FDI

Festo, a German supplier of automation technology and technical education, plans to expand investment in Vietnam to take advantage of the increasing foreign investment and production in the country.

Vietnam has been extremely successful at attracting high-quality FDI, with this investment primarily going into manufacturing and real estate projects, according to Neil MacGregor, managing director of Savills Vietnam.

Encouraging FDI firms to list locally would help supervise their performance as the companies would be managed by not only local authorities but also investors, shareholders, and the local stock exchanges.

The US-China trade war has led toChinese wooden furniture manufacturers moving production to Vietnam, bringing risks to the domestic woodwork industry.

Non-nationals with differing investment scales in Vietnam will be granted different visas in the country, making it more favourable for authorised agencies to apply incentives to certain initiatives.

South Korean investments in Vietnam will focus on developing industrial urban infrastructure, green and smart cities, shopping centers, hotel complexes, urban agriculture and high-tech applications.

Despite facing difficulties and challenges, the Vietnamese real estate market is developing stably, positively, and professionally.

FDI commitments in the January – November period totaled US$31.8 billion, up 3.1% year-on-year.

While foreign investment inflows in the 11 months increased slightly, the number of enterprise delegations visiting increased by 30 per cent on-year.

Experts are concerned about the quality of foreign investment and the capability of Vietnam to use the capital.

Limited land and labor resources, increasing wages and a lack of local suppliers in Vietnam could make the cost/benefit equation less attractive for FD) firms in the foreseeable future, HSBC said in its latest Asia Frontier Insights report.

The limit for foreign investors’ ownership in Vietnamese air transport businesses will be increased to 34 per cent from the current 30 per cent, according to a prime minister’s decree signed last week.

Long-standing concerns could be solved in the latest version of the draft Law on Public-Private Partnerships ahead of National ­Assembly discussions.

After more than 30 years of adopting an open investment policy, Vietnam has become one of the most successful countries in the region in garnering overseas funding. 

Legislature discusses visa-free policy for foreigners entering certain coastal economic zones.

Hanoi continued to top the list of foreign direct investment destinations in Vietnam in the first 10 months of this year, raking in about 6.85 billion USD, most of which came in form of capital contributions and share purchase.

The National Assembly’s Foreign Affairs Committee has pointed out the main obstacles to investment by foreign investors in Vietnam and the Government’s management of foreign-invested firms.