Dong Nai, the neighbouring province of Ho Chi Minh City, is leading over other localities in attracting foreign direct investment (FDI) in the first seven months of the year.
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| Long Thanh hi-tech park. |
Dong Nai, the neighbouring province of Ho Chi Minh City, is leading over other localities in attracting foreign direct investment (FDI) in the first seven months of the year.
According to the provincial Department of Planning and Investment, the province attracted 57 FDI projects worth a cumulative sum of $1.1 billion during the period, exceeding the yearly target of $900 million. 54 of these projects are operating in the various industrial parks of Dong Nai.
Mai Van Nhon, deputy director of the Dong Nai Industrial Zones Management Authority said that the 834 FDI projects operating in the parks had generated the revenue of $6.75 billion in the first half of the year.
Dong Nai has recently given the go-ahead to two major projects, the $660-million Hyosung Corporation fibre factory in Nhon Trach district and the $300-million Long Thanh hi-tech park. Smooth implementation of these projects will go a long way towards improving the investment climate in the province.
Notably, the Long Thanh hi-tech park, being the first of its kind in Dong Nai, falls superbly in line with the provincial priority to develop supporting industries. Once completed, the park is expected to produce value-added products and create employment for 20,000 people, making an invaluable contribution to the local socio-economic development.
The province’s success has been attributed to good infrastructure and the availability of leasable land as well as the attentive and improved administration. Many foreign investors plan to capitalise on Dong Nai’s proximity to Ho Chi Minh City and would prefer having an international airport at Long Thanh.
In this sentiment, CEO of Amata Vietnam Somhatai Panichewa said that her firm selected Dong Nai as the location of its high-tech park in consideration of the generous support from the local authorities in the past 20 years. With the success of the Amata Bien Hoa, many foreign-invested enterprises have been operating with profits and decided to raise their capital to fund expansion schemes after a few years of operation.
“In addition to attracting major projects, Dong Nai also offers incentives for small- and medium-sized enterprises (SMEs), especially for Japanese investors. Our authority is now supporting Kansai-based firms in Japan via Kansai Desk, which is a one-stop consultancy service specialised in investment-related procedures in Dong Nai,” Nhon added.
Most recently, the establishment of the $36 million Japanese SMEs Development JSC adequately reflects the local authorities’ efforts to attract Japanese investment into the province. Targeting Japanese SMEs, the joint venture’s infrastructure facilities can provide accommodation for 100 investors and meet their requirements of electricity and wastewater treatment system.
By the end of July, Dong Nai received 1,153 projects worth $22.7 billion from 43 countries and territories. Among them, South Korea, Japan, Singapore, Taiwan and the British Virgin Islands had accumulated the investment capital of over $1 billion, making them the core investors of the province.
(Source: VIR)
