Bac Lieu ranked first among 63 provinces and cities in term of foreign direct investment attraction in the first nine months of this year, with projects including an LNG-to-power project worth US$4 billion from Singapore.
By September 20 the total amount of foreign investment capital in new and existing projects through adjustment, capital contribution, and share purchases reached a figure of over US$21 billion, equal to 81.1% from last year’s corresponding period.
Industrialization requires high-quality foreign direct investment (FDI). Many issues must be addressed, including how to developed a skilled workforce.
The Quad countries’ economic prosperity network plan is expected to bring great opportunity to Vietnam’s enterprises.
Vietnam has great advantages over its rivals to attract foreign investors, including low costs, an advantageous position, and stable exchange rate and institutional mechanisms.
Despite FDI shown signs of a slowdown as a result of the negative impact of COVID-19, experts believe that the nation will be able to welcome an array of fresh dual investment after the pandemic.
Despite the 21 percent decrease in FDI decrease in Q1, Kizuna, which leases ready-made workshops in Long An province, is still moving ahead with its plan to expand production.
The foreign capital inflow into Vietnam through M&As soared in the first nine months of the year, raising concerns about an economic crisis like the one that occurred 10 years ago.
The losses incurred by state-owned enterprises (SOEs) from outward investment projects in 2018 reached $367 million, a sharp increase of 265 percent compared with 2017, a report shows.
Commenting about the reliance of Vietnam’s economy on FIEs (foreign invested enterprises), one economist noted that “when FIEs sneeze, the Vietnamese economy catches a cold".
The problems caused by FIEs, such as transfer pricing and investment under others’ names, have been noted in the Party Politburo’s Resolution 50 for the first time.
Saying that there is no discriminatory treatment to investment sources, experts have stressed that Vietnam needs a tool to ‘filter’ capital to prevent risks.
Coastal economic zones (EZs) were established with an aim to help attract more investment, but they have not brought the desired effects.