Vung Ang EZ Master Plan Revision to Boost Central Vietnam Growth

The master plan for the Vung Ang Economic Zone (EZ) in the central province of Ha Tinh has been revised, aiming to boost regional economic vitality and industrial development. Under this revised plan, the Vung Ang II Thermal Power Plant, a Build-Operate-Transfer (BOT) project with a total investment of $2.2 billion and a designed capacity of 1,200 MW, is under development. The plant is expected to play a crucial role in ensuring a stable electricity supply for the central region and neighboring areas, thereby facilitating the development of industries, agriculture, and services. Furthermore, at the Vung Ang port, State President Luong Cuong attended the inauguration of wharf No. 3, describing it as a significant political and diplomatic milestone demonstrating the determination of both countries to strengthen connectivity and promote development cooperation. This event symbolizes enhanced collaboration between Vietnam and its partners. Economically, Vietnam's wood sector continues to be a major foreign-currency earner. In 2025, exports of wood and wooden products reached nearly $17.3 billion, reaching over 160 countries and territories, including high-standard markets like the US, the European Union, and Japan, positioning Vietnam as a key processing hub in the global supply chain. Moreover, Vietnam is channeling newly secured funding to support small and medium-sized enterprises (SMEs), women-led businesses, and projects in green transformation, energy transition, renewable energy, green transport, high-tech agriculture, and financial inclusion. This reflects Vietnam's policy direction towards sustainable development and economic diversification. Economic indicators also show robust performance in agricultural exports, with durian exports reaching nearly $1.1 billion in the first six months of 2026, a 32% year-on-year increase. Business representatives highlight the acceleration of mechanization as an inevitable trend to enhance the competitiveness of the agricultural sector, crucial for rice-producing countries like Vietnam. In the first seven months of 2026, Vietnam attracted over $38 billion in registered FDI, a nearly 58% year-on-year increase. Notably, this growth was driven by large-scale, high-tech projects rather than a surge in the number of new investments, signaling a significant improvement in the quality of capital inflows and reinforcing Vietnam's appeal to international investors. Overall import-export turnover for Vietnam climbed 28.1% year-on-year to $659.58 billion during the January–July period of 2026. Exports were valued at $319.53 billion, up 21.7%, while imports rose 34.8% to $340.05 billion. Agro-forestry-aquatic product exports reached nearly $42.8 billion in the January–July period, up 7.5% year-on-year, equivalent to almost 60% of the annual target of $74 billion. In the construction sector, Vietnam has around 2,500 old apartment blocks and collective housing complexes built before 1994, primarily in Hanoi and Ho Chi Minh City. Approximately 196 of these have been classified as severely deteriorated and unsafe. The State Bank of Vietnam maintained the trading band for the Vietnamese Dong against the US Dollar at +/- 5%, with the ceiling rate at 26,736 VND/USD and the floor rate at 24,190 VND/USD as of a recent trading day. Another report indicated a slightly different band with a ceiling of 26,705 VND/USD and a floor of 24,161 VND/USD. The Da Nang International Airport's Terminal 1, built at a cost of 1.34 trillion VND ($51 million), has been overloaded since its 2011 inauguration. New planned areas aim to meet increasing passenger and cargo service demands in the coming years. Completing the legal framework for the corporate bond market is crucial for balancing market discipline and transparency with facilitating legitimate fundraising activities for businesses, according to Nguyen Hoang Duong, Vice Chairman of the State Securities Commission. Several companies, including HDBank, VietinBank, LPBank, FPT Corporation, MBBank, Vinhomes JSC, VPBank, Vietcombank, Vietjet Air, and SHB, are listed among the top 10 companies in this year's VIX50 index. NAPAS, Weixin Pay, and BIDV are exploring the rollout of a reverse payment service to enable QR code payments in China for users of Vietnamese banking applications and e-wallets, aiming to establish a comprehensive cross-border payment ecosystem. The maximum retail price of E5RON92 biofuel was reduced by 1,160 VND to 21,728 VND per litre, and E10RON95-III fell by 1,035 VND to 22,324 VND per litre. The Vietfood & Beverage – ProPack Vietnam 2026 exhibition will feature over 1,400 booths from domestic and international brands, including those from India, Poland, the Republic of Korea, Malaysia, Russia, Japan, Thailand, China, and Vietnam. Information Source: VietnamPlus English