The Northern key economic region

Under Decision number 145/QĐ-TTg issued by the Prime Minister on directions for socio-economic development of the Northern key economic region to 2010 and the Vision to 2020, the Northern key economic region consists of eight provinces: Ha Noi, Hai Phong, Quang Ninh, Hai Duong, Hung Yen, Ha Tay, Vinh Phuc and Bac Ninh.

According to this Decision, the average annual growth of GDP in the period 2006-2010 and 2011-2020 will be respectively 1.3 times and 1.25 times higher than that of the whole country. Its contribution to the entire country’s GDP will be up from 21% (in 2005) to 23-24% in 2010 and 28-29% in 2020. The value of exports per capita per year will rise from $ 447 in 2005 to $ 1,200 in 2010 and $ 9,200 in 2020. Technologies to be renovated should be an average of 20 - 25% per year. The rate of unemployment will be down to 6.5% in 2010. The rate of poor households is to reduce to 1.5% in 2010 and below 0.5% in 2020. The natural birth rate is to slow down to 1% in 2010 and below 0.8% in 2020.

To reach these above-said goals, it is necessary to turn high-tech industries into spear-headed ones including software industry, IT equipment, automated equipment production, robot manufacture, new materials production, high quality steel, ship-building and mechanics, etc. Besides, such highly competitive supplementary industries as car and motorbike's accessories manufacture, electrical accessories and electronic components, electrical engines and internal-combusting engines, should also be developed.

Regarding the structure of products, key products should be those of high value with high grey matter concentration. Besides, special attention should also be paid to small industries and handicrafts as well as designing models of sustainable development and building craft villages.

The services sector should be comprehensively developed, especially the high-quality services in the fields of finance, banking, trade, tourism, science-technology, telecommunications and air and sea transportations. Markets of real estate, capital and stock are also given priorities to develop.

Structure of agricultural production should swiftly shift towards a highly productive and qualitative goods production. Attention should be paid to developing clean agriculture and linking agricultural development to households and farms' economy building.

Concerning transportation, networks of roads and railways, sea routes, river routes and air routes should be comprehensively developed and modernized. In particular, we should concentrate on building deep-water ports, highway networks and the transportation system within Hanoi. We should also upgrade Noibai international airport to raise its total capacity to 6 million passengers/year (in 2005) and 8 to 10 million passengers/year (in 2010) and modernize Catbi airport. Railway routes will also be upgraded and modernized.

Apart from improving existing mechanisms, we should encourage every economic sector to invest in developing and carrying out reforms on investment structure in the following direction: 50-55% of social investment is for developing production and business, 9-10% social investment is for human resources development and 35-36% of transportation investment capital is for building more first and second grade roads and highway.

The Central key economic region

Under Decision number 148/2004/QĐ-TTg issued by the Prime Minister on directions for socio-economic development of the Central key economic region to 2010 and the Vision to 2020, the Central key economic region consists of five provinces and city under direct central authority, including Da Nang, Thua Thien Hue, Quang Nam, Quang Ngai and Binh Dinh.

According to this Decision, the region's average annual growth rate of GDP will rise from 1.2 times in the period 2006-2010 to 1.25 times in the period 2011-2020 higher than that of the whole country. The value of exports per capita per year will increase from $ 149 in 2005 to $ 375 in 2010 and $ 2,530 in 2020.

The tourist centers of Hue, Da Nang and Quy Nhon, as well as the adjacent central and highland areas will be gradually formed. Construction of large infrastructural works will be completed so as to link this region to the neighboring ones and help carry out the East-West corridor programme for the extended Mekong sub-region, and develop the triangle of Vietnam- Laos and Cambodia border regions.

Da Nang city will be the heart of the Central region with the population estimated at 1 million people in 2010 and nearly 2 million people in 2020. With international, trans-Vietnam and trans-Asia airports and seaports available by then, Da Nang will serve as an important point of international transit and transportation of the Central and Highland areas and other countries in the Mekong region. There will be an industry nurturing centre (the function of which is to do research on technology renovation for factories), financial, banking and stock centers as well as a telecommunications center. Besides, Da Nang is also expected to be one of the cultural, educational and training, scientific and technological centers of the Central region.

