Vinh Phuc’s investment promotion efforts pay off

Vinh Phuc (VNA) – The northern midland province of Vinh Phuc has reaped significant achievements in investment attraction thanks to its efforts in renewing methods in this regard.

During the 2016-2019 period, apart from investment promotion activities at home, the province has promoted its images abroad, especially developed countries like the UK, Germany, the Czech Republic, Italy, Japan and the Republic of Korea (RoK).

During working trips to Japan, the RoK, Europe (the Netherland, Germany and the Czech Republic) and the US, Vinh Phuc’s delegations successfully organised six investment promotion conferences with the participation of nearly 500 investors.

The province’s officials also had working sessions with representatives from 100 organisations and businesses in these countries, contributing to promoting its images and position to foreign investors.

During a large-scale investment promotion conference held in 2018, Vinh Phuc approved investment plans and signed memoranda of understanding on 10 projects with total capital amounting to nearly 1.5 billion USD.

Last year, at another conference introducing Vinh Phuc’s potential to businesses from Europe and the US, the relevant sides also signed memoranda of understanding on investment cooperation and support to Vinh Phuc in attracting EU-invested projects.

On this occasion, Vinh Phuc also signed three memoranda of understanding on three projects worth over 1 billion USD with T&T Group.

Notably, provincial leaders had meetings with ambassadors and officials of Vietnamese representative agencies abroad, and representatives of international organisations and business associations.

At the same time, they met with prestigious groups at home and abroad to call for their investments.

Vinh Phuc province has prioritised major projects with high-quality, using high-technologies.

Between 2016 and 2019, the province attracted 2.5 billion USD in foreign direct investment (FDI) and some 55.28 trillion VND (2.38 billion USD) in domestic direct investment (DDI).

By the end of June 2020, Vinh Phuc was home to 392 FDI projects with total registered capital of 5.57 billion USD, according to statistics of the provincial Department of Planning and Investment.

The projects were run by investors from 18 countries and territories. The Republic of Korea has the most projects with 210, followed by Japan, China and Thailand.

Many global groups have made their presence in Vinh Phuc, such as Toyota, Honda, Sumitomo from Japan, Piaggio from Italy, De Heus from the Netherlands, Daewoo, Haesung Vina, Partron Vina, Cammsys from the Republic of Korea, Prime Group from Thailand and Weldex from the US.

The province has also attracted 782 DDI with total investment surpassing 93.7 trillion VND (around 4 billion USD at current exchange rate). Several major Vietnamese corporations have chosen Vinh Phuc for their investment, such as FLC, Vingroup, SunGroup, and Viet Duc Steel.

The flow of investment capital, both FDI and DDI, into the province in the first six months of this year decreased as a consequence of the coronavirus pandemic. Total FDI capital in the period stood at 135.6 million USD, equivalent to only 32.1 percent of the figure in the same period last year. The money was poured into 14 new projects and 19 existing ones.

Meanwhile, DDI capital attraction in the period came to 2.67 trillion VND, equivalent to 51.5 percent of the figure in the same period of 2019. The capital was pumped into 24 new projects and 9 existing ones.

Vinh Phuc has designated 18 industrial parks with total area of 5,228 ha in a master plan to 2020 approved by the Prime Minister. By now nine industrial parks have received investment certificates. Industrial parks in Vinh Phuc have good technical infrastructure and professional management, thus contributing to attracting investors to the province. They reported an average occupancy rate of nearly 62 percent.

Thanks to the province’s endeavours to complete infrastructure in industrial parks and a transport system connecting them, as well as efforts to improve the business environment and reform administrative procedures, Vinh Phuc has become more popular among foreign investors./.