TAILIEUCHUNG - Situation in southern key economic zone and measures to accelerate its economic growth

This paper attempts to examine the present socioeconomic situation of the Southern Key Economic Zone and to propose some solutions to its development. | ECONOMIC DEVELOPMENT No. 208, December 2011 SITUATION IN SOUTHERN KEY ECONOMIC ZONE AND MEASURES TO ACCELERATE ITS ECONOMIC GROWTH by HUỲNH ĐỨC THIỆN, MA* Vietnam’s Southern Key Economic Zone has become an important engine of growth with its vibrant economy and affected other parts of the country since its establishment in 1998, making positive contribution to the competitiveness of Vietnam economy. However, the Southern Key Economic Zone is facing certain challenges despite its remarkable achievements. This paper attempts to examine the present socioeconomic situation of the Southern Key Economic Zone (SKEZ) and to propose some solutions to its development. Keywords: Southern Key Economic Zone (SKEZ), socioeconomic development, master plan. 1. Location, role, and potentials for development of Southern Key Economic Zone The SKEZ was established as per the PM Decision 44/1998/QĐ-TTg dated February 23, 1998, including four provinces namely HCMC, Đồng Nai, Bình Dương, and Bà Rịa – Vũng Tàu. In 2003, three more provinces - Tây Ninh, Bình Phước and Long An – were added to the SKEZ as per Announcement 99/2003/TB-VPCP dated July 2, 2003. In September 2005, Tiền Giang Province was supplemented as per Official Document 4973/2005/CV-VPCP from the Government Office, raising the total number of provinces in this Zone to eight, namely HCMC, Đồng Nai, Bình Dương, Bà Rịa - Vũng Tàu, Tây Ninh, Bình Phước, Long An and Tiền Giang. The SKEZ has an area of 30, km2, a population of million people, a population density of 563 persons/km2, and an urbanization rate of 1. Its center is HCMC – the Vietnam’s biggest multi-functional hub where source of skilled labor is abundant, and various educational and research institutions are contributing considerably to development of the Zone and the whole South Vietnam. Vũng Tàu with its ports and developed service sector at the east side of the Zone is a gate and a bridge to international markets. Thủ Dầu .

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