1. Regarding production of agriculture, forestry, and fishery
1.1. Agricultural production
a. Cultivation
During January 2024, the focus of localities within the province was directed towards the harvesting of winter crops to facilitate the timely commencement of planting for the spring crop season in 2024. As of January 15, 2024, the entire province had successfully harvested winter crops on 12,691 hectares, achieving 87.33% of the total planted area. Specifically, corn had been harvested on 5,044 hectares, representing an equivalent of 95.26%; sweet potatoes on 1,094 hectares, accounting for 86.19%; soybeans on 384 hectares, equivalent to 95.90%; peanuts on 184 hectares, amounting to 87.25%; and various types of vegetables on 3,961 hectares, reaching 77.22% of the total planted area. This progress is in comparison to the overall planted area.
The water supply for the spring crop cultivation in 2024 is encountering challenges owing to the scarcity of water resources in reservoirs. However, governmental departments have instructed irrigation companies to mobilize all available resources and implement necessary measures to ensure sufficient water sources for flood mitigation, rice cultivation, and crop irrigation. As of January 15, 2024, it is estimated that the entire province has cultivated 3,955 hectares of spring crops. This includes approximately 3,622 hectares allocated for rice cultivation, 3 hectares for corn, 30 hectares for peanuts, 280 hectares for various types of vegetables, and 20 hectares for other crops.
b. Animal husbandry
Efforts in disease control and quarantine, along with inspection and monitoring activities, were intensified by relevant authorities within the affected areas, including slaughterhouses and main thoroughfares. In preparation for the traditional Tet holiday and to ensure adequate food supply, people curtailed the sale of livestock and poultry in January 2024. Consequently, the total volume of live meat sold during the month decreased, estimated at 12.7 thousand tons, reflecting a 6.01% decline compared to the same period the previous year (which coincided with the traditional Tet holiday, resulting in a significant increase in live meat sales). Specifically, the output of live buffalo and beef meat reached 572 tons, marking an 11.92% decrease; live pork output was 7,880 tons, down by 5.80%; and live poultry meat was 4,260 tons, showing a 5.54% reduction. On the other hand, other livestock products experienced notable increases: poultry egg output was estimated at 70,150 thousand eggs, up by 5.49%; and fresh cow milk output reached 5,230 tons, indicating a 2.55% increase over the same period.
1.2. Forestry production
Throughout the month, forestry production units in the region concentrated on nurturing seedlings and preparing sites for afforestation endeavors in 2024. Localities have diligently completed the preparation of seedlings for the Spring Giap Thin tree planting festival. Forest fire prevention and protection measures have been effectively implemented, with functional agencies actively engaging in disseminating information and guiding forest owners and the public on fire prevention methods, thereby minimizing potential damages in the event of a forest fire. The estimated timber output for the month stands at 3,388 cubic meters, indicating a 4.18% increase, while firewood production is estimated at 2,563 steres, reflecting a 1.52% rise compared to the same period.
1.3. Seafood production
In January 2024, aquaculture facilities engaged in commercial fish farming will intensify measures to counteract cold weather conditions for their fish stocks. They will prioritize caretaking and disease prevention efforts to ensure a bountiful harvest with optimal productivity and product quality, thereby meeting consumer demand before, during, and after the Lunar New Year festivities. The total seafood output is projected to reach 2,095.9 tons, marking a 3.02% increase compared to the same period. Specifically, the aquaculture output is estimated at 1,936.4 tons, reflecting a 3.49% increase, while the output from domestic exploitation is estimated at 159.5 tons, showing a slight decline of 2.27%.
2. Industrial production
Compared to the preceding month, there were fluctuations in different sectors: the mining industry saw a 2.84% increase, while the processing and manufacturing industry experienced a decline of 10.03%. On the other hand, the production and distribution of electricity, gas, hot water, steam, and air conditioning slightly rose by 0.32%, whereas the water supply industry, waste and wastewater management, and treatment activities dropped significantly by 34.80%.
In comparison to the same period, all four industries exhibited growth: the mining industry surged by 10.44%, processing and manufacturing by 32.19%, production and distribution of utilities by 11.23%, and water supply, waste, and wastewater management and treatment activities increased by 19.35%.
