In the first half of 2021, Da Nang well performed in terms of controlling the COVID-19 resurgence in tandem with beefing up economic recovery in a prompt yet effective manner. Thanks to this, the city’s gross regional domestic product (GRDP) in the first half of this year climbed by 5% as compared to the same period of 2020. If the coronavirus resurgence is put under control in the coming months, the economic growth target of 6% growth in 2021 is likely to be within the city’s reach.

Production activities are observed at the Da Nang Rubber Joint Stock Company. Photo: LE HUNG HUNG

Da Nang’s economic highlights

The city's GRDP in the first half of 2021 increased by nearly 5% from the same period in 2020, up 1.05% as compared to the same period in 2019, the municipal Department of Planning and Investment said. In particular, the service sector accounted for more than 60% of the GRDP structure. The recovery of this sector continued serving as the main supporting role of the local economy, with a rise of about 5.3% over the same period last year.

Along with that, the industry and construction sector gradually regained its growth momentum with a climb of about 2.85%. Also encouragingly, the processing and manufacturing sector generated a positive growth.

Another bright spot observed on the economic picture in the review period was a positive growth in the value- added (VA) of 15/21 tier-1 economic sectors, such as the processing and manufacturing industry up 1.96%, commerce 8.95%, information and communications 3.81%, finance, banking and insurance 7.45% and real estate 8.69%, together accounting for nearly 83% of the total added value of the whole economy.

The city’s total state budget revenue in the first half of this year reached an estimated VND 11,387.6 billion, presenting 52.3% of the target assigned by the municipal People's Council and accounting for 97% of the figured recorded in the year-ago period.

It is a must-do to soon implement the “5K+vaccine” approach which means the 5 recommendations of the Ministry of Health and vaccination drives so that the tourism and transportation industries can bounce back. A scene is captured at the Da Nang International Airport. Photo: TRIEU TUNG

Well controlling the virus resurgence, creating momentum for growth recovery

Master in Public Investment Management Le Vinh Quang analysed, Da Nang has continued to control the risk of coronavirus spread quite well, and effectively promoted the implementation of “dual goals” in containing the virus and spurring economic development.

He underlined a must-do to soon implement the “5K+vaccine” approach which means the 5 recommendations of the Ministry of Health and vaccination drives so that the tourism and transportation industries can bounce back and contribute to the progress of the local economy, thus securing the economic growth target of 6% this year.

Head of the Office of the Private Businesses’ Association in Central Viet Nam Truong Dinh Duc also proposed the city to implement tasks of disbursing public investment capital and removing any obstacles to institutional investment in public investment, construction, compensation and site clearance. Along with that, focus should be on developing digital, logistics and transport infrastructure.

Recently talking to the press, Da Nang People’s Committee Chairman Le Trung Chinh affirmed Da Nang would keep a sight on strengthening research, forecasting, and capturing information on the world economic and political situations to make proper policies in line with global economic trends.

Under plans mapped out by the municipal administration, measures will be taken to maintain production and business stability, thereby contributing to limiting a decline in economic growth, along with speeding up the capital disbursement for projects.

With regard to commerce, the priority will be given to e-commerce activities. In the field of information and communications, the emphasis will be placed on promoting investment attraction and deploying information technology and software parks, and supporting large and prestigious corporations such as FPT, Viettel, VNPT, CMC and , LG to smoothly deploy their projects in the city.

In particular, competent agencies will urgently complete compulsory investment procedures to start the construction of the Prime Minister-approved shared infrastructure of the Lien Chieu Port project.

Reporting by TRIEU TUNG – Translating by A.T