A minor fluctuation in goods prices during Tet

Reports from the Ministry of Finance and the Finance Departments of provinces and cities nationwide have shown a high stability on the Tet market this year without any goods shortages or price surges.

Commodities for the event are abundant in terms of quantity, variety and quality. Distribution across the country has run smoothly, fully meeting demand. Services, including travel and tourism, were also well prepared for people to enjoy recreational activities and get about during the traditional festival.

Domestic products account for more than 80 percent of the market. In many supermarkets, the figure may hit 95 percent. Processed foods, refrigerated foods, confections, drinks, fruit and gift baskets have especially sold well.

Prices of commodities such as petrol, oil, cement, fertilizers, as well as air and inner-city bus fares have remained stable, while those of products like electric appliances, clothes and other home appliances have even fallen.

In certain supermarkets, products have been offered at prices 5-10 percent lower than the market’s average level.

Gold prices have increased slightly from VND17.7 million per tael to VND18 million. On the stock exchange, the VN index stands at 303.21 points and the HaSTC at 99.93 points.

Major decreases have been recorded in the prices of flowers and ornamental trees (down by 50-70 percent). Meanwhile, the prices of such services as motorbike and car cleaning, haircutting, and motorbike parking have doubled or tripled.

Otherwise, a certain number of products without a clear origin of production have been discovered on the market.

Measures taken for market stability

The Head of the Price Management Department under the Finance Ministry, Nguyen Tien Thoa, attributed the small variation of prices on the market to a series of efforts taken by functional agencies. They included.

First, the early implementation of the Prime Minister’s instruction on stabilizing the market during Tet.

Second, the active promotion of production and goods supply. Both major economic groups and provincial enterprises have joined hands to put an ample amount of goods into the market. In many provinces and cities, authorities have allocated local budget reserves to assist enterprises with a large market share to step up production and prepare sufficient goods for people.

Third, the State Bank of Vietnam has reduced the prime interest rate from 8.5 percent to just seven percent, creating conditions for commercial banks to lower their lending interest rates to about 10.5 percent, which has given enterprises better access to capital.

Fourth, the Ministry of Finance has continued to cut import taxes on petrol and reduced corporate income taxes, and has tried to stabilize the prices of many other essential goods such as oil, electricity and coal.

Finally, efforts to check and control the market, and combat smuggling and trade and tax fraud have also been accelerated. Inspection teams have been set up in many cities and provinces to prevent subsidized enterprises from raising their product prices.