Green and sustainable growth – the ‘catalytic factor’ of investments and reforms, Doctor Tran Quang Thang – Director of Ho Chi Minh city Institution of Economics and Management

The conference on “The tradition inheritance of Binh Duong in a quarter of a century - The achievements and prospects” will be held in two days of April 19 and 20 at Binh Duong provincial Center for Convention and Exhibition as a opportunity for Binh Duong to look back and evaluate the achievements of 25 years of construction and development as well as the strategies for the next stages. On the occasion, Binh Duong Newspaper reporters interviewed Doctor Tran Quang Thang, Director of Ho Chi Minh city Institution of Economics and Management on the achievements and development orientation of Binh Duong province for the time to come.

- Sir, what are you impressed of the successful development of Binh Duong in the past 25 years?

- I am much impressed by Binh Duong’s 25 years of construction and development. I think that the today’s success of Binh Duong derived from the thoughts and visions of local leaders in the timeline of Song Be province and the splitting and re-establishment of Binh Duong province.

The success of VSIP I has prompted Binh Duong to construct VSIP II and VSIP III. In this photo: The groundbreaking and signing ceremony for the construction of VSIP I. Photo: X. Loc

Starting from a lower starting position than some neighboring localities, but Binh Duong had a very interesting breakthrough to become a bright spot on the industrial map of the country. The mindset and outreach of Binh Duong's leaders are the key factors leading to the success of Binh Duong. That is shown by the understanding and mastering the thoughts and aspirations of investors, the fully meeting the needs of domestic and foreign businesses, the focusing on developing and perfecting infrastructure as a lever for economic development; administrative procedures have been thoroughly reformed and streamlined.

In particular, Binh Duong has Becamex IDC as a foundation to develop industry and related service industries, contributing to the changing of the province from a purely agricultural province to a developed service industrial province.

- Sir, what is the role of Binh Duong in the major economic zone of the South?

- Binh Duong is one of four provinces and cities located in the Southern key economic region including Dong Nai, Ho Chi Minh City and Ba Ria - Vung Tau. Binh Duong makes a good impression on infrastructure, and administrative reforms to create momentum for industrial development, and gradually develop in services and smart cities. Binh Duong is a very important link in the supplying chain in the Southern region.

In the long term, Binh Duong as well as the rest of the provinces need a reasonable assignment. The problem of local economic development in each locality is no longer suitable for the new context. For example, Ho Chi Minh City and Dong Nai have a system of river ports, seaports, airports, and international relations that is ahead of Binh Duong. Binh Duong needs to take advantage of neighboring localities as well as its own internal resilience. For example, Binh Duong can promote the development of logistics services and ecotourism combined with health care and convalescence; it also can develop the food processing industry and supporting industries for the electronic industry.

- Sir, what can Binh Duong prepare for the future in the face of rapid international tendancies?

- The wave of investment in Binh Duong is getting better and better with bigger names and global brands. Binh Duong needs to become a regional skill-training center to offer highly skilled workers according to the needs of this fastidious investors. Investors and authorities need to connect to create products with higher ‘gray matter’ and added value. Binh Duong should prioritize attracting investors to transfer science and technologies, knowledge, management experience and extensive international customer relations.

However, Binh Duong also needs to prepare for itself. No one can stand on the shoulders of a giants forever. Binh Duong has its own destination. Therefore, the province needs to base itself on its existing competitive position to appropriately adjust its strategy, to be self-reliant to go faster, further and higher.

- Should Binh Duong change its strategies of favoring investors for the time to come as such strategies have brought about certain success in the locality?

- With or without the favor is due to the satisfaction of investors and the agreements of the public. Investors need the balance of investment scale, profits and risks. What is worthy of our attention is what does Binh Duong need to prepare its infrastructure to meet their needs?

The matter of listening to investors is vital as Binh Duong also needs to encourage the public to participate into the investment process as the roles of workers or experts or managers. However, what we need most is the understanding of the authorities and the investors.

- VSIP marks the very successful cooperation of Binh Duong and Singapore in the strategies of developing industrial parks in Binh Duong. What are your evaluations?

- Based on the success of VSIP I, later, Binh Duong built VSIP II and VSIP III, showing the right strategies of industrial development in Binh Duong. I think the relationship between Binh Duong and Singapore is ‘the right person at the right time’. Today, VSIP has been expanded nationwide from the South to the North and become a model for many provinces and cities to follow.

Singapore started as a small and poor fishing village. Singapore's economic model initially also relied on multinational corporations to develop the economy and absorb knowledge, technologies, and management qualifications. About 20 years ago, Singapore had its own direction by developing internal businesses and getting support from the State to strongly develop small and medium enterprises. Such model is being applied very successfully by Becamex IDC in Binh Duong.

In addition, Binh Duong needs to learn the wisdom of taking advantage of world knowledge and modern technologies from the island nation. However, to develop long-range needs its own direction.

- What can Binh Duong do to head towards green and sustainable development, sir?

- Green growth is a development model with focus on economic development at assured sustainability of the environment, low carbonic development and comprenhensive society. Green growth means promotion of growth and economic development with assurance that natural resources can continue to supply resources and environmental serices are necessary for our lives.

To do this, green growth must be the ‘catalyst’ for investment and innovation - the basis for sustainable growth, and the creation of new economic opportunities. The matter of green and sustainable development needs to be viewed at a macro level. We need to go from awareness of the people from a young age; thus, children need to be educated and trained in culture, lifestyle, and environmentally friendly behaviors. In terms of orientation, the direction must show a consistent and cross-cutting vision from Binh Duong's leadership through each term, to be consistent and inherited. Quality investors commit to long-term businesses. So, short-term investors should not be accepted on the basis of economic profits that harms the environment.

- Thank you!

Interviewed by Phung Hieu – Translated by Vi Bao