Vietnam Remains Attractive for Foreign Investment
|Vietnam continues to be an attractive environment to foreign investment. Photo: VnExpress|
Many localities with high foreign direct investment (FDI) are making efforts to accompany businesses with policies, from production to maintaining labor resources, as well as minimizing disruptions to the supply chain of materials and goods. This also confirms that Vietnam is still an attractive investment environment in the eyes of foreign investors.
In Vietnam, due to the impact of the Covid-19 pandemic, some factories have temporarily suspended or reduced capacity. However, the number of FDI projects with a scale of over US$50 million is still increasing. In the first 11 months of this year, the Foreign Investment Agency has provided newly registered capital for 1,577 projects, with a value of more than US$14 billion.
Director-General of the Foreign Investment Agency Do Nhat Hoang said that the good news is that investment projects in Vietnam are aiming for high added value: “I believe that investors will pay more attention to Vietnam. Currently, investors are very interested in the processing and manufacturing industry. Among the proportion of investors in Vietnam, the manufacturing industry still accounts for a high proportion and this is increasing. We are moving towards a high value-added, pervasive industry and bringing Vietnamese businesses into the supply chain and value chain.”
Despite the outbreak of the Covid-19 pandemic, technology infrastructure projects in a number of cities across the country, especially Da Nang city, are still being accelerated, attracting strong investment in the smart city field. In the last days of this year, Software Park No. 2 in Hai Chau District, Da Nang city is bustling with teams of workers racing to progress. Thanks to the equal capacity of contractors, so far, the 8-story office building ICT1 has shortened the schedule by 8 months, ensuring that by December 31, it will be handed over to the office installer and put into operation in the next February.
Pham Truong Son, head of the management board of Da Nang hi-tech and industrial parks said: “We awarded the investment registration certificate to the Japanese company Fujikin, one of the companies in the capital movement supported by the Japanese Government. We apply a number of solutions such as organizing online investment promotion to the European, Japanese, and Korean market."
Currently, many localities continue to prepare premises, giving investors the best investment conditions. At the same time, high-quality human resources are ready to meet investment needs and are making the most of legal preferential policies. Some localities focus on attracting FDI to invest in high technology, with electronic technology being the spearhead. Recently, Bac Ninh has developed a new model, which is a step to concretize Resolution No. 50 of the Politburo on orientations to perfect institutions and policies, and to improve the quality and efficiency of foreign investment cooperation until 2030.
“We need to create a transformation of the whole system in the near future. We not only fight the pandemic safely, but also have to be the most flexible and creative. For FDI investors and those who have always trusted Vietnam, we will do everything to make Vietnam a safe destination, and promote the development of the country as well as the localities," said Vuong Quoc Tuan, vice chairman of the People's Committee of Bac Ninh Province.
The Government, the Prime Minister, ministries and branches always accompany businesses in solving difficulties. They continue to support removing obstacles for investors so that they can rest assured to invest in Vietnam for a long time.
High-tech projects are helping localities to catch up with the wave of investment shifting and economic restructuring towards modernity and high value. Besides production and business activities, Da Nang is promoting administrative reform one step further to create the most open conditions for investors. This is towards the goal of bringing the city out of negative growth and shifting the economic structure towards a more sustainable direction in the coming time.
Singapore has taken the lead among 97 countries and territories investing in Vietnam in the first 10 months of this year.
The Vietnam-Japan Joint Initiative continues into its eighth phase, focusing on improvement of legal frameworks and market reformation.
Vietnam is recording the highest rate of investment in renewable energy amongst the ASEAN countries, according to international organizations’ evaluation.