Public Investment Acts as a “Lever” for Economic Growth

Amid an environment filled with challenges, various levels and sectors in Phu Tho province are decisively implementing synchronized solutions to accelerate the progress and disbursement of public investment capital. Through this, they aim to lay a foundation to propel economic growth, expand development space, and enhance the province’s competitive edge.

Paving the Way for Trillion-VND Capital Flows

Since the beginning of the year, the urgent atmosphere surrounding inter-regional connecting transport projects, alongside the vibrancy in industrial parks and clusters, demonstrates the province’s determination to achieve breakthroughs in economic development. The GRDP growth rate for the first 6 months of 2026 reached 10.18%, leading the Northern Midland and Mountainous region.

To maintain double-digit growth momentum throughout 2026, public investment has been identified as a vital driver—playing a leading and stimulating role to mobilize societal resources to join in overall development.

Infrastructure investment contributes to promoting investment attraction and socio-economic development in Thanh Thuy commune.

According to statistical data, in the first 7 months of 2026, total executed investment capital from the State budget exceeded 12 trillion VND. Of this, the provincial-level budget contributed nearly 8.2 trillion VND, while the commune-level budget reached nearly 3.9 trillion VND.

Notably, public investment capital has been concentrated on groundbreaking transport projects that connect distinct development spaces. In July alone, numerous key projects recorded significant disbursement volumes. Specifically, the Hoa Binh - Moc Chau Expressway project reached approximately 270 billion VND; the Luong Son - Xuan Mai connecting road reached around 90 billion VND; the project connecting Noi Bai - Lao Cai Expressway with Tuyen Quang - Phu Tho Expressway reached 75 billion VND; the transport infrastructure project connecting the Capital Region, Ring Road 5, and the section along the foot of Tam Dao mountain reached 48.1 billion VND; and the project to renovate and expand National Highway 2 (Vinh Yen - Viet Tri section) reached 47.5 billion VND...

In working sessions with functional departments and sectors, Chairman of the Provincial People’s Committee Tran Duy Dong repeatedly requested units to continue providing resolute direction and deploying synchronized solutions to accelerate execution and public investment disbursement. Accelerating the progress of infrastructure projects is expected to inject added momentum, helping Phu Tho firmly maintain its double-digit growth target in 2026.

According to Provincial Chairman Tran Duy Dong, to enhance capital efficiency, procedures must be strictly carried out, while placing progress, quality, and investment effectiveness as core criteria throughout the implementation process. Units need to proactively coordinate among departments, sectors, and localities to promptly address bottlenecks, particularly entanglements related to land clearance work. Along with this, they must specifically review the progress of each project and bidding package, clearly defining the responsibilities of each collective and individual linked to disbursement results.

Creating Momentum for the Business Community

The motto “transport infrastructure must take one step ahead” has long been established as a crucial factor in the socio-economic development strategy of many localities. Emphasizing the role of infrastructure, Mr. Nguyen Xuan Quang—Director of the Department of Construction—argued that given the province’s geographical location, proactively investing in and perfecting a synchronized, modern transport system will generate immense appeal for the investment and business environment. “The province’s readiness to invest heavily in infrastructure over the recent past and in the years ahead sends a positive signal to the domestic and international business community regarding a safe, effective, and highly potential investment environment,” Mr. Nguyen Xuan Quang shared.

In reality, international corporations and strategic investors prioritize locations with convenient connecting infrastructure when establishing factories or expanding production. Therefore, transport infrastructure is not merely structural work serving travel and freight transport, but a strategic resource—creating the foundation to attract high-quality capital flows, expand development space, and foster sustainable economic growth.

As of July 15, the entire province attracted 67 FDI projects, including 21 newly registered projects and 46 capital-adjusted projects, with a total registered capital of 1.352 billion USD, an increase of 89.5% over the same period last year.

Traditional partners such as Japan, South Korea, and Taiwan (China) continue to place their trust by expanding investment scale. Among them, China leads with 20 projects totaling 690 million USD in registered capital. Notably, 64 out of 67 FDI projects are concentrated in the processing and manufacturing sector, with a total registered capital of 1.351 billion USD.

These results indicate that the province’s orientation to proactively attract high-tech manufacturing sectors is yielding effective results. Alongside FDI capital flows, domestic investment also recorded 95 projects—including 47 newly licensed projects and 48 adjusted projects—with a total registered capital of over 33 trillion VND, adding further resources for socio-economic and technical infrastructure development.

Long-Term Strategy

Beyond generating immediate growth momentum, the results of public investment and investment attraction in recent times are laying the groundwork for a long-term development cycle. Under the newly approved Adjusted Master Plan for the 2021–2030 period with a vision to 2050, the province sets a goal of achieving an average GRDP growth rate of 11% to 12% per year during the 2026–2030 period.

To realize this target, the medium-term public investment plan for the 2026–2030 period has an estimated total capital of over 137 trillion VND, equivalent to 127% compared to the 2021–2025 period. Alongside increasing resources, the province’s perspective for the upcoming period is to resolutely overcome fragmented investment, prioritizing resources for large-scale, leading projects that create ripple effects. Capital allocation must ensure harmony between creating momentum for key regions and investing in essential infrastructure in disadvantaged areas.

Transport infrastructure in Tam Duong Bac commune is gradually being modernized and synchronized, contributing to local economic development.

In May, the Provincial People’s Committee issued Decision No. 1396/QD-UBND approving the Scheme on orientations for attracting new-generation FDI for the 2026–2030 period. The scheme sets a goal that by 2030, the province will become a hub receiving high-tech FDI, green industry, and tech services for the Northwest region and the Capital’s Western belt; while gradually participating more deeply in global value chains, creating technology, governance, and human resource spillover effects for the domestic enterprise sector.

Effective public investment is measured not only by the amount of disbursed capital, but more importantly by the capacity to transform resources into projects and works that create value and widespread impact. When infrastructure receives synchronized investment, the investment and business environment continues to improve, and capital flows are guided into high-value-added sectors, public investment will truly fulfill its role as a “lever”—activating societal resources, expanding development space, and driving the province to realize its fast and sustainable growth goals in the years ahead.

Hong Trung