Bac Giang prioritises high-tech FDI projects, service industry

Updated: 14:43, 12/11/2024

The northern province of Bac Giang will continue attracting foreign direct investment (FDI) projects in the time ahead, prioritising those using high-tech or relating to supporting industries and high-quality services, local authorities have said.

The FDI projects that advocate for environmental protection and modern administration, and have connectivity with global production and supply chains will also receive priority.

An overview of Quang Chau industrial park.

The province will maximise resources to consolidate its socioeconomic infrastructure, especially infrastructure at industrial parks and clusters, while developing a high-quality workforce in anticipation of the upcoming foreign investment flows, particularly those into semiconductor manufacturing and with state-of-the-art technologies.

Notably, it will consider the issuance of a resolution on the development of key service sectors through 2030, aiming to foster high-potential sectors to better meet the needs of foreign employees and experts in the locality.

Vice Chairman of the provincial People’s Committee Phan The Tuan said Bac Giang has determined to gradually turn its service industry into an economic spearhead with an increasing proportion in the local economy.

It will focus on potential services, including commercial services in urban areas and around industrial parks, transport, and logistics. Services will also include finance and banking; tourism, particularly resort tourism and entertainment; night-time economic services; sports and cultural services, health care, and high-quality education that includes vocational training.

In the 2024-2030 period, Bac Giang is striving to achieve an annual average growth rate of 7.5-8.5% of the service sector. It is expected to contribute about 21-22% of the province's GRDP by 2030, and the total retail sales and consumer service revenue in the period will reach an average growth rate of about 15% per year.

Additionally, Bac Giang will step up state management of investment projects, further support investors in overcoming challenges, and intensify the inspection and review of licensed projects to remove roadblocks to their implementation.

Vietnam is integrating intensively into the global economy across all areas of economy, trade, and investment, a move that is expected to positively impact and unlock numerous opportunities for domestic economic growth in the near future.

Bac Giang, 50 km northeast of Hanoi, has made significant efforts in improving its business environment and provincial competitiveness over the past time, helping maintain its strong economic growth and attracting more foreign investment.

Between September 2019 and June 2024, the locality licensed 256 new FDI projects worth more than 4.01 billion USD, and approved capital adjustments to 273 others with a total amount of over 4.03 billion USD.

The FDI disbursement in the locality during the reviewed period reached about 5.9 billion USD, accounting for 71% of the total, including new capital, additional capital, and capital contributions and purchases of shares and capital contributions.

The province has to date attracted 601 FDI projects valued at 12.3 billion USD, mainly in the processing and manufacturing industries, along with trade and services. They are employing 209,648 local labourers.

In the first half of this year, FDI projects contributed nearly 2.48 trillion VND (98.02 million USD) to the local budget, making up 25.4% of Bac Giang’s cumulative budget revenue.

Over the past years, Bac Giang has maintained its position among the top 10 localities nationwide in terms of FDI attraction as the province has seen increases in the number of projects and their capital, as well as improvements in their quality.