The combined capital for the projects is approximately VND5.3 trillion (US$299.4 million). The two projects include the development of a $163 million non-tariff zone financed by Nam Dinh Vu Investment Co, and the $139 million development of Nam Dinh Vu Industrial Zone invested by the Hai Phong Industrial Zone Joint Stock Co.

Land for the 2,000ha zones will be reclaimed from the sea. The projects are expected to be completed within the next 6-8 years with construction of the non-tariff zone to begin in August. Established in 2008, the Dinh Vu–Cat Hai Economic Zone Economic Zone is a multi-sector maritime economic zone covering sectors including maritime economy, industry, financial and banking services, tourism and trade.

Investment promotion

The northern port city planned to intensify investment promotion activities in hopes of attracting $1 billion in FDI by the year-end, said the municipal Department of Planning and Investment. While most areas are seeking large foreign-invested projects of any sort in their industrial zones, export-processing zones and economic zones, the city was trying to be more selective in choosing suitable projects, said Vu Xuan Minh, head of the department’s External Economic Relations Division. "It’s good to attract large projects, but we are mostly concerned with project feasibility," Minh explained.

The city has six tasks that it plans to implement in 2009, to try and create a more favourable business and investment environment, with a focus on making its administrative and investment procedures more transparent and speeding up land clearance.