(CPV) - Since Vietnam was opened up to attract foreign investors, Hanoi, thanks to improvements in its investment environment, has continually been one of the five leading locations in attracting projects and in registered and disbursed capital.
There are now more than 1,922 foreign invested projects in effect in Hanoi, with capital totaling $18.6 million. There has been a change in the structure of foreign investment, with an increasingly greater proportion going to the services sector. Investment projects in the services sector now account for 70.3% of all foreign direct investment (FDI), with industry attracting 29.5% and a agricultural-forestry-fisheries 0.2%.
Every year foreign invested enterprises contribute 16% of Hanoi’s GDP, 35% of its export turnover and 10% of its budget contributions.
Future plans sectors favorable to investment
Hanoi will continue to promote the modernization process ad reinforce the quality and sustainability of the development process. Segments with priority for attracting investment in Hanoi over the next few years include: knowledge-intensive industry sectors using modern technology and developed techniques; high-standard services in tourism, commerce, finance, banking, technology transfer, insurance, post and telecommunications, etc.
New urban area projects, high-standard office space for lease, houses for low-income earners, construction and upgrade of urban road networks, railway networks and public transport systems, modernizing the post-telecoms communication network, water irrigation and drainage networks, etc.
High-tech farming projects, research into new seeds, plants, and quality agricultural products, and the production of handicrafts to preserve tradition while also protecting the environment.
Measures to promote investment activities in the city
Informing enterprises about the city’s new to both help enterprises access such information and improve the knowledge and responsibility of city authorities, researching agreement with all of society. Making dramatic changes in the responsibilities and the working style of authorities and cadres.
Continuously adopting and simplifying administrative procedures to make them more explicit, shorter timeframes for conducting administrative procedures, increasing efficiency in administrative services with a “one-door” policy, defining by regulation (with tough penalties) deadlines for authorities to reply to or inform the public and enterprises.
Consulting enterprises regarding proposed laws before promulgating such laws, supporting enterprises in directly informing the government of any difficulties while, at the same time, city authorities should hold occasional meetings with enterprises to address and resolve and problems.
Going through the planning process for land release in order to attract more investment, formulating and implementing socio-economic development strategies and plans, conducting master urban planning so that enterprises can rely on these in designing their business development and product development strategies, making available more land for developing economic zones, combining industry development planning with investment support activities such as workforce training and supply, accommodation, entertainment, etc.
Formulating and developing a ready property market by enforcing relevant policies and regulations, making public a list of all projects accessing land for which Hanoi is calling for investment (location, area, incentive policies, etc.), supporting enterprises in directly leasing urban land available for business activities, providing favorable conditions to help enterprises invest in industrial zones in order to establish a synchronous infrastructure system promoting business activities, supplying electricity, water, waste recycling, and information services.
Developing a training plan for both the existing workforce and the reserve workforce to meet the current demands of the economy and to get up to speed with high-tech oriented economic sectors in the city./.