The announcement was made at a ceremony releasing the 2024 PCI Report by the Viet Nam Chamber of Commerce and Industry (VCCI) in Ha Noi on May 6.
New highlights
The 2024 PCI report indicates that Hai Phong saw improvements in 7 out of 10 of its management fields compared to 2023. These include market entry, land access, transparency, informal charges, fair competition, proactivity of local authorities, and law and order.
Hai Phong’s impressive leap in the 2024 PCI rankings is the result of its continuous reform efforts, having remained in the top five provinces with the highest PCI scores from 2021 to 2023. Quang Ninh came in second place this year with 73.20 points, an increase of 1.95 points from 2023.
Quang Ninh maintained progress in five out of ten governance areas measured by the PCI: land access, transparency, fair competition, labour training, and law & order. Notably, this marks the 12th consecutive year Quang Ninh has remained among the top five PCI-ranked localities since 2013.
Long An ranked third in the 2024 PCI with 72.64 points, followed by Bac Giang and Ba Ria – Vung Tau, scoring 71.24 and 71.17 points respectively. Long An and Bac Giang have sustained their presence among the top five provinces for three consecutive years in terms of best economic governance.
Other provinces rounding out the top ten include Hue City, Hau Giang, Phu Tho, Dong Thap, and Hung Yen. Most of these provinces have previously appeared in the top 10 PCI rankings. Particularly, Dong Thap Province has been in the top 10 for 18 consecutive years. Hung Yen made its debut in the top 10 this year, climbing from 12th place in 2023 and 14th in 2022.
According to Dau Anh Tuan, Vice Secretary-General cum Director of the Legal Department of VCCI, the 2024 PCI Report shows a positive picture of provincial-level economic governance. The median score reached 67.67 points, up one point from last year, marking the eighth consecutive year the index has exceeded the 60-point threshold, which is considered an indicator of a favourable business environment. Notably, the Core PCI Index, which assesses the quality of fundamental economic governance, stood at 68.18 points, continuing its steady improvement since 2016. This reflects the persistence of reform efforts in many localities and the active oversight of the business community.
In the 2024 PCI survey, businesses continued to highly appreciate the business registration process: 93% found the procedures transparent, 91% received clear and comprehensive guidance, and 86% expressed satisfaction with the professionalism and attitude of administrative staff. Only 2.3% of businesses reported that informal charges accounted for more than 10% of their revenue, a steady decline from nearly 13% in 2006 (the first year of the survey).
However, this year’s PCI report also highlights a concerning trend that informal charges appear to be resurging, with nearly 37% of businesses reporting such expenses, a slight increase from 33% in 2023. The rate of businesses paying informal fees to inspectors and auditors rose to 28%, up from 16% last year. Around 50% is reported to pay informal charges in land-related procedures, up from nearly 38% in 2023.
Business environment continues to be improved
VCCI Chairman Pham Tan Cong emphasised that behind the figures are transformation, effort, and innovation. PCI has accompanied localities on their journey to foster healthy competition, place businesses at the centre, and promote sustainable, inclusive development.
Viet Nam is now entering an ambitious phase of transformation, as the Party, National Assembly, and Government set the economic growth target of 8% in 2025 and maintain double-digit growth in the following years. In this context, PCI serves not only as a tool to measure governance quality but also as a critical foundation for a high economic growth programme.
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| Representatives of the 10 localities with the leading scores in the 2024 PCI rankings receive commemorative medals. |
PCI plays as a policy radar, enabling early detection of bottlenecks and invisible barriers, thereby creating a transparent, favourable, safe, and equitable investment and business environment. In particular, General Secretary To Lam has affirmed the private sector’s role as a "lever for a prosperous Viet Nam", and the Politburo’s issued Resolution No. 68 on May 4, on private sector development, PCI will continue to serve as a valuable source of practical data for making policies, support the private sector’s strong development, and elevate it to a regional and global level, becoming a key driving force of the national economy.
The 2024 PCI results reflect the fair and objective assessment of investors and businesses, recognising the tireless efforts of the political system and local authorities in continuously enhancing service quality and satisfaction for people and enterprises.
The 2024 PCI will be the last report to fully assess all 63 localities before the upcoming merger of provincial administrative units under the Resolution No. 60-NQ/TW of the Central Committee of the Communist Party of Vietnam. The process of streamlining the apparatus and restructuring the local government system poses an urgent need to maintain and improve governance quality on broader and more complex scales.
In this context, PCI is not only an assessment tool but also a critical reference source to ensure that the merger process takes place smoothly and effectively, aiming for the goal of harmonious and sustainable development among regions.
Based on a survey of nearly 11,000 businesses nationwide, the 2024 PCI Report ranks localities with outstanding economic governance quality while vividly reflects the business environment through the lens of domestic and foreign enterprises.
