At a shopping centre in HCM City
The Consumer Price Index (CPI) for the city rose 4.27 per cent in the first five months of 2025, significantly impacting household budgets, the municipal Statistics Office reported.
In May alone, the CPI increased by 0.35 per cent compared to April and 4.5 per cent year-on-year. Among the 11 categories measured, eight recorded price increases, with goods and services rising by 1.33 per cent.
Healthcare and medicine experienced the sharpest rise, surging 17 per cent year-on-year. Meanwhile, transportation costs declined by 0.4 per cent over the same five-month period.
At a socio-economic development meeting on June 3, Nguyen Khac Hoang, head of the city’s Statistics Office, noted that Ho Chi Minh City’s inflation rate surpasses the national average and neighboring provinces, which range between 1.5 and 2 per cent.
Further economic headwinds are expected in the second half of the year due to the impact of US countervailing duties on local manufacturing sectors.
Despite these challenges, some sectors posted positive results. The Department of Finance reported that total retail sales and consumer service revenue in May reached VND 113.36 trillion (approximately USD 4.45 billion), marking a 19 per cent increase from April. For the first five months, the total revenue reached VND 544.44 trillion (approximately USD 21.37 billion), up 16.8 per cent year-on-year.
The tourism sector also showed robust growth, generating VND 98 trillion (approximately USD 3.84 billion) in revenue during the first five months—an increase of 28.9 per cent year-on-year. The city welcomed over 3.12 million international visitors, up 40.2 per cent, while domestic tourism attracted more than 15 million visitors, a 7.7 per cent increase.
Export turnover rose 3.4 per cent in May compared to April, reaching USD 20.36 billion in the first five months—up 16.1 per cent year-on-year.
The industrial production index (IPI) climbed by 5.1 per cent in May and 9.4 per cent year-on-year, with a cumulative growth of 8.2 per cent for the first five months.
However, several areas remain under strain. Public investment capital disbursement continues to lag, with only VND 8.71 trillion (approximately USD 341.8 million) disbursed by May 28—just 10.2 per cent of the 2025 target.
Business activity has also shown signs of stress. New business registrations dropped to 13,894, down 31.4 per cent in quantity and 54 per cent in registered capital. However, supplementary registered capital surged by 89.7 per cent year-on-year to VND 234.13 trillion (approximately USD 9.18 billion), bringing the total registered and supplementary capital to VND 313.75 trillion (approximately USD 12.3 billion)—a 5.9 per cent increase year-on-year.
The number of dissolved businesses rose to 1,534 (up 8.4 per cent), and 20,382 businesses temporarily suspended operations (up 6.7 per cent). Still, 7,583 businesses resumed operations, maintaining last year’s pace.
Despite ongoing inflation and investment challenges, the city has set a growth target of at least 8 per cent for 2025.
