Linking
for economic development in Vietnam’s southeastern region
The
southeastern region is one of Vietnam’s key economic hubs and a gateway
linking Vietnam and the world.
It
has many advantages in developing industry and services. During the current
international integration, its provinces should enhance their links to share
sustainable growth.
In recent
years, southeastern provinces have developed dynamically with high economic
growth in electronics, software, commercial services, logistics, finance,
telecommunications, and tourism.
The region
comprises HCMC, Ba Ria-Vung Tau, Binh Duong, Binh Phuoc, Dong Nai, Tay Ninh,
Long An, and Tien Giang.
The region
leads Vietnam in transportation expansion and economic cooperation with other
countries in Southeast Asia.
In the first
half of this year, the region attracted the most foreign direct investment
with almost 52% of newly registered projects, 62.5% of projects to increase
investment capital, and more than 42% of the total investment capital of
Vietnam.
Its export
revenues account for nearly 60% of the nation’s total. The region’s economic
openness index, measured by average-trade-to-GDP, was nearly 110%, compared
to Vietnam’s 70%.
Its ratio of
investment to GDP is 50%, 1.5 times higher than the national average, and its
economic growth rate is 1.4 to 1.6 times higher than the national average.
The
southeastern economic zone has developed a satellite network around Ho Chi Minh
City linked by open corridor routes. It has connected to industrial zones and
industries including oil and gas exploitation and processing, steel rolling,
electricity, IT, chemicals, fertilizers, and raw materials.
Although the
region has many clear advantages, its current growth remains modest.
At a recent
Southeast Region Economic Forum in Ho Chi Minh City, Vo Van Tu, Director of
Lam Dong province’s Center for Trade Promotion, said: “First we need a
competent steering committee which includes central ministries and agencies
to conduct master-planning to ensure the region’s future growth. We lack a
mechanism and policies to realize such planning. Our current situation is
that provinces do what they want instead of following a master-plan.”
To improve
the quality of the region’s economic growth, human resources, and
infrastructure, Do Ha Nam, General Director of Intimex Group, which exports
pepper, cashew, coffee, and other farm produce, said: “Why don’t we connect
transportation between the region’s cities and provinces to attract more
investors.
For
instance, a number of provinces like Binh Duong now have good industrial
infrastructure and want to expand investment in other localities. But they
can’t realize these plans due to a lack of transportation and poor
infrastructure.”
To turn the
southeastern region into a hub of the garment and textile industry, which
accounts for 60% of Vietnam’s export revenues, provinces should invest more
in human and material resources.
Doctor Vu
Thanh Tu Anh, Director of Research at the Fulbright Economics Teaching
Program, said “Ho Chi Minh City and enterprises should invest in new designs,
schools, and personnel training institutes for the sector to create fashion
brands.”
VOV5
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Chủ Nhật, 2 tháng 10, 2016
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