Preparing Best Conditions to Accommodate Investors

9:17:49 AM | 4/19/2022

To further boost the role of Dong Nam Economic Zone in local development, Nghe An province is carrying out many solutions to develop Dong Nam Economic Zone into an economic engine of Nghe An province in 2021-2025, with a vision to 2030 (as stated in Decision 4514/QD-UBND dated November 25, 2021) and prepare best conditions for investors, said Mr. Le Tien Tri, Director of Dong Nam Economic Zone Authority, in an interview granted to Vietnam Business Forum.

Could you please tell us the development goals and tasks of Dong Nam Nghe An Economic Zone in the coming time?

We are determined to develop Dong Nam Economic Zone and industrial parks of Nghe An province into dynamic and sustainable economic development areas - new growth engines.
Dong Nam Economic Zone is a general investment destination with the focus placed on processing, manufacturing, electronics and supporting industries, facilitated by Cua Lo and Dong Hoi seaports. It is designed to create breakthroughs in investment attraction, accelerate economic restructuring, add value to industrial production and services, increase budget revenue, generate many jobs and make positive contributions to local socioeconomic development.

To achieve these central and very important goals, we have developed an action plan for 2022 and 2021-2025 with specific tasks below:

We will actively advise and effectively implement the scheme that develops Dong Nam Economic Zone into a driving force of economic growth of Nghe An province in 2021 - 2025 and to 2030 and work out policies for essential infrastructure development in Dong Nam Economic Zone and industrial parks in the 2021-2025 period.

In 2022, we will complete the overall adjustment to Dong Nam Economic Zone Construction Master Plan to 2040; advise on economic and industrial zone development plan integrated into Nghe An Master Plan in 2021-2030, with a vision to 2050. Based on the Nghe An Master Plan in 2021-2030 approved by the Prime Minister, we will expand the boundary of Dong Nam Economic Zone to 80,000 ha (including 70,000 ha of land and 10,000 ha of sea surface), of which industrial zones will cover 15,000 ha; rename it to Nghe An Economic Zone; and develop 10

- 12 industrial parks outside the economic zone, covering 4,500 ha.

Also in 2022, we aim to attract 20-25 projects, including one infrastructure investment project in Dong Nam Economic Zone or in industrial zones. Total registered investment capital is expected at VND15,000 - 20,000 billion, including VND400 billion of FDI funds (100 - 120 projects with VND75,000 - 90,000 billion in 2021-2025).

We will advise the Provincial People's Committee on land pricing options for industrial zones (outside Dong Nam Economic Zone) in the province; basically solve and finally end re-encroachment on agricultural production land in Section A, Nam Cam Industrial Park (66.8 ha); complete and operate two centralized wastewater treatment plants (one in Dong Hoi Industrial Zone with a daily capacity of 2,000 cubic meters and the other one in WHA Industrial Zone with a daily capacity of 9,600 cubic meters. By 2025, all industrial zones will have centralized wastewater treatment systems that meet environmental standards.

In addition, we will strive to complete ongoing projects such as traffic routes (like N2, N5, N5 section 2 and D4) and a centralized water treatment system in Dong Hoi Industrial Park; construct new important investment attraction projects such as a railway flyover on Road N2 linking Tho Loc Industrial Park to National Highway 1A; Road N3 linking National Highway 1A to Hoang Mai 1 Industrial Park and drainage canals along Road N5; and continue to attract and facilitate infrastructure investors to build infrastructure in economic and industrial zones like WHA, VSIP and Hoang Thinh Dat.

How are you preparing to capture opportunities from international integration and the global investment shift in the coming time?

Given locational and economic advantages, abundant labor resources, increasingly synchronized infrastructure, especially key transport infrastructure like Ninh Binh - Bai Vot Highway, upgraded and expanded Vinh Airport and upgraded Cua Lo deep-water port, the Provincial People's Council issued Resolution 51/2016/NQ-HDND dated December 16, 2016 on support policy for social housing investment projects in Nghe An province and Resolution 05/2021/NQ-HDND dated August 13, 2021 on investment support policies in Nghe An in 2021 - 2025. In addition to the support policies of Nghe An province, on November 13, 2021, the National Assembly issued Resolution 36/2021/QH15 dated November 13, 2021 on piloting special policies for Nghe An development, thus opening up great opportunities for investment attraction into Nghe An province in general and Dong Nam Economic Zone in particular.

In order to actively seize these opportunities, we have prepared the necessary conditions for new investment waves as follows:

First, preparing necessary conditions to attract investment funds, with focus placed on improving planning quality to clearly point out investment-prioritized sectors, fields and areas, particularly for foreign direct investment (FDI). Priority is given to traditional partners such as Japan, South Korea, Thailand, Singapore, Hong Kong, Taiwan and China. Target industries and sectors will be mechanical engineering, electronics, supporting industries, agricultural processing, consumer food production, medical equipment manufacturing, pharmaceutical production, chemical and high-tech industries. The province will research and concretize its investment support and work out special policies adopted by the National Assembly to draw more investment inflows.

Second, focusing on mobilizing and effectively using investment resources to build infrastructure; completing construction of power, technical and social infrastructure and services outside industrial zones; and paying special attention to investing in deep-water ports and social housing facilities for workers in Dong Nam Economic Zone and industrial zones.

Third, focusing on attracting and supporting industrial park infrastructure developers such as VSIP, WHA and Hoang Thinh Dat to create a clean land fund and synchronous and modern infrastructure for new tenants.

Fourth, coordinating with vocational training schools to improve human resources and forecast recruitment demands in economic and industrial zones.

Fifth, synchronously implementing solutions for a better investment environment, including accelerating administrative reforms, creating dialogues for businesses and investors, and improving investment promotion; strengthening support for investors and enterprises, promptly solving their emerging difficulties and obstacles when carrying out their projects.

Thank you very much!

By Vietnam Business Forum