Regional connectivity levers economic growth

Regional connectivity is seen as a key to bolster growth as well as create breakthroughs for the socio-economic development in localities and the country as a whole, according to insiders.

The economy has recorded robust signs over the past time, with localities posting positive gross regional domestic product (GRDP) growth.

The northern province of Bac Giang has stood out thanks to its breakthrough GRDP growth of 14.14%, and industrial production expansion of 26.64% in the first half of the year, which were spurred by the investments of the large producers like Foxconn, Luxshare, ICT, Fukang and Hana Micron.

Other cities and provinces with good GRDP growth include Khanh Hoa (12.73%), Quang Ninh (9.02%), Nam Dinh (8.56%), Binh Dinh (7.6%), Ho Chi Minh City (6.46%) and Hanoi (6%).

With their rosy growth, the localities will help the Vietnamese economy sustain its growth momentum and overcome the concerns of lagging behind its international peers, Minister of Planning and Investment Nguyen Chi Dung said at the Government’s monthly meeting in May.

He proposed an array of solutions to boost economic recovery, including promoting traditional growth motives, capitalising on new ones that come from the digital economy, circular economy and new production areas such as semiconductors and AI.

His ministry has reiterated the necessity to carry out regional masterplans and enhance regional connectivity which is seen as a key to stimulate growth.

“Regional connectivity is an essential trend, allowing regions to support and capitalise on their strengths and potential to generate bigger values”, Dung stressed.

Last month, the Prime Minister signed decisions on the issuance of the masterplans for the Red River Delta, Southeastern region, Central Highlands, northern midland and mountainous region, and north central and central coastal region following the first one for the Mekong Delta approved two years ago.

Coordinating councils of the economic zones were established while promotion activities have been carried out to lure inter-regional investments.

According to Dung, one year after implementing the Politburo’s resolution on the socio-economic development and defence and security in the north central and central coastal region until 2030 with a vision to 2045, the region has witnessed positive changes in its economy, with GRDP in 2023 growing 5.51% and the figure in the first quarter of 2024 being 6.27%.

Among its 11 important projects, the region has completed three airports and one seaport, he added./.