FDI disbursement hits five-year high

Disbursement of foreign direct investment in Vietnam rose by 7.8 percent compared to 2021 to 4.42 billion USD in the first quarter of this year, a five-year record.
FDI disbursement hits five-year high ảnh 1Workers at a Japanese-invested firm in Vietnam (Photo: VNA)
Hanoi (VNS/VNA) - Disbursement of foreign direct investment in Vietnam roseby 7.8 percent compared to 2021 to 4.42 billion USD in the firstquarter of this year, a five-year record.

Up to 4.06 billion USD of capital was added by foreign businessesto 228 operating projects in the period, up 93.3 percent year-on-year,according to the General Statistic Office (GSO).

According to the GSO, 322 new foreign projects, capitalised at 3.21 billion USD, werelicensed in the first three months, up 37.6 percent in the number of projectsbut down 55.5 percent in capital year-on-year. 

The Foreign Investment Agency (FIA) attributed the substantial declinein newly-registered capital to fact that some large-scaled projectsworth over 100 million USD were already registered in the first quarter of2021. Capital pledged to such projects accounted for 75.3 percentof the country's total registered capital in the reviewed period. 

For example, among these projects were the Long An I and II LNGpower project, being invested by Singaporean investors in Long AnProvince with a total registered capital of over 3.1 billion USDand the 1.31 billion USD O Mon II thermal power plant being financedby Japanese investors in Can Tho city.

Meanwhile, the first quarter of this year saw only one foreign-invested projectworth over 1 billion USD. That was a LEGO Manufacturing Vietnam plant, valuedat 1.32 billion USD, in Binh Duong province, the FIA said. 

In another bright spot, foreign investor capital contributions and sharepurchases doubled over the same period last year to 1.63 billion USD,which brought the total foreign investments into the country in Q1 to 8.9billion USD, equivalent to 87.9 percent of the last year's sameperiod. 

The agency said many projects on manufacturing electronic andhigh-tech products have raised their level of capital in the first threemonths of the year.

The processing and manufacturing sector lured the largest share of FDI withover 5.3 billion USD, accounting for 59.5 percent of the country's totalcapital. 

From January to March, Singapore was Vietnam’s leading foreigninvestor with nearly 2.29 billion USD, making up almost25.7 percent of the total FDI registered in the country. The Republic of Koreafollowed with more than 1.61 billion USD or 18 percent, andDenmark with 1.32 billion USD or 15 percent. 

At the same time, Vietnamese firms invested 211.5 million USD overseas inQ1, down 63 percent year-on-year, according to the FIA. 

Of the sum, over 180 million USD came from 24 newly-licensed projects, up 28.5 percent,while the remaining 31.2 million USD came from three capital-addedprojects, a yearly decline of 93 percent. 

Earlier, economic experts said Vietnam remained an attractivedestination for foreign investment, which was likely to experience asurge in 2022 after a long hiatus due to the pandemic.

An increase in the number of new projects and investments in existing projectsshowed the strong confidence of foreign firms in the country'sinvestment environment, they said. 

Do Nhat Hoang, head of the FIA, said the country had been working with foreignpartners looking to relocate their production centres. "Bringingtheir investment home was an effective way to support Vietnamese firms inintegrating into the global supply chain," he said. 

He said foreign investment was likely to pick up in 2022 as countriesworldwide reopened and learned to adapt to the new normal post-pandemic. 

Takeo Nakajima, head representative of the Japan External Trade Organisation,said Vietnam would continue to be one of the most attractive investmentdestinations for Japanese firms, especially after the visit to Japan byPrime Minister Pham Minh Chinh, who oversaw 25 cooperation agreements worth upto 12 billion USD.

The agreements have set up a strong foundation for Japanese investment to flowinto Vietnam in 2022 and the near future, said Nakajima. 

European firms have also been showing stronger confidence in the SoutheastAsian economy./.
VNA

See more

Chairman of the Ba Ria - Vung Tau Provincial People's Committee Nguyen Van Tho and Glen Hilton, CEO of DP World Asia-Pacific, sign a Memorandum of Understanding. (Photo: VNA)

Discussion underway for Vietnam’s first FTZ in Ba Ria-Vung Tau

The seaport-linked FTZ in the Cai Mep Ha vicinity is expected to boost the maritime economy to capitalise on the strategic location of Ba Ria-Vung Tau, attract foreign investment, and drive growth in the logistics, seaport, and international trade sectors.

The Tan Ky Tan Quy Bridge crosses the Tham Luong Canal, directly connecting to National Route 1. (Photo: VNA)

HCM City plans substantial investment in infrastructure

HCM City will direct funding towards transport, energy, and telecommunications infrastructure, including national highways, regional connectivity roads, Tan Son Nhat International Airport, Can Gio international transhipment port, and the Lotte Eco Smart City.

Delegates mark the launch of the new shipping route on February 18. (Photo: VNA)

New shipping route linking China, Vietnam, India launched

The container shipping route connecting the ports of Beibu Gulf (China), Hai Phong (Vietnam) and Kolkata (India) is destined to become a key strategic trade axis, contributing to the sustainable growth of both the regional and Vietnamese maritime industries.

Ca Mau province Deputy Secretary Nguyen Ho Hai receives a gift from the Singaporean ambassador Jaya Ratnam at a meeting held on February 17 to enhance exports and cooperation. (Photo: tuoitre.vn)

Ca Mau wants more exports to, cooperation with Singapore

The southernmost province of Ca Mau wants to increase agricultural and fishery exports to Singapore and strengthen cooperation in several sectors, Deputy Secretary of its Party Committee, Nguyen Ho Hai has told Singaporean embassy officials.

Permanent Deputy Secretary of the municipal Party Committee Nguyen Thanh Nghi hosts a reception for Japanese Ambassador to Vietnam Ito Naoki on February 17. (Photo: www.sggp.org.vn)

HCM City looks to deepen ties with Japan

The city aims to deepen cooperation with Japan in key areas such as sustainable urban development, emissions reduction, climate change adaptation, innovation, digital transformation, supply chain resilience, supporting industries, healthcare, tourism, culture, workforce development, and people-to-people exchanges.

Workers process shrimp for export. (Photo: VNA)

Shrimp exports grow in the first month of 2025

Shrimp products recorded a strong 13%increase in export value in January 2025, reaching a total of 273.3 million USD. This growth accounted for 35.3% of Vietnam's total seafood export turnover, contributing significantly to the country's overall seafood export performance.

Vietnam imposes VAT on low-value imported goods

Vietnam imposes VAT on low-value imported goods

It is estimated that if low-value goods worth less than 1 million VND are subject to a 10% VAT rate, State budget revenue could increase by around 2.7 trillion VND (105.6 million USD).

Can Gio International Transit Port blueprint. (Photo: sggp.org.vn)

Can Gio port added to national seaport development plan

The Ministry of Transport has approved adjustments to policies, solutions, and resource allocations for the implementation of the national seaport system master plan for 2021-2030, with a vision to 2050. The Can Gio port is now part of the implementation roadmap.