Localities in the northcentral region have made concerted efforts and implemented various measures to attract investment, especially foreign direct investment (FDI), contributing to socioeconomic development in 2024.

Nghe An is the leading locality in the region in attracting investment capital in 2023.

The local authorities granted investment licenses to 116 projects and approved capital addition for 185 existing projects with a combined capital of over 57.89 trillion VND (nearly 2.36 billion USD). The total newly granted and additional capital of FDI projects hit 1.6 billion USD, up 66.8% compared to 2022.

According to the Southeast Economic Zone Management Board in Nghe An, the locality recorded six new investment projects with a total registered capital of 390 million USD in early 2024, all of them high-tech and environmentally friendly.

Le Tien Tri, director of the management board, said thanks to efforts of the local authorities to accelerate administrative reform and develop infrastructure and human resources, new investment have been pumped into the locality in recent times.

The locality supported and connected to provide 8,000 workers for FDI enterprises in 2023. The figure is expected to increase to 15,000 - 20,000 this year.

According to data released by the Foreign Investment Agency under the Ministry of Planning and Investment, Thanh Hoa was one of the localities that attracted the most FDI in 2023.

The locality lured 83 direct investment projects with a total registered capital of nearly 1.4 billion USD, including 14 foreign-invested ones.

Notably, the provincial authorities granted investment certificates to 15 domestic projects worth more than 10 trillion VND, and six FDI ones with a total capital of 50 million USD in the Nghi Son Economic Zone and industrial parks.

In 2023, Ha Tinh gave in-principle approval to 18 domestic investment projects with a total registered capital of 1.72 trillion VND and two foreign-invested projects worth 70 million USD.

Estimates show approximately 18.96 trillion VND in FDI was poured into the locality, surging by 99.17% year-on-year.

New regulations to remove bottlenecks for OV real estate investment

The newly approved Land Law, Housing Law, and Law on Real Estate Business, which will take effect from 2025, are expected to create more favourable conditions for Overseas Vietnamese (OVs) in owning and trading real estate, according to experts.

The laws provide a uniform approach to issues related to land, housing and real estate, ensuring the rights of OVs with the Vietnamese nationality to own and trade real property like Vietnamese citizens residing inside the country, evidencing  the country’s policy of taking OVs as an inseparable part of the nation.

Under the newly-adopted Land Law, Vietnamese citizens residing abroad can enjoy full rights related to land, not only those to residential land, like their fellow residents inside the country.

They are allowed to build houses and invest in construction projects for sale, lease, lease purchase, and invest in technical infrastructure in real estate projects to transfer, lease, and sublease the right to use land with technical infrastructure.

Currently, OVs are allowed to own houses in Vietnam, but can only receive transfer of residential land use rights through purchase, lease purchase, inheritance, and donation of housing attached to land use rights, or only receive residential land use rights in housing development projects.

The regulations have prevented them from transferring, donating, and inheriting land outside housing development projects, and from enjoying the right to build and own houses on land outside housing development projects.

Lawyer Nguyen Van Hau, Vice Chairman of the Ho Chi Minh Bar Association, said that with the new regulations, it will be easier for OVs to own real estate in the country.

He elaborated that previously, although regulations allowed OVs to buy real estate in Vietnam, many had to authorise their relatives to be the owner of the property. Because of concerns about complicated procedures and regulations, many overseas Vietnamese hesitated to buy real estate in the country, he added.

This amendment has created equality between domestic individuals and OVs in terms of investing and undertaking ventures in the real estate business. When buying a house and having the rights like domestic citizens, they will transfer remittances to invest and buy a house in Vietnam. Thus, the real estate market will see great demand from OV individuals for high-end housing in the market now, Hai stated.

Last year, more than 19 billion USD in remittances flowed into Vietnam, a similar figure to 2022. It is forecast that in 2024, remittances will increase by about 20% compared to 2023.

Since 2012, the amount of remittances sent to Vietnam has reached over 10 billion USD per year, of which about a quarter is poured into real estate.

