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THUYẾT MINH QUY HOẠCH EXPLANATION ON OVERALL PLANNING FOR SOCIO ECONOMIC DEVELOPMENT OF VINH YEN CITY TO 2020 AND VISION TO 2030 (EXCERPT) ORIENTATION FOR SPCIO ECONOMIC DEVELOPMENT OF VINH YEN CITY T[.]

EXPLANATION ON OVERALL PLANNING FOR SOCIO-ECONOMIC DEVELOPMENT OF VINH YEN CITY TO 2020 AND VISION TO 2030 (EXCERPT) ORIENTATION FOR SPCIO-ECONOMIC DEVELOPMENT OF VINH YEN CITY TO 2020 AND VISION TO 2030 I VIEWPONT AND OBJECTIVE OF DEVELOPMENT Viewpoint of Development Originating from the actual situation of the development of the socioeconomic development, potentials, advantages and the opportunities of the City, the overall planning for socio-economic development of Vinh Yen City to 2020 and vision to 2030 must be fully aware of the below development viewpoints: - - Develop Vinh Yen to become a service City, high quality and for a long run, it shall become a tourist city, convalescence tourist and sustainable ecological tourist city - Build Vinh Yen corresponding to the center of administrative, politics, culture and core of Vinh Phuc; safeguard defense and security; contribute positively to the open process and economic international integration - Develop Vinh Yen with a long-term vision and direct to modern; promote and connect closely the advantage of the city with the development orientation of the neighboring districts, of the province and of the region to create a breakthrough position in respect of tourist development General Objective Develop Vinh Yen to become a service City, sustainable development, high quality, modern and comprehensive urban infrastructure corresponding to the center position of the province; embellish and preserve the historic and cultural vestiges; stabilize politics and safeguard defense and security Specific Objectives a) Objective of Economic Development - The average growth rate of production value in the period 2011-2015 is around 15%-16%/year; the added value is about 17-18%/year; In the period 2016-2020 is 14-15%/year and the value added is about 1516%/year - Shift strongly the economic structure so that by year 2015, the weighting of services shall account for around 54%, industry-construction is 44.6% and agro-forestry, aquiculture is about 1.4% By year 2020, these figures are 60.0%, 39.3% and 0.7% respectively Service sector shall become a sector making great contribution to the city economy, forming the modern services, the convalescence tourist zones and sightseeing points attracting visitors to come - By 2020, construct comprehensively the technical-economic infrastructure; ensure the living space safety and high quality for 132,000 people b) Objective of the Social, Cultural, Security and National Defense and Development - Scale of population (permanent residence) by 2015 is around 180,000 people; percentage of urban population is 89% By 2020, the population (permanent residence) is about 132,000 people; the percentage of urban population is 92% - Re-allocation of the social labor corresponding to the orientation of developing Vinh Yen becoming a high quality service city; the labor of 15 years old upward working in the economic sector shall be trained at 60% by 2015 and 75-80% by 2020; - Ensure the social safety and consolidate the, security nad national defense for the economic sustainability and development c) Objective of the Environment Protection - To year 2020, the average green tree area of the city per head shall be 22.8-24.4 m2 (including conversion of water surface and street tree), by develop the park system in coordination with the green tree band in outskirt of the city - Priority is given to using public means of transportation, reduce the motorbike - By year 2020, 90-95% of wastewater and solid wastes shall be treated and complete the collective wastewater for treatment II THE FACTS FOR DEVELOPMENT Facts for development projection The project of development includes four main contents as follows: (1) Build Vinh Yen to become a city of integration, Vinh Yen shall be not a cnter of Vinh Phuc province but also of the entire North Viet Nam, a connecting bridge between the Northern midland and mountainous provinces with the Northern economic key region, chiefly is Ha Noi with Noi Bai Airport (2) Build Vinh Yen to become a modern, civilian, green and clean city worthy of a urban of administrative, economy, culture and politics of Vinh Phuc province, a model for the directly under city in the whole country (3) Vinh Yen city shall go ahead of urban government with good urban management meeting the international standard (4) Build Vinh Yen to become one of the services centers of the North with the key development of the fields as education-training, hi-tech; organizing conferences - activities of culture, gym and sports, and trade By four above-said contents of society-economy it is found that there are some ways of access to prepare the development projects of Vinh Yen city, in fact The current planning shall describe three access ways according to following objectives: + Project I: This project with its objective is to increase gradually the economic weighting of the city in the provincial economy from 21.6%/year to 21.8% (2015) and 