Red River Delta Must Boost Leadership For Growth

ARGO CAPITAL
6 Min Read

Boosting the Red River Delta as a Crucial National Economic Powerhouse

Prime Minister Pham Minh Chinh recently chaired the inaugural meeting of the Red River Delta Regional Coordination Council, a newly formed body established under Vietnam’s updated two-level local government model, signaling a fresh governmental focus.

This pivotal session, held on September 20, marked an important new chapter for the region, which now formally comprises six key economic powerhouses: Hanoi, Haiphong, Quang Ninh, Hung Yen, Bac Ninh, and Ninh Binh.

The formation of this new council is an integral part of a much broader national strategy to consolidate various administrative units and foster a more streamlined, effective, and unified approach to regional governance and economic policy.

The fundamental importance of the Red River Delta to Vietnam’s national future cannot be overstated; it is recognized as a critical pole of growth and a strategic hub for Vietnam’s politics, economy, and national defense.

Impressive economic results were highlighted during the conference, including a strong 9.32% economic growth rate achieved in the first half of 2025.

This figure not only significantly surpassed the national average growth rate of 7.52% but also led all six of the country’s economic regions, demonstrating powerful momentum.

These robust economic indicators, which also include attracting $5.4 billion in foreign investment and generating over 46% of the national budget revenue, clearly demonstrate the region’s immense potential to spearhead national development and inspire economic dynamism throughout the country.

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Strategic Mandate for Sustainable Growth and Economic Restructuring

The high-level meeting concluded with a powerful call to action, urging the Red River Delta region to take a definitive leadership role in national development despite facing challenges such as underdeveloped value chains and slow implementation of crucial projects.

Prime Minister Chinh specifically urged the region to spearhead efforts in three critical and transformative areas.

Firstly, the region must lead the charge toward achieving rapid and truly sustainable growth, with the overarching and non-negotiable goal of significantly improving the quality of life for all its residents.

This necessitates a fundamental economic shift towards a more dynamic and highly diversified economic structure.

The second key mandate is to lead the nation in comprehensive economic restructuring.

This involves strategically increasing the share of higher-value industry and services within the regional economy while fully embracing a modern green, digital, and circular growth model.

This complex transition, which must be deeply grounded in advanced science and technology, is considered absolutely crucial for securing long-term economic prosperity and resilience for the entire Red River Delta.

Finally, the region is tasked with taking the essential lead in the full implementation of the new two-level government system.

This important structural change is strategically designed to simplify bureaucratic procedures and build greater trust and efficiency for both domestic and foreign investors, thereby paving the way for a more competitive, transparent, and open economy that serves as a model for the nation.

Roadmap for Accelerating Progress and Overcoming Bottlenecks

To successfully translate this ambitious regional vision into tangible, real-world reality, the conference outlined a comprehensive roadmap consisting of key tasks and targeted solutions aimed at swiftly addressing the persistent bottlenecks that have historically hampered the Red River Delta’s development.

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A fundamental priority identified is the urgent need to review and systematically remove existing institutional and regulatory barriers related to land use, resource management, investment procedures, and infrastructure construction.

Concrete proposals addressing these issues are to be expedited and submitted to the National Assembly for formal approval.

The prime minister heavily emphasized that infrastructure development within the Red River Delta must be planned and executed strategically, ensuring maximum shared use and efficiency across all participating localities to avoid duplication and waste.

He also specifically called for careful state management of critical resources such as construction materials to proactively prevent market price manipulation and ensure fairness in large-scale projects.

Furthermore, the strategic plan strongly stresses the paramount importance of advancing science, technology, innovation, and digital transformation initiatives, particularly by accelerating the progress of delayed projects that are essential for modernization.

The council also plans to place a strong focus on strengthening regional and international connectivity, citing examples like Quang Ninh’s new cross-border economic cooperation zone with China as a successful model.

Ultimately, the successful achievement of these complex initiatives hinges not just on policy, but on smart governance, rapid digital adoption across all sectors, and a clear recognition that competent people and staff are the single most decisive factors in achieving these ambitious goals for the Red River Delta as a whole.

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