Facilitating investment for economic development

14:39 | 03/01/2018 Investment

(VEN) - Long An Province has a reputation for welcoming qualified domestic and foreign investors who ensure environmental protection and use advanced technology. As of October 2017, the province has attracted 863 foreign direct investment (FDI) projects totaling more than US$5.4 billion in registered capital of investors from 37 countries and territories.

facilitating investment for economic development

Facilitating production and exports

FDI enterprises in Long An are mainly found in textile and garment, footwear, animal feed, plastics, mechanical and farm produce and seafood processing industries.

Province-based FDI businesses experienced an annual industrial production value growth of 27.6 percent from 1996-2010, and accounted for 72.1 percent of the province's industrial production value in 2010, up 27.4 percent from 1995. The growth and rate were 12.4 percent in 2011-2016 and 46.2 percent in 2016 (8.3 percent less than 2010), respectively.

FDI export revenues grew an average of 27.6 percent in the 1996-2016 period to reach US$2.6 billion in 2016, accounting for 60.7 percent of the province’s export revenues in the same year, up 45.9 percent from 1996. The number of FDI exporters increased from 18 enterprises in 1996 to about 300 in 2016. There are three representative offices of foreign traders operating in the province.

Foreign investment in the province is mostly found in such labor-intensive industries as textile and garment, and footwear, while investment in support industries, high technology industry, energy, trade centers, and logistics needs to be increased. Therefore, the value added of province-based FDI enterprises remains modest. The number of major foreign invested corporations and groups in the province remains small.

Enterprises in the province have provided jobs for 282,000 employees, 126,280 of whom (accounting for 47.8 percent of the province’s total) are working for FDI businesses.

Investment environment

Attempting to improve the provincial business environment and national competitiveness, the Long An Province Department of Natural Resources and Environment has applied Vilis - a land management software - in updating cadastral databases, and the granting of land use right certificates to simplify related procedures.

Considering on-the-spot investment promotion the core of development, the Long An Economic Zone Authority has been focusing on post-inspection to monitor delayed projects and ensure their progress. The authority will verify problems and assist businesses to solve their problems, while working with relevant authorities and sectors and infrastructure investors to create a favorable investment environment and attract investment.

The province will continue upgrading and building roads, giving priority to such routes connecting industrial parks as provincial roads 830 and 824, and Ben Luc-Tan Tap route, among others.

The Long An Province People's Committee told relevant departments and sectors to continue supervision, consultancy and provision of solutions in order to ensure projects’ pace. The province has also been seeking to further improve the business environment and its standing in the 2017 national competitiveness index, and bettering its position in the 2017 provincial administrative reform index.

Duc Minh