Outstanding economic development in June

MOVING FORWARD

 

The province planned to reach 1billion USD of FDI attraction in 2016, but after just 7 months, it reached nearly 1.45 billion USD (1.5 times more than planned). The attraction value is expected to increase in the last 5 months. Meanwhile, Domestic Investment attraction reached over 7.6 trillion VND which accounted for 85% of the total plan and increased 42% more than the same period last year.

 

Director of DPI – Mr. Cao Tien dung said: “Even though Dong Nai chooses to attract investment selectively, many FDI enterprises want to invest here since the province has a lot of potential that the investors need. So far, there have been 44 nations and territories investing in the province in many sections with the total capital of over 29 billion USD”. As a province with many core transportation projects to connect between areas, many industrial zones (IZ) and simple investment procedure…, Dong Nai is always in the top FDI and domestic investment attracting provinces. In the past few years, FDI projects invested in Dong Nai were implemented and put into operation quickly. There were FDI enterprises that completed their project construction and put into operation only 6-12 months after being certificated. Due to the increase of FDI enterprises which invested in supportive industries and domestic stock supply; the import turnover decreased and surplus value increased.

 

 “After the first 7 months of 2016, Dong Nai’s surplus value reached over 1 billion USD, which was the highest value so far. The reason for that is the increase of FDI investment in supportive industries and the enterprise chose to buy domestic stock supply to get tax incentive according to the trade agreements of Vietnam”. – Said Mr. Duong Minh Dung – Deputy Director of DPI.

 

Dong Nai is an industrial province, but agriculture is also the priority here. According to Deputy Director of Department of Agriculture and Rural Development – Mr. Huynh Thanh Vinh, the weather had been rough in the first 7 months of 2016 with drought, salinization that affected thousands of hectares of farming; however, by applying science technology, farmers were still able to maintain the productivity. Breeding was not affected by any decease, chicken and pig could still be sold with high prices so in general, the provincial agriculture still stably developed.

 

SOLVING DIFFICULTIES

 

Despite being in the top economic developing provinces, Dong Nai is still facing some difficulties that need the solution from the Government, Ministry of Planning and Investment to reduce the Central budget regulatory rate term 2017 – 2020 to maintain social security and economic development. Dong Nai population is currently 3.2 million, increased 300 thousand more than 2015 record; so the province proposed to allocate more funds to the areas that have high mechanical population increase. At the same time, the province shall be allow to benefit 100% the exceeding of the Central estimated revenue to invest in the core projects. The ODA loans for the domestic wastewater processing factory project in Bien Hoa shall be expanded from 20% to 80% (The project has the total cost of 275 million USD).

 

Mr. Nguyen Quoc Hung – Deputy Chairman of Provincial People’s Committee said: “Dong Nai proposed that the Government allow the province use some of the investment revenues such as: using100% of the traffic fines to invest in the accident blackspot removal project to maintain traffic safety; expand the provincial road maintenance fund since the traffic has increased greatly on may provincial route causing quick degradation”. At the same time, the province also encountered difficulties due to the asynchronous between the specialized laws and regulations that caused projects implementation delay. Thus, the ministries shall guide and give solution to those difficulties to stop these delayed projects.

 

Mr. Nguyen Van Hieu confirmed: “Those provincial difficulties and limitations that are under the jurisdiction of Ministry of Planning and Investment shall be reviewed and resolved soon. Those that are under the jurisdiction of the Government, the Ministry recommend that the Government shall timely solve so as to maintain the provincial stable development to contribute more to the national development”.

 

Huong Giang

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