(VOVworld) – Vietnam’s economy in March saw promising signs with inflation up by 0.16%, the lowest rise compared with the same period last year. The government’s monthly meeting, which concluded on Sunday, remarked that this year’s target of single digit inflation is feasible given the current economic conditions. Cabinet members agreed that macro-economic indexes of first quarter were positive with stable exchange rates, lowered interest rates, improved liquidity of banks, revived stocks markets, and increased foreign reserve. Exports increased nearly 24% over the same period last year to 24.5 billion USD, while trade deficit dropped, equal to 1% of the country's export revenue in the period. Prime Minister Nguyen Tan Dung reiterated the government’s consistent policy of inflation control and macro-economic stabilization.  He asked the State Bank of Vietnam to continue its flexible monetary policy to meet the set target of inflation control and credit growth. Efforts should be made to ensure liquidity of the banking system, restructure 9 banks with poor performance, gradually reduce interest rates and keep the exchange rates stable so as to maintain reasonable growth of 6% for the whole year. The PM urged for more efforts to boost production, encourage the utilization of domestic markets and expand foreign markets for exports, while removing obstacles in administrative procedures. PM Nguyen Tan Dung said: “The government should ease difficulties to develop production. Capital should be prioritized for agriculture and exports of agricultural produce, which has contributed 2% to the overall national growth rate. In addition, small enterprises have helped the country grow by 2% so it’s necessary to facilitate their development”.

PM Dung urged the Ministry of Planning and Investment to accelerate the disbursement of Official Development Assistance (ODA). Mr. Dung requested the implementation of programs on social security, health care, education, poverty reductions, employment, and traffic safety. Meanwhile, hostile forces’ fabrication and distortion should be severely dealt with.

At the meeting, cabinet members discussed issues relating to project size, major national projects, additional report on the implementation of 2011 and 2012 state budget. Other topics were a general project on economic restructuring, Vietnam’s strategy for science and technology development by 2020 and some major draft laws.