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13:51 18/01/2023

Strong recovery of capital's economy

According to a report by the Hanoi People's Committee, the capital experienced a strong economic recovery in 2022 and maintained its leading position among the provinces and cities nationwide in attracting foreign direct investment (FDI).

Hanoi is strongly promoting industrial park development

Hanoi achieved a gross regional domestic product (GRDP) growth of 8.89 percent, with the city’s service sector increasing 10.06 percent, industry and construction improving 7.74 percent, and agriculture, forestry and fishery 2.58 percent. The capital earned export revenue of an estimated US$17.34 billion (up 11.9 percent from 2021), imported goods worth an estimated US$40.26 billion (up 15 percent), and reached retail sales of goods and service revenues of VND615.96 trillion (up 10.9 percent) and an index of industrial production (IIP) of about eight percent. Agricultural production was stable, with crops growing well, and pig, cattle and poultry herds all increasing. Development investment capital reached VND468 trillion in 2022, up 13.8 percent from 2021 and accounted for about 39 percent of the city’s GRDP.

Nguyen Ngoc Tu, Deputy Director of the Hanoi Department of Planning and Investment, assessed that in 2022, the city effectively implemented solutions to overcome difficulties and restore growth, and enterprises quickly restored and boosted production and trading, Tu said.

Hanoi has approved a plan to establish 2-5 industrial parks in the capital from 2021-2025 to attract more domestic and foreign investment.

According to Nguyen Manh Quyen, Vice Chair of the Hanoi People's Committee, in addition to industrial zone infrastructure development, the city has simplified administrative procedures, and offered tax and land-related incentives, which helped it attract investment by large corporations and enterprises.

Production restored quickly in the capital

Hanoi has set a target of attracting US$30-40 billion of foreign investment capital and disbursing US$20-30 billion in the 2021-2025 period. It plans to prioritize high-quality projects and competitive products with a high added value, as well as urban infrastructure and smart city development, support industries using modern and environmentally friendly technologies, information technology (IT) projects, research and development, tourism, financial and banking services, human resource training, high-tech agriculture, and safe, clean food.

Plans also call for continued economic restructuring and development of new economic models, as well as building and/or licensing more markets, trade centers, supermarkets and convenience stores and promoting+ supply-demand connections with provinces and cities nationwide. Development will also focus on e-commerce, online and non-cash payment, and target growth of 10 percent in total retail sales of goods and service revenues. The capital will pilot development of tourism, including community tourism, pertaining to development of agriculture and new-style rural areas, craft villages and tourist attractions associated with traditional cultural values of Vietnamese ethnic minorities.

Some 25-30 businesses in the city are expected to create and develop 30-35 key industrial products on a sustainable basis in 2023. The city will improve industrial zones’ and industrial enterprises’ capacity and productivity, call for investment in infrastructure and production and trading activities in existing industrial parks.

Hanoi will accelerate administrative procedure simplification in 2023 to accommodate business activity, ease problems related to planning, investment, land, construction and site clearance procedures, and speed up the handling of 191 projects with the delayed use of land.

 

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