Bac Giang province has favourable conditions to attract investment (Photo: BGP).

Especially, the attention paid to creating favourable conditions for investors and businesses by leaders of the provincial Party Committee, People’s Council, People’s Committee, departments and administrations at all levels has generated satisfaction in the business community. Therefore, the province’s efforts to attract investment have produced positive results. The interview with Director of the provincial Department of Planning and Investment Trinh Huu Thang clarifies these contents.

At present, provinces and cities are competing with each other to attract investment. What advantages does Bac Giang have to enhance its competitiveness?

Bac Giang does not locate in special zones such as key economic zones, economic triangles or border areas. However, Bac Giang still has favourable conditions to attract investors, in which we can mention four factors that the province is focusing on:

Firstly, the province is adjacent to the northern key economic zone and locates in the Hanoi capital development region through 2030, and near several major human resources training centres and major industrial parks where many of the world’s leading groups are operating. This is a favourable condition for the development of high-quality human resources to serve the supporting industry in the fields of electronics, machinery and automobile manufacturing.

Secondly, Bac Giang has a large, diverse land area suitable for the development of a commodity-based agriculture which is capable to provide vegetables, fruits, farm produce and foods for industrial parks, Hanoi, and surrounding localities. For example, several big groups are investing in animal husbandry and clean vegetable farming using high technologies in the province.

Thirdly, the province’s investment attraction and business development in recent years have also encouraged start-up initiatives. At present, the province has over 6,000 operating enterprises. An increase in the number of businesses and investors in Bac Giang has created cooperation opportunities and opened up more business ideas and chances.

Fourthly, Bac Giang has a “golden population” structure. The province’s population amounts to over 1.6 million people, of whom two-thirds are in the working age. Especially, young people make up 29 percent of the population with 470,000 people in the working age. Every year, thousands of local students pass entrance exams to be admitted to universities and colleges nationwide. This force creates a great advantage in terms of human resources to meet recruitment requirements of investors. In addition, unskilled labourers who had taken part in vocational training courses also satisfy investors’ demand for local labourers.

The provincial public administration centre enables businesses and investors to quickly address administrative procedures.

How do the local authorities pay attention to policies to support enterprises, speed up administrative reform and create a favourable business climate?

The determination of the province’s whole political system can be considered as one of the key factors that contribute to improving the investment climate and building up trust and good images of Bac Giang in the eyes of investors.

The resolve was demonstrated by the provincial Party Committee’s issuance of Resolution No.73-NQ/TU dated May 6, 2016 on improving the local investment and business climate in the 2016-2020 period. The provincial People's Committee also promulgated Plan No. 128/KH-UBND dated June 30, 2016 in order to speed up the effective implementation of the above-mentioned Resolution.

In addition, in September 2016, the provincial People's Committee put into operation the provincial public administration centre to make it easier for enterprises and investors to quickly process relevant administrative procedures. At the same time, leaders of the provincial People's Committee have held regular meetings with enterprises and investors to listen to proposals and suggestions from enterprises, thus directly clearing up answers or directing relevant agencies to give advices and timely solve difficulties facing enterprises. With these efforts, it can be said that Bac Giang has been creating on its own advantages and competitiveness edge.

Is it true that these efforts helped the province jump up seven positions in the 2016 Provincial Competitiveness Index (PCI) rankings (placed 33rd among 63 provinces and cities nationwide)?

Exactly, 2016 was the first year Bac Giang implemented Resolution No.73-NQ/TU dated May 6, 2016 of the provincial Party Committee and Plan No. 128/KH-UBND dated June 30, 2016 of the provincial People's Committee on improving the province’s investment and business climate.

The strict implementation of measures to better the local investment and business climate helped Bac Giang climb up on the PCI rankings in 2016. Apart from increasing seven positions in the PCI rankings compared to 2015, Bac Giang’s 2016 PCI also showed an improvement in the provincial administration’s governance, gaining 58.2 points from 57.61 points.

Bac Giang’s PCI saw better results over the last three years, reflecting enterprises’ better assessment of its investment and business climate. The PCI score and ranking helped Bac Giang maintain its position and improve competitiveness in attracting investment.

To raise its PCI in 2017 and following years, Bac Giang needs to thoroughly implement resolutions and action programmes to improve the local business climate, especially bettering the national competitiveness in 2017, with a vision to 2020. Additionally, attention should be paid to supporting enterprises in seeking trade opportunities and export markets, promoting products, connecting with partners and setting up online sale channels in domestic and foreign markets.

Besides, departments and sectors, People’s Committees of districts and Bac Giang city need to follow the spirit of serving investors and businesses and consider the satisfaction of the people and enterprises as a measure of accomplishment and effectiveness in performing assigned tasks.

The provincial authorities will also maintain quarterly conferences, meetings and dialogues with enterprises in order to listen and timely address difficulties for investors and businesses.

More businesses and investors are interested in investment opportunities in Bac Giang province (Photo: BGP).

What are the role and contributions of the Department of Planning and Investment to these accomplishments?

As an advisory agency for the provincial Party Committee, People’s Council and People’s Committee in the field of planning and investment, we are thoroughly aware of our tasks and responsibilities for building, consulting and implementing socio-economic development plans to improve the local business environment, increase the provincial competitiveness index (PCI), and step up activities to lure investment.

The department has advised the provincial People’s Committee to issue Decision No.1313/QD-UBND and Action programme to implement the Government’s Resolution No.35/NQ-CP dated on May 16, 2016. Simultaneously, the department has advised the provincial People’s Committee to submit the provincial Party Committee promulgate Resolution No.73-NQ/TU dated on May 6, 2016 on improving the business and investment climate in Bac Giang in 2016-2020. To implement effectively this Resolution, the department has coordinated with relevant agencies and units to propose the People’s Committee to issue Plan No.128/KH-UBND on June 30, 2016.

Annually, based on the PCI rankings announced by the Vietnam Chamber of Commerce and Industry, the department has reviewed every index and analyzed causes to increase or reduce the score compared to the previous year. At the same time, the department has proposed the People’s Committee put forth specific measures and assign tasks for departments and sectors to maintain the indexes with high scores and improve the indexes with low scores.

The Department of Planning and Investment has also proactively improved the operational efficiency of the Steering Committee for Supporting Investment and Business Development. This has partly contributed to the recognition of difficulties that businesses and investors encounter while implementing business and investment projects from the establishment and investment registration to land lease and construction licensing. Therefore, prompt measures will be worked out to support investors to finalise administrative procedures and extricate difficulties.

To establish the relations between administrations at all levels and businesses, the Department of Planning and Investment has proactively advised the province to hold meetings and direct dialogues between the two sides.

Regarding administrative reform, the department proposed reducing or adjusting administrative procedures in the field of planning and investment as well as directing agencies and localities to implement the “one-door” mechanism and improve the quality of services at the provincial public administration centre.

Thank you so much!

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