'We need to enhance Nghe An's attractiveness in the region.'

(Baonghean.vn) – Nghe An's results in attracting domestic investment are quite impressive, given the many unfavorable factors both domestically and internationally. However, despite having a similar geo-economic position, Thanh Hoa receives more FDI. Nghe An needs to significantly improve its attractiveness compared to other provinces in the Northeast region, especially Thanh Hoa.

Nghe An Newspaper summarizes the opinion of Mr. Le Xuan Sang, Deputy Director of the Vietnam Institute of Economics."Developing Nghe An by 2020 in accordance with Resolution 26-NQ/TW"Held in Vinh City on October 29th.

Mr. Le Xuan Sang - Deputy Director of the Vietnam Institute of Economics. Photo by Van Nhan.

Nghe An has many geographical and economic disadvantages, but it is not impossible for it to rise and make a strong breakthrough. The most important direction is to make greater efforts to improve the business and competitive environment, focusing on developing industries where the disadvantage of being far from major economic centers has less impact on production costs, and relying more on its comparative and competitive advantages by fully utilizing the benefits of the information and communication technology revolution (especially the Internet, mobile phones, and digitalization)...

With that spirit in mind, the development orientations for Nghe An in the context of new integration mainly include the following elements:

First,Continuing to steadfastly reform economic institutions and the business environment in the province towards creating more favorable conditions (better serving) for domestic enterprises, attracting high-quality FDI enterprises, and building Nghe An into a good model of a development-oriented government.

SecondGiven the high demand for development but limited capacity to meet it, a roadmap (timeframe, methods, and scope) is needed to implement the solutions outlined in Resolution 26 and the province's plans, prioritizing solutions that have a significant impact, are feasible, and enhance the province's long-term competitiveness.

Third,To attract more investment and other resources to Nghe An, the overarching strategy is to significantly enhance Nghe An's attractiveness compared to other provinces in the Northeast region, especially Thanh Hoa.

Fourth isThis will create a more favorable environment and foster a spirit of technology entrepreneurship that aligns with Nghe An's strengths in IT infrastructure, as well as the quality and spirit/capabilities of the human resources in Nghe An, Ha Tinh, and Thanh Hoa.

The year isTherefore, greater efforts, more focused resources, and greater efficiency are needed to transform Nghe An into a software technology center and a science, education, and training center for the North Central region.

Six isRegarding investment attraction policies: in addition to the efforts the province is currently making, it will continue to promote the attraction of FDI enterprises, especially MNCs, into information technology and agricultural, forestry, and fisheries processing, based on a thorough understanding of the strengths and weaknesses (especially environmental violations), value chains, and production chains in the region of these enterprises.

Seven isRegarding sectoral development choices, there needs to be a greater focus and effort on promoting information technology (especially software) and the processing industry for agricultural, forestry, and aquatic products.

Container loading and unloading at Cua Lo port

To avoid the risk of falling behind and seize new opportunities, it is necessary to strengthen resources for the province's software industry development through the following solutions: Mobilize budget and ODA funds to establish a pilot software technology incubator; create a leading force – a driving force and a foundation for the development of information technology, software, and business linkages in Nghe An province and the entire North Central region.

For information technology and software, the risk of falling behind in the IT development ranking is quite high, especially compared to Bac Ninh, which means losing opportunities to attract foreign investment for this sector. Da Nang's increasing demand for IT development land presents a good opportunity for Nghe An to attract foreign investment. Another opportunity is the province's current favorable demographic structure.

For the agricultural, forestry, and fisheries processing industry, more resources need to be allocated to boost development. In Nghe An, this is the industry with the best spillover effect, promoting related industries in the province/nationwide while stimulating less import from China compared to other industries.

The province should promptly research and establish an agricultural, forestry, and fisheries incubation center at a local university to promote the processing of these products. This would effectively connect the four stakeholders involved in manufacturing, putting the products into practice, and commercializing them—a relatively new approach. A food processing incubation center is also a model worth considering, especially one from Hanoi.

The aforementioned orientations and solutions need to be prioritized in the new context of Nghe An. Because they interact with each other, some forming the foundation for the others, it is hoped that they will receive due attention and effort so that Nghe An can gradually rise even stronger and become a model for other provinces with disadvantaged geoeconomic positions but which are innovative, overcome difficulties, and become prosperous.

Tran Chau - Xuan Hoang (recorded)