Ho Chi Minh City has determined that it needs to mobilize a huge investment resource, about 620,000 billion VND, of which 510,000 billion VND comes from social investment capital.

To achieve double-digit economic growth this year, Ho Chi Minh City has determined that it needs to mobilize a huge investment resource, about VND620,000 billion, of which VND510,000 billion comes from social investment capital. The City has been implementing synchronous and drastic solutions since the beginning of the year to achieve this great goal.

The identified capital sources include: public investment, public-private partnership (PPP), state-owned enterprises, domestic private investment and foreign direct investment (FDI). Of which, non-state capital accounts for the decisive proportion, about 350,000 – 400,000 billion VND.

The Department of Planning and Investment said that this year, public-private partnership (PPP) will also be promoted, focusing on the fields of transportation, international transit ports, innovation, clean energy, semiconductor industry and logistics.

Mr. Le Hoang Anh – CEO of EcoTruck Company said: “For a business, its conditions are the issue of cost efficiency or not, the policy mechanisms to encourage businesses to boldly invest, build, develop and operate logistics centers in the most effective way”.

With public investment as the leading source of capital, this year, Ho Chi Minh City still persists in its disbursement target of 95%. At the same time, it will implement the “1-3-7” formula, which means that in the first quarter, 15% will be disbursed, in the second quarter, 35% or more, and in the third quarter, 70% or more. This goal is to accelerate public investment disbursement, quickly process procedures, shorten approval time, and increase project implementation efficiency.

Mr. Nguyen Viet Dung – Director of the Department of Science and Technology of Ho Chi Minh City commented: “We are also studying public-private investment mechanisms in developing digital infrastructure, for example. Or mechanisms to attract social resources in training high-quality human resources.”

Regarding FDI attraction, the City is promoting the implementation of the International Financial Center, helping to create an effective capital mobilization channel and attract large capital flows for development investment.

Mr. Nguyen Van Dung – Vice Chairman of Ho Chi Minh City People’s Committee commented: “In terms of institutions, the City will focus on implementing the best administrative reforms in the area, to create an open and favorable environment for the business community.”

At the same time, Ho Chi Minh City is also actively removing suspended planning, developing traffic infrastructure; expanding the scale of existing industrial parks and export processing zones to attract investment. According to experts, these are capital absorption bottlenecks, which when removed will have a huge impact on Ho Chi Minh City’s economy to achieve its growth target.