In pivotal sectors, the electronic components manufacturing industry witnessed a remarkable surge of 31.52% compared to the same period last year, although it declined by 18.31% from December 2023. Notably, motor vehicle manufacturing and transportation vehicle manufacturing experienced positive rebounds: car production surged by 40.62%, and motorbike production increased by 26.11% compared to the same period last year, and 6.11% and 15.27% respectively from December 2023. Apparel production sequentially increased by 45.21% and 5.26%, while the production of products from non-metallic minerals increased by 77.83% and decreased by 12.89%.
Regarding product manufacturing, apart from a decrease of 11.89% in sports shoe output compared to the same period last year, the output of major industrial products increased. Notably, ceramic tile products saw the highest increase of 77.83%, followed by automobiles at 44.29%, electronic components at 31.52%, motorbikes at 28.02%, and animal feed at 29.01%.
The employment index reflected a generally stable labor market in January 2024, with the labor utilization index of industrial enterprises in the province increasing by 3.80% from the previous month and by 6.82% from the same period last year.
Regarding consumption and inventory indices, the processing and manufacturing industry observed a 5.94% increase in the consumption index from the previous month and a significant 33.96% increase from the same period. Conversely, the inventory index for the processing and manufacturing industry decreased by 10.77% from the previous month but increased by 6.86% from the same period.
3. Investment and construction
3.1. Investment capital from the state budget
The investment capital plan for 2024 managed by the provincial government, as outlined in Decision No. 2796/QD-UBND dated December 19, 2023 by the Vinh Phuc province People's Committee, amounts to VND 7,776.7 billion, representing an increase of VND 88.2 billion compared to the early 2023 estimate. This allocation includes various sources: VND 4,091.4 billion from divided principles and criteria, VND 2,000 billion from land revenue, VND 22 billion from lottery proceeds, VND 1,219.9 billion from local budget deficit, and VND 443.4 billion from the central budget. The planning and allocation of this investment capital aim to streamline resources, enhance investment efficiency, and focus on developing the urban infrastructure framework of Vinh Phuc, especially prioritizing key projects related to technical and socio-economic infrastructure. For the year 2024, the province intends to allocate over VND 1,600 billion (representing 21.05% of the total public investment capital) towards key projects and initiatives, serving as a significant driver for economic and social development throughout the year.
In January 2024, the projected investment capital from locally managed State budget funds is estimated at VND 464.16 billion, equivalent to 5.97% of the planned capital for the year 2024. This marks a substantial decline compared to December 2023, which reached only 22.63%, mainly due to new projects being in the preliminary stages of investment preparation. However, there is a notable increase of 21.03% compared to the same period last year, attributed to the extended traditional New Year holiday observed in January 2023. Specifically, the implemented provincial-level State budget capital is estimated at VND 191.80 billion, district-level State budget capital at VND 243.74 billion, and commune-level State budget capital at VND 28.62 billion.
3.2. Direct investment attraction
The province's efforts in promoting and attracting investments have yielded positive outcomes from the outset of the year. According to statistics provided by the Department of Planning and Investment of Vinh Phuc province, as of January 15, 2024, the entire province has secured four new Foreign Direct Investment (FDI) projects and witnessed capital increases for five existing projects, resulting in a total registered FDI investment capital of USD 69.44 million. This marks a notable surge of 33.8% compared to the corresponding period last year and represents 17.36% of the annual plan. Additionally, one Domestic Direct Investment (DDI) project had its registered capital adjusted during this period, totaling VND 15 billion. It is worth noting that during the same period in 2023, there were no new DDI projects or increased investment capital initiatives in the province.
3.3. Business registration status
According to records from the Department of Planning and Investment of Vinh Phuc province, as of January 15, 2024, the entire province has witnessed a surge in entrepreneurial activity, with 86 enterprises established, boasting a combined registered capital of VND 487 billion. This marks a significant uptick, representing a 1.9-fold increase in the number of enterprises and a 2.6-fold increase in registered capital compared to the corresponding period last year. Furthermore, 123 businesses have re-entered the market, signaling a notable rise of 16.04% compared to the same period last year, resulting in a total of 209 newly established businesses and reactivated enterprises. Remarkably, the province has achieved a 100% rate of business registration via electronic platforms.
However, despite these positive indicators, businesses continue to grapple with challenges stemming from the lingering effects of the economic downturn in 2023. Consequently, there has been a notable increase in the number of businesses exiting the market, with 464 enterprises withdrawing, representing a significant uptick of 24.73% compared to the same period last year. Of these, 451 enterprises have temporarily suspended operations, marking a 21.9% increase, while 13 enterprises have completed dissolution procedures, signifying an elevation of 11 enterprises compared to the same period last year.