Mai Hai, a real estate broker, said that the populous market and high profits are considered attractive for remittance to pour into Vietnamese real estate.

He noted that the rate of OVs buying houses in Vietnam is increasing, adding that Vietnam’s rental profit is also quite attractive at 5-7%, higher than developed markets like Australia or the US.

According to the Business Association of Overseas Vietnamese, in the future, the amount of remittances will be abundant because the Vietnamese community abroad is increasing in both quantity and living areas.

The number of Vietnamese people living abroad, which was about 2.7 million in 2004, has now tripled to about 7 million in 109 countries and territories around the world.

About 80% of overseas Vietnamese live and work in developed countries such as the US, Australia, Canada, and France, and more than half a million work through labour export programmes, or study abroad.

PM orders measures to ensure supply of power, fuel

Prime Minister Pham Minh Chinh has ordered solutions to ensure the supply of electricity and coal and gas for electricity production in the coming time.

In a recent directive, he stressed that ensuring electricity supply and national energy security ís the foundation and a crucial prerequisite for socio-economic development, determining the success of the national industrialisation and modernisation.

The government leader requested the State steering committee for important national and key energy projects to focus on directing, inspecting, coordinating, and urging the implementation of tasks on investing and building national important programmes, works, and projects in the energy industry under resolutions of the National Assembly and the Government, and decisions and directives of the PM.

Ministries, sectors, and People’s Committees of localities were requested to resolve difficulties related to land clearance for national important energy works and projects.

The Ministry of Industry and Trade (MoIT) will be responsible for directing the implementation of National Power Development Plan VIII, focusing on tasks to ensure supply for the power system in the north in the coming years.

It was ordered to direct the Electricity of Vietnam (EVN) and the National Power System Dispatch Centre to operate power systems to ensure supply and develop plans for supplying power to ensure the supply backup and response to extreme operating scenarios that may occur.

The ministry was also tasked with forecasting and developing plans to direct the Vietnam Oil and Gas Group (PetroVietnam), the Vietnam Industry - Coal and Mineral Industries Group (Vinacomin), and the Dong Bac Corporation to continuously provide adequate amounts and types of coal for power production following signed contracts.

The PM’s Directive underlined the need to effectively implement requirements on enhancing electricity saving, and the national target programme on economical and efficient use of energy; and speed up the application of technology, and innovation to increase labour productivity in the energy sector.

It also required strict and effective implementation of state management for power sources produced and traded in the non-state area.

Quang Ninh taps local culture for tourism development

The northern coastal province of Quang Ninh has dedicated resources to maximise its potential for developing tourism, particularly cultural and community-based tourism.

Quang Ninh, home to more than 20 ethnic minority groups, is well-known among tourists not only for its magnificent natural scenery but also for its distinct local cultures.

Investing in cultural values and ensuring that local communities benefit from cultural tourism development is a direction toward sustainable tourism.

Quang Ninh has successfully initiated this approach with a model of cultural tourism in Yen Duc village in Dong Trieu township.

Not only Yen Duc, Quang Ninh boasts many villages with great potential for culture tourism. Many locations have been included in the province's community tourism development project and others of localities in Ha Long city and Quang Yen, Dong Trieu, Binh Lieu, Ba Che, Hai Ha, and Mong Cai districts, and coastal and island areas of Van Don and Co To districts.

The traditional cultural values of ethnic minorities in Ky Thuong mountainous commune in Ha Long city have been exploited in parallel with ecological values, becoming unique tourism products.

Thanh Y Dao cultural conservation area in Bang Ca commune is also an attractive cultural tourism destination in Ha Long city. Recently, several travel firms have organsised tours to the site. Tourists, especially international visitors, are very excited and enjoy these activities.

Exploiting cultural resources well to serve tourism development has become a right direction for Binh Lieu district, thus gradually forming strong tourism products such as eco-tourism, community tourism, and adventure tourism. Some homestays in Binh Lieu's ethnic minority areas such as Song Mooc, A Dao and Hoa So have become popular places to stay for tours.

