Illustrative image (Photo: congthuong.vn)

 According to the GSO, the service sector contributed the largest part of economic growth. Stronger consumption stimulus policies and tourism promotion activities are responsible for the 6.3% growth of the sector.

High growth rates were also reported in wholesale and retail sales, accommodations, and restaurant services.

Le Viet Nga, Deputy Director of the Department of Domestic Market at the Ministry of Industry and Trade, said: "Domestic consumption continues to be the mainstay of economic growth, contributing to economic recovery post COVID-19. Consumers are interested in domestic products. Local governments are actively involved in boosting domestic demand to support the economic recovery. E-commerce is a trend to stimulate consumption and reduce economic expenditure.”

The government would prolong the payment of value added tax, corporate income tax, personal income tax, and land rental this year to boost domestic consumption and promote economic recovery.

The VAT cut by 2% will be applied to goods and services which are currently subject to a tax rate of 10%, except for those belonging to the groups of telecommunications, financial and banking activities, securities, insurance, real estate business, metal and cast metal products, products of mining, and chemical products.