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  • Thua Thien Hue makes efforts to attract foreign investment

Thua Thien Hue makes efforts to attract foreign investment

Cập nhật: 14/03/2023

Thua Thien Hue province has risen to become one of the top 10 provinces and cities in attracting foreign direct investment (FDI), with many billion US dollar projects and priority given to technology development projects.

Laguna luxury resort project in Chan May-Lang Co economic zone, Thua Thien Hue province.

The province is becoming a destination for several large corporations in various areas, which produce high-economic-value products, contributing to enhancing the position of the province in both domestic and international arenas.

Accompanying FDI enterprises

According to the Department of Planning and Investment of Thua Thien Hue province, the province now has 117 FDI projects, with a total registered capital of 4.34 billion USD. Despite difficulties in foreign investment promotion in 2021, the province granted investment registration certificates to eight FDI projects, with a total investment capital of 231.9 million USD. Some typical projects include AEONMALL Vietnam, with an investment of 169.67 million USD, JA Vietnam garment manufacturing project, with an investment of 34.5 million USD and SCAVI underwear and sportswear plant, with an investment of 25 million USD.

Amid difficulties due to the pandemic, FDI enterprises still posted strong development. Many enterprises have also expanded production scale and taken advantage of local labour resources, to create breakthroughs in production and business activities, contributing to ensuring security amid difficulties caused by the pandemic.

The FDI sector reported total revenue of over 1.45 billion USD in 2022, up 21% compared to 2021 and contributed 145 million USD to the local budget, up 26% over 2021 and accounting for 27% of the province’s total budget revenue. Carlsberg Beer Vietnam Co., Ltd., accounts for 68.4% of the total budget revenue of FDI enterprises.

Besides contributions to the budget, FDI enterprises also create jobs for a large number of local workers, contributing to improving people’s living standards. More than 25,000 employees were working in the FDI sector in 2022, with the largest number of employees working in textile and garment companies.

The FDI sector also indirectly creates jobs for many workers in supporting industries or in the goods supply chain. For example, the garment factory project of Hanesbrands Inc creates jobs for more than 6,000 workers and Bayantree Group’s Laguna Lang Co resort project creates jobs for about 1,100 workers.

The FDI sector also contributes to improving the technology level and is an important channel to help Thua Thien Hue and Vietnam in general, integrate more deeply into the world.

One of the biggest successes in investment promotion of Thua Thien Hue is that the province is building a friendly business environment and reducing informal costs for businesses, by improving indicators of the business environment and competitiveness, such as the Provincial Competitiveness Index (PCI), the Vietnam Provincial Governance and Public Administration Performance Index (PAPI), and Public Administration Reform Index (PAR).

In 2022, Thua Thien Hue ranked among the top 10 provinces and cities with the highest PCI scores in Vietnam, ranked first in the PAPI Index, ranked fourth in the PAR Index, and ranked second in the digital transformation index (DTI).

Deputy Director of the Department of Planning and Investment of Thua Thien Hue province Phan Quoc Son said, that the province always focuses on supporting FDI projects, creating favourable conditions for FDI enterprises to expand, connecting FDI enterprises with the local business community, and calling for capital for innovative and start-up projects throughout the province.

Thua Thien Hue province successfully organised an investment promotion conference for Chan May port container shipping lines. The development of Chan May port, especially attracting container shipping lines to handle goods at Chan May port, is a prerequisite for the industrial development of Thua Thien Hue province, as well as the central region. At the conference, the People’s Committee of Thua Thien Hue province gave a nod to seven investment projects and granted investment certificates for other projects.

Decisively solving difficulties

According to Phan Quoc Son, amid deepening economic integration and competition, Thua Thien Hue actively grasps the trend to improve the business investment environment, to create an attractive environment for investors. The investment promotion is renewed following the potential, strengths, and local development planning.

As a province located in the central key economic region, with Phu Bai international airport, Chan May deep-water port, and a world cultural heritage site, Thua Thien Hue has many potentials and opportunities to attract investment. The province is focusing on speeding up the progress and putting into operation key national projects, such as the Cam Lo - La Son expressway and the expansion of a passenger terminal of Phu Bai International Airport, to create competitive advantages in attracting investment. Thua Thien Hue is also promoting the introduction of potentials, strengths and investment opportunities, to large enterprises and investors.

According to the Chairman of the People’s Committee of Thua Thien Hue province Nguyen Van Phuong, provincial leaders continue to drastically remove difficulties and obstacles for businesses and change the mindset and service style of the civil servants, to create a transparent investment environment and most favourable conditions for businesses, to attract more domestic and foreign businesses to the province.

Phuong affirmed that “The province will always accompany and support businesses and investors and create all the most favourable conditions for businesses to invest in production and business effectively, making an important contribution to the economic development of the country and international integration.”

Thanks to the investments in the infrastructure, the attention and support of central ministries, branches and local policies, there will be more domestic and foreign enterprises to invest in and do business in the province, contributing to boosting socio-economic development and soon turning Thua Thien Hue province into a centrally-run city, according to Politburo’s Resolution No. 54, Phuong noted.

Cong Hau

TITC
Từ khóa: FDI, foreign investment, projects, Thua-Thien-Hue

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