Vietnam’s economic statistical data, 1st Quarter in 2008

In the 1^st quarter of 2008, economic situation in the world had many complicated changes, USD decreased as compared with almost other currencies, consumer prices of many huge economies rose highly against the previous years, high prices of oil and raw materials that seriously affected on domestic production. Long lasting cold weather in the North, together with the diseases on plants and animals resulted in damages to agriculture production and people’s life.

Owing to the Government’s resolution on main measures to conduct implementation of 2008 Budget Plan as well as the great efforts of line-ministries, localities, enterprises and the people as a whole, the economy remained growth rate and the society was stable. Based on official data of the 2 beginning months and estimated information for March, the General Statistics Office released briefly socio-economic situation in the 1^st quarter of 2008 as follows:

ECONOMIC SITUATION

Major economic indicators

Gross domestic products (GDP) in 1^st quarter of 2008, were estimated increasing by 7.4% against same period last year; of which the agriculture, forestry and fishery sector increased by 2.9%; the industry and construction increased by 8.1% and the service rose by 8.1%. For 7.4% GDP, the agriculture, forestry and fishery contributed 0.4 points percents; the industry and construction shared by 3.5 points percents; the service shared by 3.5 points percents:

Growth rate of GDP at 1994 constant prices

	Versus 1st quarter of previous years (%)				A share to GDP                  Q.I/2008 (points %)
	Q.I/2005	Q.I/2006	Q.I/2007	Q.I/2008
Total	7.3	7.2	7.8	7.4	7.4
Agriculture, forestry and fishery	4.3	2.1	2.6	2.9	0.4
Industry and construction	8.5	8.5	9.1	8.1	3.5
Industry	8.6	8.7	9.3	9.0	3.4
Services	7.2	7.4	8.0	8.1	3.5

The agriculture, forestry and fishery sector in the 1^st quarter of 2008 rose by 0.3 points percents against the rate of the 1^st quarter of 2007. The growth rate of the industry and construction sector of this quarter was 1 point percent lower than the rate of same period last year due to the construction decreased by 4.7 points percents, the processing industry reduced by 0.9 points percents.

The service sector was 8.1% that was equivalent to the rate of the 1^st quarter of 2007, mainly due to the trade with high proportion in the service had the growth rate approximately to the rate of same period last year (total retail sales of goods and services at current prices in this quarter was 29% higher than the 1^st quarter of 2007 but mainly due to the high consumer prices). The other sectors like hotel, restaurant, transport, post and tourism still maintained higher growth rate than the general growth rate of the service sector and the rate of same period last year: hotel and restaurant rose by 12.2%; transport, post and tourism by 10.7%.

Total government revenues from 1/1/2008 to 15/3/2008 were estimated achieving 22.3% of the year estimate, of which domestic revenues gained 21.3% (revenues from state sector: 22.7%; from FDI sector excluding crude oil: 16.3%; from taxes on non-state sector: 20.7; from taxes on high income persons: 22.1%; petroleum fee: 17.5%; other fees: 19.9%). Crude oil revenues were 22%; trade budget revenues: 26.1%.

Total government expenditure from 1/1/2008 to 15/3/2008 were estimated achieving 19.1% of yearly estimate, of which spending for investment and development was 16.6% (only for basic construction was 16.5%); for public services sector, Party, associations, defense (including spending for salary reform): 20.5%; , debt and aid settlement 22%.

Volume of  social capital investment of the 1^st quarter of 2008 at current prices were estimated at 105.1 trillion VND, increasing by 15.9% against same period of 2007, including capital of  state sector: 47.8 trillion VND, accounting for 45.5% of the total and increasing by 14.6%; non-state sector: 30.5 trillion VND, accounting for 29%, rising by 11.3%; FDI sector: 26.8 trillion VND, accounting for 25.5%, rising by 24.1%.

Volume of social capital investment of Q.I /2008

	Trillion VND	Structure     (%)	Q.I/2008 v.s  Q.I/2007 (%)
TOTAL	105.1	100.0	115.9
State Sector	47.8	45.5	114.6
Non-state Sector	30.5	29.0	111.3
FDI sector	26.8	25.5	124.1

Realized capital investment under the concentrated State budget in 1^st quarter was estimated to gain 18 trillion VND, equaling 18.3% of the yearly plan. Of which central investment was 5.48 trillion VND, equaling 16.5%, local investment was 12.52 trillion VND, equaling 19.3%. The capital investment under the concentrated State Budget in the 1^st quarter was generally low, of which many line-ministries and localities only achieved about 11-12% of the yearly plan.

There was high achievement in attraction of FDI. Total registered capital of FDI projects from beginning of the year to 22/3/2008 (including new granted and added capital) was estimated at about 5.44 billion USD, rising by 31% against same period last year, of which capital of newly licensed projects gained 5.156 billion USD, rising by 43%; additional capital was 280.3 million USD, falling by 53%. Total FDI capital in 1^st quarter of 2008 was estimated at about 1.68 billion, increasing by 24% against same period of 2007.

