Vietnam ministers outline measures to unlock growth drivers

Vietnamese ministers have proposed accelerating infrastructure projects, strengthening energy security, boosting domestic consumption, developing higher-value tourism, and completing the national land database to support economic growth in the second half of 2026.

The proposals were presented at the government's monthly meeting for June and a nationwide conference with local authorities on Saturday, as ministries outlined measures to help achieve the government's target of double-digit economic growth this year.

Vietnam's GDP grew an estimated 8.39% in the second quarter from a year earlier, lifting first-half economic expansion to 8.18%. But to achieve its goal of expanding the economy by at least 10% for the full year, the GDP growth must be 11.9% in the second half.

Infrastructure, energy among top priorities

Construction Minister Tran Hong Minh said the ministry is focusing on removing bottlenecks affecting project implementation, transport capacity, housing supply and the investment environment.

He noted all urban areas nationwide have now had master plans approved, while 94.4% of commune-level master plans have been completed. Vietnam's urbanization rate has reached 45.4%.

The planning framework is expected to support urban expansion, improve infrastructure development and create more favorable conditions for investment, production, services and the real estate market, he said.

The ministry has also completed technical standards and regulations covering construction, roads, aviation, maritime transport and railways, including those for planned high-speed rail, urban railway systems, and the Hanoi-Lao Cai-Hai Phong railway.

Industry and Trade Minister Le Manh Hung said industrial production continued to recover in the first half of the year, while electricity and fuel supplies remained stable. Power generation reached 171.07 billion kilowatt-hours, up 9.57% from a year earlier.

However, industrial growth in 15 of Vietnam's 34 provinces and centrally governed cities fell short of targets, while domestic retail sales, although up 12.9%, remained below expectations. Fourteen localities also recorded weaker-than-targeted retail growth.

The ministry warned that energy security could face pressure in the second half of the year due to extreme weather and storms.

It plans to prioritize reforms in the electricity and petroleum sectors, review the adjusted Power Development Plan VIII, accelerate delayed industrial and energy projects, strengthen manufacturing, ensure stable electricity and fuel supplies, stimulate domestic consumption, expand modern retail networks, and diversify export markets through free trade agreements and the Go Global program.

Tourism targets higher-spending visitors

Culture, Sports and Tourism Minister Lam Thi Phuong Thanh said the ministry will focus on tourism and cultural industries as growth drivers.

Vietnam aims to shift tourism development from prioritizing visitor numbers to attracting higher-spending travelers who stay longer by offering more innovative and higher-value tourism products, she said.

Although many local governments have identified tourism as a priority sector, investment and implementation have remained uneven, requiring stronger policy support, the minister added.

The ministry is also developing a legal framework for cultural industries and preparing growth plans for individual sectors, while reviewing regulations governing film, performing arts, media and publishing.

Land database, agricultural exports

Foreign Minister Le Hoai Trung said Vietnam continues to benefit from stronger trade, recovering domestic consumption and services, and the expansion of the digital economy and financial technology.

However, he cautioned that external forecasts point to risks from inflation, exchange rates, fiscal pressures and intensifying competition for foreign direct investment, while global trade and supply chain uncertainties remain challenges.

Agriculture and Environment Minister Trinh Viet Hung urged local authorities to accelerate completion of the national land database, describing it as a key priority.

He also called on provinces to speed up implementation of national target programs to avoid delays in public spending similar to the previous period, when nearly VND20 trillion ($760.57 million) in allocated funds had to be carried forward.

To support agricultural exports, the ministry has been working with China's customs authorities to expand market access for Vietnamese farm products.

It also plans to send senior officials to key durian-growing regions to address bottlenecks ahead of the peak harvest season and support agricultural, forestry and seafood exports in the second half of the year.