The industrial sector has grown robustly, driving socio-economic development while tourism has gradually become the province’s key economic sector.”
Northern Ninh Binh province has enjoyed spectacular socio-economic achievements during the past 20 years. It has developed from a purely agricultural province with many difficulties and challenges, into a province with fairly-developed industrial and tourism economy. The industrial sector has grown robustly, driving local socio-economic development while tourism has gradually become the province’s key economic sector.
Ninh Binh’s gross domestic product (GDP) steadily grew 15.7 per cent during 2006-2011 from 13.1 per cent in 2001-2005 and 9.6 per cent in 1996-2000. The provincial GDP growth in 2011 was 8.9 times against 1992, of which, industrial-construction production values rose 27.71 times, services 12.4 times and agro-forestry-fishery 1.73 times. State budget revenues reached VND3.4 trillion ($163 million) last year, an 84.8-fold increase against 1992.
Ninh Binh’s economic structure has shifted towards increasing the ratio of industry and services and reducing the contribution rate of agro-forestry-fishery sector in GDP. Specifically, industry-construction accounted for 49 per cent of the province’s GDP last year, while services made up 36 per cent and agro-forestry-fishery dropped to 15 per cent.
Industrial production value has stepped forward to fetch VND13 trillion ($625 million) in 2011, a 42-fold increase over 1992. Many large projects have come into operation in the province such as cement plants, Thanh Cong automobile plant, Pomihoa steel facility and Andora shoe-making factory.
In addition, Ninh Binh’s export turnover gained a strong growth to hit $264 million last year. During 1992-2011, the local export value surged 28 per cent on average, of which the 2006-2011 period saw the strongest growth of more than 51 per cent.
Meanwhile, tourism has developed robustly. Many well-known tourism sites have been developed such as Trang An cave, Bai Dinh Pagoda spiritual tourism site, Tam Coc-Bich Dong, Van Long ecological site, Hoa Lu ancient capital and Yen Thang golf course. Tourism infrastructure has been strengthened and tourism services have been improved. In 2011, visitors to Ninh Binh reached 3.6 million, a 562.5 increase compared with 1992.
The agro-forestry-fishery sector gained a stable growth. Last year, the agricultural production value was averaged VND86 million ($4.1 million) per hectare to reach VND1.9 trillion ($89.8 million).
Socio-economic infrastructure, particularly transport, irrigation and social infrastructure have developed synchronously, meeting the local socio-economic development requirements.
National highways of 1A and 10, expressway through Ninh Binh, DT447 road and thousands of rural roads have been built and upgraded. An electricity network with over 3,000 kilometres of length and hundreds of transformer stations basically meets the demand for local production activities. Telecom and internet services cover remote areas.
Most importantly, living standards have been improved. Per capita income climbed to VND24.91 million ($1,197) in 2011, far from the 1992’s level while the province’s poverty rate plunged to 9.86 per cent last year.
Besides, the healthcare sector has grown remarkably. The province now has 172 healthcare establishments. In 2010, Ninh Binh general hospital with 700 beds and modern equipment were put into operation.
Administration reform is also a noteworthy achievement in Ninh Binh. Decentralisation has been implemented in the province, thus making progress in simplifying administrative procedures and adopting one-stop-shop model across the province to provide favourable business climate for investors.