Finding ways to develop central area’s economy

Associate professor Tran Dinh Thien, former director of the Central Institute for Economic Management and member of the consultancy team for developing the central coastal area, talks to Investment newspaper about economic development of the area.

Central Vietnam emerges as world’s gateway to ASEAN
Vietnam has many seaports but lacks roads connecting ports
Developing from strength to strength

Finding ways to develop central area’s economy
Associate professor Tran Dinh Thien.

Coastal central and Central Highlands provinces are rich in manpower, tourism and land. But urban, economic zones and industrial zones planning do not match. What is the problem?

The central provinces are quite similar to each other when it comes to developing and attracting investors. They are different from northern and southern economic zones because of terrain.

Central provinces have no natural advantages to develop traditional agriculture because of field and water sources. They also do not have any advantage developing classical industrial businesses such as processing and manufacturing, which are based on natural resources and cheap labour. This may be the simple reason why central provinces are poor, even poorer than northern and southern ones.

Central provinces are similar to each other over development, and are all poor. There are conflicts between them and it is difficult to get them to work together.

Are central provinces changing?

Yes, they are which is lucky. Central provinces are finding themselves new ways to develop.

In modern conditions, disadvantage can become advantages to develop.

They are diversified and have plentiful sea resources and attractive culture and history. All of them are strengths to make progress.

High-level tourism, agriculture and prospect to develop modern industry together with seaports are good for the region.

Will everything be easy?

No, of course not. The area is still looking for its own identity for their suitable development.

No one know how tourism will develop, especially high-end tourism. But central provinces are doing it with encouraging results.

 

They are also looking at high-technological agriculture going together with tourism, and building creative centres with coastal urban areas at international levels.

Nothing is easy, especially for a poor area. But I see that the area is steadily heading in the right direction.

What is the role of planning in developing regional economy?

The strength to integrate to the world, and make the world a smaller place. They are great opportunities to attract quality resources, especially financial, scientific, technological and manpower resources.

How would you describe the central region from a joint development point of view?

Central provinces have several similar basic specific characteristics, such as close to sea, close to mountains, little plains, little sand-banks, many sea gates. It is also prone to flooding and droughts. There are 14 central provinces from Thanh Hoa to Binh Thuan.

Right now, it cannot be an effective joint developing area. But thanks to aspirations it can be divided into different developing sections. These are the area north of central, which is from Thanh Hoa to Thua Thien-Hue, central economic zone, which is from Thua Thien-Hue to Binh Dinh, and the coastal area “independent to create join development area”, including 11 provinces from Quang Tri to Binh Thuan.

Setting up developing areas should be flexible, and give them rights to be independent in joint development. It is sure that results will be better.

What is your advice for the area?

Central provinces should not only develop tourism, but also industry. They should take advantage of mountainous areas to plant trees to protect the environment. They should consider joint development important, and call for investment to build coastal roads and widen airports.

Many central provinces hire international organisations to build developing plans.

However, fees for hire are high, so I think they should create closer cooperation between international and domestic organisations. The plan can be made by Vietnamese people, and then collect opinions, and hire international consultants to work with Vietnamese from the very beginning to the end of the project.

VNS

 
 

Other News

.
Haiphong to build free trade zone
Haiphong to build free trade zone
BUSINESSicon  15/10/2021 

The northern port city of Haiphong envisions setting up an inner-city free trade zone to drastically accelerate the city’s development.

Next six months vital for economic recovery: experts
Next six months vital for economic recovery: experts
BUSINESSicon  15/10/2021 

PM Pham Minh Chinh has chaired a webinar discussing Vietnam's measures in boosting post-pandemic economic recovery, adapting to the COVID-19 pandemic, overcoming economic disruption and strengthening locality-to-locality connectivity.

Domestic groups move over to buyer’s side in M&A deals
Domestic groups move over to buyer’s side in M&A deals
BUSINESSicon  15/10/2021 

Vietnamese groups are becoming more active in acquiring other businesses, while overseas investors are seeing themselves hindered amid continued travel restrictions.

Bad debt trading platform to start operation
Bad debt trading platform to start operation
BUSINESSicon  15/10/2021 

The bad debt trading floor of Vietnam Asset Management Company (VAMC) is set to begin operation today (October 15).

More than $10 billion per year to develop the power sources and grid in the 2021-2030 period
More than $10 billion per year to develop the power sources and grid in the 2021-2030 period
BUSINESSicon  15/10/2021 

The demand for investment capital for the development of power sources and grids averages US$10-11.5 billion per year by 2030.

