How to control inflation for the rest of the year was the hottest issue at a cabinet meeting held in Hanoi from Dec. 1-2 as CPI in the past 11 months almost hit the double-digit mark at 9.58 percent.

Prime Minister Nguyen Tan Dung, who chaired the November meeting, was critical of cabinet members for their failure to take firm measures on inflation control and market stabilisation in line with the Government’s resolution No. 18, causing price hikes and negative impacts on production and living conditions.

He ordered his staff to resort to focus on ensuring production development and balance of supply and demand for consumer goods and services to stabilise the market at the point when the Lunar New Year festival, the biggest shopping season of the year, is approaching.

The Government leader also asked ministers, local authorities and industrial executives to take measures against illegal speculation of goods, encourage businesses to take part in price stabilisation by expanding sales networks and bringing goods to remote areas.

Dung also called on the banking system to issue a flexible policy on bank interest rates and foreign exchange rates in an effort to keep control of the monetary market amidst the unpredictable international ups-and-downs of the gold and greenback value.

The National Advisory Council on Financial and Monetary Policies was asked to recommend concrete measures on handling the foreign exchange and bank interest rates suitable to the current context.

The Prime Minister called on relevant ministries and agencies to review their production plans to ensure food security, calculate the necessary amount of investment to be advanced for infrastructural construction in the flood-hit central region, and boost exports.

Administrative reforms and anti-corruption battle were other hot topics.

At the meeting, cabinet members considered a draft plan towards sustainable poverty reduction for 2011-20, a review of the State administrative reform programme in the 2001-10 period and a reform for the next decade.

They reached a consensus on the positive socio-economic development in November and the past 11 months of 2010 despite numerous difficulties caused by repeated natural disasters and complex market price chaos.

Industrial production value in November rose by 14.3 percent and export revenues increased 3.6 percent year on year to 6.5 billion USD in November.

The hospitality industry also posted an increase of 36.5 percent in the number of foreign arrivals.

(CPV)