Vietnam Focuses on Inflation Control and Price Stability Amid Growth Strategy Discussions

On September 3rd, the Vietnamese government held its regular cabinet meeting for August at the Government Headquarters. Prime Minister Le Minh Hung presided over the session, which discussed important future agendas and key tasks and solutions. The meeting emphasized the need to enhance the quality of strategic advice for economic and social development. Specifically, the transition of the digital economy to a new growth phase, promoting economic growth through credit extension to small and medium-sized enterprises (SMEs), and the urgent need for investment in power sources that form the foundation of economic growth were highlighted. Furthermore, views were expressed on the necessity of substantive deregulation to enable the private sector to achieve double-digit growth targets, and that the Vietnamese economy as a whole should focus on the quality of growth. These discussions demonstrate the government's strong commitment to sustainable economic growth and the stability of people's lives, which Vietnam aims for. Under its one-party system, the Vietnamese government considers economic growth as one of the sources of its legitimacy, making inflation control and price stability crucial for garnering public support. Moreover, given Vietnam's strong economic ties with China, domestic economic stabilization is an indispensable element for maintaining geopolitical balance.