City targets 12 per cent GDP growth next year

Workers at HCM City's Dien Quang Company are processing energy-saving compact bulbs for export to 20 countries in the world. The country's largest city aims to raise its per capita GDP to more than $3,000 next year. - Photo Van Khanh

The city's socio-economic development and state budget plan for 2011 also targets a GDP growth of 12 per cent.

The plan will give investment priority for major infrastructure projects including those that are under construction and set for completion by the end of next year.

It plans a 2011 budget outlay of VND200.4 trillion ($10.5 billion), equalling 42.1 per cent of the city's GDP, according to the Department of Finance.

Speaking at a meeting held by the municipal People's Committee on Monday, Thai Van Re, director of the city's Department of Planning and Investment, said the important task next year is implementing effectively the economic restructuring plan that has been decided for the 2011-15 period.

Re also stressed the need to enhance the quality, competitiveness and effectiveness of the city's economic growth.

Next year, the city will continue to boost the development of nine major services sectors, considered to be the city's strengths and having great growth potential.

The services sectors are: finance, credit, banking and insurance; real estate; trading; transportation, ports and warehousing; post and telecommunications; science and technology; tourism; health; and education and training. The city will also develop strongly four major industrial sectors with high added value – mechanical engineering, electronics and information technology, chemicals and food processing.

Nguyen Thi Hong, deputy chairwoman of the municipal People's Committee, said tourism was one of the city's key economic sectors, and therefore, increased investment is necessary in infrastructure facilities, development of tourism products including waterway tourism.

Nguyen Thanh Tai, permanent deputy chairman of the municipal People's Committee, said the city has invested a lot in transport infrastructure over the past years, but this has not kept pace with the city's rapid development. Hence investment in this sector needs to be increased further, he said.

While the city's programme of stabilising the supply and price of essential goods has been successful in the past, the current situation demands more long-term measures, Tai said.

Tran Quang Phuong, director of the city Department of Transport, said the city should set up detailed plans right at the beginning of the year to deal with traffic jams and flooding.

Le Hoang Quan, chairman of the municipal People's Committee, ordered departments and agencies to focus on developing six major programmes identified at the Ninth Congress of the HCM City Party Committee including improving the quality of human resources. This would speed up the city's economic restructuring process, he said.

Quan also ordered departments and agencies to strengthen inspection and monitoring of the city's major infrastructure projects to ensure that they are of high quality.