Ho Chi Minh City’s Index of Industrial Production in the January-August period is up by 2.8% year on year. (Photo: VNA)

HCM City (VNA) – Ho Chi Minh City’sIndex of Industrial Production (IIP) in August increased 6.6% over the same period last year, according to the municipalDepartment of Industry and Trade.

The city’s IIP in the January-August period was up by 2.8% year on year.

The city saw positive developments in many socio-economicaspects in the first eight months of this year, with a 7.6% hike in total retailsales of consumer goods and services and cargo throughput via through seaportsup by 3.8% year-on-year, Le Thi Huynh Mai, Director of the muni♒cipal Department of Industry and Trade, said at an August 30 conference reviewing the city's socio-economic situation in the first eight months of 2023

In August alone, there were 25,523 newenterprises in the city, increasing by 11.3% over the last year’s correspondingperiod while export turnover rose by 7.3%.

Regarding its main activities in August, Mai said thatthe city continued to promote growth model transformation towards a green and circulareconomy as well as digital economy in piloting specific mechanisms and policies for thedevelopment of HCM City under Resolution No. 98/2023/QH15 of the NationalAssembly (NA).

It also promoted regional linkage activitiesand planning with a focus on developing surrounding areas and the Saigon Riverroute as well as urban development, she said, adding that the successful organisationof the first Ho Chi Minh City river festival contributes to promoting the cityas an urban area of rivers and rich culture.

Mai pointed out the challenges that the city is facing. The city’s export turnover in the first eight months of thisyear fell by 15.3% over the same period last year.

The number of newly-established enterprisesincreased but was down 12.4% in total registered capital while there were 22,387businesses temporarily suspending operations, an increase of 28%. Notably, thedisbursement of the city's public investment capital reached 19.1 billion VND, equivalentto 28% of the assigned plan, she said.

To deal with the above-mentioned issues, it isnecessary for agencies to focus on speeding up the disbursement of public investment capital, carrying out policies to support exporters with inventory costs and enhancing consumerdemand by extending the promotion month to three instead of one month, according to Mai.

Addressing the meeting, the Chairman of municipalPeople’s Committee Phan Van Mai requested departments and agencies to continue implementingthe NA’s Resolution on piloting some specific mechanisms and policies for the developmentof HCM City.

It is necessary for the city to accelerate theprogress of key traffic൩ projects and remove obstacles to complete urban railwayline No. 1 in line with the schedule♊d plan, he said./.