Quang Binh Firmly Advances Business and Investment Environment

4:53:22 PM | 19/9/2013

Despite the disadvantage of not having favourable geographical position and plentiful natural resources like many other localities, with the determination to create a favourable and attractive investment environment, Quang Binh has achieved positive results in attracting investment. More and more enterprises come to get to know and invest in Quang Binh, and the majority of businesses and investors in Quang Binh are currently operating efficiently, an important contribution to the socio-economic development of the province. To provide investors with an overview of the investment environment and policy of Quang Binh province, Vietnam Business Forum had an interview with Mr Le Van Phuc, Director of the Quang Binh Department of Planning and Investment. Tran Trang reports.
Could you please outline some outstanding results in attracting investment in the province in 2012 and the first six months of 2013?
In 2012 and the first six months of 2013, despite the recession of domestic and global economy, the investment attraction of the province achieved many positive results including encouraging steps in the business and investment environment and increasing number of foreign and domestic investors and big corporations and abroad to explore investment opportunities, which is thanks to drastic solutions and mechanisms. By the end of June, 2013, the total number of projects with registered investment into Quang Binh has increased to 331 projects with a registered capital of VND 143,305 billion. Particularly, 266 projects are outside industrial parks and economic zones with the registered investment capital of VND 99,789 billion; 65 projects are in industrial parks, economic zones and export processing zones with registered investment capital of 43,516 billion dong, which have called for a number of key dynamic projects to promote Quang Binh Province’s development in the future such as Quang Trach Thermal Power Center with PetroVietnam being general investor and the capacity of 2.400MW; Hon La Port with Vietnam Petroleum Technical Service Corporation being main investor with total investment of VND 562 billion which is currently operating in phase 1 and the second phase is being implemented; Quang Binh iron and steel production plant with the capacity of 250,000 tonnes per year with a total investment of VND 1,035 billion; concrete plant for pre-stressed and commercial concrete with the capacity of 60,000 cubic meters per year of Truong Son Co., Ltd., the total investment of stage 1 is VND122 billion.
Highlights of investment attraction in Quang Binh is the promotion of external relations and cooperation with many countries around the world in order to attract investment, create moving force to accelerate the province’s industrialization and modernization to reach target of becoming a well-developed province in the country by 2020. Therefore, in the first six months of 2012 and 2013, many foreign investors and organizations have conducted surveys to seek investment opportunities in our province. Particularly:
- The Provincial People’s Committee has worked directly with Zeta Plan company of Korea, signed work records and implementation plan report. Currently, Zeta Plan is doing fieldwork to map out investment projects, including the project to build a world-class entertainment park (including the following components: Bao Ninh tourism resort complex, Dong Hoi city; Da Nhay-Ba Trai tourism resort complex; Chay River tourism resort complex), the project to build North Quan Hau electronic high-tech zone, Quang Ninh. The total investment of the above projects is estimated at over USD 4 billion. If implemented, these will be major breakthrough projects important for the socio-economic development of the province.
- Devi Group of Germany has a memorandum of cooperation with Quang Binh in investment in the fields of environmental resources, renewable energy development, healthcare, education, civil construction and technology transfer. A number of projects are being implemented such as Bao Ninh amusement park investment project, Dong Hoi City. The Group is promoting the province's investment program in the field of mining, car factory, SUFAT motorcycles in the province with the total investment of VND 240 billion. The Group is exploring investment opportunities in wind power generation projects, automobile assembly in Hon La Economic Zone, and thermal plants.
- Investors from the Czech Republic are conducting surveys for investment in the construction of a golf course in Dong Hoi city area, and wood processing. The province signed a commitment with Hradec province to facilitate investment attraction.
To remove difficulties for enterprises in the context of economic difficulties, what solutions has Quang Binh province come up with?
In the past time, the performance of businesses in the area has been riddled with difficulties including high production cost, limited production scale and market, little capital, difficult access to loans for production and business, decreased sales and business efficiency. Many businesses have to shut down or dissolved, with a huge negative impact on labourer income.
With the motto "Always travel with businesses," to remove difficulties for enterprises, the province’s People’s Committee and disciplines of all levels have implemented effectively Resolution 13/NQ-CP dated 10th May, 2012 of the Government on a number of measures to remove difficulties for production and assist the market.
The Provincial People’s Committee has worked with many disciplines and authority of all levels, and had direct dialogue with businesses to promptly remove difficulties for enterprises in credit loans, tax exemption, reduction and extension, market development consumption policy which encourages organizations and businesses to prefer goods and services by provincial businesses, particularly beer, cement and other building materials.
Department of Planning and Investment has actively and promptly advised the provincial People’s Committee to allocate investment plans for capital construction, making sure that investors and construction units rapidly deploy projects to promptly remove difficulties for businesses. At the same time it creates favourable conditions to shorten the time of business registration, investment certificate issuance and project evaluation.
In order to improve the quality of the investment environment, in the time to come, what solutions has Quang Binh come up with to support investors?
To help businesses and investors in Quang Binh, with its role, the Department of Planning and Investment has promoted the reform of administrative procedures, completed the scheme "Promotion Centre for Investment and Business Support." Investors in Quang Binh mustn only come to the centre and all results will be returned in the centre. They need not directly approach other departments. Procedure time is shortened compared with current regulations. Following the "one clue" mechanism will create the most favourable conditions for investors in administrative procedures, under which investors come to "one stop shop" to conduct investment procedures.
In order to greatly improve the business and investment environment, in addition to implementing a focal point for investment promotion, Quang Binh should focus on:
- Raising the maximum and effective use of all resources for investment in the construction and improvement of socio-economic infrastructures and speeding up key projects serving investment attraction.
- Promoting the establishment and adjustment of socio-economic development planning, sectoral planning and the construction planning of projects calling for investment.
- Training highly qualified human resources, attracting talented people to meet the investment requirement in the context of global economic integration. Improving the quality of human resources to meet the rapid and sustainable development.
Strongly reforming administrative procedures, particularly in the fields of investment and business. Promoting investment and business environment and potential advantages of the province.