With strong political determination, Phu Tho is mobilizing its entire system to turn the current period of administrative restructuring into an opportunity for accelerated development, aiming for double-digit growth in 2025.
Phu Tho’s economy is progressing with many bright spots in industrial production
Immediately after stabilizing its organizational structure following the merger, the Provincial Party Committee, People’s Council, and People’s Committee of Phu Tho launched the emulation campaign “Accelerate for the 10.3% Growth Target.” Decision 554/QD-UBND dated August 7, 2025, clearly assigns responsibilities to each department, using growth results as the benchmark for governance. The province’s target exceeds the government-assigned goal under Resolution 226/NQ-CP of 10%, reflecting a proactive and confident approach to entering a new phase of development.
Phu Tho is implementing four strategic resolutions of the Politburo in a coordinated manner: Resolution 57 on breakthroughs in science, technology, and digital transformation; Resolution 59 on international integration; Resolution 68 on private sector development; and Resolution 66 on reforming the formulation and implementation of laws. These “four pillars” are laying the foundation for an effective two-tier government model and a solid institutional framework for sustainable growth.
Industrial production surges as investment and consumption gain momentum
Phu Tho’s economic picture for the first ten months of 2025 shows strong momentum. The Industrial Production Index (IIP) increased 26.94% year-on-year, an impressive rise amid ongoing global economic uncertainties. Key sectors recorded significant growth: laptops up 80.53%, iron and steel up 40.65%, cement up 34.19%, and electronic components up 28.88%.
Alongside production, domestic markets and investment have continued to perform strongly. Total retail sales of goods and consumer service revenue reached VND161.7 trillion, up 14.38%. Tourism revenue is estimated at VND12.8 trillion, achieving 86.7% of the annual target.
Investor confidence has been reinforced. Total foreign direct investment (FDI) reached US$1.219 billion, an 84% increase compared with the same period last year, exceeding the annual plan by 15%. Domestic investment (DDI) reached VND61.3 trillion, triple the figure for the same period in 2024. More than 4,000 new enterprises were registered, up 58.2%, signaling that Phu Tho is becoming a new destination for investment and innovative startups.
Budget revenue exceeded VND47.5 trillion, reaching 117.6% of the central government’s allocation, with domestic revenue surpassing the plan by 21.5%, creating fiscal space for infrastructure and social welfare investment. Credit growth remained stable, with total outstanding loans reaching VND340.4 trillion (up 15.21%), while non-performing loans fell to 0.46%, reflecting effective risk management and business confidence in the local financial system.
Accelerating disbursement and activating new drivers
Alongside economic growth, Phu Tho’s social welfare efforts have been aggressively implemented. The province has completed 100% of its plan to eliminate temporary and dilapidated housing, assisting 10,801 households. Full payments were made to over 143,000 social welfare beneficiaries, totaling nearly VND517 billion.
Cultural, educational, and healthcare sectors also achieved positive results. Education focused on training high-tech talent to meet the needs of emerging industries such as artificial intelligence and semiconductor design. Healthcare implemented over 5,300 new medical techniques, and electronic medical records were introduced in 28 facilities, providing practical benefits to the population. Administrative reform continues to lead, reducing procedure processing times by at least 30%, with 100% of procedures now conducted digitally and independent of administrative boundaries.
Despite positive outcomes, the province still faces challenges: the disbursement rate of new public investment capital reached only 56% of the plan, and agriculture was affected by weather and African swine fever, reducing the total pig population by 12.6%.
Recognizing these “bottlenecks,” the People’s Committee has identified five key solutions for the final stretch: accelerate public investment disbursement, prioritize key projects and regional linkages; complete institutional frameworks and speed up the provincial planning process for 2021-2030, with a 2050 vision; stimulate consumption, promote trade, and market tourism digitally; develop high-quality human resources, leveraging opportunities from digital transformation and Industry 4.0; and maintain national defense and security to ensure a stable development environment.
With decisive action and an ambitious vision, Phu Tho is demonstrating its capacity to achieve a breakthrough post-restructuring, targeting double-digit growth and laying a solid foundation for development from 2026 to 2030.
By Huong Hau, Vietnam Business Forum
Vietnamese
