PM SAYS NO TO OPEN ECONOMIC ZONES IN NORTH

Date: July 17, 2003
Source: Saigon Times
Author:

The government will not approve the establishment of open economic zones in the north, Prime Minister Phan Van Khai confirmed at a two-day conference ending in Quang Ninh province on Tuesday.
"Chu Lai Open Economic Zone with liberal polices has been licensed in the central region, but this model will not apply in the north," Khai told ministers and local leaders of the Northern Focal Economic Zone at the conference.

"An open economic zone is deemed necessary when an economy is on the early stage of economic renovation and still lacks in polices. Now, all our policies and mechanisms have and will embrace the market-oriented economy principles, so we do not need a separate open mechanism."

Khai's confirmation clears the water and the initiative of establishing an open economic zone in the north has been suggested several times in the past years. What is more necessary for northern Vietnam is a deep-water seaport to bring into play the comparative advantages of the region, the Prime Minister said.

He urged leaders of Hai Phong and Hanoi to find a suitable location for a large- scale port able to handle vessels 40,000 to 50,000 tonnes.

In another respect, Deputy Prime Minister Vu Khoan stressed at the conference the importance of creating a favourable investment environment for local and foreign private companies doing business.