Success from public-private partnership model
Implementing the motto "Using public investment to lead private investment", prioritizing the arrangement and use of state budget capital as seed capital to stimulate and maximize the capital of other economic sectors for infrastructure development... Thanks to that, over the past decade, tens of thousands of billions of VND from private resources have been poured into Quang Ninh. These "huge" projects worth billions of dollars have not only brought a new look to a province with a low starting point, but have now become a growth pole, a key economic locomotive in the Northern region, but also brought outstanding development to strategic investors accompanying the province.
When it comes to public-private partnerships, the name Quang Ninh will certainly always be a valuable experience for localities to learn from. Because this is the province that initiated the ideas of public-private partnerships with outstanding measurable results. Specifically, in the early 2010s, Quang Ninh - a province located in the far Northeast of the country, possessed many potentials and advantages, but was far from the center, with a lack of and weak transport infrastructure, making travel very difficult. Therefore, Quang Ninh was not yet a strategic locality for the Central Government to invest in the context of limited budget resources.
To unleash the potential in that context, in 2013, the Provincial Party Committee boldly researched, led the pilot, and applied the PPP investment form with the models of "public investment - private management", "private investment - public use". Less than a year later, in the process of attracting investment in infrastructure construction to serve development, the province initiated a pilot project in a number of projects, such as investing in and building working headquarters of state agencies, but implemented by the private sector and leased by the state. With this approach, Quang Ninh did not have to spend a large amount of budget, but still had new headquarters, with full functionality, synchronous, modern, replacing degraded infrastructure to arrange for dozens of Party and government agencies to work.
From the pilot initiatives, public-private partnership has quickly spread to the entire political system and business community in the province. With the view that the state cannot do what businesses can do and can do better, a series of projects invested by the private sector have been implemented with a total investment capital of tens of thousands of billions of VND to date.
Quang Ninh is the first province in the country to own an airport, a specialized port and a highway... which are typical projects, driving forces, linking and promoting the development of a circular economic chain, but are invested by the private sector. Without private resources and relying on the budget, it is certain that the province would not have been able to have such a synchronous infrastructure system until now, and the advantages and potentials of the province would not have been able to be exploited as strongly as they are now to create breakthrough developments with economic growth increasing every year.
Overall, in Quang Ninh, private resources not only solve the capital problem, but also help the province manage projects after investment, improve the efficiency of budget capital, and avoid public debt. Instead of having to spend a large amount of capital to invest in one project, the province can use that capital to do many projects at the same time while still ensuring quality, significantly reducing the burden on the state budget.
Furthermore, the advantage of public-private partnership in Quang Ninh lies in its ability to overcome the inherent disadvantages of state investment, which are lack of competitiveness and low efficiency; project progress is better guaranteed; the mechanism for dividing responsibility for risk management is reasonable, improving project efficiency. At the same time, it also promotes the strengths of private investors in technology transfer, invention, management skills, etc. The state reduces the number of personnel for public services, increases budget revenue from tax revenue of investing enterprises.
Mobilizing resources from the private sector has brought benefits to many parties. In particular, society and people benefit from high-quality projects, creating more jobs for workers, increasing income for people, stabilizing life, stabilizing society, contributing effectively to improving competitiveness, attracting investment and improving people's lives. This is also the clearest evidence of the role of the private economy in the overall development of the locality.
Driving force for private economy to break through
Currently, in Quang Ninh, there are 10,471 enterprises operating with tax declarations with a total registered capital of VND 369,711 billion. Of which, private economic sector enterprises account for 97.84%, state-owned enterprises account for 0.72% and foreign-invested enterprises account for 1.44%. By the end of 2024, the province's economic scale will reach VND 347.5 trillion, ranking 3rd in the North and 7th in the country, of which the proportion of capital contributed by the private sector accounts for over 57%. Quang Ninh is in the top 10 localities attracting large enterprises with many enterprises ranked in the top 500 in Vietnam.
With the viewpoint that only when the private economy develops can the province develop; social security, life, and employment of the people and workers are guaranteed, in recent years, Quang Ninh has paid special attention and always accompanied businesses. The province always appreciates the efforts and endeavors of the business community, therefore, it has implemented many synchronous solutions to sustainably develop businesses, cooperatives, and business households, from the viewpoint of using public investment to promote and activate investment capital sources outside the society, promoting public-private cooperation, internal strength is fundamental, strategy - external strength is important, breakthrough. This has created conditions for businesses to quickly stabilize production and business and expand product consumption markets, and seize new business opportunities.
Implementing the spirit of Resolution No. 68-NQ/TW dated May 4, 2025 of the Politburo on private economic development to maximize the role, making the private economy the "most important driving force" and the "pioneer force" of the economy, the driving force of innovation and growth... on the basis of 8 groups of tasks and solutions, Quang Ninh has developed a plan, set specific goals to strive for about 12-15 operating enterprises/thousand people by 2030. The private economic sector contributes about 40-45% of the province's GRDP, about 35-40% of the province's total budget revenue, creates jobs for about 85% of the total workforce, and is among the leading localities in the country in applying, transferring science and technology, innovation and digital transformation at an advanced level in a number of important fields. By 2045, the private economy will develop rapidly, strongly, sustainably, proactively participate in domestic and global production and supply chains; have high competitiveness in the region, contributing about 50% of GRDP.
To ensure this goal, Quang Ninh is currently focusing on promoting the implementation of the contents of the resolution to create a high level of consensus on the important position and role of the private economy in the process of implementing the province's development goals. Thereby, strengthening the confidence, aspiration to rise up and strong action of the private economic sector in the new era. At the same time, continuing to improve the quality of administrative reform, improving the investment and business environment, researching and thoroughly applying artificial intelligence and big data in implementing administrative processes and procedures, creating a healthy competitive environment.
The province has also directed to end the situation of overlapping, duplicate, prolonged, and unnecessary inspections and examinations. Instead, it is necessary to strongly apply digital transformation in inspection, examination, auditing, and online and remote inspection activities based on electronic data. Publicize and make transparent the policies, plans, and development plans of the province, sectors, fields, and localities to provide quick, timely, and regular information to people, businesses, and entrepreneurs investing in production and business in accordance with the province's orientation, ensuring consistency, unity, equality, legitimate rights and interests, and reducing risks in the production and business activities of entrepreneurs and enterprises.
At the same time, promote and diversify capital sources for the private economy through effective implementation of credit mechanisms and policies for the private economy, support enterprises to improve their management capacity, build a transparent and standardized financial system, standardize accounting and auditing regimes, implement solutions to increase prestige and access to financial resources. Promote science and technology, innovation, digital transformation, green transformation, effective and sustainable business in the private economy; strengthen connections between private enterprises, private enterprises with state-owned enterprises and FDI enterprises by building business linkage chains according to industry clusters, value chains, supply chains, etc.
It can be seen that, inheriting the experience and effectiveness in mobilizing resources, promoting development from the private economy, boldly applying and innovating appropriate policies, Quang Ninh will be very favorable to continue promoting private economic development. This will be an important driving force for the province to create new development ideas and contribute to the growth target of each year.
Source: https://baoquangninh.vn/kinh-te-tu-nhan-dong-luc-cua-doi-moi-va-tang-truong-3361703.html
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