Page 4 - Cover VNE No53

Summary

12 ECONOMY & POLICY

DECREE TO TACKLE GREENHOUSE

GAS (GHG) EMISSIONS

The Ministry of Natural Resources and Environment has
recently drafted a Decree specifying Article No. 91, 92,
and 139 in the Law on Environmental Protection 2020,
identifying the responsibilities of businesses in the in-
ventory of greenhouse gas (GHG) emissions and their
reduction, and control over the export, production, and
use of elements that damage the ozone layer and cause
GHG emissions. When the draft is passed it will have
some level of impact on sectors such as thermal power
generation, treatment of solid waste, animal feed, and
road transport of goods, making it necessary to adopt an
14 COVER STORIES appropriate roadmap and practical steps for its imple-
mentation. Vietnam submitted its updated nationally
Confidence in business determined contribution (NDC) to the UN on Septem-
ber 11, 2020, becoming the 12th country to join the
prospects remains despite group.The updated NDC notes that the country will re-

duce its GHG emissions by 9 per cent by 2030 - a com-
fourth Covid-19 outbreak mitment that could be increased to 27 per cent with
international support.
Despite the heavy impact on social and economic life in
Vietnam during the first half of the year from the fourth
outbreak of Covid-19 there is still confidence that good 20 OP EDS
prospects remain for business activities. A senior official
from the Ministry of Planning and Investment disclosed
that 67,087 businesses were registered in the first half, an CPI STILL UNDER CONTROL
increase of 8.1 per cent year-on-year and exceeding the
record of 66,958 in the first half of 2019. Worth mention- MS. NGUYEN THI THU OANH,
ing is that pandemic hotspots such as Bac Giang province, Director of the General Statistic Office (GSO)’s
Ho Chi Minh City, and Bac Ninh province posted growth Price Statistics Department, tells vneconomy about
Vietnam’s CPI in 2021.
of 11.82 per cent, 5.34 per cent, and 1.06 per cent, respec-
tively, in business registrations. However, 70,209 busi-
nesses also closed in Vietnam during the period, a 24.9
per cent increase, while 35,607 others temporarily sus-
pended business activities, up 22.1 per cent. Material prices in the global market are rising, meaning
that imports of materials will push up production costs
and result in the CPI increasing. The CPI for production
materials rose 4.79 per cent in the first half of the year;
the highest rate since 2013. High oil prices and rocketing
steel prices should also be mentioned. Vietnam has im-
ported 3.4 million tons of scrap steel worth $1.4 billion
since the beginning of the year, an increase of 32 per cent
in volume and 115.8 per cent in value year-on-year. Ma-
terials for the agro-forestry-fishery sector also rose and
its CPI was up 15.26 per cent. Average CPI in the first
half, however, increased 1.47 per cent compared to the
same period last year, which was the lowest figure since
2016. This will help to control inflation at 4 per cent for
the year as a whole, as projected by the government.

4 KINH TẾ VIỆT NAM Số 53 Ngày 12/7/2021 www.vneconomy.vn