ODA capital in 1^st quarter gained nearly 369 million USD, rising by 16% against same period last year, of which loan capital was over 342 million USD and free of charge aid: 26.4 million USD. Total ODA reimbursement value was estimated at about 210 million USD, equaling 11% of the yearly plan.

Consumer prices in March increased lower than the rate of last month but prices of many kinds of commodities were still high. As compared with last month, consumer prices in March rose by 2.99% (February: 3.56%; January; 2.38%). However, this was the unusual high rate against the rate of March of the previous years.

Consumer prices Indexes

					%
	2004	2005	2006	2007	2008
Previous month = 100
January	101.1	101.1	101.2	101.05	102.38
February	103.0	102.5	102.1	102.17	103.56
March	100.8	100.1	99.5	99.78	102.99
December prev. year =100
January	101.1	101.1	101.2	101.05	102.38
February	104.1	103.6	103.3	103.24	106.02
March	104.9	103.7	102.8	103.02	109.19

Out of groups of goods and services, the highest increased prices were the groups of food grain, means of transport, post, housing and construction materials: food grain rose by 10.5%; means of transport, post by 5.76%; housing and construction materials by 3.55%; others: 0.3 – 1.5%. As compared with December of 2007, consumer prices of 3 months rose by 9.19%, of which food grain by 17.91%; foodstuff by 13.08%; housing and construction materials by 8.01%; means of transport, post by 7.32%; others by from 0.6% to 4.4%. On average, each month in 1^st quarter CPI rose by 16.38% against 1^st quarter of 2007, of which foodstuffs rose by 28.41%; food grain by 21.53%; housing and construction materials by 17.94%; means of transport, post by 10.05%; others by from 2% to 7.7%.

Agriculture, forestry and fishery

Output values of this sector in the 1^st quarter of 2008 at constant prices were estimated achieving 43.19 trillion VND, increasing by 4.1% against same period last year; of which agriculture gain 32.2 trillion VND, rising by 2.9%; forestry: 1.39 trillion VND, by 0.4%; fishery: 9.59 trillion VND, by 9.0%.

Agriculture

As of 15/3/2008 there were 2,911.3 thousand ha of winter-spring paddy cultivated, equaling 99.1% against same period last year, of which the North cultivated 1,036.2 thousand ha, equaling 94.7%; provinces in the Red River Delta sowed 529.2 thousand ha, equaling 96.4%.

Up to Mid of March, provinces in the South harvested 953.9 thousand ha of winter-spring paddy, rising by 8.1% over same periods last year. Of which provinces in Mekong River Delta gained 933.9 thousand ha, accounting for 61% of planted areas. According to preliminary report, the productivity in the Mekong River Delta was estimated achieving 9.4 million tons, increasing by over 300 thousand tons (equivalent to over 4%) against same crop last year.

Together with these activities above, localities promoted growing vegetables, beans and annual industrial crops. As of 15/3/2008, the country had 371.8 thousand ha of maize under cultivation, equaling 101.2% over same period last year; 100 thousand ha of sweet potato, equaling 96.8%; 96.1 thousand ha of cassava, equaling 110.3%; 167.6 thousand ha of peanut, equaling 101.7%; 84 thousand ha of soy- bean, equaling 103.4%; 362.6 thousand ha of vegetables, equaling 102.9%.

Livestock feeding: In the 1^st quarter 2008, due to long lasting cold weather there had 127 thousand heads of buffalo and cattle died, of which 70% was old animal and 30% was calves.

Forestry

The forestry production value in 1^st quarter 2008 at 1994 constant prices was estimated gaining 1,395.4 billion VND, rising by 0.4% against same period last year.  The area of concentrated forestation was estimated to achieve 39 thousand ha, rising by 0.2% over same period last year; the areas of separated forestation gained 60.8 million trees, reducing by 1.6%; wood cut production was 484.2 thousand m³, rising by 0.6%, log cut production was 6.6 million stere, rising 0.8%. The forest protection was paid much attention to by the forest guards and local authorities, only 275 ha of forest destroyed in spite of long lasting dry weather, reducing by 70% against same period last year, of which burned areas were 145 ha. Localities having a lot of forest areas destroyed were Dien Bien (88 ha), Tay Ninh (53 ha); Dak Nong (48 ha) and Bac Giang (32 ha).

Fishery

Total fishery production value at 1994 constant prices in the 1^st quarter of 2008 was estimated achieving 9,590.7 billion VND, increasing by 9% over same period last year, of which farmed production rose by 16.9% and catching by 0.8%. The output in the 1^st quarter was estimated at 977.7 thousand tons, rising by 10.7%, of which fish rose by 13.1%; shrimp by 5.1%.

Aquaculture production in 1^st quarter was estimated at 416 thousand tons, rising by 27.1% against same period last year. Of which fish were 313 thousand tons, rising by 35.7%; shrimp: 58.5 thousand tons, rising by 7.1%. Catching production was estimated at 561.7 thousand tons, rising by 1%, of which sea catching was 517.1 thousand tons, growing by 1%.