4. Trade, services, and prices
4.1. Total retail sales of consumer goods and services
In January 2024, the cumulative revenue from retail sales of goods, consumer services, accommodation, food, and tourism services is anticipated to reach VND 6,699.1 billion, marking a rise of 1.65% compared to the previous month and an uptick of 8.42% over the same period. Specifically:
The revenue from retail sales of goods is projected at VND 5,471.8 billion, reflecting a 1.41% increase over the preceding month and a surge of 7.99% over January 2023. Some product categories have witnessed revenue spikes over the same period, such as cultural and educational items soaring by 55.91%, passenger cars surging by 50.63%, and garments climbing by 41.04%. This increase is attributed in part to the extended Tet holiday in January 2023, which subdued consumer demand.
The revenue generated from accommodation, food, and travel services is estimated at VND 607.4 billion, marking a 3.33% increase from the previous month and an 11.39% increase over the same period. Within this, food service revenue amounted to VND 535.5 billion, while accommodation service revenue stood at VND 53.5 billion.
Revenue from other consumer service sectors is expected to reach VND 619.9 billion. Notably, certain industry segments have witnessed substantial growth over the same period, with medical services surging by 53.65%, arts, entertainment, and recreation services rising by 29.96%, and education and training services increasing by 22.08%.
4.2. Transport of passengers and goods
In January 2024, transportation activities efficiently catered to the populace's travel and goods transportation demands, supporting both production and consumption needs. To uphold traffic order and safety within the region, the provincial authorities bolstered patrols and rigorously enforced traffic safety regulations. As a result, revenue from transportation and warehousing activities amounted to 688.8 billion VND, reflecting a 2.55% increase from the previous month and a notable surge of 43.10% over the same period.
The overall revenue generated by the transportation industry is estimated at 626.4 billion VND, marking a substantial 42.82% increase compared to the corresponding period. Specifically, passenger transportation yielded revenue of VND 82.9 billion, up by 2.34% from the preceding month and a remarkable 118.23% surge over the same period. This included the transportation of 2.23 million passengers and circulation spanning 99.9 million person-kilometers. Freight transport revenue is estimated at VND 543.5 billion, representing a 2.07% uptick compared to the previous month and a significant increase of 47.23% over the same period. This entailed the transportation of nearly 4.35 million tons of goods and a circulation of more than 389.76 million ton-kilometers of goods.
4.3. Price Index
Among the 11 primary categories of consumer goods and services, price hikes were observed in 6 product groups, while 4 product groups experienced price decreases, and one group remained unchanged. Specifically, the price index of the housing, electricity, water, fuel, and construction materials group rose by 0.80%, marking the highest increase among all groups and contributing to a 0.12-point uptick in the overall CPI. This increase was largely driven by adjustments in electricity and gas prices in accordance with regulations. Moreover, domestic gasoline prices surged due to global fuel price fluctuations, resulting in a 0.47% increase in the transportation price index, impacting the CPI by 0.04 percentage points. Additionally, the price index for drugs and medical services rose by 0.24%, leading to a 0.02 percentage point increase in the overall CPI. The index for equipment and household appliances group also experienced a 0.21% increase.
Conversely, to stimulate consumer demand towards the end of the year, many stores offered promotions and discounts on popular items. For instance, the prices of color televisions decreased by 3.83%, children's toys dropped by 0.34%, resulting in a 0.85% decrease in the index of culture, entertainment, and tourism group. Ready-made clothing items saw a 0.58% decrease, leading to a 0.2% drop in the index of apparel, hats, and footwear. Although the selling prices of various wines and beers increased, the prices of mineral water and carbonated water decreased by 0.97% in some supermarkets and stores, influencing a 0.11% decrease in the index of beverage and tobacco groups.
Regarding the Gold Price and US Dollar Index, in January 2024, the gold price index surged by 2.76% compared to the previous month and by 17.54% compared to the same period last year. The US dollar price index also increased by 0.70% from the previous month and by 3.39% compared to the same period last year.
