Licences granted to five foreign-invested projects worth US$1.4 billion in the southern province of Dong Nai last Friday lifted foreign direct investment investment in the province over the past 20 years to a whopping $13.5 billion, according to the provincial planning and investment department.
Licences granted to five foreign-invested projects worth US$1.4 billion in the southern
Department Director Bo Ngoc Thu said that so far this year, the province had attracted $1.8 billion in investment, six times higher than for the same period last year. It was also 20 per cent higher than the annual target for the province.
Former deputy director of the State Committee on Co-operation and Investment, Professor Nguyen Mai, said Dong Nai’s success in attracting foreign investment was due to its favourable investment environment and the enthusiasm of local authorities in helping investors resolve obstacles.
Peter Chen Hsiung, general director of VMEP, a Taiwanese motorbike manufacturer, admitted Dong Nai’s investors had received enthusiastic support from provincial authorities of they were hindered or faced difficulties.
Hsiung said this was a reason why the province had become one of
He said that after 16 years in Dong Nai, VMEP had attracted more than 50 Taiwanese and 50 Vietnamese supportive producers to Dong Nai. This had helped boost local production content to between 60 and 90 per cent from 10 per cent at the beginning.
Echoing Hsiung’s comments, general director of Fujitsu Viet
The Japanese company, whose export turnover is more than US$500 million a year, has lifted investment capital by $10 million annually for the past five years.
Professor Mai also attributed Dong Nai’s success to its priority for developing industrial zones. It now has 25 zones set up on 6,900ha.
Thu said FDI flows to Dong Nai started in 1994-98, when the province attracted a total of about 180 projects. However, it faced difficulties attracting FDI in 1998-2000 due to the regional financial crisis.
Only 43 foreign-invested, projects, worth less than $290 million, equivalent to only a half of that in 1997-98, were licensed in the period.
FDI has bounced back and more than 650 projects worth a total of $6 billion have started. Most are in the high-tech, residential and service sectors.
(Source: VNS)
