A corner of Ho Chi Minh City (Photo: VNA)Hanoi (VNA) –Vietnam’s gross domestic product (GDP) in the first quarter of 2020 grew 3.82percent, the lowest pace during the 2011-2020 period, head ofthe General Statistics Office Nguyen Bich Lam said at a press conference in Hanoi on March 27.
However, given the global economic downturn due to theimpacts of the COVID-19 pandemic, the increase is pretty good as compared withthe region and the world, according to the official.
During the reviewed period, the macro economy remained stableand the processing and manufacturing sector, despite its low growth, continuedto be the engine of the national economy, Lam added.
The official elaborated that the agro-forestry-fishery sectorexpanded 0.08 percent, contributing 0.2 percent to the GDP growth, whileindustry and construction picked up 5.15 percent, contributing 58.4 percent,and services went up 3.27 percent with a contribution of 41.4 percent.
Between January and March, final consumption expenditure rose3.07 percent year-on-year, asset accumulation up 2.2 percent, the lowest since2013, exports up 1.59 percent and imports up 1.05 percent.
The modest increases reflected the stagnant supply of goodsand raw materials in the first three months due to strong impacts of theepidemic, Lam said.
He pointed to difficulties facing the agro-forestry-fisherysector, caused by the African swine fever, drought and saltwater intrusion in theMekong Delta, along with the risk of an outbreak of avian influenza besides thecomplex developments of COVID-19. Agriculture alone recorded a minus1.17 percent, and fisheries were up 2.79 percent, lower than the increases of4.96 percent and 5.42 percent posted in the same periods in 2018 and 2019,respectively.
In the industry and construction sphere, industry grew 5.28percent, a far cry from the 9 percent growth recorded in the same period lastyear and 10.45 percent in the first three months of 2018.
Lam explained that the pandemic has hampered the import ofmaterials serving industrial production, especially processing andmanufacturing.
The severe impacts of the disease were also felt in trade, services,tourism, and import-export.
Retails and wholesale grew byonly 5.69 percent compared to 7.91 percent in the same period last year. Accommodationand catering service, transportation and warehouse, and administrative and supportservices all saw minus growth.
However, some sectors have maintained their performance, suchas finance, banking and insurance (up 7.19 percent), health care and socialactivities (up 9.97 percent), and information and communication (up 7.78percent).
The Nikkei Vietnam Manufacturing Purchasing Managers’ Index(PMI) also dropped to 49 points in February, a sign of declining businessconditions and consumption demand, Lam said, noting that this is the firstdecrease in four years.
He stressed that in the present circumstances, the PrimeMinister and Government have given the top priority to fighting the pandemicand protecting people’s health even at the expense of economic benefits./.
However, some sectors have maintained their performance, suchas finance, banking and insurance (up 7.19 percent), health care and socialactivities (up 9.97 percent), and information and communication (up 7.78percent).
The Nikkei Vietnam Manufacturing Purchasing Managers’ Index(PMI) also dropped to 49 points in February, a sign of declining businessconditions and consumption demand, Lam said, noting that this is the firstdecrease in four years.
He stressed that in the present circumstances, the PrimeMinister and Government have given the top priority to fighting the pandemicand protecting people’s health even at the expense of economic benefits./.
VNA