Chu Lai open economic zone's development (in Quang Nam) will follow the model of "zone within region". This is the only open economic zone for piloting new policies and institutions aimed at creating an investment environment in conformity with international practices for various forms of business by both local and foreign economic organizations. Chu Lai airport will be restored and upgraded (the first phase) to ensure the handling of half million passengers and about 500 tons of goods per year. In the long run, this airport will serve as the region and area's international transit airport. At the same time, Da Nang airport will continue to be expanded and upgraded.

Dung Quat economic zone (Quang Ngai) will become a multi-sector industrial complex which enjoys preferential policies to encourage investors to stay for a long time. In this complex, the focus will be on developing oil- refinery, petrochemical and chemical industry. Other industries like mechanical industry, ship building and repair industries, steel refinery and lamination industries, cement production and container manufacturer will be step by step developed. Besides, attention will also be paid to developing an intra transportation system that links 10 oil ports, a complex port and dykes for wave and sand prevention etc.

Chan May commercial and economic area (Thua Thien Hue): In the short term, we should build good infrastructure for the port. And then, in the period of 2006-2010, we should establish an international information center together with developing a system of trade, services, tourism, finance, banking and other sectors.

Sea transport will play a blood-vessel role. In the immediate time, Tien Sa port needs upgrading to increase its handling capacity to 4 million tons/year by 2010 and at the same time building Lien Chieu Deep Water Port with an expected capacity of 2 million tons/year (in the first phase) and 8.5 million tons/year (in the second phase). Besides, the construction of Dung Quat, Ky Ha and Quy Nhon Ports will be accelerated.

The Southern key economic region

Under Decision number 146/2004/QĐ- TTg issued by the Prime Minister, the main development goals of the Southern key economic region are defined as follow: the region's average annual growth rate of GDP will rise 1.2 times in the 2006-2010 period and 1.1 times in the 2011-2020 period higher than that of the whole country. Its contribution to the whole country's GDP will be up from 36% at present to 40-41% in 2010 and 43-44% in 2020. The value of exports per capita per year will increase from $ 1,493 in 2010 to $ 22,310 in 2020.

The Southern key economic region, including Ho Chi Minh City, Dong Nai, Ba Ria Vung Tau, Binh Duong, Tay Ninh, Binh Phuoc and Long An, will become one of the most dynamic, highly and sustainably developed regions, and will be an economic locomotive for the entire country.

Ho Chi Minh City is expected to serve as a high -quality service center of telecommunications, transportation, finance, banking and tourism at both national and international levels. By 2010, IT and electronic industries will have become key sectors which export both software and hardware with priority given to software products, thereby turning the Southern key economic region into a strong center of IT and telecommunications, electronic components and software production in Southeast Asia. By 2005, the value of software production is expected to increase to 1,800 billion dongs (equivalent to $ 150-160 million USD).

According to Decision 146, we should also complete the upgradation of Highway No 50, 20, 22B, N2, etc, invest in building a highway from Ho Chi Minh city to Can Tho and modernize Tan Son Nhat airport. By 2010, we should finish the plan on moving Sai Gon Port out of the city and gradually build Thi Vai and Cai Mep Ports in order to meet the transportation demands of the Southern region and act as a gateway out to the sea in the trans- Asia route.

In the period of 2006-2010, we will build railways from Ho Chi Minh to Vung Tau and a system of railways linking seaports to economic zones lying along the corridor of No 51 Highway that connects Ho Chi Minh City with Phnom Penh, Mekong Delta and the Central Highlands.

We will also build new urban areas with the population of about 700,000 to one million people in Phu My, Long Son and Long Hai (Ba Ria Vung Tau province), Di An - Tan Uyen (Binh Duong province), Tam Phuoc and Nhon Trach (Dong Nai province) and a new urban center in the adjoining areas of Ho Chi Minh, Long An and Tay Ninh provinces.