Graph shows Vietnam's average core inflation over the years. (Photo: VNA)Hanoi (VNA) — The Department of Price Management will seek to improvemarket analysis and forecast in order to implement appropriate policies andcontrol inflation at 4 percent, as set by the National Assembly for 2017,Deputy Minister of Finance Tran Van Hieu said.
Ata conference at the end of December, 2016, the Deputy Minister asked the pricewatchdog to tighten price management to prevent dramatic price hikes ahead ofthe Tet (Lunar New Year) holiday, especially in areas recently hit by naturaldisasters.
Althoughthe macro-economy is expected to remain stable in 2017, potential exists for arise in inflation, the department said. For example, the adjustment of health careand education fees in late 2016 and in 2017 is expected to create inflationarypressure.
Thedepartment said that power and fuel costs would also be under pressure, coupledwith unfavourable weather conditions which would affect the supply of goods andservices, especially food and food stuffs.
Theprice adjustments of products and services, which have significant effects onthe economy, would be evaluated carefully to minimise their impacts and focuswould be placed on market data collection and analysis, the department said.
Inflationunder control
NguyenThi Thuy Nga, the department’s Deputy Director, said the department implementedflexible price management policies in coordination with other ministries tocontrol inflation in 2016 at below 5 percent as set by the National Assembly.The inflation rate had in fact been kept relatively low at 4.74 percent in2016.
Thiswas due to the combined effort of the Government and financial economicadministrative agencies, according to Nguyen Bich Lam, director general of theGeneral Statistics Office (GSO).
Annualcore inflation increased 1.83 per cent compared with 2015.
Therise in core inflation from January to December 2016 compared with the sameperiod in 2015 showed narrow amplitude, fluctuating from 1.64 to 1.88 percent,a result of a steady monetary policy being put into practice, helping thecountry’s macroeconomic stability and keeping inflation under control.
Theyear 2017 will see a change in the inflation calculation method by using theaverage annual CPI instead of the change in CPI between December of the currentyear and the previous one, Le Thi Minh Thuy, director of the GSO’s Trade andService Statistics Department, said.
Lamalso expressed the GSO’s concern through a petition to the Government proposingseveral solutions to keep inflation under control in 2017, with the target of afour percent CPI rise as indicated by the National Assembly.
Assuch, price adjustment methods must be employed for health care services,electricity, water and interest rates, and a close watch must be kept on globaloil prices to prevent the domestic price from shooting up and affecting the2017 CPI. — VNA
Ata conference at the end of December, 2016, the Deputy Minister asked the pricewatchdog to tighten price management to prevent dramatic price hikes ahead ofthe Tet (Lunar New Year) holiday, especially in areas recently hit by naturaldisasters.
Althoughthe macro-economy is expected to remain stable in 2017, potential exists for arise in inflation, the department said. For example, the adjustment of health careand education fees in late 2016 and in 2017 is expected to create inflationarypressure.
Thedepartment said that power and fuel costs would also be under pressure, coupledwith unfavourable weather conditions which would affect the supply of goods andservices, especially food and food stuffs.
Theprice adjustments of products and services, which have significant effects onthe economy, would be evaluated carefully to minimise their impacts and focuswould be placed on market data collection and analysis, the department said.
Inflationunder control
NguyenThi Thuy Nga, the department’s Deputy Director, said the department implementedflexible price management policies in coordination with other ministries tocontrol inflation in 2016 at below 5 percent as set by the National Assembly.The inflation rate had in fact been kept relatively low at 4.74 percent in2016.
Thiswas due to the combined effort of the Government and financial economicadministrative agencies, according to Nguyen Bich Lam, director general of theGeneral Statistics Office (GSO).
Annualcore inflation increased 1.83 per cent compared with 2015.
Therise in core inflation from January to December 2016 compared with the sameperiod in 2015 showed narrow amplitude, fluctuating from 1.64 to 1.88 percent,a result of a steady monetary policy being put into practice, helping thecountry’s macroeconomic stability and keeping inflation under control.
Theyear 2017 will see a change in the inflation calculation method by using theaverage annual CPI instead of the change in CPI between December of the currentyear and the previous one, Le Thi Minh Thuy, director of the GSO’s Trade andService Statistics Department, said.
Lamalso expressed the GSO’s concern through a petition to the Government proposingseveral solutions to keep inflation under control in 2017, with the target of afour percent CPI rise as indicated by the National Assembly.
Assuch, price adjustment methods must be employed for health care services,electricity, water and interest rates, and a close watch must be kept on globaloil prices to prevent the domestic price from shooting up and affecting the2017 CPI. — VNA
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