The seminar, “Hanoi’s Economy – 70 Years Towards Circular and Sustainable Development”, was organized by the Economic & Urban Newspaper in collaboration with relevant agencies on September 25. It aimed to provide policymakers and the public with an overview of Hanoi’s economic development achievements over the past 70 years and seek solutions for the city’s rapid and sustainable economic growth in the future.
HANOI IS TRANSITIONING TOWARDS A GREEN AND CLEAN ECONOMY
Living up to its reputation as the “City for Peace,” Hanoi has emerged as one of the largest cities in Southeast Asia over the past 70 years (from October 10, 1954, to October 10, 2024), boasting a fast and sustainable economic growth rate. Faced with environmental challenges such as climate change, Hanoi, like other provinces and cities in Vietnam, is focusing on developing a green and circular economy.
Reflecting on Hanoi’s economic development over the past 70 years, Prof. Dr. Nguyen Thanh Loi, Editor-in-Chief of the Economic & Urban Newspaper, affirmed that Hanoi has continuously endeavored to modernize its economic structure. New economic models, such as the digital, green, and circular economies, are gradually taking shape and playing an increasingly important role in the city’s sustainable development.
“Hanoi has continuously improved its business and investment environment, especially by reducing complex administrative procedures, creating favorable conditions for businesses to grow and attracting many large domestic and foreign projects,” said Prof. Dr. Loi. However, to achieve the goals of circular and sustainable economic development, Hanoi needs synchronized, effective, and practical solutions based on the contributions and insights of experts, scholars, and policymakers,” he added.
According to Prof. Dr. Dinh Trong Thinh, former Head of the International Finance Faculty at the Academy of Finance, Hanoi’s income scale has grown tremendously from 2010 to 2023, with GDP consistently ranking first in the country and an average growth rate of 7%. Notably, Hanoi’s per capita income surpassed that of Ho Chi Minh City for the first time in 2023.
“Hanoi has gradually transformed itself into a locality with a faster and stronger shift in its economic structure towards services, as well as green and clean economy, compared to other provinces and cities in the country,” emphasized Prof. Dr. Thinh. “In 2022, despite the impact of the Covid-19 pandemic, Hanoi’s economic growth slowed down but still outperformed the national average,” he added.
Asserting that Hanoi has become the country’s leader in various fields, including economics, culture, and education, Dr. Le Quoc Phuong, former Deputy Director of the Center for Industrial and Commercial Information (Ministry of Industry and Trade), stated that Hanoi’s economic model in recent years has positively evolved, with trade, services, and tourism as its spearhead, adopting new economic models from around the world.
According to Dr. Phuong, the trade and service sector accounts for nearly two-thirds of Hanoi’s GRDP, indicating the city’s correct strategic direction. Tourism has propelled Hanoi into the top 10 cities with the fastest tourism growth globally. In 2023, Hanoi’s import and export turnover accounted for nearly 9% of the country’s total, ranking the city eighth among 63 provinces and cities. The industry and construction sector contributes approximately 16% to Hanoi’s total output, attracting around 4,500 FDI projects with a total registered capital of over $33 billion. Additionally, Hanoi has 1,350 craft villages, 313 of which are recognized as traditional craft villages.
NEED FOR SYNCHRONIZED STRATEGIES AND SOLUTIONS FOR SUSTAINABLE DEVELOPMENT
Resolution No. 15-NQ/TW of the Politburo has set development goals for the capital city, and the recently passed Law on the Capital City by the National Assembly provides a favorable condition for Hanoi’s development.
According to Prof. Dr. Bui Thi An, former Member of the 13th National Assembly and Director of the Institute of Resource Environment and Community Development, since the issuance of Resolution No. 15 of the National Assembly on adjusting the administrative boundaries of Hanoi and some related provinces, the city has undergone a comprehensive transformation for 16 years and 2 months. Hanoi’s economic structure has changed entirely, with the trade and service sector expanding and the agriculture sector shrinking.
“If, in the past, when people mentioned Hanoi’s economy, they would think of com (young rice flakes) and dao (peach blossoms) of Vong and Nhat Tan, now they immediately think of the city’s economic regions. Economic development has contributed to the rapid transformation of social infrastructure. Nowadays, even in distant districts like Phuc Tho and Ba Vi, cars can reach the doorstep,” shared Prof. Dr. An.
Prof. Dr. An acknowledged Hanoi’s significant strides but emphasized the need for continuous improvement. She suggested that Hanoi requires synchronized strategies and solutions to accelerate its development and ensure sustainability.
Mr. Nguyen Hoang, Chairman of the Hanoi Association of Supporting Industries (HANSIBA), proposed that Hanoi should adopt a “virtuous circle” model for economic development. This model integrates industry with agriculture, healthcare, education, culture, and tourism to create a mutually beneficial ecosystem.
On the other hand, Mr. Nguyen Van Toan, Vice Chairman of the Foreign Investment Enterprise Association (VAFIE), noted that Hanoi is located in the northern economic triangle and has the Capital Region, which offers significant development potential. “In the future, the Hanoi government can build a new ecosystem for businesses to thrive. This ecosystem should encompass aspects related to the state, businesses, educational institutions, and research institutes,” suggested Mr. Toan.
To encourage more people to engage in the circular economy and ensure risk reduction and sustainable livelihoods, Prof. Dr. Bui Thi An recommended that Hanoi first introduce specific mechanisms and policies. Subsequently, the city should provide guidance, implementation, and supervision at each stage of the circular economy process for businesses, organizations, and individuals.
The Five Tasks Delegated by the Prime Minister to Binh Duong Province
“Addressing the Conference on the Master Plan for Binh Duong Province for the period of 2021-2030, with a vision towards 2050, this morning (Sept 26), Prime Minister Pham Minh Chinh assigned five key tasks and outlined six pillars to propel Binh Duong’s future development.”
The Green Revolution: Vietnam’s Journey Towards a Circular Economy
The circular economy is pivotal for Vietnam to achieve green growth and a green economy, thus meeting its sustainable development goals. With a focus on reducing waste, promoting sustainability, and encouraging the reuse and recycling of resources, the circular economy offers a robust framework for Vietnam to foster innovation, enhance resource efficiency, and mitigate environmental impacts. By embracing this model, Vietnam can chart a course towards a more resilient and environmentally friendly future, ensuring long-term economic prosperity while preserving the planet for generations to come.
Sustainable Con Dao: Embracing a Circular Economy for Long-Term Prosperity
To foster sustainable development in Con Dao, aviation and high-speed ferry businesses have actively risen to the occasion with a plethora of supportive initiatives. These initiatives are designed to turn the vision of socioeconomic progress, hand in hand with environmental conservation, into a tangible reality.
The Future of Finance: Authoring the AI Revolution
Distinguished speakers from a range of fields came together to address the audience at the “Catalysing Innovation with AI” event, hosted by the Association of Chartered Certified Accountants (ACCA) and the British Embassy in Vietnam. This insightful gathering took place on September 18 in the vibrant city of Hanoi.