Among the four tourism pillars of Quang Ninh, community-based tourism plays an important role in promoting socio-economic development of the locality, especially in mountainous, remote and disadvantaged areas, contributing to preserving and upholding the cultural values of local ethnic groups.

Insiders say it is necessary to create a close linkage among the local authorities, businesses, and tourism service providers, thus enhancing community tourism development in the locality.

The sustainable development of community tourism relies on the active participation of local communities, who share both the benefits and responsibilities, they stressed.

Recently, at a workshop on orientations for tourism development held in Ha Long city, Vice Chairman of the National Council for Cultural Heritage Dang Van Bai affirmed cultural tourism contributes to preserving, promoting, and enriching the unique cultural values of Quang Ninh.

Cultural tourism is an effective means to promote the culture and image of attractive tourism destinations in Quanh Ninh, especially the World Natural Heritage Site Ha Long Bay, to international friends, he said.

Quang Ninh also aims to contribute to building and positioning the Vietnamese tourism brand in the international market.

Middle East the fourth largest importer of Vietnamese tuna: Association

The Middle East has become the fourth largest importer of Vietnamese tuna, behind only the US, the EU, and the CPTPP market, accounting for nearly 10% of Vietnam’s total tuna export turnover, the Vietnam Association of Seafood Exporters and Producers (VASEP) has said.

Statistics from the General Department of Customs showed that Vietnam last year exported 82 million USD worth of tuna to the bloc.

Vietnamese tuna exports to several markets throughout the Middle East region recorded a considerable surge in 2023 compared to the previous year.

Specifically, tuna exports to Israel, Lebanon, the United Arab Emirates (UAE), and Turkey climbed by 37%, 17%, 23%, and 73%, respectively.

Exports to other markets in the bloc saw a strong decline including Egypt, down 47%, and Saudi Arabia, down 78%.

In recent years, facing many challenges from main consumer markets, Vietnamese tuna businesses have looked to smaller markets with potential such as the Middle East to diversify export markets.

But the bloc also sets forth high requirements for imported food products, including Halal certification, forcing local firms to process and package appropriately to meet these requirements.

Last year, Vietnamese tuna exports hit 845 million USD, a year-on-year decrease of 17%, according to VASEP.

In December alone, however, the exports recorded a slight increase of 7% year-on-year to 73 million USD, it said.

Vietnamese's tuna products are being shipped to 99 markets around the world.

Connecting local stores on e-commerce platforms

The Centre for Information and Digital Technology under the Vietnam E-commerce and Digital Economy Agency, Ministry of Industry and Trade, has been connecting local departments, agencies and branches with e-commerce platforms and e-commerce service providers to deploy the Flagship Store model of local stalls on e-commerce platforms.

According to a representative of the centre, this is also a solution within the GoOnline national e-commerce application programme, chaired by the Vietnam E-commerce and Digital Economy Agency in co-operation with major e-commerce platforms.

It will provide harmonious solutions to help small- and medium-sized enterprises (SMEs) in localities optimise operating processes and manage sales channels to distribute products of local businesses for the best efficiency.

The programme is aimed at all SMEs that need to develop sales on e-commerce platforms, from common essential products to specific products.

In addition, the programme expects to support businesses with potential products but having difficulty in personnel or costs to expand sales channels via e-commerce platforms.

Participating in this programme, each province and locality will be able to set up a booth on a major e-commerce platform, focusing on all manufacturing enterprises and products of the province, to facilitate the management, operation and distribution of products on the e-commerce platform.

According to the representative of the centre, businesses will be provided with useful and practical information about the market, business strategies and sales campaigns throughout the duration of their participation.

At the same time, it has been working with a number of businesses on technology and services so that when this solution is put into operation, it will directly support businesses in setting up booths and marketing, PR, livestream sales, logistics management and customer care to optimise both costs and sales efficiency.

In addition, to ensure long-term development, organising training for the business's own e-commerce operations team is also an important part of the programme.

In the near future, the Centre for Information and Digital Technology expects to deploy the Flagship Store on the e-commerce platforms Shopee and Lazada.

