Central city comes out on top for third year in a row in Provincial Competitiveness Index 2015.
Vietnam’s Provincial Competitiveness Index (PCI) for 2015 was released by the Vietnam Chamber of Commerce and Industry (VCCI) and the US Agency for International Development (USAID) on March 31 in Hanoi.
Da Nang topped the list for the third successive year, with 68.34 points, followed by the Mekong Delta’s Dong Thap province with 66.39 points and northern Quang Ninh province with 65.75 points.
Northern Vinh Phuc, Thai Nguyen and Lao Cai provinces, central Quang Nam province, north-central Thanh Hoa province, Ho Chi Minh City, and the Mekong Delta’s Long An province were among the Top 10 with initiatives to reform administrative procedure and improve management quality.
The PCI 2015 report is based on surveys of 11,700 enterprises throughout Vietnam, including 1,600 foreign-invested enterprises.
The quality of economic management among Vietnamese localities has continued to improve, the report noted, with positive results being seen in administrative reform and an increasing number of newly-registered enterprises.
VCCI President Mr. Vu Tien Loc said that national competitiveness primarily depends on the management quality and business climate at the provincial level, adding that Vietnam’s development pace and orientation is determined by the dynamic thinking and hard work of provincial-level governments.
In 2015 the rate of private enterprises expanding their investment increased by over 10 per cent, with the median amount of capital rising to VND16.5 billion ($740,000) - double the figure in 2006.
The ratio of enterprises engaging more employees was 12 per cent, double the figure from 2012. Some 49 per cent of respondents said they intended to expand their business scale in the future - the highest rate for five years.
US Ambassador to Vietnam, H.E. Ted Osius, said the PCI survey contributes to raising the voice of the private economic sector and encourages local governments to improve their business climates, adding that this will help Vietnam develop more comprehensively in the future.
The PCI report considers a range of criteria, including land access for enterprises, land use, stability, transparency, an equal and competitive environment, and legal support for enterprises.