According to Bac Giang Department of Planning and Investment, in the first eight months of this year, the northern province lured $1.62 billion in foreign direct investment (FDI), overcoming the figure of $1.3 billion expected for the whole year. The province licensed 59 newly registered projects worth $1.26 billion, a 4.7-fold increase compared to the same period in 2022.

The momentum for this soaring increase is the large-scale projects invested by Foxconn. These projects combine the $270-million Fukang technology factory by Foxconn Singapore and the $621-million Fulian precision technology factory invested in by Ingrasys Singapore Pte.

The Management Board of Dong Nam Nghe An Economic Zone released information that Nghe An province in the central region is preparing to license two foreign-invested projects with the total registered capital of $153 million, which will contribute to taking the province to the $1 billion mark for the year, doubling the initial target. Between January and August, the province was reported to hit $890 million in FDI.

According to the Foreign Investment Agency under the Ministry of Planning and Investment, in the first eight months, Hanoi ranked first in attracting FDI with a total registered capital volume of $2.34 billion, accounting for 12.9 per cent of the capital inflow in the country, up nearly threefold on year.

The runners-up were Haiphong with $2.08 billion, up 72 per cent on-year, followed by Ho Chi Minh City, and Bac Giang and Binh Duong provinces.

Such growth contributed to investment capital inflows to the country increasing again. Vietnam pulled in close to $18.15 billion in FDI from the beginning of this year to August 20, up 8.2 per cent.

In this period, there were just over 1,920 newly registered projects with a combined capital of $8.87 billion, up 69.5 per cent and 38.6 per cent compared to the same period last year, respectively.

Improvement in administrative procedures was the key to growth for many of these localities.

Mai Son, Deputy Chairman of Bac Giang People’s Committee said, “When foreign investors have the intention to come here, the province immediately establishes task forces to take care of them. These groups, which are led by leaders of various departments and relevant authorities, will be responsible for supporting them to complete administrative procedures and resolve difficulties on time.”

Meanwhile, in early August, Chairman of Nghe An People’s Committee Nguyen Duc Trung signed a document to strengthen responsibilities and improve the efficiency of administrative procedures in the province.

Trung assigned local management agencies to simplify at least 20 per cent of internal administrative procedures and cut down at least 20 per cent of compliance costs for internal procedures before October.

Improving custom procedures is also receiving the attention of the province to reinforce foreign investors’ trust because Nghe An is currently home to a growing number of large investors in electronic equipment production and exports, such as Goertek with $500 million, Ju Teng with $200 million, and Everwin with $200 million.

Director of Nghe An Customs Department Chu Quang Hai said, “Motivated by the plan of digital transformation of the customs sector by 2025, Nghe An’s customs will provide solutions and change operational processes by applying IT software for maximum efficiency. The department would also improve the efficiency and quality of customs control as well as support businesses, reduce costs and time, boosting business and export production.”

Source; VIR