Thai Binh’s Transformation Drive: Unleashing the Province’s Economic Potential
Once renowned as the “rice bowl” of Northern Vietnam, Thai Binh Province is undergoing a significant economic transformation. In recent years, there has been a deliberate shift in its economic structure, with a decrease in the proportion of agriculture and fisheries, and a substantial increase in the focus on industry and construction.
In 2023, the agriculture, forestry, and fisheries sectors accounted for only 19.9% of the province’s GRDP, while the industry and construction sectors dominated with a share of 45.0%, and the services sector contributed 29.1%.
Thai Binh’s FDI attraction ranks in the top 5 nationwide, showcasing its growing investment appeal (Source: thaibinh.gov)
Looking ahead, Thai Binh has set ambitious goals for 2030, aiming to maximize the contribution of the industrial sector. Specifically, the province targets an economic structure with approximately 62.1% stemming from industry and construction, and a GRDP per capita equivalent to the national average.
The provincial planning for the period of 2021–2030, with a vision towards 2050, underscores the development of industry and services as the pillars of economic growth. The ultimate goal is to establish Thai Binh as a modern industrial hub and a leading energy center in the Red River Delta region, as well as a pivotal distribution center for goods in the southern part of the delta and the North Central region.
To achieve this, the Thai Binh Economic Zone has been established, spanning an area of 30,583 hectares with a 54-kilometer coastline. Of this, over 8,000 hectares are dedicated to industrial, urban, and service development. With 22 industrial parks, the zone is expected to offer immense growth potential, akin to that of Quang Yen and Dinh Vu economic zones, in the next 3–4 years.
The local government’s unwavering commitment to industrial development is already bearing fruit. In 2023, Thai Binh attracted nearly USD 3 billion in FDI, the highest ever, propelling the province into the top 5 FDI destinations in the country, and earning it a place in the prestigious “Billion Dollar Club” for foreign investment attraction.
This positive trajectory continued into the first half of 2024, with the province’s economy outperforming expectations. Investment capital reached VND 7,769.9 billion, more than double that of the previous year. FDI inflows stood at USD 232 million, a 5.7-fold increase year-on-year, while total realized investment capital in the province was estimated at VND 27,647 billion, reflecting a 6.9% uptick.
The economic transformation in Thai Binh, coupled with the influx of FDI, underscores the province’s burgeoning investment appeal, making it a strategic choice for investors seeking to expand their production and business operations.
Transport Connectivity: Catalyzing Thai Binh’s Development
In its quest for robust economic growth, Thai Binh Province has recognized the pivotal role of harmonious and sustainable spatial organization, with a strong emphasis on connectivity with the Red River Delta and North Central regions.
The provincial planning for 2021–2030, with a vision towards 2050, outlines a development framework comprising one center, four socio-economic spaces, and three economic corridors.
The city of Thai Binh serves as the central hub, assuming the role of the province’s administrative, political, economic, and cultural epicenter. It is also a focal point for urban economic activities, trade, and services, and a crucial link to other provinces in the Red River Delta and the rest of the country.
Emphasis on infrastructure development to connect Thai Binh City with other provinces in the Red River Delta (Source: thaibinh.gov)
The three economic corridors are as follows:
- The Northwest Corridor: Connecting peripheral areas with neighboring provinces (Hung Yen and Ha Nam) and extending to Hanoi. This aligns with Hanoi’s Ring Road 5 (CT.39) and CT.16, which links the coastal economic zone to Thai Binh City and the economic zone in the northwest of the capital.
- The Eastern Corridor: Following the Ninh Binh – Hai Phong – Quang Ninh expressway, this corridor runs along the Northeast-Southwest axis.
- The Northeast-Southwest Corridor: Linking the North Central provinces to Hai Phong and Quang Ninh, this corridor comprises the coastal expressway that connects six provinces and cities, forming a chain of coastal economic zones. This corridor is poised to become a pivotal socio-economic driver for the entire Red River Delta region.
These corridors are not only pivotal for Thai Binh’s transportation infrastructure, positioning it as a distribution hub for the southern Red River Delta and the North Central region, but they also propel the province towards becoming a new economic and industrial growth pole within the delta.
Mr. Nguyen Van Dinh, Vice Chairman of the Vietnam Real Estate Association, highlights how the vigorous development of industry and industrial parks in Thai Binh is spurring a surge in housing and service utility demands, presenting a plethora of opportunities for real estate investors in the province.
