Financial sector posts strong Q1 performance

The meeting, chaired by Minister Nguyen Van Thang, aimed to review the implementation of the ministry (MoF)’s work in Q1 and discuss plans for Q2.

MoF's Q1 review meeting. Photo: Duc Minh

According to a report presented at the meeting, from the outset of the year, Thang has focused on setting clear direction and task delegation, ensuring specific responsibilities, defined timelines, and transparent authority regarding work assignments.

This has allowed the MoF to promptly and effectively implement key resolutions issued by the Party Central Committee, the Politburo, and the National Assembly.

At the same time, the MoF has maintained close monitoring of domestic and international developments and proactively prepared multiple response scenarios to address complex and sensitive global challenges.

In executing crucial resolutions of the central government, such as a Politburo resolution on the development of science, technology, innovation, and national digital transformation, and a National Assembly resolution on restructuring the state apparatus, the MoF has issued comprehensive action plans aimed at institutional improvements and practical implementation of major policy directions.

At the end of March, the MoF submitted a decree to the government adjusting preferential import tariffs on 16 product groups before the introduction of new US tariff policies.

The MoF also promoted the signing of diverse cooperation agreements, accelerating the pace of US ventures in Vietnam.

Despite continuing economic challenges, in Q1 the ministry proposed various fiscal support measures to the government, including a 2 per cent VAT reduction on goods and services subject to the 10 per cent rate during the first half of the year, ongoing reductions in environmental protection tax on fuel, adjustments to import-export duties, and the extension of tax incentives for the automotive supporting industry through 2027.

The ministry also continued to cut public service fees by 10-50 per cent for online services through the end of 2025, and introduced registration fee incentives for electric vehicles.

With these policies in place, total fiscal support for businesses and citizens in 2025 is expected to approximate $8.16 billion, higher than in 2024, aiming to fuel recovery and economic growth.

Regarding institutional development, the MoF has actively carried out its assigned legislative tasks since early 2025, achieving notable progress.

MoF leaders have directed the urgent completion of three major draft laws, the Law on Management and Investment of State Capital in Enterprises, the amended Law on Special Consumption Tax, and the amended Law on Corporate Income Tax, all of which are scheduled for submission to the National Assembly in May.

The ministry has also proposed the drafting of the new Personal Income Tax Law (replacement) and the Law on Thrift Practice and Waste Combat, both expected to be tabled at the National Assembly’s 10^th session in October.

In addition, the MoF has submitted proposals to the Ministry of Justice and the government to report to the National Assembly Standing Committee, aiming to include in the agenda and draft eight legislative proposals, such as amendments to the Law on Planning, the State Budget Law, the Law on Enterprises, and the Law on Bidding.

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