22.8% (2020) To reach such objective, the average economic growth rate must achieve about 16%/year in the period 2011-2015 and 15% in 2016-2020 Table 18 Facts for the projects Project 2005 Plan 2010 2015 2020 growth rate (%) 20062011- 2016- 2010 2015 2010 21,9 16,0 15,0 21,9 17,2 16,0 21,9 18,0 17,0 Project I 1- Total value added % compared province with 923, 2.48 5.21 10.49 16,4 21,6 21,8 22,8 923, 2.48 5.44 11.44 16,4 21,6 22,8 25,0 923, 2.48 5.68 12.46 16,4 21,6 23,8 27,0 Project II 2- Total value added % compared province with Prpject III 2- Total value added % compared province with Source: Facts for project + Project II: Build Vinh Yen to become one of the service centers of the North, increase gradually the value added weighting compared with that of the province from 21.6%/year in 2010 to 22.8% by 2015 and 25% in 2020 To reach such objective, the value added rate in the period 2011-2015 must achieve 17.2% and 16% in 2016-2020 + Project III: In case, the city works actively with a purpose of taking the function of an economic center and a motive force of the province and increasing the average value added per capita equally to that of the Northern economic key region, Vinh Yen must increase its economy weighting within that of the province from 21,6% at present up to 23,8% by 2015 and 27,0% by 2020 The average economic growth rate of the city must achieve about 18% year in the period 2011-2015 and 17,0% in 2016-2020 By above-said growth objective, this plan uses the access of growth potential to verify the calculations of motive force products in industryconstruction and in agriculture, at the same time, the interrelation of these two branches with the service branch is considered to check whether the objective of above-said objective represented in this plan can reach or not Based on such result, it has basically to set up the economic development project of the city By this method, the two branches: agro-forestry and industry shall get advantage of forecasting statistically in kind On the scale of a city with not much main point products of quantity, it is easily to forecast the growth rate of these two branches and by extension the growth rate of the service branch in the correlative dialectic with the two branches According to the experiences of many cities in the region and international, the production branches increase 1%, the service branch will increase by 1.4% - 1.8% correlatively On the basic of analysis of the development of the key products of the branches, it is found out that the value added in the agro-forestry in the period 2011-2015 reduced by 2.6%/year because of moving agricultural land to urban construction land; industry-construction shall increase by 10.2%, in which most contribution is construction branch; service branch increases about 24.4% at the same period The value added shall increase quickly in the period 2011-2015, by 26.8%/year because of having advantage of infrastructure and small scale of economy The value added in the services shall continue to increase at high level, about 22.2% in the period 2016-2020 Selection of the project: within the three above-said projects, the value added in agriculture is the same growth figure, because of moving agricultural land to construction land Project I with the supposition that the urbanization is in slow velocity, to year 2020, there still exist two agricultural communes as the time being Agricultural land area still accounts for a big figure, about 30-35% of total natural land area The growth rate of agriculture is about 3%/year Project II, the urbanization is in quick situation, move quickly the agricultural land to construction land By 2020, basically there shall not exist the agricultural commune in the city This project also supposes not to develop Hoi Hop IP, but priority is paid to construction of Dam Vac Lake protection works, such as making surrounding road, solidification of Lake edge and wastewater treatment treated before it flows into the Lake or dredging Lake bed to avoid the water pollution Priority also given to dressing the urban, create the dominant points of the city as to construct the trade center, park, commercial bases and real estate exchange Project III with the supposition of in the period 2011-2010, besides the priority given as in project II, the city shall develop Hoi Hop IP, so the production speed in industrial production increase higher than that expressed in the project I and II Consequently, the project III achieve high growth rate but more impact shall be affected on the environment compared with the project I and II From the development contents said above, in order to Vinh Yen becomes a center of politics, green and clean social culture of the province, and take initiative development on the territory under the direction of services and spread the cultural pervasive affect over the neighbor localities, Project II is in the choice The economic structure and allocation to branch and field of the city is described in the below table Table 19 Selected growth project production value, Price 94,Growth rate of Billio VND value (%) 2011- 20162005 2010 2015 2020 2015 2020 2680,9 7446,4 15272 30827 15,4 15,1 Value added of