Page 4 - Cover VNE No57okokok

Summary

24 COVER STORIES
Share of developing asia households
in each consumption category, 2002-2030
Skilled workforce
100%
Extreme poor
(PPP $<2.00 per day)
90% needed post-pandemic
80% Moderately poor
(PPP $2.00 - 3.10 per day)
70% Vietnam’s post-pandemic economic recovery requires a change
Vulnerable in the country’s labor structure, creating a high-quality work-
60%
(PPP $3.10 - 5.50 per day) force to stay abreast of the outside world. Technology will play
50% a key role in services, trade, and wholesale and retail, especially
Economically secure
40% (PPP $5.50 - 15 per day) e-commerce and digital payments. Covid-19 has not only in-
terrupted goods supply chains but also workforce supply
30%
chains. Apart from specific support from the government in the
20%
Middle class training of a skilled workforce, tax deductions, delays to tax and
10% (PPP $15+ per day) fee collections, and other preferential tax policies for some pe-
riod of time, the government should also resolve problems con-
0%
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 cerning relations between labor supply and demand with
appropriate mechanisms and policies.
Source: World Bank

29 OP EDS

NEW CPI METHOD TO BE
USED IN 2020-2025 PERIOD

The method for determining the consumer price index
(CPI) based on a basket of goods and services has been ad-
justed and improved for the 2020-2025 period. This is re-
garded as a step forward, but some additional elements are
needed so that statistics are reflected more accurately and
updated for more efficiency in macroeconomic manage-
ment. Firstly, apart from the general CPI, the General Sta-
tistics Office should follow and announce indexes relating
to inflation, such as GDP-deflator and basic inflation
(which exclude essential goods such as foodstuffs, energy,
education, and healthcare). Secondly, despite inflationary
pressure being insignificant, it should not be ignored, since 36 PROPERTY
global inflation remains high. As a result, a roadmap for ad-
justing the price of State-managed goods at an appropriate REAL ESTATE MARKET IN Q2 BETTER
time should be carefully considered in order to avoid unex- THAN EXPECTED
pected inflationary shocks. In addition, during the 2020-
2025 period, apart from economic growth targets being
fulfilled, world prices of goods and services need to be taken The fourth wave of Covid 19 followed by social distancing
into consideration, so that it will not have a negative fiscal measures sparked concern about Vietnam’s real estate
and monetary impact. market becoming frozen in the second quarter, but there
were actually positive signs in the period and businesses
remain optimistic about future prospects. According to a
CPI and the contribution of food and food service groups
to the overall increase in CPI in the period 2006-2021 25 Ministry of Construction report on the market in the sec-
CPI (%) Food and food service groups
ond quarter, 29,557 houses were granted licenses for sale
20
15
13.65 and there were 29,949 successful transactions, up 18 per
10.62
10
8.1 cent over the first quarter, with no unsold products in the
6.93
0.9-1.5
1.16 1.46 3.35 5
3.38 primary market. Fewer transactions were seen in the sec-
2.47 2.02 1.04 0.38
0.4 0.85 0
-0.39 ondary market and in hotel and resort real estate, how-
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021f
-5
Source: GSO ever, which have suffered heavily during the pandemic.
4 KINH TẾ VIỆT NAM Số 57 Ngày 9/8/2021 www.vneconomy.vn