Our approach to local economic development (LED) focusses on attracting investment and retaining jobs. We emphasize the involvement of local governments to ensure sustainable interventions, recognising their crucial role as service providers, regulators, and catalysts. We tailor economic development strategies based on detailed assessments of each municipality’s unique context, fostering effective business environments and public-private partnerships. VNG International supports municipalities by creating feedback loops with business leaders and establishing one-stop shops for entrepreneurs to access vital information. Additionally, we apply local business climate benchmarks to help municipalities identify improvement areas. To enhance sustainability, we assist in securing external financing through bankable project proposals and connections with international institutions and private investors. By standardising toolkits and methodologies, VNG defines best practices while allowing flexibility to adapt to local contexts, fostering resilient and inclusive local economies for sustainable growth.
Local Economic Development (LED) is a key tool for municipalities to foster sustainable, inclusive, and resilient economies. While local governments have the primary responsibility of providing essential services, they also play a critical role as catalysts for bottom-up community-driven economic growth. By identifying local opportunities, supporting entrepreneurship, and creating business-friendly environments, local governments can unlock the full potential of their communities.
VNG International’s approach begins with comprehensive local economic assessments to identify the unique challenges and opportunities specific to each municipality. These insights form the foundation for customized economic development strategies that promote vibrant business environments, enhance governance, and create lasting partnerships between local governments, businesses, and citizens.
Key strategies to our approach include:
- Cooperation and facilitation of entrepreneurs: By organizing municipal LED forums to encourage knowledge sharing and exchange and to create feedback loops between local governments and business leaders, we ensure that the municipality understand the needs of entrepreneurs and that local economic initiatives are aligned with the needs of the private sector.
- One-stop Shops to Streamline Access to Information: We help set up one-stop shops—both physical and digital—where entrepreneurs can easily access key information on regulations, processes, and business development opportunities.
- Municipal IT-Business Incubators: Creating spaces with resources like fast internet and equipment, allowing young graduates to start their businesses and boost local economies.
- Other Pilot projects: setting up municipal led pilot projects to enhance the local economic potential, particularly focused on marginalized groups that experience higher numbers of unemployment
- Capacity-Building Workshops for Municipal Staff: equipping municipal staff to better manage resources and engage with the local economy and communities
- Using Benchmarks for Growth: Through local business climate assessments and benchmarks, we help municipalities understand their economic landscape and identify areas for improvement.
- Bankable Project Pipelines: We assist local governments in crafting bankable project proposals, helping them unlock external investment and loans for large-scale development projects through international institutions and private investors.
- Targeted approach locally adapted: By standardization of toolkits and methodologies, VNG can also ensure a consistent application of best practices while allowing for flexibility in adapting to local contexts, creating resilient but inclusive local economies that can drive sustainable growth.
VNG International has developed several tools for local governments to develop and implement economic development strategies. Below two publications offer all those interested a spectrum of ideas and we hope will serve as a source of inspiration.