IMF forecasts Vietnam's GDP to see highest growth in ASEAN 5 group
IMF forecasts Vietnam's GDP to see highest growth in ASEAN 5 group
BUSINESSicon  15/10/2021 

The International Monetary Fund (IMF) has forecast Vietnam’s GDP to grow at around 3.8% this year, higher than that of its regional peers, Malaysia, Thailand, the Philippines, and Indonesia.

One-year EVFTA: major European investors pour billions of dollars into Vietnam
One-year EVFTA: major European investors pour billions of dollars into Vietnam
BUSINESSicon  15/10/2021 

The Government has reported to the National Assembly about the implementation of EVFTA (EU-Vietnam FTA) over the last year.

Real estate market: regulations inconsistent, market in deadlock
Real estate market: regulations inconsistent, market in deadlock
FEATUREicon  15/10/2021 

Real estate firms are looking forward to a new document to settling legal bottlenecks which have caused the property market to come to a standstill for the last two years.

VN businesses prepare to weather the storms of Covid, adapt to new normal
VN businesses prepare to weather the storms of Covid, adapt to new normal
FEATUREicon  15/10/2021 

All businesses have to struggle hard to survive the pandemic. However, they are keeping calm and optimistic, because the ‘alluvium will come after the floods’.

Curbs fail to faze South Korean M&A
Curbs fail to faze South Korean M&A
BUSINESSicon  14/10/2021 

According to data from MergerMarket, which is a business development tool designed specifically for the M&A sector, South Korean investors have carried out 69 M&A deals in Vietnam since 2005, with a total value of $5.1 billion.

Inconsistencies deter power plan feasibility
Inconsistencies deter power plan feasibility
BUSINESSicon  14/10/2021 

Power source development in recent years has been at odds with load distribution, and many coal-fired power plants expected to operate in the last five years are behind schedule.

Vietnam vows to stamp out unregulated fishing
Vietnam vows to stamp out unregulated fishing
BUSINESSicon  14/10/2021 

The Vietnamese government is doing its utmost to prevent illegal, unreported, and unregulated fishing practices, helped along by moves in Europe to remove warnings on the country’s activities.

Gigantic lifeline en route for essential businesses
Gigantic lifeline en route for essential businesses
BUSINESSicon  14/10/2021 

In a bid to help the country recover after the economy grew at a very low level in the third quarter, a huge financial support package is to be offered to enterprises whose performance is a backbone of economic growth.

Bank loans rise despite pandemic
Bank loans rise despite pandemic
BUSINESSicon  14/10/2021 

Despite being strongly affected by the COVID-19 pandemic, bank loans in the first nine months of this year kept rising compared to the same period last year, deputy governor of the State Bank of Vietnam (SBV) Dao Minh Tu said.

VIETNAM BUSINESS NEWS OCTOBER 14
VIETNAM BUSINESS NEWS OCTOBER 14
BUSINESSicon  14/10/2021 

Ministry of Transport agrees to resume two more domestic air routes

GDP growth target is hard to reach: Minister of Planning and Investment
GDP growth target is hard to reach: Minister of Planning and Investment
BUSINESSicon  14/10/2021 

Minister of Planning and Investment (MPI) Nguyen Chi Dung calculated economic growth in the whole of 2021 at between 3 and 3.5 per cent, but also said such a target will be difficult to reach.

Vietnam Chemical Group plans disinvestments to get over VND2.4 trillion
Vietnam Chemical Group plans disinvestments to get over VND2.4 trillion
BUSINESSicon  14/10/2021 

The Vietnam Chemical Group (Vinachem) has submitted to the Commission for the Management of State Capital at Enterprises (CMSC) its restructuring plan for the period 2021-2025.

Positive signs for year-end car shopping
Positive signs for year-end car shopping
BUSINESSicon  14/10/2021 

Car sales in Vietnam increased by 52 percent last month after five consecutive months of decline, showing positive signs for the car market at the end of the year.

WB lowers Vietnam’s GDP growth forecast to 2-2.5 percent this year
WB lowers Vietnam’s GDP growth forecast to 2-2.5 percent this year
BUSINESSicon  13/10/2021 

Vietnam’s GDP growth forecast for this year has been lowered to 2-2.5 percent, according to the World Bank's October 2021 Vietnam Macro Monitoring.

Vietnam’s rice price surges, surpasses that of Thailand
Vietnam’s rice price surges, surpasses that of Thailand
BUSINESSicon  13/10/2021 

The export price of Vietnam’s 5% broken rice has soared recently, surpassing that of Thailand and far outstripping the rice prices of India and Pakistan, according to the Vietnam Food Association.

 
 
 
Leave your comment on an article

OR QUICK LOGIN