Looking back on the 35-year journey of attracting FDI

As of early 2024, Dong Nai has had 35 years of attracting foreign direct investment (FDI). FDI enterprises have made great contributions to the socio-economic development process of the province as well as the whole country. Currently, many large corporations in the world have set up factories in Dong Nai to supply products for the domestic and export markets.

According to the Department of Planning and Investment, FDI attraction into Dong Nai has so far reached more than 34 billion USD. There are currently 45 countries and territories investing in the province in various fields, but industry is still the main force; In which, leading is Korea, followed by Taiwan, Japan and Singapore.

Taking the lead in attracting foreign capital

Before 1986, our country faced great economic and social difficulties. Vietnam’s economy at that time was in a state of serious crisis, with inflation levels sometimes reaching 700%, production stagnation, outdated technical facilities and a serious lack of capital. In that context, our Party initiated a comprehensive innovation policy, in which attracting FDI capital is an important part of the Party’s innovation path, with a milestone being December 29, 1987, when the National Assembly approved through the Law on Foreign Investment in Vietnam.

Implementing the Party and State’s innovation policy, Dong Nai has taken the lead in attracting FDI capital for economic development. The first FDI project in Dong Nai was licensed on September 30, 1989, in the field of taxi transportation services. After that, corporations: Vedan, Vmep, Hualon began to invest in Dong Nai. But in the period from 1989-1993, FDI projects were in the factory construction phase, so they did not have a clear impact on the province’s socio-economic development.

Currently, FDI enterprises have invested in the province in more than 1.6 thousand projects with a total registered capital of more than 34 billion USD. Dong Nai is in the top 10 provinces and cities leading the country in attracting FDI. Including 1,440 projects in industrial parks and 170 projects outside industrial parks.

It was not until 1994-1998 that FDI investment created a major breakthrough in industrial development and other fields in Dong Nai. During this period, the province welcomed many projects from large investors such as: Kao, Samsung, Fujitsu, Kolon, Chrysler, CP, Cargill… This is also the period considered the first wave of FDI investment in Vietnam. Vietnam.

From 1999-2010, FDI investment in the province grew steadily, about 800-900 million USD/year. FDI projects with large capital invested in industry belong to Formosa Group (Taiwan, China), Hyosung (Korea). At the same time, during this period, the real estate sector also welcomed large foreign capital into the Long Tan – Phu Hoi Residential Area Project (Nhon Trach district) about 290 million USD; Water Front Residential Project worth 750 million USD, Aqua City Residential Project nearly 519 million USD (Bien Hoa city)…

From 2011 until now, it has been a period of selectively attracting investment in FDI projects, prioritizing supporting industries, manufacturing industries with little environmental pollution, and high technology. There are many large projects and industries in the fields of high technology, supporting industries, and healthcare belonging to enterprises, Lixil Group, Termuro BTC, SMC Manufacturing, Volcafe, Shingmark… This is considered the second wave of FDI investment. 2 into Dong Nai with projects increasingly consistent with the province’s priority orientation for attracting investment.

Mr. Atsumi Kazuhico, General Director of Long Binh Industrial Park Development Company Limited (100% Japanese capital) in Bien Hoa city, said that Dong Nai is a place with many potentials and advantages for FDI enterprises to invest in industrial parks. Field: industry, technical infrastructure, real estate, trade and services. After many years of investing in Dong Nai, the company has gradually expanded production and business activities. It is expected that in the near future, the company will continue to expand investment in the province.

Find ways to welcome high-quality FDI capital flows

With the advantage of invested transportation infrastructure, regional connection, industrial parks, abundant labor source, along with the policy of always accompanying and solving difficulties for FDI enterprises, Dong Nai has created create an attractive force for businesses.

Recently, Dong Nai regularly welcomes consuls general, ambassadors extraordinary and plenipotentiary, and large economic corporations from countries and territories around the world to exchange information on policies. attract investment and seek investment opportunities in Dong Nai. Some areas of interest to investors include: training high-quality human resources, high-tech industrial production, developing real estate projects, trade and services…

According to Japanese Deputy Consul General Furudate Seiki, Dong Nai is one of the localities that attracts many Japanese businesses to invest. To date, Japan has 276 projects with a total investment capital of over 5.2 billion USD, ranking third among countries and territories investing in Dong Nai. Among them, many Japanese enterprises have been attached to Dong Nai for over 20 years, creating jobs for more than 100 thousand workers.

Will attract FDI capital of 5-6 billion USD in the period 2021-2025

According to the Provincial People’s Committee, Dong Nai’s plan is that in the period 2021-2025, the province will attract foreign investment capital (FDI) of about 5-6 billion USD, of which FDI capital flows for project implementation and disbursement from 3 -4 billion USD. At the same time, by 2025, the majority of businesses will use advanced technology with low greenhouse gas emissions.

From 2021 to the end of the first quarter of 2024, Dong Nai attracted more than 4.2 billion USD in FDI. It is expected that by the end of 2024, the province will likely reach the finish line in the plan to attract FDI capital for the period 2021-2025. Besides, FDI capital flows were carried out quite quickly, increasing much higher than the province’s plan. On average, each year, businesses make capital of 1-1.1 billion USD. Quickly disbursed capital means projects are deployed early to put into operation. This will benefit both businesses and localities.

KILOMETER

Mr. Furudate Seiki said that in the coming time, when transportation infrastructure projects are connected, along with attractive investment attraction policies, Dong Nai is likely to receive more attention from businesses looking to investment opportunities in Vietnam, including Japanese enterprises.

Talking about Dong Nai’s strategy to attract FDI investment over the past 35 years, Vice Chairwoman of the Provincial People’s Committee Nguyen Thi Hoang said that FDI inflows have made an important contribution to economic development, creating jobs for workers. inside and outside the province, state budget revenue, exports, economic growth. Before 2010, Dong Nai as well as other provinces and cities across the country attracted FDI capital only focusing on creating jobs; But after that, Dong Nai overcame limitations to welcome large, high-quality FDI capital flows into industrial, agricultural, service trade, logistics, technical infrastructure projects…

In addition, Dong Nai always accompanies businesses, quickly resolving difficulties and problems of businesses throughout the project investment process. Dong Nai is also focusing on overcoming shortcomings and limitations in handling administrative procedures for businesses. Accordingly, the province strives to simplify 10% of administrative procedures each year, including this criterion in evaluating the emulation of public service completion and administrative reform of departments, branches and localities in order to improve public service performance. High quality service for businesses. All administrative procedures are standardized, many procedures are carried out online, and the processing process and deadline are publicized on the province’s Public Service Portal.

Huong Giang – Ngoc Lien