Processing, manufacturing industry attractive for foreign investors
Updated : Friday, June 08, 2018 2:47 PM (GMT+0700)

Theprocessing and manufacturing industry has been the most attractive sector forforeign investors this year, according to the Foreign Investment Agency underthe Ministry of Planning and Investment.

Illustrative Image - Source: VNA

The agency announced thesector lured 5.18 billion USD of a total 9.9 billion USD, or 52.3 percent offoreign direct investment (FDI), the country attracted.

Real estate ranked secondwith 1.07 billion USD, while the retail and wholesale sector attracted 1.02billion USD.

Although the FDI in fivemonths of this year was equivalent to only 81.6 percent of that in the sameperiod last year, experts said FDI quality was higher.

Notably, LG Innotek added501 million USD to its factory in Hai Phong, raising total investment in theproject to 1.05 billion USD, while Regina Miracle International Vietnaminjected an additional 260 million USD to its sportswear factory. 

Economists said that theincrease of investment in projects in equipment and garment will bring moreopportunities for domestic enterprises to learn from FDI firms and takeadvantage of their strengths. This is also what Vietnamese businesses need todo to enhance their competitiveness and engage deeper into global supplychains.

Nguyen Van Toan, VicePresident of the Vietnam Association of Foreign Invested Enterprises said thatsince the beginning of this year, Vietnam saw lower FDI compared to 2017. ButToan held that one giant project will change that situation.

Many other economists assertedthat the building of a strategy to lure FDI with a focus on high qualityinvestment influenced the statistics.

FDI projects have beenchosen more carefully to suit specific localities and optimise theireffectiveness and added value.

According to the ForeignInvestment Agency, the change has slowed FDI flow into Vietnam, but improvedinvestment quality.

So far this year, 86countries and territories have invested in Vietnam, led by the Republic ofKorea with 2.63 billion USD, accounting for 26.5 percent of total FDI, followedby Japan with 1.52 billion USD and Singapore with 1.11 billion USD.

Ho Chi Minh City has beenthe most attractive destination out of 53 cities and provinces in FDIattraction. The city lured 2.39 billion USD, or 24.2 percent of totalinvestment. Hai Phong ranked second with 1.07 billion USD, followed by Hanoiwith 835.3 million USD.


Write your comment here
© PhuYen Newspaper- Editorial Board: 62 Le Duan, Tuy Hoa City, Phu Yen Province
Tel: (84-057).2211110 - (84-057).3842488, Fax: (84-057).3841275
Designed by nTek