Mekong Delta well positioned to receive FDI inflows

HÀ NỘI — The Mekong Delta region, located on the maritime route in the centre of the ASEAN region, has great potential to draw strong investment waves from other countries, especially neighbouring nations.

To tap the opportunities ahead, regional localities have designed various policies and measures to support foreign investors in developing stably and sustainably, including creating a smooth environment for them. The efforts are expected to turn the region into an attractive destination for investors.

Great potential for investment attraction

According to the Ministry of Planning and Investment (MPI), in the 2021-25 period, the region expects to be allocated VNĐ320 trillion (about US$13.65 billion) of State capital for infrastructure projects, up 23.3 per cent over the 2016-20 period.

Meanwhile, it will also get about VNĐ140 trillion in State funding through ministries for other projects across the region.

Minister of Planning and Investment Nguyễn Chí Dũng said that the capital will be poured into infrastructure development projects, especially routes connecting the region with HCM City and the Southeastern region through roads, waterways and railways.

At the same time, a coastal route linking Tiền Giang and Kiên Giang provinces will be developed in association with saltwater intrusion prevention and security-defence protection, forming an open economic corridor towards the sea.

In the first six months of this year, the construction of 188-km Châu Đốc - Cần Thơ - Sóc Trăng expressway, part of the North-South Expressway that crosses four localities of An Giang, Cần Thơ, Hậu Giang and Sóc Trăng was launched, while Hà Tiên-Rạch Giá Expressway with a length of nearly 100km was also proposed by Kiên Giang.

Long An Province, located in the gateway to the Mekong Delta region, ranks third among localities across the country in the process of developing industrial parks after Đồng Nai and Bình Dương provinces.

In terms of FDI attraction, Long An ranks 13th in the country and third in the southern key economic region after Bà Rịa - Vũng Tàu and HCM City. It always leads the provinces and cities in the Delta region in the field. To date, the province has attracted 167 projects outside industrial parks, including 16 foreign-invested projects with a total registered capital of $4.5 billion.

Meanwhile in Cần Thơ City, the Vietnam-Singapore Industrial Park (VSIP) has been one of the major projects developed towards green, smart, modern and sustainable manufacturing. The project has created a large number of jobs and paid a great amount to the local budget collection, contributing to the city's modernisation and industrialisation.

Creating smooth investment environment

Over the years, Long An has been highly evaluated by investors for its support in exploring the local investment environment and implementing its projects. Investment projects meeting the province’s requirements and priorities have received investment licensing within one day.

Chairman of the People’s Committee of Long An province Nguyễn Văn Út said that this year, the province will upgrade its investment promotion capacity to lure more big investors and multinational groups, while fostering coordination among authorised agencies in processing the procedures to issue investment licences with the motto of accompanying businesses.

At the same time, Cần Thơ, the capital of the Mekong Delta region, is focusing on assisting local firms to expand production and business operations, and introducing its potential to domestic and foreign investors through different channels.

Chairman of the Cần Thơ People’s Committee Trần Việt Trường said that Cần Thơ will provide optimal conditions for businesses, while creating a smooth business climate and turn itself into a trustworthy and attractive address for foreign investors. The local administration commits to accompanying businesses and investors to explore opportunities and implement their projects in the city, he pledged.

In Vĩnh Long Province, a plan for investment promotion for 2023 was issued with an aim to put forth investment and socioeconomic development programmes in the locality. It has also called for investment in its prioritised sectors such as digital economy, biotechnology, high-tech agriculture, environment, clean energy and technical infrastructure development.

Deputy Chairman of the Vĩnh Long People’s Committee Nguyễn Văn Liệt said that along with implementing major projects, Vĩnh Long will also organise investment promotion programmes and exchange information with foreign organisations, agencies and associations to introduce the province's potential to foreign investors.

At the same time, Vĩnh Long will also join investment promotion events inside and outside the country with the same purpose, he said.

According to the Foreign Investment Agency under the Ministry of Planning and Investment, as of the end of January 2023, the Mekong Delta region, comprising 13 cities and provinces had hosted 1,884 FDI valid projects worth over $35 billion.