Phu Quoc mega project threat

Phu Quoc Island

Kien Giang People’s Committee recently announced it had set deadlines for Trustee Suisse and its local partner – Vinaconex R&D Corporation – to sign off on a detailed master plan of their Asia Pearl tourism project and land compensation and resettlement plans. The investors have been told to submit a detailed investment plan to the local authority within one year, while the deadline for the land compensation and resettlement plan is six months from August 22.

Le Van Thi, chairman of the provincial People’s Committee, said the local authority wanted to see strong investors invest in Phu Quoc, but stressed Trustee Suisse and its partner had been dawdling on project implementation.

The investors have yet to complete the paperwork necessary to receive investment certificate for the project.

“This doesn’t prove the determination of the investors to invest in Phu Quoc,” said Thi.

Trustee Suisse initially came forward with its around $2.6 billion Asia Pearl proposal in 2007. At the 102 hectare site, it remains the largest tourism project to have ever been proposed for Phu Quoc, an area the government plans to develop as a recreation, trade and  finance and banking hub.

Kien Giang People’s Committee gave the investors the nod for a luxury tourism project but snubbed their plans for a golf course and casino.

The latest move by the local authority shows its determination to improve investment in Phu Quoc Island. Last month, the authority warned all investors intentionally delaying their investment projects on the island that they could be forced to give up their seats to stronger ones.

Phu Quoc, 120 kilometres off the coast of Kien Giang in Vietnam’s south, is home to 75 projects capitalised at around $2.2 billion. The provincial authority has also given in principle agreement for 180 other projects in Phu Quoc Island.