Over the past 2 decades, since Da Nang was recognised as a centrally-governed city on 1 January 1997, the city has seen numerous remarkable changes to its face.  This has been partly attributed to the great efforts made by the local business community.

A worker at the Veston factory of the Hoa Tho Textiles and Garments Company

Currently, 18,157 private, FDI and State businesses are operating in the city, together accounting for over 50% of the city’s GDP, and they have created jobs for over 60% of the city’s residents. 

Tax payments from private businesses annually account for 40% of the city’s total tax revenues, nearly equal to those from FDI ones, and double those from State-run ones.

In 2016, the total of taxes collected in the city hit 19,000 billion VND, a 16-fold increase compared with 1997. 

The local authorities last year granted business registration certificates to over 4,000 new businesses, with a total registered charter capital of 12,807 billion VND.  This figure represents an increase of 39.5% and 27.7% in the number of businesses and amount of investment respectively against 2015. 

The total export turnover of the city’s industrial sector reached over 1.1 billion USD in 2016, a 7-fold increase compared with 1997. 

Many businesses have played a vital role in accelerating local industrial growth over recent years.   Most notably, the Hoa Tho and 29 March textiles and garments companies, the Da Nang Rubber Company, and the Danapha Pharmaceutical JSC were honoured with ‘Viet Nam Value 2016’ titles at an awards ceremony last November. 

Exports from such companies as the Da Nang Rubber Company and the Thuan Phuoc Seafood and Trading Corporation have affirmed their positions in the international market.

Over recent years, the city has also recorded numerous remarkable breakthroughs in its tourism sector.  In 1997 the Furama Resort Danang opened, and it was the only 5-star resort in the city at that time.  Now the city boasts many more luxury seaside holiday resorts offering high-end services, such as the InterContinental, Crown Plaza, Hyatt Regency, Fusion Maia, Pullman, Olalani and Vinpearl Luxury.  

The large volume of domestic and FDI inflows into this sector has helped accelerate the city’s economic progress, and created employment for job seekers from the city and other neighbouring localities.

Over recent years, the city authorities have issued numerous support policies for local businesses in order to help them overcome their difficulties and promote their trade and production activities.  Under the city’s on-going project for boosting the development of local business by 2020, the city is targeting to increase the number of businesses to 30,000, and to promote the number of large and medium-sized companies which can each annually contribute over 500 billion VND to the city budget.

Addressing a meeting last year, municipal People’s Committee Chairman Huynh Duc Tho remarked that the growth of local businesses created a strong momentum for boosting the city’s progress over the past 2 decades. 

He also pledged that the city authorities would create the most favourable conditions for businesses to enhance their global economic integration.