Khanh Hoa maritime economy faces planning and infrastructure bottlenecks

Businesses in Khanh Hoa province are facing significant hurdles in developing the maritime economy due to planning, investment procedures, and infrastructure bottlenecks. Port enterprises report that despite increasing cargo volumes, growth is restricted by institutional and logistical constraints.

HD Hyundai Vietnam Shipbuilding (HVS) has cited difficulties in expanding its facility due to planning issues regarding an 18.9-hectare sea reclamation area. Additionally, local road infrastructure, specifically route DT. 652D, lacks the elevation and structure required to transport heavy-duty blocks. Similarly, Nam Van Phong International Port is awaiting planning decisions to proceed with its second phase, which would allow for expanded warehousing and increased vessel capacity.

In response to regulatory complexities, the Khanh Hoa provincial government has issued new principles for receiving funding for urban and rural planning. The province mandates that all planning sponsorships must be voluntary, unconditional, and transparent, ensuring they are not tied to the selection of specific investors. The new guidelines prohibit the acceptance of planning products as sponsorship and aim to prevent private interests from compromising community benefits.