How many special economic zones does Vietnam need?
Three special economic zones (SEZ) in Van Don (Quang Ninh province), Van Phong (Khanh Hoa) and Phu Quoc (Kien Giang) are still on paper, while HCM City is moving ahead with a plan to set up an SEZ there.
Ho Chi Minh City Mayor Le Hoang Quan has requested relevant agencies to draw up a detailed plan to establish an SEZ in the city. The SEZ, to cover districts 7, Nha Be, Binh Chanh and Can Gio, is expected to further the city’s economic development.
Dr. Luu Bich Ho, former head of the Ministry of Planning and Investment’s (MPI) Development Strategy Institute, said there were two contradictory viewpoints about the plan.
Dr. Vo Dai Luoc, former head of the World Politics and Economics Research Institute, believes that Vietnam needs to have an SEZ, a model which has succeeded in many countries, such as China and the US.
However, Dr. Nguyen Quang Thai from the Vietnam Economics Science Association believes that the SEZ model is no longer suitable.
Ho personally thinks that SEZs are needed to help develop the economy. He does not think the model is no longer valuable, but believes that developing SEZs depends on every country’s timing and conditions.
Some economists have suggested establishing science cities which can serve as a driver for creativity and development. HCM City has great advantages and potential to develop a high-technology city.
Ho said the SEZ projects have not been approved because of worries relating to the approval of special policies applied to the zones.
In March 2014, Quang Ninh provincial authorities, in an effort to speed up the establishment of the Van Don SEZ, organized an international workshop on the issue. However, no progress has been made.
In fact, not only Quang Ninh, Khanh Hoa and Kien Giang, but Quang Nam, Quang Ngai and Binh Dinh have also attempted to set up SEZs in their provinces.
Two years ago, Livingston, a US-based group, sent its staff to Vietnam learn about the possibility of setting up SEZs, but it has not returned since.
Though economists all agree about the importance of SEZs in economic development, an official of the Ministry of Planning and Investment (MPI) expressed his concern about ‘SEZ inflation’.
MPI said it was necessary to set up SEZ in accordance with a plan to be thoroughly considered instead of establishing many SEZs at the same time.
The MPI official also questioned if there should be another SEZ in Ho Chi Minh City as the three in other provinces have not taken shape.
Dr. Luu Bich Ho, former head of the Ministry of Planning and Investment’s (MPI) Development Strategy Institute, said there were two contradictory viewpoints about the plan.
Dr. Vo Dai Luoc, former head of the World Politics and Economics Research Institute, believes that Vietnam needs to have an SEZ, a model which has succeeded in many countries, such as China and the US.
However, Dr. Nguyen Quang Thai from the Vietnam Economics Science Association believes that the SEZ model is no longer suitable.
Some economists have suggested establishing science cities which can serve as a driver for creativity and development. HCM City has great advantages and potential to develop a high-technology city.
Ho said the SEZ projects have not been approved because of worries relating to the approval of special policies applied to the zones.
In March 2014, Quang Ninh provincial authorities, in an effort to speed up the establishment of the Van Don SEZ, organized an international workshop on the issue. However, no progress has been made.
In fact, not only Quang Ninh, Khanh Hoa and Kien Giang, but Quang Nam, Quang Ngai and Binh Dinh have also attempted to set up SEZs in their provinces.
Two years ago, Livingston, a US-based group, sent its staff to Vietnam learn about the possibility of setting up SEZs, but it has not returned since.
Though economists all agree about the importance of SEZs in economic development, an official of the Ministry of Planning and Investment (MPI) expressed his concern about ‘SEZ inflation’.
MPI said it was necessary to set up SEZ in accordance with a plan to be thoroughly considered instead of establishing many SEZs at the same time.
The MPI official also questioned if there should be another SEZ in Ho Chi Minh City as the three in other provinces have not taken shape.