VOV.VN - A challenging external environment and weaker domestic demand is leading to a slowdown in economic growth in Vietnam, but the economy will pick up pace in the second half of 2023 and the following years, the World Bank said in an economic update released on August 10.

The total disbursement of public investment reached VND267.6 trillion (US$11.2 billion) as of the end of July, fulfilling only 35.49% of the plan set for 2023, but higher than the 34.47% recorded in the same period last year, according to the Ministry of Finance.

The disbursed capital sourced from the state budget topped VND291 trillion (US$12.3 billion) in the first seven months of 2023, equivalent to 41.3% of the yearly target and rising 22.1% from a year earlier, showing an observable improvement in public investment disbursement, said the General Statistics Office (GSO).

VOV.VN - The disbursement rate for public investment of 30.49% recorded during the first half of the year is widely viewed as one of the key driving forces in accelerating Vietnam’s economic growth ahead in the remaining months of the year, according to insiders.

The disbursement of public investment funded by official development assistance (ODA) in localities in the first six months of this year has reached only 7.6% of the year’s target, according to the Ministry of Finance (MoF).

Amid the global economic recession, Vietnam’s industrial growth in 2023 may experience a slight decline, but agricultural output is expected to increase modestly, according to experts.

Minister of Planning and Investment Nguyen Chi Dung on May 23 told the National Assembly (NA) that the socio-economic recovery and development programme has created a new development space, new motivation and new capacity for industries, fields and localities, making an important contribution to the country's economic growth, recovery and development.

Almost VND53.9 trillion (US$2.29 billion) in state capital was saved in 2022 as reported by ministries, sectors, and localities, according to the Government.

VOV.VN - The acceleration of public investment disbursement could support aggregate demand and economic growth over the short term, while investments made in human capital and green infrastructure will bolster long term economic development, according to the World Bank (WB).

Deputy Prime Minister Tran Hong Ha has asked ministries and central agencies to work closely with localities to remove obstacles for particular projects, thus speeding up public investment disbursement.