Over the past 25 years, Binh Duong, with the policy of "traffic is one step ahead", connecting traffic with a network of industrial parks and urban centers is a typical example of success in the local economic development.
According to Dr. Tran Du Lich, a member of the Prime Minister's Economic Advisory Group, among many factors contributing to the success of Binh Duong during the past 25 years, there are 3 main factors including (1) Improving the investment environment through substantive administrative reform, with the slogan of "rolling out the red carpet" to attract investment; (2) Breakthrough in the model of developing concentrated industrial parks based on advantages of location, weather and soil; (3) Breakthrough in the development of traffic infrastructure, industrial park infrastructure, infrastructure of new urban areas through the use of tools of local government to lead investment, which is the model of Becamex IDC.
Looking at the dynamic of regional linkage, according to Dr. Tran Du Lich, Binh Duong needs to put the local development in view of the regional economy, especially the "development quadrangle" of the Southern Key Economic Zone. Currently, although Binh Duong still plays a leading role in economic growth of the country, this area is facing four main challenges, including (1) connected transport infrastructure; (2) urban development and urban chains; (3) human resources; (4) regional institutions and local creative dynamism promotion.
According to Dr. Tran Du Lich, in order to build a linkage mechanism for regional development, Binh Duong needs a breakthrough innovation in the thinking of "regional economic development" instead of thinking "provincial economy" through mechanism of economic management and State budget allocation of the Government and local authorities. The province should propose the Government when making regional planning under the Law on Planning to integrate regional development policies in the content of planning implementation. In addition, based on the advantage of being next to a megacity - Ho Chi Minh city - to promote the process of urbanization and trade – service development, Binh Duong needs to actively coordinate with Ho Chi Minh city in construction of a connected traffic system.
In order to improve the dynamism of localities with development advantages, the Government is proposed to pilot the implementation of financial autonomy mechanism in four localities in the "development quadrilateral", including Ho Chi Minh city, Binh Duong, and Dong Nai and Ba Ria-Vung Tau under the mechanism of reducing the integration of the State budget between the central and local authorities, stabilizing the State budget division ratio between the central and local authorities under the Law on State Budget for 5 years; mobilize resources to develop the regional traffic system planned to 2020 and 2030.
Reported by Phuong Le-Translated by Kim Tin