5. Finance, banking, insurance
5.1. State budget revenue and expenditure situation
The budget plan for 2024 in Vinh Phuc province is formulated with the aim of gradually reshaping the local budget to ensure its safety and sustainability, thus contributing to maintaining macroeconomic stability. This involves enhancing the effective and equitable mobilization, management, allocation, and utilization of financial resources within society, as well as reinforcing discipline and financial prudence. Additionally, it seeks to promote socio-economic development while effectively addressing cultural, social, and environmental development needs, all while ensuring national defense and security in the current context. The projected state budget revenue for 2024 is set at VND 31,765 billion, with domestic revenue anticipated to reach VND 26,365 billion, and revenue from import and export activities expected to amount to VND 5,400 billion. The estimated expenditure to balance the local budget is VND 21,398 billion, with VND 8,648 billion allocated for investment and development and VND 11,390 billion for recurrent expenditure.
During the month, businesses were finalizing tax payable documents for 2023, which delayed tax payments, consequently impacting the province's budget revenue. As of January 15, 2024, according to State Treasury data, the total budget revenue in the area amounted to VND 481.6 billion, representing a decrease of 3.29% compared to the same period last year. Of this amount, domestic revenue stood at VND 320 billion, while customs revenue reached VND 161 billion.
5.2. Banking and credit activities
The banking industry has established growth targets for 2024, aiming for a 12-14% increase in capital mobilization, 10-12% credit growth, and maintaining the bad debt ratio below 3%. To achieve these objectives, the Vinh Phuc branch of the State Bank has instructed credit institutions to maintain stability in monetary markets, credit, and banking activities while enhancing credit quality. They are directed to channel capital towards priority areas, production, business sectors, and economic growth drivers in line with government policies, and continue supporting individuals and businesses for recovery and development, thereby contributing to the province's socio-economic progress.
In January 2024, as the demand for financial services increased ahead of the Lunar New Year, local credit institutions took proactive measures to regulate cash supply and payment services. They ensured the smooth operation of ATM systems and point-of-sale terminals to meet transaction and liquidity requirements. Interest rates remained stable without seasonal fluctuations, with deposit rates ranging from 0.2% to 6.5% per annum and loan rates varying from 4% to 11% per annum, depending on the subject and term.
It is projected that by January 31, 2024, total mobilized capital will reach VND 127,000 billion, marking a 0.62% increase compared to the end of 2023. Credit institutions have offered various deposit products and services, including over-the-counter and online deposits, ATM deposits, and promotions to incentivize savings. Consequently, people's savings deposits are estimated at VND 84,200 billion, accounting for 66.3% of total mobilized capital, while deposits from economic organizations are projected to reach VND 42,800 billion, representing 33.70% of the total, an increase of 1.14%.
As for outstanding loans, it is anticipated that they will reach VND 128,600 billion by January 31, 2024, reflecting a 0.34% increase compared to the end of 2023. Short-term loan balances are estimated at VND 93,100 billion, up by 0.28%, while medium and long-term loan balances are expected to be VND 35,500 billion, an increase of 0.52%. Household, private, and individual sectors account for the majority of outstanding debt, estimated at VND 75,295 billion, contributing to job creation and household economic improvement. Meanwhile, the private enterprise sector, joint-stock companies, limited liability companies, and foreign direct investment enterprises collectively account for VND 53,050 billion of total outstanding debt. The estimated bad debt for the entire area is VND 865 billion as of January 31, 2024, representing 0.67% of the total outstanding loans.
5.3. Insurance
In January 2024, the Provincial Social Insurance (Social Insurance) formulated projections, revenue plans, and objectives aimed at reducing Social Insurance, Health Insurance (HI), and Unemployment Insurance (UI) arrears for the district Social Insurance and city. It is anticipated that by January 31, 2024, the number of individuals enrolled in social insurance will stand at 256,795 individuals, constituting 42.4% of the labor force, which encompasses 233,635 individuals participating in compulsory social insurance and 23,160 individuals opting for voluntary social insurance. Similarly, 221,070 individuals are projected to participate in unemployment insurance, accounting for 37.2% of the labor force, while the count of individuals covered by Health insurance is expected to reach 1,138,757, achieving a health insurance coverage rate of 94.01% of the population. The collective revenue from all insurance types is estimated at VND 420.1 billion, reflecting an 18.50% increase compared to the corresponding period last year.
In terms of disbursements, particularly pensions and social insurance benefits, the provincial social insurance agency is executing these duties systematically, swiftly, and securely for the recipients. Consequently, in January, the agency processed monthly social insurance benefits for 36 individuals, resolved one-time social insurance benefits for 751 individuals, handled cases related to illness, maternity, and convalescence for 4,920 individuals, and prepared a payment roster for 462 individuals receiving unemployment insurance.
Source: Report No. 56//BC-CTK, dated January 29, 2024 of the Department of Statistics
