Investors chivvied to finish coastal projects

The requirement follows a Ministry of Planning and Investment (MPI) report which summed up an audit of coastal investment projects across the country.

The seven provinces and cities include Danang, Quang Nam, Quang Ngai, Binh Thuan, Ninh Thuan, Ba Ria-Vung Tau and Kien Giang.

“The ministry and local authorities will examine why projects that have received investment certificates remain on paper and why other projects are moving at such a slow pace,” the Government Office stated.

The government has also ordered ministries and provinces to review all incentives granted to coastal investment projects, after the MPI discovered that some incentives extended beyond their legal remit.

A strong message has been sent to investors that are delaying their projects in central and southern coastal regions and the move indicates government determination to improve the investment climate.

The areas mentioned in the report boast some of the country’s most beautiful beaches and are rich in tourism potential. Over the past decade, these provinces and cities have attracted hundreds of coastal investment projects, mostly luxury resorts and tourism complexes.

While many investors have contributed to the economic growth of the provinces, many others have delayed their investment commitments for years.

The South Korean Daewon Group, for example, has delayed a $250 million coastal urban project in Danang since 2007. The developer planned to develop its real estate project over 210 hectares near Thuan Phuoc Bridge in Hai Chau District, close to the city centre

The project, which is supposed to include villas and high rise apartment, a 60 storey office and commercial building, five-star hotel and international conference centre, 18 hole-golf course, international school, shopping and entertainment centres. However, so far, only some minor work in reclaiming land from the sea has been completed.