Da Nang Safe and Attractive Investment Destination

With its ongoing efforts to adopt various solutions to enhance the quality of foreign direct investment (FDI) inflow, Da Nang City has witnessed remarkable FDI attraction results that have made significant contributions to local socioeconomic growth. This further affirms the city’s reputation as a safe and attractive investment destination for both domestic and international investors.

The city aims to become a regional hub for finance, high technology, and innovation

In 2024, Da Nang attracted over US$243 million of FDI funds, up 33% year on year. In the first quarter of 2025, this momentum continued with an additional US$34 million in FDI, representing a year-on-year growth of 25%. By the end of the first quarter of 2025, the city had 1,042 FDI projects with a total registered capital of over U$4.599 billion.

Da Nang remains a top choice for businesses and investors, especially FDI investors, due to its distinctive competitive advantages. Foremost is its geo-strategic location as a vital trade hub and the eastern gateway of the East-West Economic Corridor, offering excellent connectivity with countries in the region and around the world. Additionally, Da Nang has the most developed infrastructure in central Vietnam, including a modern international airport, deep-water seaports, inter-regional transport systems, internationally standardized telecom and information technology infrastructure, eight industrial parks (six in operation, one under construction and one being prepared for construction), three centralized information technology parks, and a high-tech park, all facilitating investment in both manufacturing and services.

Da Nang is a top choice for businesses and investors, especially FDI investors

Moreover, Da Nang has a young population and a well-trained workforce with strong technical skills and high-level expertise. Its diverse educational and training institutions that meet international standards give the city a major advantage in attracting high-tech industrial and high-quality service projects. Da Nang is widely regarded as a livable city with a clean, green and safe environment, a high quality of life and reasonable living costs. The city also has significant tourism potential with beautiful beaches, renowned scenic spots, numerous international tourism awards, and a well-developed hospitality infrastructure, favorable conditions for tourism and service sector growth. The city’s business and investment environment is highly rated by the business community and investors, both domestic and foreign. Notably, since 2005, Da Nang has consistently ranked among the top provinces and cities in Vietnam in terms of the Provincial Competitiveness Index (PCI).

In addition to strengths such as its geo-strategic location, modern and synchronized infrastructure, high-quality workforce and favorable investment environment, a key factor behind Da Nang’s impressive investment performance is the dynamism, decisiveness and consistency of the local government. Da Nang always views businesses and investors as central partners in its development journey; therefore, it keeps improving the investment environment, promptly addresses difficulties, quickly supports administrative procedures, and actively assists businesses from the initial stages of investment exploration to project implementation. In particular, the Da Nang Investment Promotion Agency (IPA Da Nang) serves as a single-window unit for investment promotion, receiving investment proposals and offering business and investor support services. The city’s leadership holds regular dialogue sessions with the business community, and listens to and directly addresses feedback to resolve issues efficiently, thus not only facilitating business operations and sustainable investment but also building investor trust and enhancing the city’s reputation among investors.

A key factor behind Da Nang’s impressive investment performance is the local government’s dynamism, decisiveness, and consistency

On June 26, 2024, the National Assembly adopted Resolution No. 136/2024/QH15 on organizing urban government and piloting several specific mechanisms and policies for Da Nang development. This resolution reflects the city’s new approach to investment attraction, with a focus placed on priority sectors such as semiconductors and artificial intelligence. At the same time, Da Nang is permitted to pilot controlled testing of new technologies, support innovation and startups, and foster the formation of a dynamic science and technology market to create breakthrough products and services.

Notably, Da Nang is the first locality in Vietnam to pilot the establishment of a free trade zone linked to Lien Chieu Port. This is expected to be a major boost for the city to become a major, eco-friendly and smart urban center, a hub for startups and innovation, and a livable coastal city of the top Asian class. Additionally, along with Ho Chi Minh City, Da Nang has been selected as a location for developing an international financial center in Vietnam. In addition to offering advisory and proposing policymaking, the city has actively prepared necessary conditions, ecosystems and infrastructure - both hard and soft - to support the operation of this financial center.

To make the most of these opportunities and further improve investment attraction outcomes, especially FDI, in addition to planning and building modern synchronized infrastructure, preparing clean land for investors and enhancing investment promotion in a more professional, targeted manner, Da Nang City is also formulating and implementing specific investment incentive policies, particularly in priority sectors such as high technology, semiconductors, artificial intelligence, startups, innovation, supporting industries, information technology, and tourism. The concentration on these sectors aligns not only with the city’s sustainable development goals but also with the needs of next-generation FDI inflows.

Furthermore, Da Nang is prioritizing the enhancement of its investment promotion personnel, continuing to speed up administrative reforms, improving state management quality and building an e-government and digital government. At the same time, the city is committed to developing its human resources and establishing a transparent, open and appealing investment environment, aiming to position Da Nang as a regional center for finance, high technology and innovation in the Central Coast and the Central Highlands.

Thanh Tung (Vietnam Business Forum)