Setting the “Double-Digit” Growth Scenario: Building the Foundation for the Province’s New Development Cycle

Entering the 2026-2030 period, the province is not only targeting an annual GRDP growth of 11%-12%, but is also focusing on redesigning its growth model, restructuring public investment resources, and reorganizing the administrative apparatus. This double-digit growth scenario is therefore not merely a goal but a consistent steering orientation for the province’s new development cycle.

Restructuring Growth Engines

According to the 2026 growth “scenario,” industry continues to play the leading role. With a projected value-added increase of approximately 16%, this sector contributes over 7 percentage points to the province’s overall growth. In 2026, Phu Tho expects to have 79 new projects enter operation.

This is considered a vital pillar in managing industrial growth. Economists suggest that the simultaneous operation of high-tech projects will not only expand production scale but also create a “pull effect” for supporting industries, logistics, and related services, thereby accelerating the economic shift toward a higher proportion of processing and manufacturing.

Luong Son Industrial Zone currently hosts 40 multi-sector enterprises with an occupancy rate of over 80%, including 16 FDI enterprises and 24 domestic firms.

Simultaneously, the province is improving growth quality by relying more on productivity, technology, and added value. The sharp increase in key products such as electronic components and laptops (up 17%-22%) clearly indicates a transition from outsourcing to high-tech manufacturing. Based on this, the province aims to raise the Total Factor Productivity (TFP) contribution to 55%-60%, viewing this as a core indicator of the growth model’s efficiency.

In the second axis, the service sector is becoming a crucial growth component. With an increase of over 9% and a contribution of 2.3 percentage points, this area is driven by resort tourism, logistics, and high-value-added services.

While its contribution ratio is not dominant, the agricultural sector remains the foundation of the economy (Image: By investing in high-tech agricultural models, the production value per unit of land in Van Son commune has increased 3-4 times compared to previously).

Meanwhile, agriculture continues its role as the economic bedrock. Notably, this sector is being restructured from “supply chains” to “commodity value chains” to enhance added value, resilience, and deeper market integration.

Two Pillars of Sustainable Growth

Phu Tho’s growth scenario is built upon two core pillars: Public Investment and Institutional Reform. These are the foundations for maintaining high speed while ensuring stability in the medium and long term.

The orientation to improve investment quality is clearly demonstrated by a minimum 15% reduction in the number of projects compared to the previous period, aiming to concentrate resources on key works. The saved resources will be reallocated to strategic infrastructure axes, such as expressways, ring roads, and inter-regional connections, including the Viet Tri - Hoa Binh Expressway, the Hoa Binh - Moc Chau Expressway, and the section of Ring Road 5 passing through Phu Tho...

These are not just transport projects but the “infrastructure of growth,” serving to restructure economic space, expand investment attraction zones, and reduce logistics costs.

Public investment acts as a direct lever in leading growth and restructuring development space (Image: The road connecting Thung Nai - Muong Hoa - Muong Bi to National Highway 6 opens new development spaces for communes around the Hoa Binh lake area).

Following the administrative merger, the two-level local government model is moving from “organizational stabilization” to "operational optimization." Streamlining the apparatus and reviewing over 1,300 legal documents has created a more unified and transparent governance system. The province is also accelerating investment in Digital Government to alleviate pressure on administrative capacity.

In a volatile global economic context, double-digit growth is a significant challenge. However, with a high rate of public investment disbursement and a clear orientation toward restructuring growth engines, Phu Tho possesses the necessary conditions to maintain its momentum. At the executive level, this goal is a litmus test for the province’s management capacity, resource allocation, and its successful transition to a growth model based on efficiency and innovation.

Manh Hung