in Libya and measures to evacuate them from the North African nation, delivered by Minister of Labour,  Invalids and Social Affairs Nguyen Thi Kim Ngan.

So far, 6,198 of 10,482 Vietnamese workers in Libya have been evacuated, including 2,739 those who have been flown home.

More than 3,000 others are en route to neighbouring nations.

Inflation control was highlighted as the top priority for 2011, to stabilise the macro economy.

The Prime Minister pointed out the need to reduce budget deficits, cut 10 per cent of public spending and increase tax collection.

He instructed ministries and responsible agencies to tighten monetary policy, carefully manage banking deposit interest rates and foreign exchange rates and build a roadmap against heavy dependence on gold and US dollar value in business transactions.

Fiscal and monetary policies should be harmonised, Dung emphasised.

He called on ministries, industries and local administrations to take firm measures to increase efficiency in production and business, especially to raise productivity in agricultural production.

“It’s imperative to implement polices on market prices effectively, including the battle against goods speculation to push prices up, to speed up administrative reforms, make progress in solving petitions and claims and ensure social security,” Dung said.

He instructed that the administration reform process should focus on streamlining administrative procedures with construction and land procedures to be in the spotlight during 2011, in favour of ordinary people and enterprises.

Dung added that the roadmap for market-oriented adjustment of oil and gas prices should continue this year, along with subsidies for the poor.

The government leader and his cabinet reached consensus on the positive social-economic development in February and the first two months of the year.

Industrial production in February grew 17.7 per cent year on year while agricultural production saw the crop areas equal to 94.1 per cent, due to severe natural calamities.

Exports revenues in the first two months increased 40.3 per cent year on year and more than quadrupled the target passed by the National Assembly.

Social security was ensured as the poor, lonely elderly, disabled people and families of fallen soldiers and war invalids receiving good attention while political security and social order was maintained, according to cabinet members.