Binh Duong Province Inheriting and Developing the Recorded Achievements

Ten years is a short time for a newly-established locality like Binh Duong to implement its socio-economic targets. However, local authorities were creative and dynamic in identifying and using the advantages and specific features of Binh Duong to offer attractive investment opportunities. More importantly, the province has offered stable policies and shared enterprises’ difficulties. Binh Duong has also mobilised external resources for boosting economic development.

Binh Duong’s GDP has seen an average annual increase of 15.2 per cent over the past ten years. Its economic structure has undergone industrialisation and modernisation, bringing great changes since 1997. By late 2006, the industry and construction sector contributed 64.1 per cent to GDP (the figure of 1997 was 50.4 per cent); trade and services, 28.9 per cent (26.8 per cent in 1997); and agriculture seven per cent (in 1997, 22.8 per cent). Per capita income reached VND 17.5 million (more than US$1,100), triple the 1997 figure. Over the past decade, industrial production value has gained average annual increase of 33.4 per cent. Agriculture, despite a fall in GDP contribution, saw an average increase of 6.8 per cent per annum in production value. Trade and services saw average annual growth rates of 13.7 per cent. Binh Duong’s export turnover rose by 30.3 per cent per annum. Its budget revenues were up 24.4 per cent per year. 2006 revenues were seven fold higher than that of 1997. Accordingly, Binh Duong has become one of few localities to contribute to the central State budget. In addition, Binh Duong has promoted investment in infrastructure development to meet the demands of production and business activities of enterprises and people.

The above mentioned achievements, recorded by Binh Duong during the renovation process, prove the province’s economic development is suitable with its conditions and advantages. We will continue to develop these achievements, promoting creativity and dynamism among all our people.

 

Binh Duong has been successful thanks to strategic vision and long-term plans. After Vietnam joins WTO, each locality should conform to requirements of the new international integration period, as well as taking advantage of its potential. We have hired foreign consultants to make important plans and will try to implement them in 2007.

 

To overcome shortcomings in planning activities, we will guide the Department of Construction, the Department of Planning and Investment, People’s Committees of districts and towns to review, adjust and supplement plans which are no longer suitable under the new conditions. Also, State management planning activities will be boosted, plan implementation will be supervised. Violations will be settled in a timely manner in accordance with the regulations. When plans are submitted to the provincial People’s Committee, they have to be feasible, meeting the demands of sustainable development. They have to be publicly announced, allowing local people and investors to understand, and to co-operate with authorised agencies in their implementation. If investors are incapable of implementing plans, they will have their licences withdrawn. The Binh Duong People’s Committee stipulates that if projects are planned for given land plots but have not been implemented yet, local people are allowed to continue production activities on the land and still have full rights to the land as stipulated by the law. Once authorised agencies on the implementation of projects finalize land decisions, compensation, settlement and site clearance will be implemented immediately.

 

After Vietnam joined WTO, new investment waves from Japan, the Republic of Korea, and the US are expected. To continue attracting investment inflows, Vietnam should implement better investment promotion and meetings with enterprise owners and investors; making contacts with trans-national groups, prioritising investment attraction in hi-tech fields. 

 

To gain a growth rate of 29 to 30 per cent for industrial production value, higher than the country’s average figure for the 2006 – 2010 period, local departments, towns, and districts will have to settle difficulties independently, especially in licence granting, land allocation, construction, taxation and customs. Regular dialogue with enterprises should be organised. Also, support should be provided to enterprises in trade promotion, market expansion and trademark promotion.

 

Accordingly, the province will increase investment from its budget for infrastructure development, road building, electricity supply network, safe water supply system, cultural and entertainment facilities and schools. Also, disease prevention will be boosted. Binh Duong will implement its plans in agriculture, prioritising hi-tech and clean technology fields with high economic value, thus improving competitiveness. A breakthrough will be made in services by calling for and creating favourable conditions for investment from all economic sectors, thus increasing services’ contribution to the province’s GDP to over 30 per cent by 2010,.

In socio-cultural fields, the province will strive to settle petitions and complaints; promoting the re-organisation of its apparatus and administrative reform, practising democracy at the grassroots level and improving traffic safety and order. At the same time, authorities at all levels will increase their attention to housing programmes, and building entertainment facilities for workers and low income earners. Education about the law for local people will be promoted.

 

Binh Duong will boost administrative reform alongside implementing the Anti-corruption Law and the Law on Practising Thrift and Combating Waste, developing qualified cadres.

 

GDP growth rate 15 per cent;

GDP structure:

- Industry: 64.5 per cent

- Services: 29.5 per cent

- Agriculture: six per cent

Export turnover increase: 30 per cent

Foreign investment attraction: more than US$900 million

Budget revenue increase: 16 per cent; budget expenditure increase: four per cent, of which development expenditure will increase six per cent.

Reduced rate of malnourished children under age five: 1.7 per cent.

Reduced rate of poor households: by 2.5 per cent (according to new poverty standards).

Job creation: 35,000 – 40,000 workers.