Industrial output

Generally for 1^st quarter, industrial output value was estimated at constant prices increasing by 16.3% against same period last year, of which state owned sector increased by 6.7% (central management rose by 9.1%, local management  fell by 0.7%), non-state sector increased by 22.4% and FDI sector by 17.1% (oil and gas increased by 1%, other items by 18.8%).

Among one digit manufacturing industry (including mining, processing and manufacturing, electricity, gas and water supply), the processing increased by 17.6% over same period last year, manufacturing, electricity, gas and water production and supply by 13.8% (generated power gained 17 billion kWh, rising by 15.2%). The mining rose by 1.8% (extracted crude oil gained 3.95 million tons, rising by 0.5% and exploited pure coal by 3.2%).

Trade, price and tourism

Total retail sales of goods and services

Total retail sales of goods and services in 1^st quarter were at current prices estimated at 218.3 trillion VND; increasing by 29.2% over same period last year. Of which the collective, private and individual sectors rose highly at 34 – 36%; the FDI sector rose by 38.1%; only state sector decreased by 1.4%. Of the total, the trade accounted for 82.5% and increased by 29.7% against same period of 2007; the hotel and restaurant for 11% and by 26.1%; the traveling tourism for 1.4% and by 31.3%; the services for 5.1% and by 28.4% respectively. If the price appreciation factor is excluded, the growth rate of total retail sales of goods and services in this quarter increased by about 13%, lower than the rate of 15% of 1^st quarter of 2007.

Exports – imports

Export turnovers in 1^st quarter 2008 was estimated at 13.03 billion USD, rising by 22.7% against same period last year, of which domestic sector gained 5.37 billion USD, rising by 14.6%; FDI sector (excluding crude oil) was 5.04 billion USD, increasing by 21.1% and crude oil gained 2.62 billion USD, growing by 48.1%. Generally, export value of almost main items increased against same period last year. To the end of March there were 3 items with export value of over 1 billion USD and higher growth rates: crude oil: 2.6 billion USD, rising by 48.1%; textiles: 1.9 billion USD, by 20.2%; footwear: over 1 billion USD, by 16.1%.

Import turnovers in 1^st quarter was estimated at nearly 20.4 billion USD, increasing by 62.5% against last year’s same period, of which the domestic sector rose by 75.1%; the FDI sector grew by 39%. Imported items (excluding wheat flour that reduced rapidly in both volume and value) such as machines, equipment, spare part, raw materials and consumption goods increased over last year’ same period. The increase in importation resulted from increasing demand for economic development: petroleum rose by 21.8%; steel by 110.7%; fertilizers by 18.2% … and price appreciation of imported raw materials meanwhile the country conducted reducing imported taxes according to international commitment and depreciation of USD.

However, the imported rate was far higher than the exported rate (62.5% versus 22.7%) and ever more bigger over months that caused the increase in trade deficit. The trade deficit was 7.4 billion USD, equaling 56.5% of export value and increasing by 3.5 times higher than the rate of the 1^st quarter of 2007.

International arrivals to Vietnam

Generally for 1^st quarter of 2008, international arrivals to Vietnam were estimated at 1.3 million, increasing by 15.7% against same period last year. Of which, arrivals for tourism and relaxing were 772.1 thousand, rising by 12.4%, for business: 237.7 thousand which accounted for about 18.5% of proportion but had the highest increased rate of 58.2%; for visiting relatives: 198.8 thousand, by 11.4%.

Transport

As estimated, passengers carriage in 1^st quarter 2008 gained 437 million passengers and 20.8 billion passengers-kilometers, increasing by 11.7% in passengers and 13.9% in passengers-kilometers against same period last year. Of which local transport played a principle role in carrying passengers, which accounted for 98.4% of the total passengers carried and 74.5% of total passengers-kilometers, with the rates of 11.8% and 17.2%, higher than the general rate of the transport. Passengers carriage by land maintained stable growth rate of 12.8% in passengers and 17.7% in passengers-kilometers; airway: 10.9% and 8.5%; sea-way: 4.8% and 5.2%; river-way: 2.1% and 2.5% respectively. Only railway reduced in both passenger and passenger-kilometers.

Volume of cargos carried 1^st quarter 2008 was estimated at 97.2 million tons and 33.3 billion tons-kilometers, increasing by 7.1% in tons and 25.8% in tons-kilometers, mainly due to cargo carriage by sea-way accounted for 81.8% of total volume of cargo traffic carried in 1^st quarter, increased by 29.8%. Cargo carriage by land rose by 7.7% in tons and 11.3% in tons-kilometers against same period last year; by sea-way: 20.1% and 29.8%; by railway: 1.6% and 13.4%; by airway: 8.7% and 3.7% respectively.

Tags: Vietnam economic 2008, Vietnam economic statistics, Vietnam's economy situation