Local Economy

Last updated: Thursday, February 21, 2019


Better PCI and PAPI, Better Investment and Business Climate

Posted: Monday, August 06, 2018

The Provincial Competitiveness Index (PCI) of Phu Yen province has improved significantly since the beginning of this administrative term, climbing from 55th position in 2015 to 37th in 2017, and the Provincial Governance and Public Administration Performance Index (PAPI) climbed 20 places to 34th position from 54th. The improved rankings partly illustrated the sympathy of the business community with the province’s tireless efforts in administrative reform and business climate improvement.

To enhance economic administration and better the local business and investment environment to attract more investors and boost stable and sustainable socioeconomic development, the Provincial Party Committee and the Provincial People’s Committee of Phu Yen issued many programmes and plans for this purpose, including Action Programme 06-CTr/TU dated April 26, 2016, of the Provincial Party Committee on leadership and direction of reforming public administration, raising PCI and PAPI indices, and shaping a favourable and healthy investment environment. Carrying out this Action Programme, the Provincial People’s Committee issued Plan 84/KH-UBND dated June 10, 2017 to engage provincial and local authorities and agencies to urgently improve the investment and business climate and raising PCI and PAPI indices.

In 2016 and 2017, the Phu Yen Provincial People’s Committee reviewed 29 procedures in 10 fields. To date, 15 agencies and localities have reduced administrative procedures by 30 - 50 per cent; issued 20 decisions on disclosure of 722 administrative procedures under the jurisdiction of provincial departments. The single-window mechanism is applied at all agencies and levels. Some agencies even interconnect to settle administrative procedures in one shared place, including the Department of Planning and Investment of Phu Yen Province, the Tuy Hoa City People’s Committee and the Tay Hoa District People’s Committee.

Information technology application in State administrative management has been accelerated on path to build e-government. Up to now, provincial and district authorities have completed 66 out of 73 jobs in Action Plan 97/KH-UBND dated July 7, 2016, of the Provincial People’s Committee on execution of Resolution 36a/NQ-CP of the Government on e-government.

In addition to intensifying inspection and supervision of administrative reforms and improving PCI and PAPI at provincial and district agencies, Phu Yen province has boosted dialogues with businesses and investors in various forms, especially business coffee talk-shows, and settled all proposals and opinions of enterprises and investors. Many business support activities have been strengthened by Phu Yen province, notably, the construction and operation of Phu Yen E-commerce Trading Platform (currently, 43 stores registered to display 165 products).

Investment promotion and invitation has also been renovated to be more focused to highlight local advantages and gradually draw big domestic and foreign investors and corporations seeking investment opportunities like TH True Milk, Truong Hai Auto and Vingroup. In particular, Phu Yen successfully hosted the Phu Yen Investment Promotion Conference 2018 themed “Phu Yen - Investment and development cooperation” in early 2018. At this conference, the Provincial People’s Committee handed over investment decisions and investment certificates and announced permits for conducting approaches, surveys and investment research to investors, with a total registered investment of VND130 trillion (US$5.65 billion). To soon bring conference results into life, the Standing Board of the Provincial Party Committee issued a directive to engage the entire political system and the People's Committee also adopted many action programmes and plans to assign tasks and responsibility to specific organisations and individuals to carry out given tasks.

The Phu Yen tour to France and Italy to attend the Local Promotion Programme 2018 (from June 22 to July 2) achieved some very important results. For example, the province agreed with the French Development Agency (AFD) on the plan to complete procedures and adopt the AFD-funded EUR72-million project for soil erosion, flooding and climate change adaptation. Phu Yen assented with the Cités Unies France (CUF - French united local governments) on Phu Yen province’s connection with some French localities in the framework of Vietnamese - French local cooperation in 2019. It concurred with the Lombardy region government of Italy on expansion of Phu Yen destinations to bring Lombardy and Phu Yen products and services more broadly into global value chains. It consented with the Vietnamese delegation sided to UNESCO on continued documentation to apply for international title of Phu Yen heritages, with the first being Ganh Da Dia.

Mr. Tran Van Tan, Deputy Director of the Department of Planning and Investment of Phu Yen province, said, after two years of enforcing Action Programme 06-CTr/TU of the Provincial Party Committee and Action Plan 84/KH-UBND of the Provincial People's Committee, the PCI of Phu Yen has kept going up. In 2017, gaining 3.66 more points (the biggest gain in the country) to end the year at 60.59 points (all-time high score), Phu Yen was ranked 47th out of 63 provinces and cities in the country, climbing four places higher than 2016. The PAPI Index scored 36.27 points in 2017, ranked 34th out of 63 provinces and cities, jumping 14 places. The PCI has improved significantly since the beginning of this administrative term, climbing from 55th position in 2015 to 37th in 2017, and the PAPI climbed 20 places to 34th position from 54th. Especially, the Year of Phu Yen Business in 2016 and 2017 achieved many successes with a considerable increase in new business entities.

To have a comprehensive assessment of its PCI and introduce improvement measures, with the support of the Vietnam Chamber of Commerce and Industry (VCCI), the Department of Planning and Investment completed and submitted the project “PCI improvement to 2020” to the Provincial People’s Committee. In 2018, Phu Yen province will focus on executing synchronous and effective measures to raise its PCI for the third consecutive year and bring its rankings to the country’s Top 20 in 2020.

Hoang Lam

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