Recognizing the critical role of investment capital in economic development, Vinh Phuc Province has implemented various appropriate policies to create a transparent and attractive investment environment. These efforts aim to provide a "springboard" for socio-economic development, accelerating the realization of the goal to transform Vinh Phuc into a developed industrial province by 2025—positioning it as one of the region's and nation's centers for industry, services, and tourism.
Upholding the Party and State’s guidelines on building an investment-friendly environment, Vinh Phuc’s Provincial Party Committee, People’s Council, and People’s Committee have, over the years, issued numerous resolutions, directives, proposals, and action programs. These efforts focus on establishing a transparent and business-friendly environment tailored to local conditions. Key mechanisms, policies, and initiatives to support enterprise development include Assisting businesses in training and attracting high-quality human resources; Supporting infrastructure rental costs for secondary investors leasing land in industrial zones funded by non-budgetary capital; and Covering costs for preparing project proposal dossiers in priority investment sectors. The province also regularly organizes business meetings and dialogues to identify and promptly address challenges and difficulties faced by enterprises. Efforts include resolving issues in land clearance, filling, and investment policy adjustments to ensure equitable and favorable access to land for all businesses. Additional measures involve focusing capital on technical infrastructure development outside industrial zone boundaries and fostering the development of a high-quality workforce.
100% of Administrative Procedures for Citizens and Businesses are Quickly Handled
at the Provincial Public Administration Service Center
Adhering to the principle that “All investors in Vinh Phuc are citizens of Vinh Phuc,” the province has focused on reforming administrative procedures, shifting its approach from “managing enterprises” to “supporting and serving enterprises.” In this spirit, the Provincial People’s Committee has directed relevant departments, agencies, and localities to thoroughly review and promptly update business conditions, eliminate or propose the removal of unsuitable administrative procedures, and reduce unnecessary regulations to minimize inconvenience, time, and unofficial costs for businesses. Efforts have also been made to raise awareness among civil servants and public officials, particularly emphasizing the responsibility of leaders in agencies and localities to fulfill tasks related to simplifying administrative procedures. This includes actively implementing digital transformation solutions and extensively applying information technology to modernize public administration, making processes and procedures transparent and maximizing convenience for citizens and businesses when dealing with government agencies and public services. The province has effectively implemented Project 06, enhancing connections and sharing data with the National Population Database. Currently, the province’s online public service portal, accessible at dichvucong.vinhphuc.gov.vn, integrates nearly 750 level-3 and level-4 online public services with the National Public Service Portal.
Leveraging its inherent potential alongside innovative and appropriate policies, coupled with proactive and effective implementation by various levels of government and localities, Vinh Phuc has made continuous improvements to its investment environment and competitiveness in recent years. As a result, the province has become one of the leading localities with comparative advantages. In the first ten months of 2024 alone, Vinh Phuc issued investment registration certificates for 69 FDI projects, including 30 newly approved projects and 39 capital-adjusted ones, with a total registered capital of $581.4 million. Compared to the same period last year, the number of FDI projects increased by 6.15%, registered capital rose by 4.25%, and the results exceeded the annual plan by 45.35%. The achievements in investment attraction in recent years have played a crucial role in driving the province's economic restructuring towards industrialization and modernization. However, several challenges persist. They are the rapid and complex developments in the global economic and political landscape, slow progress in implementing many projects, high land prices and infrastructure rental costs in certain industrial zones and clusters compared to similar localities, and incomplete infrastructure in some industrial zones and clusters. Compensation and site clearance issues remain a “bottleneck” in project implementation. These factors have impacted the province’s investment appeal. Furthermore, in 2023, Vinh Phuc experienced a decline in both scores and rankings in the Provincial Competitiveness Index (PCI). According to functional agencies, the decline was due to the slow implementation of reform and innovation policies. Additionally, there was limited improvement in the dynamism and pioneering spirit of local governments and departments in addressing bottlenecks. The quality of advisory work and proposed solutions to resolve challenges and obstacles also fell short of business expectations.
In the context of neighboring localities rising strongly and creating fierce competition, Vinh Phuc Province has introduced key measures to enhance its investment environment and guide economic development in line with the goals set forth in the 17th Provincial Party Congress Resolution for the 2020-2025 period. As global conditions are predicted to remain complex and unpredictable from now until the end of 2024, and with the local economy still facing numerous difficulties and challenges, the Provincial People’s Committee has instructed all levels, sectors, and localities to focus on resolving difficulties and bottlenecks and implementing support mechanisms and policies for enterprises, finalizing proposals for mechanisms and policies to incentivize and support investment, fostering a favorable business environment to attract large-scale projects, strategic investors, and multinational corporations to the province, improving the effectiveness of business support services, especially for small and medium-sized enterprises, with a focus on tailored consulting and training solutions based on business needs, streamlining procedures for land allocation, land leasing, and land valuation, while ensuring timely resolution of these processes, expanding the availability of “clean” land to facilitate the implementation of investment projects, and enhancing the quality of credit and prioritizing capital for key sectors and production-business fields.
The province continues to enhance efforts to simplify administrative procedures by raising awareness, providing guidance, and encouraging citizens and businesses to adopt information technology in processing administrative tasks. These measures aim to reduce both time and costs for businesses. Key actions include: Focusing on administrative reforms linked to digital transformation and implementing Project 06; Improving the effectiveness of online public services; Accelerating the digitization of documents and cleansing specialized databases to enable seamless integration and sharing with the National Population Database; and Proposing to central ministries and agencies to further streamline administrative procedures, review legal regulations on investment and business, and amend unclear or problematic provisions, particularly those related to conditional investment and business sectors.
Phung Hai
