Vietnam creates optimal conditions for foreign investors

We need to spread Vietnam’s remarkable development through vivid stories of the lives of Vietnamese today.

Vietnam’s economic growth has maintained high rates in years, making the country an appealing destination for foreign investors.

It will be a great opportunity for giant businesses as Vietnam is a good destination for all investors.

When a foreign investor thinks about Southeast Asia, Vietnam tops most attractive regional destinations for Merger and Acquisition (M&A), particularly in green energy, said Andrew Huntley, Senior Managing Director at BDA Partners, a provider of advice on cross-border M&A in Asian countries like China, India, Japan and Vietnam.

Most of the M&A deals in Vietnam took place inside the country with few Vietnamese firms acquiring other businesses abroad. It will take more time for this to happen.

I forecast that in the next few years, more major Vietnamese corporations, both state-owned and private, will involve in M&A deals overseas.

The medium-term outlook for the Vietnamese economy is broadly positive despite persistent downside risks.

Growth is expected to further moderate in 2020 and 2021 to a more sustainable pace of 6.5 percent, in line with potential output.

Vietnam remains susceptible to changing global economic conditions, given its high trade openness and relatively limited fiscal and monetary policy buffers.

Over the forecast horizon, inflation is predicted to stay below the government’s 4 percent target, and the current account is estimated to sustain a smaller surplus.

Bolder implementation of structural, fiscal and banking sector reforms would help to mitigate downside risks and support sustained high growth.

Strong growth in domestic consumption and improving competitiveness are the two main drivers of Vietnam’s economic growth at present.

Giving analysis that Vietnam’s low cost of labour and comparatively young and growing population make it an attractive locale for manufacturers.

Vietnam’s current account surplus and large foreign reserves will continue to position the economy better than other emerging markets facing widening current account deficits.

In terms of investment areas, processing and manufacturing remained the most attractive sector to foreign investors during the January-September period.

This will help to boost people's rights and lives!