Argentinian businesses hail investment environment in Vietnam

Argentina's newspaper La Nacion has run an article highlighting the business climate in Vietnam and encouraging the country's firms to explore the Southeast Asian market.

The article underlined that Vietnam is the 10th largest economy in Asia with its GDP reaching 410 billion USD, a forecast growth of 6.5% and inflation of 3.4% in 2024.

In the first 11 months of 2023, Argentina exported nearly 2 billion USD worth of goods to Vietnam, and enjoyed a trade surplus of 640 million USD, it noted.

However, it pointed out that there are only a few Argentinian investors in Vietnam.

It quoted Argentinian entrepreneurs Guillermo Cena and Santiago Campanera, who are running their business in Vietnam, as speaking highly of Vietnam - a land of opportunities for Argentinian exporters and investors.
 
Cena advised investors to make long-term plans and stay open to be ready to accept differences in culture, and asserted that the 100-million-strong market of Vietnam is a promising land for Argentinian products and services, with a high demand for high-quality food products.

Meanwhile, Campanera stressed that Vietnam is an open market economy, and called on Argentinian firms to explore opportunities in this stable and expanding economy. The Vietnamese Government always creates chances for production development and global integration, he stated.

Cena said that he plans to diversify agricultural products imported from Argentina in Vietnam, while Campanera advised Argentinian enterprises to launch businesses in Vietnam to better explore the demand of the local market.

Enterprises, authorities move to bolster industrial production

Vietnamese enterprises and authorities are taking action right from the start of 2024 to promote industrial production though many challenges remain in the global economy.

The General Statistics Office (GSO) reported that the Index of Industrial Production (IIP) in January fell 4.4% month on month but still went up 18.3% year on year. In particular, the processing - manufacturing sector expanded 19.3% from a year earlier, contributing 15.1 percentage points to the overall growth.

Notably, the January IIP posted year-on-year increases in 60 provinces and cities, with declining in just three others, the GSO said, attributing the fast expansion in some localities to sharp rises in the processing - manufacturing sector and the production and distribution of electricity.

Those recording high index rises in the processing - manufacturing sector include Quang Ninh province 157.9%, Bac Giang province 57.7%, Nam Dinh province 56.9%, Vinh Long province 51.2%, Kien Giang province 47.7%, Phu Tho province 39.4%, and Ho Chi Minh City 26.9%.

Though the global economy is still facing numerous difficulties and market demand has yet to recover, the country’s IIP has continued improving thanks to the efforts of producers to seek new orders and prepare goods for the Lunar New Year (Tet) holidays, according to the GSO.

In HCM City, production and business activities of local firms have become vibrant since the year’s beginning. The municipal Statistics Office noted the local IIP increased 26.9% year on year in January.

Among the companies based in the southern economic hub, the Toan Viet electronics and informatics company recently coordinated with partners to debut Vietnam’s first set of artificial intelligence-powered desktop computer, named ROSA PC AI, that uses the Ryzen 8000G Series processors.

Experts held that despite impacts of the global economic recession, localities nationwide have applied flexible measures to create the best possible environment for investors to carry out projects while at the same time attracting new investors to high-tech and environmentally friendly industries.

In the northern province of Vinh Phuc, some large investment projects have become operational, including the Bhflex Vina-1 electronic component factory worth 816 billion VND (33.5 million USD), a vehicle production and assembly plant invested with 564 billion VND by the Aeon Motor Vietnam Co. Ltd, and an 840 billion VND plant project that produces trays and boxes for industrial and e-commerce activities.

These businesses are promoting production and expected to enjoy vigorous growth in 2024 and 2025.

Truong Thanh Hoai, Director of the Industry Agency under the Ministry of Industry and Trade, said that this year, the agency will press ahead with effectively implementing the Government-approved enterprise support policies to remove obstacles to production and business activities, particularly in such key export sectors as textile - garment and leather - footwear, along with foundation industries like automobile, mechanics, and steel.

It will accelerate the completion and inauguration of new industrial production projects to serve export and domestic consumption, he went on.

