2:41:21 PM | 18/9/2018
The Provincial Competitiveness Index (PCI) of Da Nang City is always among the country’s leaders, with seven times out of 13 years securing the top place in the annual rankings. In 2017, the city ranked second in the PCI rankings. What has made Da Nang City’s PCI rankings gain such high places and what will it do to regain its leadership in PCI standings.
Friendly and active government
Not only being endowed with a picturesque landscape, Da Nang City also lies in a strategic position - a transitional place of land, sea and air traffics in the Central Coast, the Central Highlands and even Southeast Asia. These advantages provide Da Nang with unrivalled advantages over many other localities.
If the above factors are seen as ‘godsends’, the following factors are made by Da Nang City’s people. That is a dynamic government constantly striving to renovate and adapt to changing conditions to meet what the market, businesses and investors need and provide full support for enterprises to develop their business operations.
In addition, the cooperation of businesses and investors with local authorities desiring to build and develop the city’s economy and society also becomes a driving force for the city government to keep on its ongoing effort. It is surely no coincidence that leaders of giant and prestigious corporations in the world have appreciated the advantages and dynamism of the city government.
Da Nang not only appeals for being a city of unique events, festivals, beautiful nature and friendly people but is also a good place for doing business because of a plenty of superior advantages. The city government introduced many policies to stimulate investment and create a transparent business environment for investors to make Da Nang a more attractive and ideal place to live, to work and to do business.
Solutions for higher PCI
In 2017, Da Nang City’s PCI dropped to the second place. This came as a real surprise as the city had made a lot of efforts to improve its business environment and business sentiment. So, immediately after the outcome of PCI 2017 was announced, the Da Nang City People’s Committee hosted a meeting to listen to opinions from the business community to know what it had done well and what had not to have better solutions to raise the PCI standing in the coming time. In addition to its pronounced policies and solutions, Da Nang City worked out a number of urgent priority solutions to this effect.
Mr. Tran Van Son, Director of the Da Nang Department of Planning and Investment, said, business capital shortage is always among the top five priorities recommended by enterprises in PCI surveys in Da Nang City. Small and medium-sized enterprises (SMEs) always have a very high demand for capital increases as they lack security assets for commercial loans.
“With their feedbacks, we found that businesses are obstructed by interest rates and secure borrowing processes. In addition, they also hope for easier loan procedures to widen their access to money for business investment expansion,” he said. “Before fund difficulty against enterprises, the city government instructed the Da Nang Development Investment Fund to report to central ministries and agencies for solutions to troubleshoot procedural nuisances to ease their access to the fund’s loans,” Son added.
As regards administrative procedure reform and administrative procedure support for enterprises, Da Nang City regularly directs the Department of Home Affairs, the Department of Justice, other municipal departments and district-level governments to reduce the time required to handle these procedures.
The focus on improving capacity, service and attitude of civil servants at single-window divisions and units directly contacting organisations and individuals is also emphasised. This made the city applauded in PCI 2017.
In the coming time, Da Nang City will further enhance transparency and equality for all enterprises in the market, which is one of urgent solutions in favour of local enterprises, especially SMEs.