The Ministry of Planning and Investment (MPI) has proposed the building of a Law on Industrial Parks (IPs) and Economic Zones (EZs) targeting six groups of policies, to further promote innovation and new industrial areas.

The law would set orientations for the development of IPs and EZs in regional and provincial planning and include regulations for investment in infrastructure at IPs and EZs; incentives given to IPs and EZs established in impoverished areas; policies to promote the development of new types of IPs and EZs as well as new functional areas within EZs; incentives given to certain businesses; and State management of IPs and EZs.

The ministry said that IPs and EZs need to drastically renovate to adapt to rapid changes nationally and internationally and to fit with the national socio-economic development strategy for the 2021-2030 period and vision to 2045.

Thus, the building of the Law on IPs and EZs is vital in helping complete related institutions and laws, creating a uniform legal framework for businesses, accelerating investment attraction, and promoting business and production.

By December 2022, Vietnam had 407 IPs covering nearly 130,000 ha of natural land and 86,208 ha of industrial land. Of these, 292 IPs are operational with an occupancy rate of nearly 72 per cent.

There were also 26 border EZs in 21 cities and provinces on a total area of 766,000 ha, and 18 coastal EZs in 17 cities and provinces with a total land and water area of 871,523 ha.

Figures from MPI indicate that IPs and EZs have attracted nearly 10,400 domestic projects and 11,200 FDI projects, with total investment capital of VND2.54 quadrillion ($105 billion) and $231 billion, respectively.