To promote sustained growth in the domestic market, the Vietnamese government will implement a series of trade promotion and demand-stimulating programs from now until the end of 2024. These initiatives aim to further boost domestic consumption and production. According to Vietnam’s Ministry of Industry and Trade, the recovery of domestic demand and production, along with the strong growth in tourism, has played a positive role in driving trade and services growth in 2024.

Consumption and Tourism Drive Domestic Market Growth

Data from the Ministry of Industry and Trade reveals that as of the end of August 2024, Vietnam’s total retail sales of goods and revenue from consumer services increased by 8.5% year-on-year. Revenue from accommodation and food services grew by 14.3%, while tourism revenue surged by 26.2% year-on-year. These figures reflect a significant recovery in the domestic consumption and services sectors, making a vital contribution to Vietnam’s overall economic growth.

Government Issues New Directive to Promote Domestic Market Development

To further advance domestic market development, the Ministry of Industry and Trade recommended to the Prime Minister the issuance of Directive No. 29/CT-TTg on August 27, 2024. In accordance with the directive, the Prime Minister instructed various ministries and related agencies to take specific measures to stimulate consumer demand, support business operations, and develop the domestic market.

The set of measures aims to help businesses overcome operational challenges, drive production and business activities, stimulate consumer demand, ensure macroeconomic stability, control inflation, and safeguard the healthy functioning of Vietnam’s economy. The implementation of these policies provides essential support for the long-term growth of the domestic market.

Year-End Promotions to Boost Consumer Demand

From now until the end of 2024, the Ministry of Industry and Trade will organize several trade promotion activities, focusing on large-scale year-end sales promotions. These activities aim to attract consumers through year-end sales, further stimulating market demand.

Ho Chi Minh City’s Department of Industry and Trade has launched a price stabilization program for the 2024 and 2025 Lunar New Year period to ensure stable market supply during the holidays. This year’s program has attracted 69 major businesses, 10 more than in 2023, showing a positive response from enterprises to the promotional activities.

Hanoi’s Active Promotion Campaigns

In Hanoi, the city government plans to launch its 2024 Promotion Month campaign, with activities running from now until the end of 2024, particularly in November. The campaign will feature 800 to 1,000 promotional points and 50 promotional gold points, aiming to draw consumers with extensive promotional offers.

Additionally, Hanoi plans to organize a series of consumption and trade promotion events as part of the campaign, such as the “Goods and Products for Consumers” expo, the 2024 Hanoi Safe Agricultural Products and Food Expo, and the Week of Fruits and Agricultural Products from Hanoi and other provinces. These activities will not only promote local brands but also provide new opportunities for the sale of Vietnam’s agricultural products.

Summary

Rising Consumer Demand: In the first eight months of 2024, Vietnam’s total retail sales of goods and consumer service revenue saw significant growth, reflecting the recovery trend of domestic consumption.

Government Support Policies: The issuance of Directive No. 29/CT-TTg demonstrates the Vietnamese government’s commitment to stabilizing the economy and promoting domestic market development through a series of policy measures.

Key Promotional Activities: Large-scale year-end promotional events are crucial to stimulating consumer demand. The increasing number of participating businesses in Ho Chi Minh City and Hanoi highlights the market’s active engagement.

Regional Collaboration: Through expos and promotion month activities, Hanoi is actively promoting local agricultural products, crafts, and other consumer goods, laying the foundation for the long-term development of the domestic market.