Vietnam's core inflation in July increased 0.21% month-on-month and 3.3% year-on-year. The seven-month figure of 3.18% remained slightly lower than the overall CPI increase thanks to the exclusion of volatile sectors like food, energy, health care, and education
Shoppers at Big C Thang Long supermarket in Hanoi. (Photo: VNA)
Hanoi (VNA) – Vietnam’s Consumer Price Index (CPI) increased 3.26% year-on-year in the first seven months of 2025, while core inflation rose 3.18%, the National Statistics Office (NSO) reported on August 6.
Rising costs for housing repairs, food, and dining out were the main contributors to a 0.11% month-on-month increase in CPI in July. The index rose 2.13% from December 2024 and 3.19% year-on-year.
CPI rose 0.03% in urban areas and 0.2% in rural areas. Among the 11 main commodity groups, prices increased in nine categories and declined in two.
Key drivers of July CPI included healthcare and medicine prices, which surged 12.81% year-on-year, contributing 0.69 percentage points to CPI, following an increase in medical service prices under Circular No. 21/2024/TT-BYT.
The housing, utilities, and building materials group rose 7.07%, adding 1.33 percentage points, due to higher rents and repair costs. Price hike was also seen in housing maintenance materials (8.53%), rent (7.17%), electricity (8.94%), and water supply (4.89%). Meanwhile, education climbed 3.05%, contributing 0.19 percentage points to the overall index, while food and catering services increased 2.92%, adding 0.98 points.
Culture, entertainment, and tourism grew 1.76%, driven by summer demand. Alcohol and tobacco rose 2.24%, led by tobacco (2.96%) and liquor (2.63%).
Household goods and services were up 1.71%, with notable changes in appliance repairs (3.49%), plastic and rubber goods (2.47%), furniture (2.45%), domestic services (4.51%). Washing machines, refrigerators, and cookware saw slight declines.
In contrary, transport cost fell 3.74%, lowering CPI by 0.36 percentage points, due to global fuel price drops. Petrol and oil dropped 12.8%, and new cars dipped 0.43%.
Postal and telecom prices declined 0.38%, cutting CPI by 0.01 percentage points, as prices of smartphones and accessories fell amid strong competition and tech advancements.
At the same time, global gold prices remained stable, averaging 3,369 USD/oz in July. Domestic gold prices, however, surged.
The USD price rose despite the global USD index decreased by 1% to 97.61, due to expectations of a looser Fed policy.
✅ According to the NSO, core inflation in July increased 0.21% month-on-month and 3.3% year-on-year. The seven-month figure of 3.18% remained slightly lower than the overall CPI increase thanks to the exclusion of volatile sectors like food, energy, health care, and education./.
The Ministry of Finance projects Vietnam's CPI will rise 3.7–4% in the remaining five months of 2025. International organisations forecast Vietnam’s average inflation at between 2.9% and 4.2% for the year, leaving room for monthly increases of 1.19–1.58% without breaching the year-end inflation target.
Domestic petrol prices increased slightly while the price of diesel reduced from 15:00 on July 31 following the latest price adjustment by the Ministry of Industry and Trade, and the Ministry of Finance.
The CPI in June rose by 0.48% compared to the previous month, with urban areas up 0.5% and rural areas up 0.45%. The country’s June CPI climbed 3.57% year-on-year.
Canada is a promising market for Vietnamese coffee, with exports skyrocketing 300% from 10 million USD to nearly 40 million USD since both countries joined the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).
While the high-speed and low-latency nature of 5G offers a "bloodline" for data transmission in production systems, IoT provides the "nervous system" to connect devices, machinery, and sensors.
Ambassador Bui Van Nghi expressed Vietnam’s wish to launch negotiations on an FTA during Brazil’s term as Mercosur Chair, saying such a step would serve the practical interests of both sides while diversifying markets.
A working delegation from the Ministry of Construction led by Deputy Minister Nguyen Tuong Van recently held separate bilateral talks with Chinese and Malaysian sides to bolster collaboration in construction and urban development to a deep and substantive fashion.
European investments are gravitating towards emerging sectors such as clean energy, high technology and logistics, with the aim of positioning Vietnam as a regional transhipment hub.
The new tax regime of India is a landmark reform that promises to generate profound changes in India’s business landscape and will directly affect Vietnamese investors, producers, and exporters in this market.
Two-way trade between Vietnam and Cambodia reached 10.1 billion USD last year, while the figure in the first eight months of the year was 7.98 billion USD, up 16.3% year-on-year.
All businesses are eligible to participate in the programme without undergoing any selection or review process. Enterprises can independently launch promotional campaigns with diverse and appealing content for customers and are allowed to apply maximum discounts of up to 100%.
Singapore’s United Overseas Bank (UOB) has boosted its 2025 GDP growth forecast for Vietnam to 7.5% from 6.9%, pointing to the economy’s resilience and dynamism despite tariff risks and uncertainties.
Spanning 8.4ha of gross floor area and rising to 30m, the package requires advanced steel–concrete solutions, synchronised execution and accelerated progress within 330 days.
Through this partnership, VinFast Philippines, a subsidiary of Vingroup JSC, one of Vietnam's largest conglomerates, will leverage on BDO's comprehensive suite of financial solutions including cash management, consumer banking, leasing, and insurance services and create tailored financing programmes for both retail and corporate customers.
Under the new system, passengers without checked luggage simply check in via VNeID or a kiosk, undergo facial recognition at security, and board by scanning their face. Those with baggage drop it at a counter before entering the same automated flow.
Vietnam values its international partnerships, including with the UK, Finance Minister Nguyen Van Thang noted, urging UK companies, funds and financial institutions, and those from Europe and worldwide, to continue expanding investment, transferring know-how, sharing management experience and advancing green finance and technology to realise Vietnam’s sustainable development vision.
Vietnamese Minister of Finance Nguyen Van Thang expressed gratitude for the UK’s active role in supporting Vietnam’s efforts to draft a National Assembly resolution on creating an international financial centre. The City of London, he noted, provided pivotal insights and recommendations to shape the groundwork and development roadmap for this hub.
Vietnam is ready to deepen economic cooperation with the Association of Southeast Asian Nations (ASEAN), China and other partners, embracing a strategy of “harmonised interests and shared risks” as it leverages its fast-growing economy and market of over 100 million people.
Tay Ninh, Nghe An and Quang Tri provinces have strategic locations and significant cooperation potential, said Nguyen Thi Thai Binh, Minister-Counsellor at the Vietnamese Embassy, expressing confidence that with creativity and determination, these provinces and their Korean partners will find ample opportunities for productive collaboration.
Jointly organised by the Vinexad National Trade Fair and Advertising JSC and Yorkers Exhibition Service Vietnam, the event features 1,200 booths of more than 650 exhibitors from 20 countries and territories, including Germany, India, Indonesia, Italy, Japan, the Republic of Korea, Singapore, Switzerland, Thailand, and the US.
Public investment should serve as a key driver of growth, acting as seed capital to catalyse and mobilise all social resources, thereby fostering economic expansion, creating jobs and livelihoods, and improving the material and spiritual well-being of the people, PM Pham Minh Chinh stated.
