The assessment was made at the fifth meeting of the municipal Party Committee for the 2025–2030 term, chaired by Politburo member and Party Secretary Tran Luu Quang on April 1.

Economic growth at 8.2%

According to Truong Minh Huy Vu, the city’s gross regional domestic product (GRDP) is estimated to have grown by around 8.2% in the first quarter, reflecting the economy’s resilience amid mixed external factors. These included changes in US tariff policies, which created a temporary window of opportunity for exports, and rising logistics and energy costs linked to tensions in the Middle East.

The economic picture showed clear divergence, with export growth slowing to just over 1%, indicating mounting pressure from external markets. In contrast, domestic investment and consumption emerged as key drivers. Foreign direct investment (FDI) reached nearly US$2.9 billion, marking a strong increase year on year, while total retail sales of goods and services rose by 13.7%. Tourism also continued its recovery, contributing positively to overall growth.

Vu noted that achieving the city’s full-year growth target of 10–11% is feasible, provided that stronger acceleration is maintained in the coming quarters. He emphasised that growth in the second, third and fourth quarters would need to reach around 11.5–12.5%, supported by faster public investment disbursement and other economic drivers.

He stressed the importance of institutional reform as a key factor, with new mechanisms needed to streamline investment procedures, remove bottlenecks and promote large-scale projects. The city is also focusing on new growth drivers, including the digital economy, green economy and the development of an international financial centre.

Long-term growth drivers

On investment attraction, Hoang Vu Thanh, director of the Ho Chi Minh City Financial Department, said the city is mobilising all available resources. Authorities have resolved 738 out of 838 backlogged projects, with total capital of about VND131 trillion, helping to unlock resources for development.

In 2026, the city aims to fully disburse public investment capital, building on a disbursement rate of over 93% last year. Efforts are also underway to improve the investment climate, shorten administrative procedures, accelerate digitalisation and attract multinational corporations with core technologies.

Regarding urban planning, Vo Hoang Ngan, director of the ho Chi Minh City Department of Planning and Architecture, said the city faces an urgent need to restructure its development model, especially as its urban space expands following administrative adjustments involving neighbouring provinces.

He pointed out that urban space remains fragmented, infrastructure is not yet fully synchronised, and environmental and climate pressures are increasing. The city therefore needs to shift from administrative boundary-based development to a functional, regionally connected model, with infrastructure serving as the foundation for long-term growth.

Prompt action

Concluding the meeting, Party Secretary Tran Luu Quang said the city has achieved notable results in the first quarter, including ensuring social welfare during the Lunar New Year and a strong recovery in consumer demand. Socio-economic and defence-security indicators improved compared to the same period in 2025, reinforcing confidence for the months ahead.

He highlighted that Ho Chi Minh City’s key advantage lies in its strong development potential, improved administrative efficiency and the effective implementation of existing policy mechanisms, which will support proposals for more robust frameworks at the central level.

Emphasising the city’s clear goal of achieving double-digit growth, he called for stronger determination and concrete action from all local administrations, stressing that results must be measurable and clearly defined.

The city is also studying a plan to offer free bus services, with an estimated budget of around VND7 trillion, aimed at reducing traffic congestion and environmental pollution, alongside improving service quality and increasing the share of electric buses.

In the healthcare sector, authorities aim to implement health check-ups and screenings for nearly 15 million residents in 2026, in line with a Politburo resolution, with relevant agencies tasked to ensure effective implementation.

HCM City urged to turn Party resolutions into measurable actions

VOV.VN - Ho Chi Minh City must translate Party resolutions into concrete, measurable actions, particularly at the grassroots level, National Assembly Chairman Tran Thanh Man emphasised at a working session with the Standing Committee of the city’s Party Committee on April 1.