Bac Ninh – a bright spot in Vietnam’s FDI attraction in 2020

(VOVWORLD) - Many localities in Vietnam had difficulties in attracting foreign direct investment in 2020 due to the COVID-19 pandemic. Thanks to its open investment policy, Bac Ninh province attracted 700 million USD, becoming a bright spot in Vietnam’s FDI attraction.
Bac Ninh – a bright spot in Vietnam’s FDI attraction in 2020 - ảnh 1Part of Yen Phong industrial zone in Bac Ninh province

Bac Ninh, 30km from Hanoi, has modern transportation infrastructure, multiple industrial zones, and an abundant young workforce. The presence of big international companies like Samsung, Canon, and Foxcon establish Bac Ninh as a safe investment environment. The province’s favorable geographical position for commerce also made it attractive to investors last year, despite the COVID-19 epidemic.

Nguyen Dinh Xuan, Director of the provincial Department of Planning and Investment, said, “We attracted 8.8 billion USD between 2010 and 2015 and 8.3 billion USD from 2016 to last year.”

“2020 was a difficult year for the world, including Vietnam, due to the COVID-19 pandemic, but Bac Ninh worked hard and lured nearly 1 billion USD in new investment,” Xuan added.

Bac Ninh has 16 concentrated industrial zones approved by the Prime Minister, of which 10 are already in operation, with an occupancy rate of 80%. With 26 industrial clusters covering an area of nearly 900 ha, Bac Ninh boasts great attraction to investors.

Bac Ninh’s Management Board of Industrial Zones attaches great importance to administrative reforms to create optimal conditions for enterprises to do business there.

Bui Hoang Mai, Head of the Management Board, said, “The board has reserved a place to receive citizens, and the emails of the board’s director and deputy directors are checked regularly to assure that all administrative procedures and complaints are addressed promptly. Investors have praised the board’s efforts.”

Mai went on “Last year we handled 4,600 administrative procedures via a single-door mechanism. 80% were done on time. Between 30 and 40 % of all documents were settled at level 3 or 4, which is one big reason investors like Bac Ninh’s investment environment.”

The province organizes annual meetings and dialogues between provincial leaders and business people, and regularly introduces new investment promotions designed to promote its image as a magnet for major and satellite projects.

Bac Ninh has created a breakthrough in administrative reform by implementing a “Business Support Working Group” and a “Business Doctor” model and establishing a Provincial Public Administration Center.

Bac Ninh – a bright spot in Vietnam’s FDI attraction in 2020 - ảnh 2The panorama of Samsung Electronics Vietnam, Bac Ninh at night

Oh Jae Hyun, Director of the Korean Anyone Vina Company, said these fundamental solutions are tailor-made to attract capital and increase FDI inflows, adding, “Any foreign business faces problems during the initial set-up period, but we got a lot of help from the relevant agencies in Bac Ninh province. Any hitch was cleared up promptly and helpfully.”

Bac Ninh has attracted investors from 37 countries and territories including Japan, South Korea, Europe, and the US, with electronics investors accounting for more than 80% of the production of Vietnam’s electronics industry.

The province continues to improve its investment environment in a way that benefits investors, follows current regulations, and prioritizes high-tech projects which minimize land use and labor but offer a high rate of return.

According to Vuong Quoc Tuan, Deputy Chairman of the provincial People’s Committee, “Our motto is ‘Bac Ninh creates the best possible conditions for investors and their success is our success.’ Everything we do to make investors happy about doing business in the province.”

“We are trying to develop a brand, refelcting the province’s determination to create the most favorable conditions for investors from their very first day in the province,” Tuan affirmed.