HCMC, HANOI – The Government on Thursday pledged far-reaching financial and fiscal measures to contain inflation, with the Prime Minister saying that arresting the galloping consumer price index was the overriding mission of the country. The CPI target of 7% this year was not mentioned at the online meeting between the Government and leaders of 63 provinces, but experts said that the target was now beyond reach.
In announcing the Government’s resolution at the meeting on Thursday, PM Nguyen Tan Dung said, “Five major macro measures in monetary and fiscal policies, production, pricing and social security have been agreed upon” to bring about stability.”
Dung said fighting inflation is now “the focal and urgent mission” of the Government as well as all provinces and cities. In the first two months, the CPI has increased 12% year-on-year, the Government leader noted.
Monetary tightening is the key policy mentioned by the Prime Minister, who said credit growth would be revised down to less than 20% compared to the earlier target of 23%.