Resonating strength to attract FDI capital

After the provincial merger, many localities will combine their potential and advantages to attract foreign direct investment (FDI) for socio-economic development.

The power will be resonated, but to attract investment, localities will have to make more efforts to improve the investment and business environment. Photo: Le Toan

"Competing" the power of attracting FDI

Yesterday (June 30), localities officially announced resolutions and decisions on the merger of administrative units. Accordingly, the country will have 34 provinces and centrally-run cities. A merger is considered not only a simple administrative reform, but also a strong lever to create administrative units of sufficient scale, development and connectivity. New growth poles on the regional development map may be established. And that is also the foundation for many localities to accelerate FDI attraction.

Looking back at the current FDI attraction “overall table”, Ho Chi Minh City is at the top with more than 59.723 billion USD of registered capital, accumulated up to the end of May 2025. In addition to Ho Chi Minh City holding the “throne”, the top 10 also include Hanoi (45.372 billion USD); Binh Duong (42.854 billion USD); Dong Nai (38.858 billion USD); Ba Ria - Vung Tau (38.187 billion USD); Hai Phong (32.958 billion USD); Bac Ninh (32.26 billion USD); Quang Ninh (16.435 billion USD); Thanh Hoa (15.768 billion USD) and Long An (14.556 billion USD).

Meanwhile, if calculated in the first 5 months of the year, Hanoi is the leading locality, followed by Bac Ninh, Ho Chi Minh City, Dong Nai, Ba Ria - Vung Tau, Ha Nam , Hai Phong, Hung Yen, Long An, Tay Ninh.

However, after the June 30 milestone, when the localities are merged, the “overall ranking” will change significantly, although the first position will certainly still belong to the economic locomotive of the whole country - Ho Chi Minh City. After merging with Binh Duong and Ba Ria - Vung Tau, Ho Chi Minh City has an additional investment of 42.854 billion USD from Binh Duong and 38.187 billion USD from Ba Ria - Vung Tau. Thus, Ho Chi Minh City alone “holds” a total of 143.282 billion USD, accounting for nearly 28% of the total registered FDI capital in effect in Vietnam.

With this great merger, Ho Chi Minh City has more potential and outstanding competitive advantages to continue attracting FDI. Along with Ho Chi Minh City, the historic merger will also bring many opportunities to other localities. Bac Ninh and Bac Giang are typical examples.

Currently, cumulatively, Bac Ninh ranks 7th among the localities attracting the most FDI. Bac Giang, with more than 13.8 billion USD, is only in 11th place. But when Bac Ninh and Bac Giang merge, the amount of FDI capital that Bac Giang "newly" attracts will reach more than 46 billion USD, surpassing Quang Ninh (without merger, currently attracting 16.435 billion USD, ranking 8th, after Bac Ninh); Thanh Hoa and Long An.

Meanwhile, Hai Phong has additional capital from Hai Duong (11.525 billion USD), to raise the total attracted capital to 44.483 billion USD, approaching Hanoi, certainly holding a high position in the top 10.

The rearrangement of administrative units has opened up new space for many regions and localities in socio-economic development, attracting investment capital from outside. Graphics: Dan Nguyen

Join forces to attract FDI

It is not just about numbers and rankings, the important thing is that after the merger, many localities across the country will resonate with potential and advantages to attract FDI capital for socio-economic development. Bac Ninh and Bac Giang can be typical stories.

If Bac Ninh has long been the “capital” of large foreign investors such as Samsung, Canon, Foxconn, Goertek…, Bac Giang has only emerged in recent years. However, Bac Giang’s breakthrough is very remarkable. The efforts of local leaders in directing, operating, improving the investment and business environment and taking the lead in building provincial planning have made Bac Giang a “magnet” attracting investment from the world’s leading technology corporations, from HanaMicron, to Foxconn, Luxshare…

It is not just about numbers and rankings, the important thing is that after the merger, many localities across the country will resonate with potential and advantages to attract FDI capital for socio-economic development.

At the recent 26th Conference of the 19th Bac Giang Provincial Party Committee, Secretary of the Bac Giang Provincial Party Committee Nguyen Van Gau directed that conditions must be well prepared for the ceremony to announce resolutions and decisions on administrative unit mergers. This is one of the premises for Bac Ninh to quickly focus on implementing solutions to promote GRDP growth and attract investment after the merger.

In the first 6 months of the year, Bac Giang achieved a GRDP growth rate of 14.04%, among the highest in the country. Meanwhile, Bac Ninh's 6-month GDP growth was 9.18%. The combination of potentials, advantages and especially the dynamism of local leaders will help the "new" Bac Ninh score points. This land will soon become the "capital" of the electronics and semiconductor industries in the Northern region.

Hung Yen may emerge as a new investment destination. The province is being talked about a lot with the billion-dollar project of the Trump Organization, before that a series of projects in the industrial sector, especially projects in the Thang Long II Industrial Park of the Sumitomo Group.

Thai Binh, which merged with Hung Yen, is also a “new destination” for foreign investors. In 2023, Compal Group - Apple's manufacturing partner - decided to invest 260 million USD in this province.

Similarly, Phu Tho - which is gradually rising from the low-lying area in attracting investment through a number of large projects, such as the BYD Group project, will have additional advantages from Vinh Phuc, a popular investment location for Honda, Toyota, Piaggio, etc. Combining the strengths of the two localities, Phu Tho promises to be a competitive investment destination.

In the South, in addition to the great strength of Ho Chi Minh City after merging with Binh Duong and Ba Ria - Vung Tau, Dong Nai - after merging with Binh Phuoc, or Tay Ninh after merging with Long An... will also be a "magnet" to attract new investment.

The power will be combined, but to attract investment, according to experts, localities will have to make more efforts to improve the investment and business environment, as well as prepare factors such as infrastructure, land, human resources, etc. Moreover, after the merger, planning work needs to be accelerated, creating a basis to attract more FDI resources.

Source: https://baodautu.vn/cong-huong-suc-manh-de-hut-von-fdi-d316398.html