Vietnam’s state budget revenue in the first quarter of 2025 showed strong growth overall, with significant contributions from foreign-invested (FDI) and non-state enterprises. However, revenue from state-owned enterprises (SOEs) declined, highlighting a shift in the country’s economic dynamics.

As of April 15, state budget revenue totaled 801.9 trillion VND (approximately 32 billion USD), meeting 40.77% of the year’s estimate. This included 407.2 trillion VND from central government revenue (39.9% of the target) and 394.7 trillion VND from local revenue (41.7% of the target).

During the first three months alone, total revenue reached 721.3 trillion VND, equivalent to 36.7% of the annual estimate, marking a 29.3% year-on-year increase.

FDI and private sector rise, SOEs decline

According to the Ministry of Finance, the positive performance in Q1 was attributed to solid economic growth in late 2024 and continued momentum into early 2025.

Additionally, revenue agencies strengthened oversight, enhanced digital tax administration, expedited tax refunds, and clamped down on tax evasion and arrears.

Tax revenue from the three main economic sectors - accounting for 49.3% of total domestic revenue - reached 317.1 trillion VND, or 38.5% of the full-year target, representing a 20.4% increase compared to the same period in 2024.

Specifically:

Revenue from FDI enterprises rose 19.9% year-on-year
Revenue from the non-state (private) sector increased 36%
Revenue from SOEs declined by 7.6%

Meanwhile, revenue from crude oil totaled 13.3 trillion VND, only 25% of the year’s projection, down 15.3% year-on-year. Import-export revenue reached 61.6 trillion VND, equal to 26.2% of the target.

Total trade turnover for Q1 reached 202.52 billion USD, up 13.7% year-on-year. Exports grew 10.6%, while imports surged 17%, resulting in a trade surplus of 3.16 billion USD.

Budget spending and investment

On the expenditure side, Q1 spending hit 428.2 trillion VND, or 16.8% of the year’s estimate, up 11.6% from the same period last year.

Key breakdowns:

Development investment: 78.7 trillion VND, or 10% of the National Assembly’s allocation; disbursement reached 9.53% of the plan assigned by the Prime Minister.
Interest payments: 29.5% of the yearly estimate
Recurrent expenditures: 20.2% of the estimate

Nguyen Le