On November 7, Lao Cai Provincial People's Committee issued Decision No. 1894 on announcing investment incentives in the area.
Accordingly, 61 communes and wards are areas with particularly difficult socio-economic conditions; and 34 communes and wards are areas with difficult socio-economic conditions.
Of the 99 communes and wards of Lao Cai province, only 4 wards are not on the list, including: Yen Bai, Van Phu, Au Lau and Nam Cuong. This is an area of the old Yen Bai city and is currently the center of the province.
Notably, Sa Pa is the only ward on the list to be classified as an area with particularly difficult socio-economic conditions.
This information surprised many people because Sa Pa is famous for tourism development, welcoming about 5 million visitors each year.
In 2025, the total state budget revenue in Sa Pa ward is expected to be about 1,200 billion VND.
On November 8, speaking with Lao Dong, Mr. Phan Dang Toan - Secretary of Sa Pa Ward said: Sa Pa was merged from Ham Hong, O Quy Ho, Sa Pa, Cau May, Phan Si Pang and Sa Pa wards.
The new Sa Pa ward has an area of 54.63 km2, population of 21,554 people.
Regarding Sa Pa ward being classified as an area with particularly difficult socio-economic conditions, Mr. Phan Dang Toan said "it is good for the people, good for the locality and good for businesses".
Mr. Toan explained that the Investment Law clearly stipulates what is an area with difficult socio-economic conditions, how is an area with particularly difficult socio-economic conditions. Depending on the level, investors will enjoy different incentives.
Sa Pa is a mountainous area, with isolated terrain, difficult transportation, and most of the ethnic minorities live there. Based on the total criteria, Sa Pa has been classified as an area with particularly difficult socio-economic conditions for many years.
Therefore, when investing in Sa Pa, investors will enjoy many incentives on land and taxes according to regulations.
"The purpose of the 2020 Investment Law, Decree 31/2021 of the Government and Decision 8418 of the Lao Cai Provincial People's Committee is to create conditions to attract investment in areas with special difficulties.
Although Sa Pa has developed tourism, there is still a lot of room in the fields. We always extend our arms to welcome investors to accompany the locality in development", Sa Pa Ward Secretary shared.
