VietNamNet Bridge - Chinese FDI (foreign direct investment) flow to Vietnam has been increasing rapidly recently as Vietnam is one of the destinations included in China’s ‘One belt, one road’ strategy’.

VietNamNet Bridge - Many foreign registered investment projects capitalized at several millions of dollars each have been set up in Vietnam. Economists have warned that the existence of the micro enterprises will cause difficulties for domestic ones.

VietNamNet Bridge - Vietnam, which is drafting a strategy on foreign direct investments (FDI) to 2030, has been advised to lure more investors from the US and the EU to diversify FDI capital sources.

China’s capital flow to Vietnam has grown slowly, but that is changing rapidly, analysts say.

Two out of eight wholly foreign-owned banks in Vietnam are from South Korea. Besides banks, many other South Korean corporations have contributed capital to, or cooperated with, Vietnamese banks.

Real estate ranked third among business fields which received the most FDI (foreign direct investment) capital in 2017, with $3.05 billion committed, accounting for 8.5 percent of total registered FDI capital.

VietNamNet Bridge - Cash flow worth billions of dollars from China in manufacturing, finance, infrastructure, real estate and e-commerce is flowing to Vietnam. 

VietNamNet Bridge - Vietnam’s outward foreign direct investment (OFDI) is expected to continue to increase rapidly in Laos, Cambodia and Myanmar.

VietNamNet Bridge - Vietnam needs to be careful about using foreign capital, especially that from China, economists say.

Of $6.19 worth of capital that foreign investors used to contribute capital and buy into Vietnamese enterprises in 2017, 60 percent was injected into M&A deals in HCMC.

VietNamNet Bridge - Investments from Japan, South Korea and China were the most significant players in FDI (foreign direct investment) in 2017.

Disbursed FDI (foreign direct investment) capital in 2017 reached a record high of $36 billion, a twofold increase compared with four years ago. 

US investors poured $10 billion worth of FDI (foreign direct investment)  into Vietnam by October 2017, becoming the ninth largest foreign investor in Vietnam among 128 countries and territories, according to FIA (Foreign Investment Agency). 

VietNamNet Bridge - China is among the four biggest foreign direct investors, and Chinese investors have contributed $280 million worth of capital to 593 projects in Vietnam.

By October 20, implemented foreign direct investment (FDI) had reached $14.2 billion and foreign portfolio investment (FPI) $4.7 billion, according to the General Statistics Office (GSO).

VietNamNet Bridge - While Vietnam needs foreign capital to develop the economy, it also requires advanced technologies to become involved more deeply in the global supply chain.

VietNamNet Bridge - The stable economic development in Vietnam, a large market with high potential, and the political conflicts with North Korea and China are attracting South Korean investment to Vietnam.

VietNamNet Bridge - Vietnam’s economic growth is still heavily dependent on foreign invested enterprises (FIEs), especially conglomerates. 

Unresolved issues in Vietnam’s regulations and the business environment have resulted in relatively low FDI inflows from US and European multinational companies, experts say.

VietNamNet Bridge - The cash flow from tax havens is often risky, especially without adequate technical and tax barriers, say analysts.