In the stormy year of 2021, foreign direct investment (FDI) into Vietnam continued to increase. According to the Foreign Investment Agency of the Ministry of Planning and Investment, from the beginning of 2021 to December 20, 2021, the total registered FDI capital into Vietnam was about US$31.15 billion, up 9.2 percent over the same period last year.
Information from foreign business associations in Vietnam shows that, in 2022, new foreign capital flows into Vietnam will not change suddenly. On the contrary, foreign capital flows from production expansion activities of existing foreign enterprises in Vietnam will increase sharply.
Despite being affected by the Covid-19 pandemic, over the past time, the picture of merger and acquisition (M&A) deals in Vietnam still has bright colors. M&A activities in Vietnam are forecasted to be vibrant again when the pandemic is gradually controlled.
Quang Trung Software Park (QTSC) and Saigon Hi-Tech Park (SHTP), which play an important role in the production and export of software and high-tech products of Ho Chi Minh City, have soon resumed operations when the city implements Directive No.18.
According to the Ho Chi Minh City Statistical Office, by August 1, the total credit outstanding balance of the banking system in the city had exceeded VND2.68 quadrillion, an increase of 13.1 percent over the same period last year and 5.8 percent compared to the end of last year. This is a good credit growth in the context of the Covid-19 pandemic.
The trust of investors in the local business climate and support from authorities for enterprises count among the factors that have helped southern Dong Nai province almost reach its foreign direct investment (FDI) target for the year.
The total foreign investment capital in Vietnam in the first three months of this year was US$10.13 billion. According to many foreign enterprises, Vietnam is still the country with the safest and most attractive investment environment in Asia in the coming years. Meanwhile, many domestic enterprises complained that “there were still many thumbtacks under the red carpet".
The Southeast is the key economic region in the South, attracting the most foreign investment (FDI) in the country. Along with efforts to improve the investment environment, Southeastern provinces have been expanding and adding more industrial zones to the planning to attract huge FDI projects and wait for the new investment wave shifting from other Asian countries to Vietnam.
Over the past years, with the advantage of a potential distribution market thanks to a large population size of 96 million people, and young population structure with 60 percent of the population at the age from 18 to 50, along with other favorable factors, the wave of domestic and foreign direct investment capital has continued to pour into the retail industry of Vietnam.
According to the Ministry of Planning and Investment, the manufacturing and processing industry saw a strong increase in foreign direct investment (FDI) capital in Vietnam with registered capital of more than US$12.09 billion, accounting for 72.2 percent of total newly-registered capital and South Korea continued to be the largest investor.
The Ministry of Industry and Trade has recently cooperated with relevant departments to organize an event to promote export and connect market for domestic and foreign enterprises, attracting 850 enterprises from 20 countries and territories.
A total 224 foreign enterprises were permitted by the Myanmar Investment Commission (MIC) to invest more than US$3.5 billion in the country in the first 10 months of the fiscal year 2018 – 2019, said the Directorate of Investment and Company Administration (DICA) on August 26.
The Vietnamese Government is making concerted efforts to improve business climate for both domestic and foreign enterprises, including those from the Europe, Prime Minister Nguyen Xuan Phuc said on October 17.