city Agro-forestry, aquiculture 79,1 98,0 89 Industry + Construction 2019,8 5543,0 9278 Services 582,0 1805,0 5905 75 -2,0 14673 10,9 16079 26,8 -3,3 9,6 22,2 production 20112020 15,3 -2,6 10,2 24,4 production value, Price 94,Growth rate of Billio VND value (%) 2011- 20162005 2010 2015 2020 2015 2020 923,5 2485 5498 11560 17,2 16,0 production 20112020 16,6 Value added of city Agro-forestry, aquiculture 44,3 55 47 38 -3,0 -4,3 -3,6 Industry + Construction 494,8 1275 2086 3225 10,4 9,1 9,7 Services 384,4 1155 3364 8297 23,8 19,8 21,8 Source: Facts for Project *Please see more expansion space and re-development Project I is a standby project but in the situation of the economy of the country and the international recovered slower than as compared with the anticipation, project III shall become the standby project Facts for Project of economic structure - Agriculture: the agricultural land seems to reduce gradually from 40.2% in 2009 down to 4.2% in 2020, so the increase of productivity in agricultural production can not compensate the speed of narrowing the agricultural land - Industry and construction, due to the expansion of IPs hence the growth speed shall mainly be brought about by the construction field - Services: service of hotels, restaurants and other high services such as golf course, finance or real estate are the services which make great part to the growth Only transferring 40.2% of agricultural land area in 2009 to the construction land in order to remaining the agricultural land about 4.2% of the total land area of the city by 2020 shall create a big income but no much investment required Transportation services such as supply and retail of petrol and oil, storage and supply construction materials such as steel, cement or asphalt also make great contribution to the production value and value added by this services branch - In case, the growth increased as estimation, the economic structure shall change under the direction of quick increase of weighting of services and reducing the weighting of industry and construction and agriculture By 2020, the service branch shall occupy about 60%, the industry-construction about 39% and that in agriculture is about 0.7% Production value (actual price, billio VND) Economic structure (% 2010 plan 2015 2020 2010 2015 2020 Production value 14553 23370 50563 100,0 100,0 100,0 Agro-forestry, aquiculture 231 327 354 1,9 1,4 0,7 Industry + Construction 10533 13111 24928 74,2 56,1 49,3 Services 3790 9932 25281 23,9 42,5 50,0 Vaalue added 2485 12620 29326,5 100,0 100,0 100,0 Agro-forestry, aquiculture 55 177 205 2,4 1,4 0,7 Industry + Construction 1275 5048 9091 54,5 44,6 39,3 Services 1155 7395 20030,5 43,1 54,0 60,0 Population (1000 person) 102,0 121,0 131,0 Value added (milli.52,5 104 224 VND) Converted in USD (USD) 2914 4740 9650 Table 20 Branch structure Source: Facts for project The average value added per capita in actual price converted into USD in year 2015 shall be USD 4,740, in 2020 is USD 9,650 increased 2.9 times of the average GDP per capita of the country - The urban population increased because of the change of economic structure under a way of non-agriculture; it is estimated that by 2010, the urban population shall occupy 89%, in 2020 it is about 92% of the total population - The change of labor structure occurs at the time with that of value added structure change, By 2020, the labor working in agriculture and construction shall account for 30% and that in services branches is 62%, in agriculture is 8% b) Forecasting the capital demand for the selected project (project III): In order to achieve the above-said objectives, it is necessary to invest in development of service and infrastructure construction The capital requirement shall be calculated according to ICOR coefficient for each period Estimation of investment capital, in the period 2011-2015 is about 25,640 – 30,164 billion VND, period 2016-2020 is about 61,000 - 71,765 billion VND Total investment capital for 10 coming years is about 86,640 – 101,929 billion VND (actual price)(1) Table 21 Project II, investment capital demand as to actual price 2011-2015 2016-2020 2011-2020 2006Low High Low High Low High 2010 level level level level level level Total (billion VND) 9200 25640 30164 61000 71765 86640 101929 Agriculture (as above) 145 126 149 83 98 210 247 Industry-construction (as above) 4749 8579 10094 15806 18596 24386 28690 Service (as above) 4305 16934 19922 45110 53071 62044 72993 Common ICOR coefficient 3,2 3,5 3,7 3,6 Agriculture 2,4 3,3 3,5 2,9 Industry-construction 3,0 4,5 4,6 3,9 Service 3,5 4,0 4,2 3,5 Source: Project calculated according to the common guidance of Development Strategy Institute * Low level is a level deducted 15% from invested capital in advance by its promoting efficiency High level is a level without deducting 15% of promoting invested capital efficiency III ORIENTATION FOR DEVELOPMENT OF BRANCH AND FIELD 1( ) Đã trừ 20% GTGT phát huy vốn đầu tư giai đoạn trước, phát huy công suất dư đổi quản lý Orientation for development branch and field described hereon is in accordance with the Decision No 10/2007/QD-TTg dated January 23, 2007 of the Primer Minister and the Decision No 337/QD-BKH dated April 