FDI businesses play significant role in local economic development
By the end of October, Da Nang had attracted 278 FDI projects, with a total registered investment of over 3.3 billion USD. At present, 35 countries and territories worldwide are investing in the city. The main investments are in real estate, with 26 projects worth 1.83 billion USD, manufacturing and processing industries, with 83 projects valued at 667 million USD, textiles and garments, health, and information technology.
Recent years have seen a significant year-on-year increase in the number of FDI projects coming to Da Nang, which has considerably increased the contributions to the city's budget.
Workers at Keyhinge Toys Viet Nam Company |
The Da Nang Taxation Department said that the average annual tax on FDIs collected between 2010 and 2012 had been around 48 million USD. The city's branch of the Vietnam Brewery Limited makes the highest annual tax contribution of 14 million USD on average, and the Silver Shores Investment Development Company averages around 3 million USD. In 2012, FDI enterprises contributed over 44.3 million USD to the city’s budget, representing over 81% of the year's estimates.
FDI companies have played a significant role in the city’s economic development, creating jobs for local residents as well as accelerating local industrialisation and modernisation.
In addition, these enterprises have made a remarkable contribution to the city’s total imports and exports turnover. Between January and September, they earned 654 million USD from exports, a 12.5% year-on-year increase which represents 73.9% of the year’s target. Their hi-tech products, including electric motors, fishing rods, golf sticks, and high-class electrical equipment, are sold internationally.