In 2023, Hanoi would not only strive to stabilize macro fundamentals, but also allocate resources to major transport infrastructure projects, and push for greater decentralization of power among the local apparatus, eventually creating breakthroughs for socio-economic development.

Hanoi from above. Photo: Pham Hung/The Hanoi Times

Strong economic recovery creates momentum for development

In 2022, Hanoi achieved its socio-economic development goals amid a complicated global situation of unprecedented changes. On the domestic front, rising inflationary pressure and strong volatility of gasoline and commodity prices had huge repercussions on many industries and fields.

The city also faced challenges, such as the pandemic response and allocating resources to overcome the severe effects of the Covid-19 pandemic. Hanoi had to address existing deficiencies in many areas, while changes in the city's leadership also affected its governance capabilities. However, thanks to the strong political will of the Government and the efforts of businesses and citizens, Hanoi has achieved significant results in socio-economic development.

In particular, Hanoi's economy is on a steady recovery path, with year-on-year GDP growth of 8.89% in 2022, the highest level in recent years. State budget revenue reached VND333.25 trillion ($14.2 billion), up 6.9% from the year's estimate and 2.8% higher than in 2021. Of the total, Hanoi's domestic revenues excluding crude oil reached VND304 trillion ($12.95 billion), the highest in the country.

As a result, Hanoi met all 22 socioeconomic targets, of which five exceeded their estimates.

High economic growth has contributed significantly to the country's economic development, while the marked improvement in the business and investment environment has helped stabilize market prices. Urban management and development have made great progress. Meanwhile, the city invested heavily in urban and traffic infrastructure. Many important traffic projects have kicked off, as the city turned the focus on accelerating those of high priority. Hanoi also promotes planning works with the approval of key plans, along with greater effectiveness in the management of land, natural resources, and the environment.

In line with economic development efforts, Hanoi takes great focus on culture and social advancement, building schools up to national standards, expanding the public health capacity, and renovating and embellishing heritages.

Chairman of the Hanoi People's Committee Tran Sy Thanh.

In particular, social security is ensured. The city has promptly delivered aid to 2.6 million people and businesses severely affected by the Covid-19 pandemic with a budget of nearly VND2.6 trillion (US$110.7 million); created jobs for over 183,000 employees, exceeding 14.3% of the plan.

In addition, national defense work is consolidated; political security, social order, and safety remained intact; creating a safe and peaceful environment for locals.

The city’s current focuses are to improve the legal framework and policies for Hanoi’s long-term development, such as the revised Capital Law; the promulgation of the action plan for the Politburo's Resolution on objectives for Hanoi’s development until 2030, with a vision to 2045; the draft of the city’s planning from 2021 to 2030, with a vision to 2050; the adjustment of the overall master plan on construction of Hanoi to 2030 with a vision to 2050; the execution of the project of Ring Road 4 – Hanoi Capital Region; successfully proceeding with the pilot urban administration model and several extraordinary financial-budgetary mechanisms and policies for Hanoi.

Addressing public frustration

In addition to the results achieved, Hanoi still has some shortcomings and constraints, such as lack of progress in administrative discipline and digital transformation; low public investment disbursement rate; insufficient traffic infrastructure; overburdened urban sewage system; and delayed process of modernization of digital, IT and data infrastructures. Shortages of medicines, equipment and medical supplies in some medical centers have not been fully resolved, along with the increase in traffic accidents and fires.

On December 14, 2022, after more than 2 years of the Covid-19 pandemic, the Hanoi People's Committee held a dialogue with the business community to solve their difficulties and concerns. Following the meeting, Hanoi addressed specific issues in writing and instructed departments, branches, and units to proactively and effectively remove difficulties, obstacles, and support business recovery and development. The organization of the conference showcased the willingness of the city's leaders in accompanying the business community and listening to their difficulties, to provide timely solutions to issues of their concern.

The year 2023 is expected to pose greater challenges than last year. In order to achieve the objectives and goals of economic development with limited resources and, at the same time, solve many internal problems in terms of economic structure, infrastructure overload and environmental pollution, the municipal People's Committee has identified the need to increase efficiency in the decision-making process on the principle of strictly observing the provisions of the law, the working regulations of the Government and the municipal People's Committee.

