Vietnam is actively reducing emissions in agriculture sectors

On June 26, Prime Minister Pham Minh Chinh and Executive Chairman of the World Economic Forum (WEF) Prof. Klaus Schwab co-chaired a dialogue with leaders of approximately 20 major WEF economic groups on the sidelines of the 15th WEF Annual Meeting of the New Champions in Dalian, China's Liaoning province.

The panel centers on the promotion of Vietnam's economic growth through the enhancement of cooperation. It emphasizes the importance of Vietnam's participation in the global supply chain, high technology, and digital transformation.

Investors grow alongside Vietnam's development

The opinions are highly favorable regarding Vietnam's growth rate, development, and progressively enhanced investment and business environment, particularly the digital economy, which constituted approximately 16% of the country's GDP in 2023.

According to Professor Klaus Schwab, the World Economic Forum (WEF) is highly delighted to maintain an intimate partnership with Vietnam, a rising star in the rapidly evolving global economy.

Mr. Brand Cheng, Chairman and CEO of Foxconn, recalled that he informed the Prime Minister about the establishment of an additional factory in Vietnam during a meeting last January. Production commenced in April. This serves as a demonstration of Vietnam's commitment to economic advancement. At present, Foxconn's factories are situated in five provinces, with a total investment of approximately four billion USD and 80,000 employees. "Vietnam is developing rapidly, and we are growing alongside Vietnam," said the representative.

A representative from Pepsico stated that the company has invested 850 million USD in Vietnam over the course of 30 years and will continue to increase its investment, particularly in the areas of agriculture, food processing, and the promotion of support for small businesses and plastic recycling.

Furthermore, the opinions also raised questions and expressed interest in a variety of topics and areas, including the enhancement of regulations and policies related to the digital economy, the green transition, including electronic signatures in the banking and finance sector, green certificates, the assurance of electricity supply, the energy transition, financing for renewable energy, and preferential policies for high-tech sectors.

The electric power supply in Vietnam is sufficient

During the discussion session, Prime Minister Pham Minh Chinh declared that Vietnam is focusing on growth while simultaneously implementing measures to stabilize the macroeconomy, control inflation, and maintain key economic balances.

The Prime Minister stated that Vietnam will continue to prioritize growth in collaboration with main solution groups as it outlines its future plans. In particular, proactive, flexible, timely, and effective monetary policies will be implemented, with a particular emphasis on the reduction of lending interest rates, the extension of debt repayment, the rescheduling of debt, and the maintenance of appropriate exchange rate stability. In addition, Vietnam will persist in maintaining macroeconomic stability, controlling inflation, and maintaining public debt, government debt, and foreign debt within permissible limits to ensure significant economic balances.

Furthermore, Vietnam is emphasizing the promotion of three strategic advances in infrastructure, human resources, and institutions. Mobilizing resources through the enhancement of public-private partnerships, the activation of all social resources for growth and development, and the use of public investment to lead private investment are additional critical solutions. "Overall, given the current context, Vietnam continues to prioritize growth and adopt flexible policies suitable to Vietnam's conditions and circumstances as well as global trends," the Prime Minister added.

Prime Minister Pham Minh Chinh stated that the electricity supply was maintained in 2024, despite the fact that power consumption increased by 15% and reached a record high of 1 billion kWh per day on certain days. He confirmed that Vietnam will not experience a power shortage if comprehensive solutions are implemented.

The Prime Minister confirmed that Vietnam will not experience electricity shortages as a result of comprehensive solutions in power generation, transmission, distribution, consumption, and pricing. For example, transmission lines that were previously constructed over a period of 2 to 4 years now require only approximately 6 months to complete.

The Prime Minister announced that the government is preparing to issue a decree regarding the implementation of the global minimum tax and the amendment of investment incentive policies. The focus will be on financial, cost, and land incentives for priority projects, rather than tax incentives.

The Prime Minister underscored the necessity of comprehensive solutions in order to advance ecological development. The head of the Vietnamese government also stated that Vietnam is actively reducing emissions in agriculture, including a program for 1 million hectares of high-quality, low-emission rice in the Mekong Delta. This project is the first of its kind in the world.