10, 2007 by Minister of Ministry of Planning and Investment Orientation for development of industry, handicraft and construction a) Viewpoint of industry development By the above-said viewpoint, the industry shall develop under the following direction: - Develop industry under the direction of selection of articles and products using advanced and modern technology, hi-tech; less pollution Priority shall be paid to produce some spearhead articles such as manufacturing mechanics, electricity and electronics-informatics or software technology - Development of industry should tightly connect to development of service and agriculture; ensure the requirements of security and national defense and environment protection - The existing Khai Quang IP shall not be expanded; develop Hoi Hop and Lai Son IP must be suitable to the urban development and environment protection - Move gradually the factories in the IPs, which can result in pollution to the city and its outskirt; only accept the investors using hi-tech in their production to invest in the IPs - Issue the attractive incentive policy for the enterprises to upgrade their production technology c) Orientation for construction development Viewpoint of development: - Develop the construction branch to become an active factor, taking the role of center in socio-economic development of Vinh Yen city; - Introduce, step by step, the urban management work into a habit; ensure the city infrastructure developing quickly both in quantity and quality Development objective: By year 2020, the construction branch under management of the city shall reach at the advance degree of the region; increase quickly its capacity and competitiveness of the enterprises; have capable to implement the big scale projects and high technological and technical requirements Construction economy shall contribute a great part to the city economy Orientation for construction development is to create new, renovated and comprehensive appearances of the city Details are: - Management on construction of the city must more concentrate to prepare mechanism, policy and planning tasks for construction development under the way of more comprehensive - Instruct to implement the newly issued laws in the recent time such as Law on Housing, Law on real estates business and preparing the urban planning to create a breakthrough of the mechanism and policy - Renovate the State management on construction; especially the management on the projects of construction of new urban zone or housing should implement clearly the administrative procedure renovation - Arrange, renovate and increase the efficiency of construction business under the management of the city Apply the model of construction JS enterprises to maintain not only the high growth, big profits but also to solve harmoniously the interests between State, enterprises and the working people and the community - Implement the program of social housing in order to create the breakthrough step in housing development, solve the big demand of housing and contribute to improvement of people’s life - Orientation for solution: + Concentrate on finalization of mechanism and policy of construction Right in 2011, study to renew the construction management mechanism with tightly connected to intensify the administrative procedures, well control the course of urbanization and complete the policy on absolute save, fight against waste, loss, negatives or embezzlement in the field of construction investment + On order to ensure the quality and efficiency in construction investment activity, chiefly the investment in urban development, the planning work should go ahead The construction management department of the city should pay more attention to increasing the awareness and vision of construction planning, continue to renovate contents, methods and speed up the progress of preparing the construction planning + The construction management department of the city should intensify the construction management according to planning; control the development of the city according to the approved planning; make sure of development of the technical infrastructure of the city; gradually settle promptly the urgent matters + Manage closely and healthy development of the real estates market; make sure the publicity and transparency; take useful measures to deal with the activities of making price or cornering the real-estates market + Arrange the construction enterprises under the city in the direction of forming bigger enterprises or corporation so that they can have enough capacity to implement the big projects or the national key projects Orientation for development of service sector The services sector shall create much employment of the city, so it is necessary to give priority to development in the period 2011-2020 with the following common development orientations: - Invest in development of the branches and fields meeting the higher and higher demand both quantity and quality of the IPs in the city and its neighbor localities - Build and develop the modern and high quality service fields such as finance, bank, credit, post, telecommunication, insurance, lawful consultancy or job training to satisfy the requirement