Report No. 56/BC-GSO dated March 28th, 2021 prepared by the General Statistics Office, Ministry of Planning and Investment

- Gross domestic product (GDP): GDP in the first quarter of 2021 is estimated to increase by 4.48% over the same period last year, higher than the growth rate of 3.68% in the first quarter of 2020.

- In the general growth of the whole economy, the agriculture, forestry, and fishery sector rose by 3.16%, contributing 8.34% to the general growth rate; the industry and construction sector increased by 6.3%, a contribution of 55.96%; the service sector up by 3.34%, a contribution of 35.70%.

From the perspective of GDP usage, final consumption saw a rise by 4.59% over the same period in 2020; the growth rate for asset accumulation, goods and services export and import is 4.08%,  17.01%, and 16.38% respectively in the first quarter of 2021.

- Agricultural, forestry and fishery production: Agricultural, forestry and fishery production in the first quarter of 2021 was under favourable weather conditions. Extreme cold, damaging cold, drought, and saltwater intrusion was not as harsh as it had been in the same period last year. Rice and perennial crop productivity achieved good results, piggeries continue to recover. Forestry production grew and the export market for woods and forest products has been expanded. Fishery production is better than the same period last year and the price of shrimp and tra fish tends to rise.

- Industrial production: Industrial production in the first quarter of 2021 increased by 6.5% compared to the same period last year; of which the processing and manufacturing up by 9.45%, higher than the growth rate of 7.12% in the same period last year but lower than the growth rate of 14.3% in the first quarter of 2018 and 11.52% in the same period of 2019. Electricity production and distribution enjoyed stable increase. The mining industry plunged due to the sharp decline in crude oil and natural gas exploitation.

- Enterprise operation: The number of newly registered enterprises in the first quarter of 2021 decreased by 1.4% compared to the same period last year but registered capital up by 27.5%, mainly due to the surge of enterprises with registered capital of more than 100 billion VND (up by 36.8%) and the decrease of enterprises with registered capital of less than 10 billion VND (down by 3.3%). The number of enterprises suspending operation temporarily jumped by 28.2% over the same period in 2020; the number of enterprises completing dissolution procedures went up by 26.4%, most of them are young and small-sized enterprises, unbearable to negative external influences.

- Retail sales of consumer goods and services: Total retail sales of consumer goods and services in March 2021 increased by 9.2% over the same period last year (the growth rate was down by 5.4% in the same period last year), showing a recovery in the consumption demand. For the first quarter of 2021, the total retail sales of consumer goods and services increased by 5.1% over the same period last year.

- Transportation and telecommunications: In March 2021, passenger transportation still faced difficulties due to the impact of the Covid-19. Travelling limit led to a decrease in the number of carried passengers and transited passengers by 1.5% and 5.8% respectively over the previous month, while cargo transport showed a positive signal with an increase of 5.3% in transported goods and 7.7% in transited goods. For the first quarter of 2021, passenger transportation fell by 11.8% compared to the same period last year, transited passenger down by 20.9%, cargo transportation rose by 10.2% and cargo transition up by 4,4%.

- International arrivals to Vietnam: International visitors to Vietnam in March 2021 reached 19.4 thousand, up by 77.3% over last month but still down by 95.7% compared to the same period last year as Vietnam continues to implement prevention and control measures against the Covid-19. The international tourism market is unopened so that the number of visitors is mainly experts, foreign technical workers working in projects in Vietnam. In the first quarter of 2021, international visitors to our country reached around 48.1 thousand people, 98.7% lower than the same period last year.

- Banking, insurance, securities activities: Covid-19 pandemic was controlled, production and business activities returned to normal showing the growing in credit demand. The insurance market maintained a stable growth rate. The stock market sustained considerable growth with the total capital mobilization in the first quarter of 2021 42% higher than the same period last year.

- Development investment activities: Realized investment capital of the whole country in the first quarter of 2021 is 507.6 thousand billion VND, a rise of 4.8% compared to the same period last year. This rate shows a positive signal in the mobilization and use of investment capital for economic development in the context that the Covid-19 epidemic has been successfully controlled in Vietnam. This was also the key motivation to keep the good growth rate of mobilizing and using social investment capital in the next quarters of 2021.

Generally, in the first quarter of 2021, realized investment capital for the whole country at current prices was estimated at 507.6 trillion dong, 6.3% higher than the same period last year.

