HCMC strives to improve investment environment

06:00 | 03/04/2021 Economy

(VEN) - Ho Chi Minh City (HCMC) has launched a campaign to create an open investment environment and cut red tape in order to promote economic growth in 2021.

hcmc strives to improve investment environment
Ho Chi Minh City is focusing on improving the business and investment environment and enhancing competitiveness

Leading FDI magnet

Le Thi Huynh Mai, director of the Ho Chi Minh City Department of Planning and Investment, said public investment disbursement in Ho Chi Minh City reached more than VND35.1 trillion in 2020, equivalent to 83.6 percent of the city’s yearly plan.

Foreign direct investment (FDI) pledges for Ho Chi Minh City reached US$4.36 billion in 2020, a drop of 47.5 percent compared to 2019 due to the impact of the Covid-19 pandemic. In the first two months of 2021, the city lured three new foreign investment projects with total registered capital of US$115 million, almost all of it in real estate. Currently, Ho Chi Minh City has nearly 10,000 valid FDI projects with total capital of US$48.2 billion.

In 2021, Ho Chi Minh City is focusing on improving the business and investment environment and enhancing competitiveness. Eight development targets have been set, including attracting more than US$5.4 billion worth of FDI; establishing over 40,000 new enterprises; striving to rank among the top five localities in the Provincial Competitiveness Index; attaining a resident satisfaction rate of over 91 percent; handling 100 percent of people’s complaints and recommendations; processing 98 percent of dossiers on time and publicizing the results; conducting 100 percent of administrative procedures and work exchanges online; and electronic systems use at work by all of officials.

Further efforts

To improve the investment environment, the duration of administrative procedures must be shortened, requiring close coordination of departments and agencies.

Tran Phu Lu, deputy director of the Investment and Trade Promotion Center of Ho Chi Minh City, said city leaders have paid special attention to the renewal of promotion forms suitable to the current situation. In addition, departments are helping businesses overcome difficulties in their trade and production activities.

Nguyen Thanh Phong, chairman of the Ho Chi Minh City People’s Committee, said the city will make great efforts to create an open investment environment and cut red tape in order to promote economic growth and investment attraction. The city will seek solutions to make good use of domestic resources and strengthen the call for foreign investment, Phong said.

Ho Chi Minh City will continue to improve the Provincial Competitiveness Index, promote administrative reforms to help investors, review its investment portfolio, and examine the difficulties facing each frozen project. The city will also pay attention to developing large corporations in each sector, contributing to improving competitiveness.

Ngoc Thao