Hanoi needs to achieve its growth target, says expert

To achieve the 8% growth target and lay the foundation for development in 2026-2030, Hanoi needs to continue to tap new growth drivers for the economy, Dr. Le Ngoc Anh, Director of the Hanoi Institute for Socio-Economic Development Studies (HISEDS), has said.

The expert shared the view when talking with the Vietnam Government Portal about solutions for Hanoi to realize its economic growth target.

How achievable is Hanoi's growth target of 8% or more in 2025 and double-digit growth in 2026-2030?

Hanoi needs to prepare a good foundation to enter the new development era, as 2025 is the last year to implement the socio-economic development plan for 2021-2025, the year to accelerate to the finish line.

At present, Hanoi is a growth pole, creating growth momentum for the Red River Delta and the whole country. The economic growth target of 8% or more in 2025 is considered its responsibility, and Hanoi’s growth results this year will be a solid premise for the double-digit growth target in 2026-2030.

Some policies to enforce the Capital Law (Amended), to be effective as soon as 2025, will create new resources, new spaces, and important premises for Hanoi to make a breakthrough in utilizing its potentials and advantages.

When it comes to drawing foreign direct investment (FDI), Hanoi remains one of the top cities in Vietnam. The capital is also home to a number of new growth drivers, such as technological and scientific advances, digital transformation, high-quality human resources, and new economic models (digital economy, night economy, circular economy, and urban economy).

Hanoi has just issued Action Program No. 03, which outlines nine key tasks to achieve the 8% growth target. What should be at the center of the city's efforts to achieve these goals?

To attain 2025 growth target and set foundation for development in 2026-2030, I believe Hanoi must make good use of the available space, renew traditional growth drivers, and exploit new growth engines. Among the nine key task groups in Action Program No. 03, I would like to suggest a number of solutions that require focus:

It's necessary to maximize policies to take advantage of the city's strengths while completing the layout of a streamlined and effective apparatus without affecting the people and businesses. Hanoi must focus on administrative reforms, especially to improve the business environment to promote the private economy and attract foreign direct investment in high-tech sectors.

The second group of solutions is to utilize public investment funds: Hanoi must identify feasible projects while disbursing over 95% of the public investment plan in 2025. For new projects in the pipeline or adjustment, Hanoi must complete the kick-off procedures in 2025.

In addition, prioritizing investment in high-tech industries, semiconductors, artificial intelligence, energy transition and supporting industries serving high technology. At the same time, it should promote digital transformation, especially in commerce and electronics, and increase the state budget revenue from online sales activities.

The focus would be on synchronized deployment of solutions to stimulate consumption, promoting the "Vietnamese Give Priority to Using Vietnamese Goods" campaign, strengthening market management while upgrading cultural spaces, relics, cultural industrial products, unique tourism products with the help of digital technology.

Last but not least, accelerating green and digital transformation. In 2025, Hanoi should focus on attracting investment for large-scale projects in Hoa Lac High-Tech Park, speed up the construction of Bac Tu Liem High-Tech Biological Park, build the Hanoi Innovation and Startup Center, and develop new cultural and creative spaces.

What policies does Hanoi need from the government to achieve this goal?

The government should continue to review, revise, and complete regulations that are no longer appropriate or overlapping, and in particular establish appropriate policies for new economic models. The move can help Hanoi remove difficulties for long-standing projects to prevent waste and loss.

The government should allocate funds to help Hanoi set up controlled sandboxes for testing new technologies, products, services, or innovative business models.

It is also recommended that the government support Hanoi to develop the land fund on both sides of the Red and Duong Rivers effectively for socio-economic development.

Thank you for your time!