Economic News Update: Vietnam's Budget Revenue Surpasses 1.39 Million Billion VND
On July 17, Vietnam's Ministry of Finance released significant economic indicators showing positive developments in budget revenue, agricultural exports, and public investment disbursement. These figures demonstrate the resilience of Vietnam's economy amid global challenges. Below is a comprehensive analysis of the key economic news from this date.
Budget Revenue Exceeds Annual Target
According to the latest report from the Ministry of Finance, total state budget revenue from the beginning of the year to July 15 has reached 1.39 million billion VND, exceeding the annual target by 1.39%.
Specifically, in the first seven months of the year, budget revenue achieved 87.2% of the target, an increase of 3.9% compared to the same period in 2023. Revenue from crude oil reached nearly 40,000 billion VND, equivalent to 46.2% of the target. Domestic revenue reached 1.35 million billion VND, equivalent to 88.1% of the target.
| Indicator | Revenue (billion VND) | Target Percentage | Year-on-Year Change |
|---|---|---|---|
| Total Budget Revenue | 1,390,000 | 87.2% | +3.9% |
| Crude Oil Revenue | 40,000 | 46.2% | -15.3% |
| Domestic Revenue | 1,350,000 | 88.1% | +4.8% |
Mr. Nguyen Van Nhiem, Head of the Tax Policy Department at the Ministry of Finance, stated: "The budget revenue exceeding its target amidst a challenging global economic environment demonstrates the effectiveness of budget management measures and the concerted efforts of local authorities, sectors, and units."
Coffee Exports Generate $4.8 Billion
According to the Vietnam Coffee and Cocoa Association (VICOFA), Vietnam's coffee exports in the first seven months of 2023 reached 1.17 million tons, valued at $4.8 billion, a decrease of 12.1% in volume but an increase of 1.4% in value compared to the same period last year.
The average export price of coffee beans in the first seven months of the year reached $4,098 per ton, an increase of 15.6% compared to the same period in 2022.
| Indicator | 7/2023 | 7/2022 | Change |
|---|---|---|---|
| Export Volume (million tons) | 1.17 | 1.33 | -12.1% |
| Export Value (billion USD) | 4.8 | 4.73 | +1.4% |
| Average Price (USD/ton) | 4,098 | 3,545 | +15.6% |
Mr. Do Ha Nam, Chairman of VICOFA, noted that despite fluctuations in the global coffee market, the Vietnamese coffee industry has maintained stable export value through improved product quality and diversified export markets.
Deposit Insurance Limit Raised to 350 Million VND
The State Bank of Vietnam has issued Decision No. 1182/QĐ-NHNN dated July 14, 2023, increasing the deposit insurance limit from 250 million VND to 350 million VND per depositor at each participating institution.
This decision will take effect on September 1, 2023, and applies to all deposits at participating deposit insurance institutions in Vietnam, including demand deposits, time deposits, savings deposits, foreign currency savings, and other deposit types.
Mr. Nguyen Kim Anh, Governor of the State Bank of Vietnam, stated: "Increasing the deposit insurance limit aims to enhance safety for depositors, contribute to banking system stability, and create favorable conditions for people and businesses to access banking services."
Public Investment Disbursement Reaches 35.5% of Plan
According to the Ministry of Planning and Investment, as of July 15, 2023, total disbursement of public investment capital reached 35.5% of the annual plan, equivalent to 218,500 billion VND.
Specifically, disbursement from the state budget reached 36.3% of the plan, while disbursement from government bonds reached 31.8% of the plan.
| Funding Source | Disbursed Amount (billion VND) | Plan Percentage | Year-on-Year Change |
|---|---|---|---|
| Total Public Investment | 218,500 | 35.5% | +3.2% |
| State Budget | 164,200 | 36.3% | +4.5% |
| Government Bonds | 54,300 | 31.8% | +0.8% |
The Ministry of Planning and Investment has requested ministries, sectors, and localities to accelerate public investment disbursement, particularly for key projects and those using ODA and preferential loans. At the same time, obstacles in disbursement processes should be removed to ensure the plan is met and exceeded.
Macroeconomic Overview
According to the Ministry of Planning and Investment, Vietnam's macroeconomic situation in the first seven months of 2023 has remained stable with inflation controlled at low levels. Total money supply increased by 6.94% compared to the end of 2022, while credit growth reached 3.48%.
However, the global economy continues to face difficulties, affecting domestic production and business activities. The Ministry of Planning and Investment has requested ministries, sectors, and localities to continue implementing measures to support businesses, promote production and business activities, and ensure the completion of 2023 socio-economic targets.
Economic experts assess that the positive economic indicators in the first seven months of the year provide a solid foundation for Vietnam to achieve and exceed the year's targets, especially amidst unpredictable global economic fluctuations.
Summary of Key Economic Indicators (July 17):
- Budget Revenue: 1.39 million billion VND (exceeding target by 1.39%)
- Coffee Exports: 1.17 million tons, valued at $4.8 billion
- Deposit Insurance Limit: 350 million VND per depositor
- Public Investment Disbursement: 218,500 billion VND (35.5% of plan)