According to the information of the Foreign Investment Agency of the Ministry of Planning and Investment Vietnam (MPI), Vietnam attracted more than $8.20 billion in direct foreign investment in the first four months of this year. This number is more than half of the country’s annual goal in the first four months.
This outstanding performance is due in large part to the 342 new FDI projects, valued at almost $4.9 billion, which is an increase of 14.9 per cent from the previous year.
Out of 37 FDI countries and regions investing in Vietnam, the three biggest investors are Japan, Singapore and Russia. Thanh Hoa Province is Vietnam’s most attractive area for FDI, with an amount of $2.8 billion (just under 40% of the country’s total FDI of $7.4 billion). The processing and manufacturing industries are the major FDI attracting industries, and eventually, 90% of the overall FDI capital of Vietnam will come from these industrial sectors.
It is true that Vietnam is becoming much more attractive for investors from all over the world, but, it is conceivable that this advantage will be diminished by more active competition by other countries in the region. Therefore, to maintain this advantage, Vietnam must continue to mold its infrastructure to facilitate additional FDI.