of socio-economic development of the city, of the province and the region - Form the tourist complexes with the core is the commercial and convalescence center located in Dam Vac Lake to meet the requirement of shopping, entertainment, relaxation, sanatorium, ecological tourism and health treatment center at the country statue - Increase the service quality of inside passenger transportation to meet the demand of travel of the people, tourists or the investors - Encourage and issue the assistant policy to all economic sectors, especially to the out-state enterprises for them to participate in investment and exploitation the advantages of the city in respect of tourism, relaxation, entertainment with high quality 2.1 Orientation for development trade and market Trade is an important link from the production to consumption; a link having high value added in the chain of global value, so priority must be given to development of this filed with the following orientations: - Inside the city, develop main commercial types, in which the commercial center is a dominant point of the city, they are: (1) Commercial center; (2) Center trade-service zone; (3) Super market; (4) Convenient shops chain, specialized business shop and combined store; (5) Commercial streets; (6) Wholesale centers; (7) Supporting services zones; (8) General agents; (9) Inside city market system - Outskirt city shall have two commercial types, they are: (1) Retail sale markets, center shopping and super markets; (2) Convenient shops and variety store - Solutions for works and main policy + Form the modern commercial centers in the focal points of the city, IPs and tourist zones; + Construct the showroom in Vinh Yen city for displaying industrial and handicraft products; exhibit the socio-economic achievements of the city, of the province and the friendly provinces + Upgrade and rehabilitate the center market of the city, Dong Tam and bao Son markets; + Newly construct Tich Son, cau Ngai, Thanh Tru and Khai Quang markets; + Attract the commercial investors to invest in construction of super market and clients to there for shopping Intensify the propaganda work and mobilize people to implement the civilian life of the city; create the reputation in business and the faith of the clients Have forms of praise and multiply the models of good business timely 2.2 Orientation for development tourism, hotel and restaurants: Vinh Yen city is focal point of urban tourism with diversified attractiveness Tourist go there can enjoy culture, art, entertainment and relaxation, shopping or exchange with the local people Surrounding of Vinh Yen city, there have been establishing the big tourist zones Orientation for the tourist development are defined as below: - Construct a sanatorium in South Dam Vac creating a dominant point of the city on tourism - Connect the key tourist zones, the natural tourist focal to set up the tourist network of the province Construct Dam Vac and its surroundings to become a focal point of the convalescence tourism It is necessary to link to Ha Noi to form a clue of the international tourism - Develop various types of tourism such as convalescence, ecology, culture, festival and sport Tourist product of Vinh Yen city can make strong impression when the quality of environmental sanitation and safety social order improved basically in the tourist spots - Renovate the travel activity business to increase the stay of the tourists Develop the travel according to tours, line to attract the domestic and oversea tourists to spend their weekend or long stay - Complete the detailed planning of tourist zones; make a plan for investment in construction a sidewalk around Dam Vac, management center of Dam Vac tourist zone, new urban zone in South Vinh Yen and Ha Tien pagoda vestige - Encourage the tourists buying the tourist products as souvenir; attention to hygiene and quality of services in the hotels and restaurants - Create nice image and attractiveness toward the tourist by maintaining and embellish the tourist resources, natural environment and human culture; train the tourist guides with professional knowledge They can make increasing the attractiveness of the natural beauty landscapes and historical and cultural monuments fro the tourists - Look for and expand market and cooperation with the outside by using its advantage of near Ha Noi 2.3 Orientation for development transportation, transit warehouse and communication: Transportation, transit warehouse and communication is added into the same static transportation a) Post and Telecom (communication) Objective of Post and telecom is to serve in the activities of the city, of the country and international communication; create the city image of the global, international integration at the large scale with the following orientations: - Develop a strong enough infrastructure to meet the requirement of transmission data, support to administrative renovation and wireless internet access in the public services locations - In coming years, upgrade the equipments of the post office to ensure cheap price and convenient communication to the international Diversify the 10

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