Vinh Phuc, typical investment attractor

09:29 | 13/12/2016 Investment

(VEN) - Thanks to the local government’s administrative reform efforts, the investment environment in Vinh Phuc Province has improved in the eyes of domestic and foreign businesses.  

Honda and Toyota are among major foreign investors in Vinh Phuc Province

Nonstop efforts to improve the business environment

Although it stands among leading localities nationwide in provincial competitiveness index (PCI), Vinh Phuc still attaches great importance to improving the investment environment. In 2013, the provincial people’s committee coordinated with concerned departments and sectors to work out a PCI enhancement plan for the 2013-2015 period.

Vinh Phuc Province Business Association Vice President Duong Trong Khang said that to implement this plan, the association has surveyed 50-90 businesses each quarter to find out their difficulties in infrastructure, including water, electricity, transport, and access to credit loans, as well as macroeconomic policies.

Thanks to these efforts, Vinh Phuc has maintained its leading position nationwide in PCI. In 2014, it ranked sixth among 63 localities nationwide and moved up to the fourth position in 2015. The Vietnam Chamber of Commerce and Industry (VCCI) affirmed that Vinh Phuc is one of the few localities where the quality of administrative management can satisfy businesses. This is of great significance as the PCI is decided mainly by the quality of administration and the convenience of the provincial business environment.

According to the provincial leadership, Vinh Phuc is pursuing the goal of becomeing an industrialized province in the near future. To achieve this goal, the province is intensifying investment promotion activities. At the same time, it is making further efforts to improve the investment environment. The provincial people’s committee has made a shift from an administration system focusing on management to the one that simultaneously manages and serves the people.

Vinh Phuc Province People’s Committee Chairman Nguyen Van Tri affirmed that the locality would deal with businesses’ difficulties as its own problems.

Investor satisfaction

Businesses investing in Vinh Phuc highly appreciated the provincial investment environment and the efforts of local authorities. Vinh Phuc Infrastructure Development Joint Stock Company General Director Cao Dinh Thi said his company has received active support from local authorities in implementing procedures related to site clearance and other administrative formalities. Thanks to this support, the company has overcome initial difficulties and started to expand its operations in the province.

Le Minh Hai, Chairman of the Board at the Vietnam- Germany Steel Pipe Joint Stock Company, showed his satisfaction towards the investment environment in Vinh Phuc Province as well as the way local authorities shared difficulties with businesses.

International organizations also appraised the investment environment in Vinh Phuc Province. At a recent seminar on Japanese investment in Vinh Phuc, Japanese Ambassador to Vietnam Hiroshi Fukada said many large Japanese groups and firms have successfully invested in the province.

“Unlike other Vietnamese localities, we have not received any complaints from Japanese investors in Vinh Phuc Province. The investment environment in Vinh Phuc makes us feel secured,” Ambassador Hiroshi Fukada emphasized.

Yasuzumo Hirotaka, Chief Representative of the Japan External Trade Organization in Ho Chi Minh City, said Japanese investors in Vinh Phuc highly appreciated the investment environment in this province compared with other Vietnamese localities.

Regarding opportunities for Vinh Phuc Province to attract more investment in the coming period, VCCI Chairman Vu Tien Loc said 70 percent of Japanese investors in Vietnam wish to expand their operations in the country, and Vinh Phuc is their first choice.

According to Vu Tien Loc, compared with other localities nationwide, Vinh Phuc has many advantages, especially the Hanoi-Lao Cai Highway running through the province and its proximity to the Noi Bai International Airport. Vinh Phuc also stands among leading localities nationwide in education quality. The provincial leadership has made nonstop efforts to improve the local investment environment. These advantages will create opportunities for the province to attract more investment in the coming time.

From this October, the leaders of the Vinh Phuc Province People’s Committee would meet businesses every Friday to talk about their difficulties so that they could provide timely guidance for concerned authorities to help businesses overcome their problems.

In the coming period, Vinh Phuc will continue attracting investment projects which can create high added value, use modern, environmentally friendly technologies, and efficiently utilize local land and human resources. Specifically, the province will encourage investment in fields such as electricity, electronics, information technology, engineering, automobile, machinery and equipment manufacturing, high-tech and clean agriculture, transportation, storage and logistics services, as well as social services, including education, training, and healthcare.

Thanks to appropriate investment attraction policies, Vinh Phuc has raised its budget revenue from VND100 billion in 1997 to

more than VND25 trillion in 2015, standing among the top three localities nationwide.

Nguyen Hoa