Dong Nai’s Growth impetus to be expected in 2006

Central and provincial leaders are visiting Fujitsu Co. which earns largest export turnover in Dong Nai

Under a five-year plan (2006-2010), Dong Nai will focus on a continued robust performance from the industry and construction sector and the growing service sector and the reducing agriculture. Accordingly, industry and construction will maintain a share of 57% of the whole economy while the service sectors share will increase to 38% and agricultures share in the economy will drop to around 5%. These targets will provide the impetus for strong economic growth in 2006, playing a big part in the province’s modernization drive.

Dong Nai will maintain an economic growth rate of 13.5 – 14.5 percent in 2006 and develop an economic structure with industry-service-and agriculture. Accordingly, the non-state sector and foreign invested sector will make efforts to maintain high growth rate and develop key industries such as building materials production, electric- electronics, agricultural products processing, food and garment, etc. According to the forecast, Viet Nam can enter the WTO in 2006; therefore, the enterprises operating in Dong Nai should be more active in international integration process. The provincial government’s foreign investment promotion activities in the past time have contributed considerably in attracting FDI. That is the reason Dong Nai will continue stepping up trade promotion, calling for investment, expanding export market and finding new market in 2006. This year, Dong Nai is hopeful of attracting US$ 715 million more in FDI capital and mobilizing VND 3,320 billion in domestic investment capital. In 2006, local government sets the goal to mobilize investment - both domestic and foreign with a total capital of 13,500 – 14,000 billion dongs. Of which, 50%-51% comes from FDI attraction. It is expected that there will be 900 new privately owned enterprises operating in Dong Nai in 2006 with a total registered capital of VND 2,500 billion.

In 2006, Dong Nai sets itself the goal of increasing the service sectors share in the economy by 1% or reaching 29% and decreasing agricultures share by 1% or falling 14%. The change in that structure sees a slight increase in service sector, but this will lay a strong foundation for future progress. Local government sets out key strategic plan which aims at the further development of service sector, i.e. for diversification, improved quality, and lower cost. The province will give high priority to developing important sectors, such as telecommunications, transportation, tourism, financial service …. that ensure high quality to satisfy the demands of customers. This year, Dong Nai will also focus on expansion of trading centers, chain supermarkets and new service cooperatives in order to meet the needs and peak demands of customers in the province with its population of 2.3 million residents. On the other hand, in coming years, the province will develop programs to promote travel and tourism through building a series of waterways and encourage the development of alternative tourism with special emphasis on nature, historical and cultural relics and rural tourism.

To present, Dong Nai is concentrating on increasing the output of agricultural products. Therefore,  Dong Nai’s agricultural development strategy for the period 2006-2010 includes stepping up agriculture, forestry and fishery production with orientation towards product’s quality and productivity enhancement, combining agricultural production with the processing industry and the export market, applying advanced scientific technology in agriculture.

Phong Vu