Viet Nam Human Rights
Deputy Minister of Planning and Investment Tran Duy Dong speaking at the event
(Photo: baodautu.vn)
Experts made this assessment at the Vietnam Industrial Property Forum 2022 which is being co-organised by Dau Tu (Investment) newspaper and the BW Industrial JSC on May 24.
At the event, Deputy Minister of Planning and Investment Tran Duy Dong emphasised that although the pandemic has disrupted the global supply chain and the flow of goods, investors from Asia, Europe, the US, and ASEAN have continued injecting money into the Vietnamese market.
Last year saw FDI inflows into the country surge by 9.2% to US$31.15 billion compared to 2020, while financers also injected US$10.8 billion into the nation during the four-month period, with the additional investment capital soaring by 92% to reach US$5.29 billion against the same period from last year.
These positive figures have highlighted investors' confidence in the business climate and the Government’s policies regarding economic recovery moving into the post-COVID-19 period.
Deputy Minister Dong pointed out that Vietnam is becoming an attractive destination for foreign investors, proving the Government’s effective solutions for COVID-19 containment in order to restore production activities and reboot the local economy.
Furthermore, these positive signs can also be attributed to rapid vaccination coverage and the Government’s bailout packages for socio-economic recovery and development, he noted.
Through consistent political stability and the Government's determination to carry out these drastic measures, Vietnamese GDP in the first quarter of the year grew by 5.03% on-year, higher than last year’s growth rate of 4.7%.
Most notably, the country’s total trade turnover throughout the reviewed period edged up 15.9% to reach US$242.43 billion, of which FDI-invested firms continued making significant contributions, with import and export value increasing by 14.9% to US$168.37 billion.
Experts analyzed that new-generation free trade agreements (FTAs) such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the EU-Vietnam Free Trade Agreement (EVFTA) have become a driving force behind economic growth, as well as the country’s international trade activities in the post-pandemic period.
Ramping up export activities amid global rising demand for goods will therefore further affirm the country’s position as an attractive destination for manufacturers as more local firms are getting involved in the global supply chain, they stressed.
Economists underlined the necessity of developing service industries in an in-depth manner, improving the quality of the infrastructure at industrial parks, training high-quality human resources, and devising additional policies for the development of the supporting industry in order to attract high-quality FDI inflows in the future.
Think tanks also underscored the importance of e-commerce development in pushing up the demand for warehouse real estate and logistics services, assessing that there should be further policies and mechanisms for the logistics and warehousing industry as it becomes a crucial part in the industrial property sector.
Deputy Minister Dong also pointed out that Vietnam has been preparing for a new wave of investment and aiming to become an important global production base by revamping the legal system and improving the local investment climate to prioritise FDI projects that employ modern and ecotechnologies./.
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Despite adverse COVID-19 impacts on the global economy, Vietnam’s selective investment attraction policy with priority to high-quality projects has proved effective
This year is forecast a good year for foreign direct investment (FDI) attraction, as Vietnam is securing its image as a safe, attractive and promising destination for foreign investors.
Thanks to the policy, the FDI poured into sectors with high risk of environmental pollution and using outdated technologies such as weaving and dyeing has decreased, while FDI flows to high-quality projects using green and renewable energy have increased.
Vietnam will enjoy a fruitful year in FDI attraction thanks to its efforts in administrative reform, the fast recovery of the global supply chain and the increased consumption power.
External relations activities have also supported the country’s FDI attraction.
Vietnam’s strengths of favourable geographic location, improving business and investment environment and better infrastructure system have made it attractive among foreign investors.
The amount of FDI capital pouring into fields of high environmental risks, obsolete technologies or labor-intensive industries has been on the decline.
Vietnam’s new FDI attraction strategy towards greater quality rather than quantity has started yielding positive results.
Vietnam’s FDI strategy has become more selective with a focus on greater quality, rather than those of small size with low added-value
The amount of FDI capital pouring into fields of high environmental risks, obsolete technologies or labor-intensive industries has been falling.
there has been a stronger rebound in the number of projects of high tech, environmentally friendly, and using green energy.
Vietnam’s reopening policy and the Government’s active support for investors have laid the foundation for a promising future.
Vietnam continues to be a safe and attractive investment destination for foreign investors
For the past years, the country has been focusing on upgrading infrastructure systems, including industrial parks and thousands of kilometers of expressways to boost socio-economic development across the country.
More large-scale and high-quality projects from multinationals would continue to come to Vietnam
In this context, Vietnam could take advantage of its favorable geographical locations, business environment, and the constantly-improving infrastructure system to attract foreign investors.
Attracting foreign direct investment (FDI) has always been a key part of Vietnam’s external economic affairs.
We are doing so by vigorously renovating the business and investment climate, and by recognizing that the FDI sector is an integral part of the economy – essential to restructuring the economy and raising national competitiveness.
Vietnam has been securing socio-political stability, and is known to be one of the most dynamic economies.
It has a favourable geographical location right at the heart of East Asia – home to a number of large and vibrant economies.
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