(VOVworld) – With all provinces and cities nationwide, Hanoi is trying to learn the Trans-Pacific Partnership agreement. The capital city is promptly preparing measures for investment attraction to increase exports and expand markets as soon as the deal takes effect.

Thanks to available advantages including qualified human resources, production materials, infrastructure, and political stability, Hanoi is ready to make the most of the TPP deal.

(Photo: Vietq)

Nguyen Duc Chung, Chairman of Hanoi’s People’s Committee, said: “Hanoi has gained many positive achievements in macro-economic management, municipal infrastructure construction, improvement of the business environment, and administrative reforms. Hanoi authorities have promised to create the best possible conditions for businesses in investment, trade, and tourism.”

Once the TPP comes into force, it will offer opportunities for Hanoi to attract many investment resources, especially direct investment in high quality services, garments, the auxiliary industry, infrastructure for industrial zones, and agriculture. It will also help Hanoi attract indirect investment through mergers and acquisition.

Financial groups operating in Vietnam have planned to expand investment and new investment funds are trying to follow suit. When Vietnam joins the TPP, with its current export revenue growth and taxes slashed to 0%, export earnings of many items, including Hanoi garments, are predicted to grow. Agriculture and aquaculture are likely to benefit the most from the TPP.

TPP will present challenges as well. First, stiff competition from domestic and foreign companies. Second, difficulty luring foreign capital because investment attraction through the TPP will be given to all members including Vietnam.

Nguyen Doan Toan, Deputy Chairman of Hanoi’s People’s Committee, said: “Hanoi will renovate its policy on foreign investment attraction in a direction to focus on quality instead of quantity. We’ll offer administrative procedure support for large-scale projects, high added value, using state-of-the-art and environmentally friendly technologies. We will develop infrastructure and qualified personnel training.”

Recently, Hanoi has increased communications on the TPP via media, seminars, and workshops. These activities will help enterprises better understand opportunities and challenges when the agreement takes effect.

Le Phuoc Vu, President of Hoa Sen (Lotus) Group, said: “the business community should exert efforts to create the value for its brand and the economy to compete with foreign companies. It businesses take into account of profits at any cost, the future losses will be great. If the business community should be aware of the importance of developing competitive products, the national competitiveness will increase.”