Thai Nguyen’s pledge to continue its rise

Although Thai Nguyen is riding an impressive upward trajectory, it has devised plans to become a greater driver of Vietnam’s future success -Photo: Viet Hung

In 2015, Thai Nguyen ranked seventh out of 63 cities and provinces of Vietnam in the Provincial Competitiveness Index (PCI), which grades provinces in terms of how favourable their business environment is for the development of the private sector. This is the second time the province was selected among 10 cities and provinces with the highest PCI.

In order to achieve these results, the province has been carrying out a comprehensive reform of administrative procedures to effectively facilitate the operation of companies in the area.

According to Vu Hong Bac, Chairman of the Thai Nguyen People’s Committee, the government agencies in the province commit to a “three-friendly” policy – friendliness to the environment, friendliness to investors, and friendliness to people.

“On the other hand, the province invests in, as well as encourages the private sector to invest in, infrastructure and education in order to provide to the market high-quality human resources,” he said.

Thanks to these efforts, the province has become a hot destination for investors from Vietnam as well as other countries. According to data of the Foreign Investment Agency under the Ministry of Planning and Investment, from the beginning of the year through June 30, the province issued investment certificates to 16 new foreign-invested projects, with the combined registered capital of $48.52 million. As of that time, the province had 111 effective projects, with the total registered investment capital of $7.096 billion.

A notable example of a foreign-investor currently in Thai Nguyen that contributes to the growth of the province is Samsung. The South Korean electronic manufacturer’s complex includes electronic components and mobile device production with the total investment capital of $6.5 billion.

Companies come to Thai Nguyen to cash in on the province’s potential in many industries. Its fertile soil and pleasant climate is well-suited to tea plantations. The beautiful natural scenery, culture, and historical sites are advantages for tourism. As the country’s third-biggest education hub, the province can supply high-quality human resources to companies in Thai Nguyen and the surrounding provinces.

In addition to continuing the effort to create a favourable business environment to attract investors in the future, in the coming years the province will push key projects designed to attract more investment capital. These projects include: the Nui Coc lake cultural and religious tourism area, addressing the urgent need for an anti-flood system for the Cau River and urban infrastructure on the two banks of the river, the high tech agriculture project for Thai Nguyen and surrounding area, the Ring Road 5-Hanoi area, the An Lac Vien Thai Nguyen cemetery project, and the Vincom trade centre.

“In the coming years, the province plans to make manufacturing, high-tech agriculture, and tourism the drivers of growth. With great potential and the local authorities’ efforts to make doing business here easier, Thai Nguyen hopes that more investors will decide to make the province their base, and help it grow at a faster and more sustainable pace,” Bac said.