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Of the amount of $31 billion in 2021, $2.6 billion has been disbursed already, down $1.6 billion compared to 2020. This shows that there are still many projects in the market that have not yet met the legal requirements, partly due to communication restrictions during the last year’s pandemic.
However, the decision to open all flights from March 15 and the visa-free entry policy will accelerate the negotiation process of M&A deals and strengthen real estate investment activities.
When tourism barriers are removed, investors can give a look at projects to study the market as well as learn business models or assess the potential of the property sector. Based on that, disbursement of foreign direct investment capital will become more convenient, contributing to the success rate of M&A transactions.
Vietnam has eased restrictions on foreign ownership of property in an effort to lure the cash. According to Savills expert, the Government's plans to support businesses and control the epidemic have helped stabilize the economic situation and ensure social security. The government’s plan is said to be two factors that gain FDI enterprises’ trust to pour investment capital into Vietnam.
In terms of macro factors, Vietnam's economy is growing steadily and sustainably compared to many countries in the region. Next, the developed infrastructure and transport network in Vietnam make it easier for transportation and travel amongst localities.
