Red River Delta receives $10 bln in development finance, direct investment

Development projects and direct investments worth nearly $10 billion for the Red River Delta were signed at a regional investment promotion conference on Sunday.

The Asian Development Bank (ADB), Agence Francaise de Developpement (AFD), Japan International Cooperation Agency (JICA), and Korea Export-Import Bank (KEXIM) signed agreements to finance $2.6 billion for 20 development projects in traffic infrastructure, urban development, irrigation, and climate change responses in the delta.

The Red River Delta includes 11 cities and provinces, namely Hanoi, Hai Phong, Quang Ninh, Vinh Phuc, Bac Ninh, Hai Duong, Hung Yen, Thai Binh, Ha Nam, Nam Dinh and Ninh Binh, accounting for 6.42% of the country's total area.

Also at the event, hosted by Prime Minister Pham Minh Chinh, foreign and domestic investors received investment certificates, in-principle approvals, and memoranda of understanding for about 30 projects worth VND167 trillion ($7.1 billion) in the region.

Hai Phong city features projects of Thaiholdings JSC’s social housing construction of VND4.8 trillion ($203.61 million); VinES Energy Solutions JSC’s research, development and production of battery cells worth VND3,295 billion ($139.77 million); Zim Hai An Joint Venture Company Limited’s container shipping worth VND1,383 billion ($58.66 million); and infrastructure construction in Trang Due 3 Industrial Park.

Hai Duong province delivered an in-principle approval for Pegasus Vietnam Sewing Machine Co., Ltd to build a VND958 billion ($40.64 million) component factory.

Quang Ninh province handed over investment certificates to Autoliv Vietnam to build a VND3,773 billion ($160 million) automobile safety component factory, QST International Corporation and Boltun Corporation to develop an automobile component factory worth VND4,000 billion ($169.67 million), and a lock factory in Bac Tien Phong Industrial Park.

Hanoi granted in-principle approvals and investment certificates to five projects with registered capital of VND10 trillion ($424.18 million), including Aeon Mall Hoang Mai worth VND6 trillion ($254.51 million).

Projects in Thai Binh province include Compal (Vietnam) Co., Ltd.’s VND6,467 billion ($274.32 million) electronic component and smart device factory, ET Solar Power HongKong Limited’s VND3,490 billion ($148.04 million) solar cell component plant; Tra Ly Spinning JSC’s VND737 billion ($31.26 million) high-tech weave factory with an annual output of 15,000 tons.

Bac Ninh province delivered investment certificates to the SLP Park Nam Son Hap Linh warehouse project worth VND1,248 billion ($52.94 million); Yurra Corporation’s automobile component factory worth VND695 billion ($29.48 million); Chief Expertise Limited’s electronic component plant worth VND6,366 billion ($270.03 million); and Goertek Vina Co. Ltd.’s electrical, electronic, and multimedia device factory worth VND7 trillion ($296.92 million).

Ninh Binh authorities handed over a mamorandum of understanding to a survey for the construction of a luxurious resort worth VND600 billion ($24.45 million) by the Lam Vien Capital Investment Joint Stock Company.

The Red River Delta is considered Vietnam's northern gateway and a gateway of ASEAN in connection with economic development and trade with China - the world's largest market and vice versa. The delta has the best and most synchronous transport infrastructure system in the country in terms of roads, sea, river, air, railways with three economic corridors passing through.