In this regard, Hanoi would focus on renovating the leadership method, improving the effectiveness and operational efficiency of the political system from the city to the grassroots in the direction of serving people and businesses, and thoroughly overcoming existing limitations from last year.

Implementing the Government's Resolution dated on January 10, 2022, Hanoi has promulgated regulations on decentralization of state management in several socio-economic fields, in which 1,910 administrative procedures were reviewed; decentralized and authorized 708 administrative procedures, 1,220 tasks at the city level, 358 district-level tasks, and 173 commune-level tasks; amending and supplementing the regulations on decentralization for the district level in eight fields.

The new resolutions and projects put into operation in 2022 on decentralization and authorization, it has no doubt created a breakthrough by giving greater authority to grassroots-level agencies to better serve the needs of organizations and people at their localities.

In the coming year, each department, branch and district would select the 5 most difficult and urgent tasks to solve the most pressing problems. These issues, once being solved, will create a positive spillover effect on other tasks.

With the spirit of "The measure of success in administrative procedure reform is the satisfaction of people and businesses", along with efforts to drastically innovate, and improve the effectiveness and operational efficiency of the political system from the city to the grassroots levels, Hanoi would continue to accelerate the digital transformation of state management activities by enhancing the application of information technology, completing and developing digital infrastructure to provide better online public administrative services for customers. In this regard, Hanoi would form the axis model of "digital government - digital citizen" to drastically improve the city’s investment environment.

From 2023, Hanoi is scheduled to implement the centralized document management and administration system, as well as regular communication of information on 171 socio-economic targets of the city.

Focusing on 3 breakthrough stages, completing socio-economic targets in 2023

In 2023, the city is determined to successfully implement the socio-economic targets set for the year and create breakthroughs in realizing the city's key socio-economic development tasks in the 2021-2025 period.

Among the key targets, Hanoi would actively take part in the amendment of the Law on Capital; accelerate the progress of the revision of Hanoi’s planning in the 2021-2030 period, with a vision to 2050; complete the adjustment of the Hanoi Construction Master Plan to 2030, with a vision to 2050; focusing on implementing the plan to build and renovate public schools to meet national standards, upgrading the health system, and preserving the cultural-historical heritage sites in the period 2022-2025 and subsequent years.

In 2023, Hanoi set 22 socio-economic targets, including major ones such as the GRDP growth to expand by 7% year on year; GRDP per capita of VND150 million ($6,400); export turnover growth by 6%; and the consumer price index below 4.5%.

To achieve the above goals, Hanoi will focus on 10 key tasks: (1) Maintain stability and ensure major balances of the economy, controlling inflation, promoting growth; (2) Continue to restructure the capital's economy; develop new economic models; (3) Focus on comprehensive and synchronous development in the fields of culture and education; (4) Effectively control the pandemic; ensure social security, improve the people's material and spiritual life; (5) Promote the development of digital infrastructure, science and technology activities, innovation, creativity and entrepreneurship; (6) Strictly manage and effectively use land resources, protect the environment, proactively respond to climate change; (7) Accelerate the planning and development of urban infrastructure; (8) Tighten administrative discipline, effectively implement the prevention and fight against corruption and waste; (9) Ensure national defense and security, social order and safety; Improve the efficiency of foreign affairs; (10) Strengthen information and communication work to create social consensus.

At the same time, Hanoi would focus on three breakthroughs, which are: (1) Continue to do better in mobilizing investment resources for the development of the city; (2) Remove difficulties and obstacles, speeding up disbursement of public funds from the first day and first month of 2023; (3) Carry out site clearance on schedule for public investment projects, especially the Ring Road No.4 – Hanoi Capital Zone.

Entering the new year 2023 with a new spirit, I believe that, through the tradition of solidarity, wisdom, courage and experience in facing all difficulties and challenges in the past, the Party Committee, the authorities and the people of Hanoi will continue to strive for and contribute to the successful realization of socio-economic goals and tasks in 2023, building an increasingly rich, beautiful, civilized, modern capital worthy of its position as the heart of the whole country.