MIL-OSI Asia-Pac: Vietnam may attract US$30 billion in FDI this year: experts

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Source: Socialist Republic of Vietnam

According to the Ministry of Planning and Investment, foreign investors channelled US$19.12 billion into the country in January-August, equalling nearly 98% of the same period last year, with several multi-billion USD projects.

Singaporean investors poured over US$3.1 billion into the Long An LNG power plants No 1 and 2 while the O Mon 2 thermal power plant in Can Tho city invested by Japan received US$1.31 billion in the period. The LG Display project in Hai Phong city has received additional investment twice this year, with US$750 million in February and US$1.4 billion in August.

Despite social distancing measures to curb the spread of COVID-19, the country’s FDI inflow in the first eight months only saw a slight decline of 2.1% against the same period last year, said Nguyen Van Toan, deputy head of the Vietnam’s Association of Foreign Invested Enterprises.

Of note, new registered capital surged 16.3% and disbursement of FDI capital hit US$11.58 billion, up 2%.

Speaking with Cong Thuong (Industry and Trade) newspaper, Phan Huu Thang, former head of the Vietnam Trade Promotion Agency (Vietrade) at the Ministry of Industry and Trade, voiced his belief that FDI inflow into Vietnam may still reach about US$30 billion this year.

To address current difficulties facing foreign investors when they want to enter the country to study investment possibilities or to implement investment projects, the Government and relevant ministries and agencies are urged to consider reducing quarantine period for those who have been fully vaccinated and hold a negative COVID-19 testing certificate.

In the first eight months of this year, Vietnam attracted investors from 92 countries and territories. Singapore was the leading investor with registered capital exceeding US$6.2 billion, or 32.5% of the total FDI inflow.

MIL OSI Asia Pacific News