Ho Chi Minh City plans to triple its average GDP per capital in 2025. Photo courtesy of Thoi bao Kinh te Saigon Online
Ho Chi Minh City announced a ten year plan, on Monday, targeting to triple its residents' average annual income while investing heavily in road projects.
City officials stated that the development plan will raise the per capita GDP to around $13,340 – 14,285 by 2025, Thoi bao Kinh te Saigon Online reported.
The current median annual income for residents of the southern metro is $4,513, while the national average climbed 8 percent from the previous year to $1,890 in 2013.
The new development plan estimates that municipal average could double in 2020 to around $8,820.
Some officials at the meeting expressed worries that the new income goals show that Vietnam's commercial hub has fallen behind most of its counterparts in Southeast Asia.
The income target for 2020 is just above Manila’s from 2010, while the 2025 goal is only slightly higher than Bangkok’s and Jakarta’s for 2010.
During the plan's announcement, Tran The Ky, deputy director of the city’s Transport Department, said the city will focus on finishing a beltway connecting the Hanoi Highway to its tech park and export industrial zones. The highway currently connects the city to nearby industrial spaces in the provinces of Dong Nai and Binh Duong and in the central region.
Ky said the city will also speed up work on two other beltways leading to Nhon Trach Industrial Zone in Dong Nai.
The city hopes to report annual economic growth of around 10 percent until 2020, and 8.5-9 percent until 2025 by focusing on fostering biotechnology and clean, renewable energy sources.
The development plan is estimated to cost around VND9-10 trillion with an 8-12 percent contribution from the state budget. The city hopes to cover the remaining costs by mobilizing funds from private sources, BOT (Build-Operate-Transfer) and PPP (Public Private Partnership) investments, bond issuance and official development assistance.
Thai Van Re, director of the city's Department of Investment and Planning, also said Monday that the 2030 plan seeks to limit new industrial zones in Ho Chi Minh City and expand those in nearby localities.
Re said there will be a high-tech urban area in Dong Nai and an industry-service complex in Binh Duong.
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