Danang Targets 12 Percent GDP Growth

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Apr. 2 – Danang is setting a goal of 11 to 12 percent GDP growth rate for this year, inspite the slowdown poised by the global economic downturn.

Last year, the city reported a GDP growth 11 percent against the national average of 7.06 percent. Export earnings came in at more than US$905 million with an increase of 19.5 percent compared to 2007.

Chairman of the city’s People’s Committee, Tran Van Minh, told Vietnam Economic Times that this marked the city’s determination to overcome difficulties, stabilize economic growth and promote social-welfare projects to improve living standards.

Danang was at the top of the Vietnam Provincial Competitiveness Index, compiled by the Vietnam Chamber of Commerce and Industry last year. This reflects the marked improvements made in the area in recent years in terms of infrastructure development and governance.

The city is attractive to investors because of its flexible investment policies, transportation network, competitive land prices and abundant human resources.Last year, more than 2,100 businesses with registered capital of more than VND7.642 trillion were given business licences.

Currently, more than 10,000 enterprises from various economic sectors are operating in Danang; providing employment for more than 275,000 workers.The city has attracted more than US$2.5 billion worth of foreign investment that numbers to 141 projects in the last 12 years.

The improving economic situation of the city also led to the increase of per capita income from VND4.69 million in 1997 to VND23.62 million in 2008.