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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Thứ Hai, 3 tháng 10, 2016
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