A gas distribution system in Tien Hai Industrial Park, Thai Binh Province. The northern province hopes to have more than 9,000 enterprises by 2020, or 850-900 new ones per year between 2016 and 2020. — VNA/VNS Photo

The northern province of Thai Binh hopes to have more than 9,000 enterprises by 2020, or 850-900 new ones per year between 2016 and 2020.

This will be implemented under a scheme to develop the private sector and small and medium-sized enterprises.

The private sector is expected to contribute 65 percent of total social investment, nearly 60 percent of provincial gross regional domestic product and half of provincial State budget collection by 2020.

To achieve this, the province will encourage businesses to join value chains in manufacturing and distribution, and encourage support industry, agro-fisheries processing and traditional craft firms to tap the potential in farming and the local workforce.

It will also offer business incentives, such as loans, preferential land tax, improved infrastructure and administrative reform.

According to the provincial Department of Industry and Trade, Thai Binh recorded 2,300 newly-established firms from 2011-15, including 2,281 small and medium-sized ones with average registered capital of some VND3.8 billion (US$165,000), below the country’s average of VND6 billion.

In January 2017, it granted business licenses to 44 firms and five branches and representative offices, bringing the total number of enterprises to 5,014 with total registered capital of more than VND44.685 trillion. — VNS