Vietnam plans to lower its economic growth target due to the impact of the new coronavirus pandemic.
The government’s proposal to the National Assembly to adjust a number of targets this year is directly due to the coronavirus, Prime Minister Nguyen Xuan Phuc told deputies on the opening day of the assembly’s latest session.
“We have to look directly at the socio-economic situation and forecast the international and domestic situations in the coming time.
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“The earlier forecast of GDP growth of 6.8 per cent was a big challenge and would be difficult to achieve,’’ Phuc added.
Phuc did not give a concrete economic growth target as it needs to be approved first by the Politburo, the highest decision-making body in Vietnam.
The government earlier mentioned revising GDP growth down to between 4.5 and 5.4 per cent this year, depending on the global situation.
Phuc also asked parliament to postpone a plan to hike the base salary of civil servants by seven per cent, starting from July 1, in order for his government to have more resources to support normal workers affected by the pandemic.
The National Assembly also submitted the EU-Vietnam Free Trade Agreement (EVFTA) and the EU-Vietnam Investment Protection Agreement (EVIPA) for consideration.
It is scheduled to ratify the deals on May 28.
If approved, the EVFTA will take effect as early as July, after the two sides notify each other of the completion of the approval process.