Announcement of the Provincial Competitiveness Index (PCI)
(Baonghean.vn) - On May 9th, in Hanoi, the Vietnam Chamber of Commerce and Industry (VCCI), in collaboration with the United States Agency for International Development (USAID), announced the Provincial Competitiveness Index (PCI) and the Provincial Green Index (PGI) for 2023.
According to the 2023 Provincial Competitiveness Index (PCI) ranking of localities nationwide, with 71.25 points, Quang Ninh continues to hold the number 1 position, leading the PCI ranking; Long An is in second place; followed by Hai Phong, Bac Giang, Dong Thap, etc. This is the 7th consecutive year that Quang Ninh has led the PCI ranking and the 11th year that it has been among the top 5 provinces and centrally-governed cities with the best economic governance quality in the country.
In particular, Hau Giang province has moved from the Top 20 of the PCI 2022 to the Top 10 of the PCI 2023, marking a continuous improvement in ranking from 2017 to the present. Phu Tho province is highly regarded by businesses for the quality of its labor training...
A notable point in the 2023 PCI index ranking is that, among the five centrally-governed cities, only Hai Phong made it into the Top 10 (ranked 3rd). Meanwhile, Can Tho ranked 14th, Da Nang 16th, and Ho Chi Minh City continued to hold the 27th position.
Hanoi ranked 28th (down 8 places compared to the 2022 PCI). Notably, 5 out of 10 component indicators for Hanoi in the 2023 PCI decreased compared to 2022: "Access to land", "Transparency", "Fair competition", "Labor training", and "Legal institutions and security and order".
Similar to last year, the 2023 PCI ranking did not publish the rankings of the bottom half of the table. The stated goal is to encourage localities to focus their efforts on entering the top group of the PCI each year.
According to the rankings, Nghe An province's PCI index in 2023 reached 65.71 points, ranking 44th, a drop of 21 places compared to 2022 (in 2022 it ranked 23rd out of 63 provinces and cities nationwide), and ranked 3rd in the North Central region (after Thanh Hoa and Thua Thien Hue provinces - Top 30).
The Provincial Competitiveness Index (PCI) is an index that assesses and ranks the governments of provinces and cities in Vietnam based on the quality of economic management and the creation of a favorable business environment for the development of private enterprises.
The 2023 PCI ranking results are based on an annual survey of over 8,000 domestic private sector businesses (private enterprises) in 63 provinces and cities nationwide; 1,500 foreign-invested enterprises; and nearly 6,000 newly established enterprises.
The PCI index measures the quality of economic governance by provincial governments across 10 key areas crucial to the development of private sector businesses. Accordingly, a locality is considered to have good governance quality when it has:
1. Low cost of market entry.
2. Easy access to land and stable land use.
3. A transparent business environment and publicly available business information.
4. Low informal costs.
5. The time taken for inspection, examination, and implementation of administrative regulations and procedures is quick.
6. A level playing field for competition.
7. The provincial government is proactive and innovative in solving problems for businesses.
8. Policies to support businesses in implementing solutions that meet their needs.
9. Good quality of workforce training.
10. Fair and effective dispute resolution procedures are implemented, and security and order are maintained.
According to the 2023 Provincial Green Index (PGI), the highest-ranked provinces are Quang Ninh, Da Nang City, Dong Nai, Hung Yen, and Ho Chi Minh City.
This set of indicators was initiated in 2022 with the aim of contributing to the joint efforts of the business community and local authorities in implementing the Party and Government's important policies on addressing major global challenges, including climate change and environmental protection.
The 2023 PCI and PGI Index Reports mark the 19th anniversary of the PCI Index's development and publication, and the second year of the PGI Index's publication. These reports represent concrete and practical results in implementing the Party and State's important policies over the years, focusing on accelerating administrative reform, improving the quality of the business environment, restructuring the economy, innovating the growth model, and more recently, balancing economic development with environmental sustainability, social equity, and the development of a green and carbon-neutral economy.
In particular, this is an important activity to implement Resolution 41-NQ/TW dated October 10, 2023, of the Politburo on building and promoting the role of Vietnamese entrepreneurs in the new era, most directly addressing the task of: "Creating a favorable, safe, and equitable investment and business environment for entrepreneurs and businesses to develop and contribute."