New opportunities for Da Nang

With permission to implement unique and outstanding policies, Da Nang is welcoming a new wave of investment from strategic investors, expected to create momentum to bring this city to new heights.

Da Nang City has signed cooperation agreements with many foreign partners to promote the development of key areas.

Sweet fruit attracts investment

With its strategic location, Da Nang has always received the attention of the Central Government in the construction and development of the City. The Politburo has issued two resolutions on the construction and development of Da Nang, namely Resolution No. 33-NQ/TW in 2003 and Resolution No. 43-NQ/TW in 2019, on the construction and development of Da Nang City to 2030, with a vision to 2045. These important decisions have created a driving force for the development of the City.

In fact, after being separated from the province and established as a centrally-governed city in 1997, Da Nang City has transformed and developed from a poor place into a livable city with a population income among the top in the country. Da Nang has risen to become one of the major economic centers of the Central Highlands region.

Da Nang City is focusing on attracting investment in the fields of high technology, logistics, digital economy, financial centers, etc. To welcome strategic investors, Da Nang has invested in airport infrastructure, seaports, dry ports, roads, and highways connecting economic zones and industrial parks. In particular, the shared infrastructure at Lien Chieu Port is being urgently built.

To attract strategic investors in the fields of information technology and high technology, in addition to the High-Tech Park, Da Nang City also has the Da Nang Software Park, FPT Complex, and Da Nang Concentrated Information Technology Park Phase I. The city has also invested in building Software Park No. 2; attracted investment in the Hoa Xuan Creative Space, supported the implementation of investment procedures to build Viettel High-Tech Building, and Da Nang Bay Information Technology Park. Da Nang's digital technology human resources currently number about 46,000 people; there are 2,450 digital technology enterprises, ranking 2nd nationwide...

Statistics show that, although only accounting for about 0.8% of the area, Da Nang City concentrates more than 1/6 of the total number of enterprises in the region, creating nearly 1/13 of GRDP and more than 1/9 of the total budget revenue in the 19 provinces of the Central - Central Highlands in 2020. Da Nang's GRDP ranks 16th in the country, 4th out of 5 major cities in the country, with total GRDP at current prices in 2020 reaching more than 103,000 billion VND...

Da Nang City has also positioned itself as a red address on the world tourism map, a favorite tourist destination for domestic and international tourists. In addition, Da Nang has also affirmed itself as a center attracting high-tech industries; a center for logistics and startups, innovation in the Central Highlands region. Da Nang's socio-economic development achievements are affirmed by experts as "outstanding and different".

Indeed, Da Nang has gone through a period of miraculous development. One of the reasons for this story is the attraction of large investment resources from domestic and international investors.

According to the Department of Planning and Investment of Da Nang City, the city has 777 domestic projects, with a total investment capital of more than VND255,143 billion. Of these, there are 378 projects outside industrial parks, with a total investment capital of VND220,676 billion; 399 projects in industrial parks, with a total investment capital of VND34,466 billion.

Foreign direct investment (FDI) capital is also continuously poured into Da Nang by investors. In the period of 2019-2023, the city attracted 1.41 billion USD of FDI capital, ranking 3rd out of 14 provinces and cities in the North Central and Central Coast. FDI capital in Da Nang City is concentrated in key areas, such as real estate business (with 57 projects, total registered capital of 2.58 billion USD), processing and manufacturing industry (177 projects, total registered capital of 1.86 billion USD), accommodation and catering services (181 projects, total registered capital of nearly 1.3 billion USD) ... Up to now, Da Nang City has 1,012 FDI projects, total investment capital of more than 4.35 billion USD, from 58 countries and territories ...

In addition to its strategic location and modern infrastructure, Da Nang City has also created the most favorable investment environment for businesses. Da Nang City has promoted administrative reform, created an open investment and business environment; established an interdisciplinary working group on investment promotion and support; reviewed and shortened the implementation process of procedures related to investment and land. Thanks to that, Da Nang's Administrative Reform Index (PAR INDEX) and Provincial Competitiveness Index (PCI) are always among the top in the country.

This has become the "secret" to Da Nang's success in attracting investment.

New Opportunity

In May 2024, a representative of Marvell Technology Group (USA) said that it would open more microchip design centers in Ho Chi Minh City and Da Nang. According to Mr. Le Quang Dam, General Director of Marvell Technology Vietnam, the Group chose Da Nang to open a microchip design center for 3 reasons.

Firstly, Da Nang has an advantage in human resources in the field of analog signal processing, mixed signals, as well as artificial intelligence (AI) applications.

Second, the infrastructure in Da Nang, from transportation, housing, to living environment, is very good.

Third, strong commitment from Da Nang leaders to invest in the field of microchips and semiconductors.

Not only Marvell, recently, a series of leading enterprises in the world, such as Qualcomm and Nvidia, have also worked with Da Nang City to promote specific cooperation programs on the development of microchips, semiconductors and AI.

That shows that the investment attraction of Da Nang City is very strong, especially in the context of Resolution No. 136/2024/QH15 of the National Assembly on the organization of urban government and piloting a number of specific mechanisms and policies for the development of Da Nang City, which has just been passed.

This important decision gives Da Nang many unique and outstanding mechanisms, with wide impacts on many fields. In particular, in attracting investment, Da Nang will target strategic investors.

Accordingly, priority projects to attract strategic investors to Da Nang City will be investment in building innovation centers, data centers, research and development (R&D) centers associated with training; investment in research and support for high-tech transfer in the fields of information technology, AI technology, clean energy... with an investment capital of VND 2,000 billion or more; projects in the fields of semiconductor chip technology, semiconductor integrated circuit industry, manufacturing of components, integrated electronic circuits (IC), flexible electronics (PE), new technology batteries, defense industry... with an investment capital of VND 4,000 billion or more.

In addition, priority is given to attracting investment in construction and business of infrastructure of functional areas in Da Nang Free Trade Zone, including Trade - Service Zone with investment capital of 3,000 billion VND or more; Logistics Center associated with Lien Chieu Seaport with investment capital of 3,000 billion VND or more; Production Zone with investment capital of 3,000 billion VND or more.

In addition, Da Nang attracts investment in construction and business of inland waterway tourism with an investment capital of VND8,000 billion or more; investment in construction of the overall project of Lien Chieu seaport with an investment capital of VND45,000 billion or more...

When investing in Da Nang in the above fields, strategic investors enjoy many outstanding incentives.

It can be seen that the Party's strategic decisions have had a strong impact, attracting the attention of large enterprises and corporations to Da Nang. Therefore, Da Nang is urgently putting the decisions into practice.

Secretary of the Da Nang City Party Committee, Mr. Nguyen Van Quang affirmed that the current especially important and urgent task of the City is to implement Resolution No. 136/2024/QH15 of the National Assembly on the organization of urban government and pilot a number of specific mechanisms and policies for the development of Da Nang City, when the Resolution takes effect from January 1, 2025.

The Resolution has new, outstanding, and unprecedented policies, such as allowing the establishment of the Da Nang Free Trade Zone. This is an economic model that has been confirmed in attracting resources to promote development, but is a new model in Vietnam, without specific regulations, posing many challenges. Therefore, it requires effort and determination to concretize the policy and put it into practice.

“We must be deeply aware of the importance of the Resolution. This is an important legal basis, a solid foundation to open up many new opportunities, motivations and specific policies to attract resources and effectively promote the potential and advantages of the City, creating breakthroughs for the City to develop quickly and sustainably,” Mr. Quang affirmed.

Source: https://baodautu.vn/thu-hut-nha-dau-tu-chien-luoc-van-hoi-moi-cua-da-nang-d223898.html