Quảng Ninh maintains its top position in PCI rankings 2023
Quảng Ninh retained its top position in the rankings of the provincial competitiveness index, according to the 2023 Provincial Competitiveness Index (PCI) and Provincial Green Index (PGI) report released by the Việt Nam Chamber of Commerce and Industry (VCCI) in Hà Nội yesterday.
Others among top ten performers in the 2023 PCI are Long An, Hải Phòng, Bắc Giang, Đồng Tháp, Bà Rịa-vũng Tàu, Bến Tre, Thừa Thiên-huế, Hậu Giang and Phú Thọ.
In the PGI 2023, the top-ranked provinces are Quảng Ninh, Đà Nẵng, Đồng Nai, Hưng Yên and HCM City.
According to the report, with a score of 71.25, Quảng Ninh continues to be the leading province in the 2023 PCI for a seventh consecutive year, due to its effective business support programme.
Meanwhile, Long An jumped up eight places compared to 2022, winning the runner-up position in the 2023 PCI rankings with a score of 70.94.
Hải Phòng remained in the top five of the PCI for a third consecutive year. Bắc Giang marked the second year appearing in the top five. Đồng Tháp Province maintained a position in the top five PCI nationwide from 2008 to date.
Compared to the PCI of 2O22, HCM City's position was unchanged at 27th, with a score of 76.19, while Hà Nội dropped eight places to the 28th with a score of 67.15.
Helped by the US Agency for International Development (USAID), the 2023 PCI-PGI report was the result of answers from 10,676 firms, including 9,127 domestic private businesses and 1,549 foreign-invested enterprises (FIES) operating in Việt Nam.
The report indicated a positive change in the proactivity of the national and provincial governments to create a legislative and policy framework that is welcoming to doing business in Việt Nam.
The 2023 PCI-PGI survey results also reveal improvements in business support policies and administrative procedures and increasing relief from informal charges.
Notably, efforts to digitalise administrative procedures appear to be fruitful, with nearly 77 per cent of firms reporting that completing procedures online was more time and cost-efficient than traditional paper-based methods.
This year’s report also reflects the challenging economic context for the business community with a low number of them planning to increase the size of their operations.
Many firms reported hurdles in getting access to finance, market fluctuations, finding customers and business partners, finding suitable personnel and the completion of bureaucratic procedures.
Firms have been struggling with the severe consequences of climate change and other external factors that cause difficulties in their business operations such as escalating geopolitical tensions in several parts of the world, high inflation and the global market downturn.
“For businesses to recover and thrive, provincial governments should deploy more practical solutions for improving the business climate such as accelerating administrative reforms, reducing procedural costs for businesses and creating an equitable business environment," said VCCI chairman Phạm Tấn Công.
The business community needs stability and consistency in the development and enforcement of the legal framework more than ever, he added.
“The US Mission to Việt Nam through USAID is building on nearly 20 years of partnership with VCCI to further increase Việt Nam’s competitiveness in the world market by transitioning to a green economy,” said the US Ambassador to Việt Nam Marc E Knapper.
“By promoting environmentally friendly regulatory reforms and investment, the Provincial Green Index will advance Việt Nam’s sustainable economic development and its ambitious net-zero emissions by 2050 target.
"it's no coincidence that in the years since PCI has been a key tool for companies and provinces to use, that investment has increased, economic growth has increased.
"The United States is one of Việt Nam's largest investors. It really is thanks to what the PCI has done, which is to show investors which provinces are most competitive in terms of creating an enabling envi
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"And, for transparency and accountability, these are all things that foreign investors, especially American investors, want to see when they're considering investment decisions in certain provinces throughout the country."
The 2023 PCI-PCI report aims to provide practical information that can inform relevant governmental agencies at all levels in their policy-making and public administration, serving as a reliable reference and a driving force for localities to change stronger toward sustainability.
The Green Index is also expected to be an important reference for investors in terms of decision-making.