In the State investment capital sector, the realized investment capital from the State budget in the first quarter of 2021 was estimated at 68.1 trillion dong, accounting for 14.9% of the year’s plan and 13% higher than the same period last year (the rates in the same period last year are 11.8% and 18%).

Total foreign investment capital in Vietnam as of March 20th, 2021, including newly registered capital, adjusted registered capital and capital contribution and shares purchase by foreign investors reached nearly 10.13 USD billion, a rise of 18.5% over the same period last year.

Vietnam's offshore investment in the first three months of 2021 saw 14 projects to be granted with new investment certificates with Vietnam’s total investment of 140.2 million USD, 6 times higher than the same period last year. 6 projects were expanded with additional capital of 431.9 million USD. Generally, the total offshore investment capital (newly and additionally registered capital) reached 572.1 million USD.

- State budget revenues and expenditures: Total state budget revenues from the beginning of the year to March 15th, 2021 was estimated at 320.1 trillion VND, equaling 23.8% of the yearly estimate. Of which, domestic revenue gained 269 trillion VND, equaling 23.7%; revenue from crude oil was 6.5 trillion VND, equaling 28%; budget balancing revenue from import and export activities was 44.1 trillion VND, equaling 24.7%.

Total state budget expenditures from the beginning of the year to March 15th, 2021 was estimated at 264.2 trillion VND, or 15.7% of the yearly estimate. Of which, recurrent expenditures were worth 196.8 trillion VND, or 19%; spending for investment and development was 39.1 trillion VND, or 8.2%; interest payment was 27.9 trillion VND, or 25.4%.

- Export and import of goods: The first quarter of 2021 saw a strong recovery of import and export activities. Total export and import turnover in the first quarter of 2021 was estimated at 152.65 billion USD, 24.1% higher than the same period last year. Of which, export turnover reached 77.34 billion USD, up by 22%; import turnover reached 75.31 billion USD, up by 26.3%. Trade balance in the first quarter of 2021 was expected to produce a trade surplus of 2.03 billion USD.

+ Export turnover: In February 2021, export turnover reached 20.196 million USD, 196 million USD higher than estimated plan. Generally, in the first quarter of 2021, export turnover was estimated to reach 77.34 billion USD, a rise of 22% compared to the same period last year. Of which, domestic economic sector made a gain of 18.3 billion USD, up by 4,9%, accounting for 23.7% of total export turnover. The foreign invested sector (including crude oil) reached 59.04 billion USD, up by 28.5%, accounting for 76.3%.

+ Import turnover: In February 2021, import turnover reached 20.656 million USD, 144 million USD lower than the estimated plan. It was estimated that import turnover reached 28.2 billion USD, a rise of 36.5% in March 2021 compared to the previous month. Generally, in the first quarter of 2021, import turnover was estimated at 75.31 billion USD, up by 26.3% over the same period last year. Of which, domestic economic sector reached 25.05 billion USD, an increase of 17%; foreign investment sector reached 50.26 billion USD, an increase of 31.5%.

- Export and import of service: In the first quarter of 2021, service export turnover was estimated at 869 million USD, 77.2% lower than the same period last year. Of which, travel services reached 34 million USD (accounting for 3.9% of total turnover), a plunge of 98.6%; transportation services reached 70 million USD, accounting for 8.1%, a slump of 86.9%. Import turnover of services in the first quarter of this year was estimated at 4.98 billion USD, down by 1.5% compare to the same period last year Of which, transportation reached 2.38 billion USD, accounting for 47.7% of the total turnover, up by 25%; tourism reached 900 million USD, accounting for 18.1%, down by 34.8%. Trade deficit of services in the first quarter of 2021 was 4.11 billion USD, nearly 5 times higher than the export turnover of service and 2.86 billion USD higher than the same period last year.

- Consumer Price Index (CPI): The CPI in March 2020 decreased 0.27% compared to the previous month but increased 1.31% compared to December 2020. It rose 1.16% compare to the same period last year which was the lowest increase since 2016. The average CPI in the first quarter of 2021 increased 0.29% which was the lowest increase in the past 20 years.

- Labour and employment: The nationwide labour and employment situation in the first quarter of 2021 was extremely affected by the return of Covid-19 outbreak in the last January. The labour force participation rate decreased 1.1% compared to the same period last year. The unemployment and underemployment rates were 2.42% and 2.2% respectively, higher than the first quarter of 2020./.

Ministry of Planning and Investment