Announcing the Provincial Competitiveness Index (PCI)

Việt NamViệt Nam09/05/2024

According to the 2023 PCI Index Ranking of localities nationwide, with 71.25 points, Quang Ninh continues to hold the No. 1 position, leading the PCI rankings; Long An holds the runner-up position; the following positions are Hai Phong, Bac Giang, Dong Thap... This is the 7th consecutive year that Quang Ninh has led the PCI and the 11th year in the group of 5 provinces and centrally-run cities with the best economic management quality in the country.

In particular, Hau Giang is noted to have moved from the Top 20 of PCI 2022 to the Top 10 of PCI 2023, marking a series of continuous ranking improvements from 2017 to present. Phu Tho is highly appreciated by businesses for the quality of labor training...

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Top 30 provinces and cities with the best governance quality in 2023. Photo: TL

A notable point in the PCI 2023 ranking, with 5 centrally-run cities, only Hai Phong is in the Top 10 (3rd). Meanwhile, Can Tho ranked 14th, Da Nang ranked 16th, Ho Chi Minh City continued to hold the 27th position.

Hanoi ranked 28th (down 8 places compared to PCI 2022). Notably, 5 out of 10 component indices of Hanoi in PCI 2023 decreased compared to 2022: "Land access", "Transparency", "Fair competition", "Labor training" and "Legal institutions and Security and order".

As with last year, the PCI 2023 does not publish the rankings for the bottom half of the rankings. The goal is explained as encouraging localities to focus their efforts on entering the leading group of PCI each year.

According to the rankings, the PCI index of Nghe An province in 2023 reached 65.71 points, ranked 44th, down 21 places compared to 2022 (in 2022, it ranked 23rd out of 63 provinces and cities nationwide), ranked 3rd in the North Central region (after Thanh Hoa province and Thua Thien Hue province - Top 30).

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Table of component indicators of the PCI Index of Nghe An province in 2023. Photo: TL

The Provincial Competitiveness Index (PCI) is an index that evaluates and ranks the governments of Vietnam's provinces and cities in terms of economic governance quality and building a favorable business environment for the development of private enterprises.

The PCI 2023 ranking results are based on an annual survey of over 8,000 domestic private economic sector enterprises (private enterprises) in 63 provinces and cities nationwide; 1,500 foreign-invested enterprises; and nearly 6,000 newly established enterprises.

The PCI measures the economic governance quality of provincial governments in 10 areas important to the development of private sector enterprises. Accordingly, a locality is considered to have good governance quality when it has:

1. Low cost of market entry.

2. Easy access to land and stable land use.

3. Transparent business environment and public business information.

4. Low informal costs.

5. Time for inspection, examination and implementation of regulations and administrative procedures is quick.

6. Fair competitive environment.

7. The provincial government is proactive and creative in solving problems for businesses.

8. Policy to support businesses in implementing to meet business needs.

9. Good quality of labor training.

10. Fair, effective dispute resolution procedures and security and order are maintained.

With the PGI 2023 Provincial Green Index, the highest positions are Quang Ninh province, Da Nang city, Dong Nai province, Hung Yen province and Ho Chi Minh city.

This is a set of indexes initiated in 2022 with the meaning of contributing to the joint efforts of the business community and local authorities in implementing important policies of the Party and Government on solving major global challenges, including issues of climate change and environmental protection.

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Ceremony scene.

The PCI and PGI Index Report 2023 marks the 19-year journey of the PCI Index being built and published and the second year of publishing the PGI Index. This is a concrete and practical result in implementing important policies of the Party and State over the past years on promoting administrative procedure reform, improving the quality of the business environment, restructuring the economy, innovating the growth model and recently balancing economic development and sustainable environment, social equity and developing a green and carbon-neutral economy.

In particular, this is an important activity to implement Resolution 41-NQ/TW dated October 10, 2023 of the Politburo on building and promoting the role of Vietnamese entrepreneurs in the new period, most directly the task: "Creating a favorable, safe and equal investment and business environment for entrepreneurs and enterprises to develop and contribute".


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