For its part, Vinh Phuc will continue strongly reforming its growth model, with a focus on industrial development. It will shift from an industrialisation policy based on traditional advantages like geographical location, cheap labour, and natural resources to the one based on modern competitive edges like human resources quality, labour productivity, infrastructure, and progressive regulations.

The province will also effectively step up dialogue with, and assistance for enterprises to recover and boost industrial growth, according to local authorities.

Phi Thi Huong, Director of the GSO’s Industry and Construction Statistics Department, recommended localities increase demand stimulation and promotional programmes to fuel purchasing power, thus helping expand the domestic market for enterprises amid export difficulties. They should also hold more business-matching events to help firms seek partners and boost sales.

Meanwhile, Minister of Planning and Investment Nguyen Chi Dung said this ministry will propose the building of some preferential mechanisms and policies to assist large enterprises to grow further. Part of the assistance will be sourced from the Investment Support Fund, collection from the global minimum tax, and other legal sources.

Border gate of Bac Luan 2 Bridge resumes operations after Tet early

The border gate of Bac Luan 2 Bridge in Mong Cai city, the northeastern province of Quang Ninh, resumed customs clearance after the Lunar New Year (Tet) holiday on February 12, five days early.

The management board of the Mong Cai International Border Gate said that on February 12 – the third day of the Year of the Dragon, authorities at the Bac Luan 2 Bridge border gate handled export procedures for nearly 60 tonnes of live seafood, comprising lobster and crab, worth over 781,000 USD.

Leaders of Mong Cai city also visited and extended Tet greetings to the officers and businesses working at this border gate on the day.

Earlier, the Vietnamese and Chinese sides had agreed on the Tet holiday plan for the Mong Cai (Vietnam) - Dongxing (China) international border gate pair. Accordingly, the two international facilities are scheduled to suspend handling customs clearance procedures from February 10 through 17 at the Bac Luan 2 Bridge border gate, along with the pair of the Dongxing border market and the Km3 4 Hai Yen border crossing.

After discussion with Vietnamese authorities, the Chinese side decided to allow imports, mainly fresh produce from Vietnam, to enter its country from February 12.

Regarding entry and exit, authorities of both sides have been working throughout Tet at the Mong Cai and Dongxing international border gates, including the border gates of Bac Luan 1 and Bac Luan 2 bridges, to serve people and tourists’ travel demand.

PM inspects key transport projects in southern region

Prime Minister Pham Minh Chinh examined the projects of Ring Road 3 in Ho Chi Minh City, Long Thanh International Airport in Dong Nai province, and Bien Hoa - Vung Tau Expressway on February 13.

The Ring Road 3 project, about 76.34km long, traverses HCM City and the nearby provinces of Binh Duong, Long An, and Dong Nai. Invested with some 75.378 trillion VND (3 billion USD), it is scheduled to be basically completed in 2025 and put into use in 2026.

Visiting the engineers and workers who are building an elevated section of this road in Thu Duc city of HCM City, PM Chinh appreciated them working throughout the Lunar New Year (Tet) holiday to step up construction.

He said Ring Road 3 of HCM City plays an important role in connecting main domestic and international transport gateways, linking economic hubs in the south, and promoting socio-economic development in not only HCM City but also the entire southern region and Vietnam.

Given this, the Government leader asked the relevant localities and units to keep making efforts to accelerate the project and put it into use in 2026.

At the construction site of Long Thanh International Airport, PM Chinh said this was the third Tet he had inspected this project, after the Tet holidays in 2022 and 2023.

He praised efforts by ministries and sectors, especially the Ministry of Transport, the Airports Corporation of Vietnam, along with the Party organisation, administration and people of Dong Nai province, in implementing the project.

As this project is lagging behind schedule, he ordered ministries, sectors, units, and the province push ahead with accelerating its progress to complete the construction in 2026.

The PM also ordered them conduct frequent examination to ensure the quality, technical and aesthetic aspects, environmental hygiene, and labour safety while preventing negative acts and wastefulness.

In addition, he asked for the resettlement work to be centred on people, noting that it is important to properly handle people’s opinions, protect their rights and legitimate interests, and especially ensure their life quality in new living places is better than in previous ones.

