Quang Nam Determined to Become Leading Destination for FDI in Vietnam

2:31:31 PM | 24/6/2013

Leaders of the central province of Quang Nam are determined to improve the province’s image, together with improving local infrastructure to become more attractive in the eyes of domestic and foreign investors as part of efforts to make the province one of the top Vietnamese destinations for foreign direct investment (FDI). Mr Dinh Van Thu, Vice Chairman of the Quang Nam provincial People’s Committee, emphasised: “The province always highly appreciates all suggestions from the business community. Being aware of the important role of investment in socio-economic development, over the past years, Quang Nam province has issued policies and mechanisms to create favourable conditions for enterprises of all economic sectors. The province is striving to call on more domestic and foreign enterprises to invest in the province in a move to further develop the local economy”. An An reports.

Quang Nam province is a potential destination for domestic and foreign investors, but to attract them, the province needs more improvements. What specific improvements does Quang Nam need to encourage investment?

Quang Nam needs more improvements in all fields, especially in leaders’ thought, attitude and awareness about the importance of investment in the provincial social-economic development so that they would have right behaviours towards investors. To this end, Quang Nam needs to create a professional and friendly administrative apparatus by improving the quality of its human resources, making procedures and policies more transparent and giving more support for businesses to help them deal with their problems. Moreover, leaders of the province need to hold main responsibility for improving the local business environment to improve its competitiveness.

In addition, the province needs to improve management capacity at all levels to prevent rampant issuance of documents on improvement of business environment and competitiveness and support for businesses without strict supervision and careful consideration, which could cause overlapping and inconsistency in legal documents. The province should give timely support to investors to help them solve problems during their operation there as the province cannot keep investors with only a warm welcome. To win businesses’ confidence in the local business environment, Quang Nam should have long-term commitments and consistency in its policies to facilitate the development of projects.

In the coming time, what solutions will the province work out to improve its investment environment?

We have been working out a series of measures, with a focus on administrative reform in general and those related to business and investment procedures in particular. Specifically, the province is accelerating its administrative reform to create a favourable legal environment for investors by implementing a “one stop” mechanism to receive and guide domestic and foreign investment and simplify administrative procedures. The province should also create transparency in operation of all administrative bodies and publicize all administrative regulations and process at its headquarters. The province should also improve capacity of State employees and tighten its supervision over the performance of legal documents at agencies to create favourable conditions for businesses.

Another focus should be placed on training and technical infrastructure development to attract businesses and investors. The province should invest more in key infrastructure projects and complete them on schedule to create favourable transportation to facilitate businesses’ operation. The projects include Cua Dai Bridge, the Hoi An-Chu Lai coastal road, the expansion of National Highway 1A, upgrading DT Road and building infrastructure for industrial parks and industrial complexes.

The province should pay due attention to human resources training.  More training courses should be organised while training should be diversified to meet the needs of enterprises. Local authorities should regularly hold talks with businesses and investors to timely help them solve their problems and give more support to them during their operation in the province.

What measures has the province taken to attract investors and help them accelerate their projects effectively?

To facilitate businesses’ operation and help them speed up their projects effectively, the Quang Nam provincial People’s Committee issued Decision 3926/QD-UBND on December 3, 2012 on administrative procedures and process for investment projects. The province also plans to widely apply the one-door mechanism in local State administrative agencies to create more favourable conditions for investors. Implementing the “one-door” policy has helped increase transparency in doing administrative procedures for all investment projects, thus shortening the time and investors would not pay any fees for administrative procedures, except the ones regulated by the Vietnam Government, and assisting State agencies in managing these activities.

The provincial People’s Committee has asked the district and municipal People’s Committees to inspect and classify investment projects based on their compensation situation to help investors deal with their problems related to site clearance and compensation, which affect the implementation of projects. District authorities are also asked to sign deals on site clearance schedules with investors and to hand over land to project owners as soon as possible so that investors can kick off their projects soon and complete them on schedule.

On October 18, 2012, the Quang Nam provincial People’s Committee issued Decision 3319/QD-UBND on making commitments to the project construction schedule and making a deposit for an investment project in the province. The decision aims to help State management agencies select qualified investors, who have experience and strong financial capacity, contributing to create a healthy and transparent investment environment for businesses who want to pour investment into the province. The provincial People’s Committee has also asked investment promotional agencies to cooperate with those from district authorizes to check the implementation process of investment projects and recover land and the investment license from projects, whose owners are not qualified enough to continue them. These agencies are also requested to help investors solve their problems related to site clearance and administrative procedures to facilitate the development of feasible projects.

What are Quang Nam’s strategies to attract more investment to help the province become an industrialised locality by 2020?

The province will call on investment in a numerous sectors in the coming time, with a focus on competitive-edge sectors of mechanics; manufacturing; supporting industry for automobiles, electricity, electronics, textile and garment, footwear; consumer and household goods production, and construction material production; mining industry and deep-processing of minerals; and electricity production. The province will give incentives to attract investment in projects to build tourism service facilities, trade centres, supermarkets, hotels, restaurants and other facilities for the high-tech agriculture sector.