Da Nang leads in provincial competitiveness index 2015

Hanoi (VNA) - The central city of Da Nang for the third consecutive year has topped Vietnam’s Provincial Competitiveness Index (PCI) for 2015.

According to the annual PCI report announced by the Vietnam Chamber of Commerce and Industry (VCCI) and the US Agency for International Development (USAID) in Hanoi, on March 31, Da Nang scored 68.34 points. This is also the sixth time the city has topped the list.

It was followed by southern Dong Thap province with 66.39 points, and northern coastal Quang Ninh province with 65.75 points.

Vinh Phuc, Thai Nguyen and Lao Cai provinces in the north, Quang Nam and Thanh Hoa provinces in the central region, and Ho Chi Minh City and Long An province in the south were among the top ten with initiatives in reforming administrative procedure and improving management quality.

The PCI 2015 report was made basing on surveys of 11,700 enterprises across Vietnam, including 1,600 foreign-invested firms.

According to the PCI research group, the quality of economic management of Vietnamese localities has continued to improve, with positive results being recorded in administrative reform and an increasing number of newly-registered enterprises.

VCCI President Vu Tien Loc said the national competitiveness mainly depends on management quality and the business climate at provincial level, adding that through the dynamic thought and hard work of provincial-level governments, Vietnam’s development speed and orientation will be decided.

In 2015, the rate of private businesses expanding their investment increased by over 10 percent, with the median scale of company capital seeing a strong rise at 16.5 billion VND, doubling that of 2006.

The ratio of businesses hiring more employees was 12 percent, doubling the figure from 2012. Meanwhile, up to 49 percent of the interviewed enterprises said they intended to enlarge their business scale in the future – the highest rate over the last five years.

US Ambassador to Vietnam Ted Osius said the PCI survey project has contributed to raising voice of the private economic area and encouraging local governments to improve their business climates, adding that this will help Vietnam develop more comprehensively in the future.

The PCI report considers a range of criteria, including land access for businesses, land use, stability, transparency, an equal and competitive environment and legal support for firms.-VNA