The Da Nang economy in 2024 grew quite well, with the gross regional domestic product (GRDP) increasing by an estimated 7.51% compared to 2023, ranking 2nd in the group of 5 centrally-run cities, and 3rd in the key economic region of the central region. The economic scale reached VND151,300 billion, expanding by more than VND17,000 billion compared to 2023.

The added value of the industrial and construction sector increased by 7.7% in 2024. Production activities at the Minh Thinh Loi Company Limited. Photo: M.QUE

Prosperous economic sectors

According to a report recently released the Da Nang People’s Committee, the added value of the service sector went by 7.7%; the industry - construction sector up 7.7%; the agriculture - forestry - fishery sector up by 2%. In general, the service sector developed quite well, especially tourism.

In 2024, the number of guests served by accommodation establishments reached more than 10.8 million, up by 32.8% compared to 2023, comprising 4.1 million international visitors, up by 36.3% and 6.7 million domestic ones, up by 30.8%; and revenue from accommodation and travel services reached more than VND14,000 billion, up by 30.4%.

This was mainly attributed to many national and international events and festivals, tourism products and services organised and put into operation, contributing to creating a vibrant and fresh atmosphere to attract a large number of tourists. The domestic goods market was relatively stable, accordingly, the city’s retail sales of goods in 2024 reached VND75,554 billion, up 12.2% compared to 2023.

The world goods market has improved since the second quarter of 2024, so the city’s import and export grew well since the third quarter of 2024. By the end of the year, the export turnover reached US$1.92 billion, up 3.15% compared to 2023, and the import turnover hit US$1.3 billion, up 15.1%.

The improving market also contributed to promoting the recovery of the industrial production sector. The index of industrial production (IIP) in 2024 climbed up by 6.65% (the annual plan increasing by 4 - 5%, compared to 2023).

At the same time, the city strived to promote public investment projects, actively disburse and remove bottlenecks in the investment sector, support housing construction projects, civil engineering works to speed up progress and increase implementation value. Thanks to that, the added value of the entire construction industry in 2024 grew quite well and increased by 7.5% over 2023.

In the 11 months of 2024, the city attracted US$213.37 million in foreign direct investment (FDI), a rise of 17.9% over the same period in 2023. The city issued investment policy decisions and foreign investment registration certificates for projects putside the Hi-tech Park, IT Park and industrial parks with a total investment capital of VND 69,507 billion, up by 56.8% over the same period in 2023.

With the above-mentioned results in economic sectors, the budget revenue soon reached the annual estimate assigned by the Da Nang People's Council and exceeded the same period. Accordingly, the total state budget revenue hit VND 25,760 billion, equal to 133.3% of the estimate assigned by the Da Nang People's Council and a rise of 19.9% compared to 2023.

Effectively implementing economic growth solutions

2025 is identified as the year to create a breakthrough to complete the 2021 - 2025 plan. In the coming time, the national government will supplement a number of more specific mechanisms and policies for the city, complete the establishment and approval of zoning plans, specialized technical infrastructure plans, so it is forecasted that the production and business situation will continue to recover and grow.

The city has identified the key solution as effectively implementing Resolution No. 136/2024/QH15 of the National Assembly on the organisation of urban government and piloting a number of specific mechanisms and policies for the city’s development.

Accordingly, focus will be on speeding up tourism and high-quality services, mobilising resources to support businesses to boost production, create competitiveness in the market, promoting the processing and manufacturing industries; attracting investment flows. With a regard to tourism, it is a must-do to remove difficulties and obstacles to implement three breakthroughs: tourism products, market - flight routes and service quality.

Specifically, the city will implement projects according to the roadmap: spurring the tourism development to 2030, with a vision towards 2045; developing night-time economy; developing inland waterway tourism in the city by 2030, with a vision towards 2045; turning cuisine into a unique tourism product by 2030.

The Da Nang Authority of the Hi-tech Park and Industrial Zones (DHPIZA) will continue to promote investment promotion activities in the Hi-tech Park, concentrated information technology parks, especially in key markets.

In addition, continue to propose specific solutions for projects to support investors in development; at the same time, improve the quality of land use and investment efficiency of projects in the Hi-tech Park and industrial parks.

According to Ms. Le Thi Kim Phuong, the Director of the municipal Department of Industry and Trade, in terms of trade, the city will continue to play the role of the focal agency implementing free trade agreements.

In addition, the department will develop policies to support the city’s trade promotion activities, focusing on developing logistics services to attract import and export goods.

With a regard to industry, the department will support enterprises to participate in domestic and foreign trade fairs and exhibitions to seek export markets and consume products; supports enterprises to seek domestic sources of raw materials, form domestic production supply chains to diversify supply sources and especially increase added value for processed and manufactured industrial products, thereby creating stable production and increasing product competitiveness.

The municipal Department of Industry and Trade will implement procedures to speed up the progress of industrial clusters.

Reporting by MINH LE - Translating by A.THU