On this occasion, PM Chinh also visited a resettlement area for the airport project in An Binh hamlet of Loc An commune, Long Thanh district.

The same day, he made a fact-finding trip of the Bien Hoa - Vung Tau Expressway project, which is 53.7km long in the first phase and has total investment of nearly 18 trillion VND. This road will feature six intersections, including two important ones of HCM City - Long Thanh - Dau Giay and Ben Luc - Long Thanh.

Talking to relevant ministries, sectors, and localities, the Cabinet chief highlighted this expressway’s importance to connecting HCM City - Long Thanh - Dau Giay Expressway, Ben Luc Expressway, and the roads to Long Thanh Airport, thus helping solve traffic congestion on National Highway 51.

Bien Hoa - Vung Tau Expressway will also help maximise the potential of the Cai Mep - Thi Vai seaport complex and Long Thanh Airport while fostering socio-economic development in Dong Nai and Ba Ria - Vung Tau provinces as well as the southeastern region, he added.

The PM assigned tasks to the relevant sides and demanded that all difficulties and obstacles related to site clearance and construction materials must be resolved by June 30 this year to speed up the project and complete it in 2025.

On the afternoon of the same day, PM Chinh attended a ceremony to welcome international ships and give the order to handle the first cargo in the Year of the Dragon at Tan Cang - Cai Mep international port (TCIT) in Phu My commune, Ba Ria - Vung Tau province.

PM launches operations of Tan Cang – Cai Mep int’l port

Prime Minister Pham Minh Chinh on February 13 (or the fourth day of the lunar New Year) attended a ceremony to welcome international ships and give the order to handle the first cargo in the Year of the Dragon at Tan Cang – Cai Mep port (TCIT) in southern Ba Ria – Vung Tau province.

The Tan Cang - Cai Mep port cluster, located near the Thi Vai - Cai Mep river T-junction, is a national gateway and a point of transit for goods between Vietnam and countries around the world, especially the key export and import markets of Vietnam in the Americas, Europe, and Asia, thus playing an important role in trading activities and economic development of the country.

Over the past 15 years, the port, run by the Saigon New Port Corporation under the Vietnam People's Navy, has become the country’s deep-water container port with largest throughput.
 
In 2023, despite many difficulties, the corporation completed its set plan. The throughput of container cargo through ports in the system reached 9.75 million twenty-foot equivalent units (TEUs), equivalent to nearly 140 million tonnes of cargo, up nearly 1% (accounting for 56.8% of the country’s total). The Tan Can – Cai Mep port cluster alone posted a growth rate of 10%, with the throughput reaching 2.7 million TEUs. 

Addressing the event, PM Chinh praised the corporation’s contributions to the achievements of the Vietnam People's Army and the whole country in 2023.

He said Vietnam is promoting the development of the marine economy, with the aim of becoming a strong marine nation.

The PM asked the corporation to engage in the development of seaports to connect the country's inland ports with international ones, and support localities accommodating its seaports to develop logistics, thereby helping improve the competitiveness of Vietnamese products, especially agricultural products.

The corporation was urged to join the modernisation of ports, promote greening and digital transformation to build smart ports.

According to the PM, Vietnam has trade relations with more than 60 major markets in the world within the framework of free trade agreements (FTA), so the volume of exported and imported goods is very large. The corporation needs to work to ensure a smooth flow of goods, for the benefit of the people.

He also asked officials of relevant ministries and Ba Ria – Vung Tau province to support the corporation to build a smart, modern, green and safe Tan Cang – Cai Mep international port.

Though the year 2024 is forecast to witness more difficulties and challenges than opportunities, the corporation should target stronger growth than in last year, reduce logistics costs, and help to further enhance the competitiveness of Vietnamese goods in international markets, thereby contributing to the development of the country and the Vietnam People’s Army, PM Chinh added.

On the occasion, he presented new year gifts to officials and workers at the port.

Source: VNA/SGT/VNS/VOV/Dtinews/SGGP/VGP/Hanoitimes