Foreign direct investment (FDI) in HCM City in the first quarterof the year rose by 109 percent compared to the same period last year,pointing to a positive trend that indicates investors feel moreconfident about the economy.
According to the city'sDepartment of Planning and Investment, 78 FDI projects with a totalinvestment of nearly 160 million USD were licensed during the firstquarter.
Among the licences granted in the first quarter,the municipal People's Committee in late March approved a third plant tobe built by MTV Sanofi Viet Nam, a subsidiary of the Sanofi AventisGroup, with a registered capital of 75 million USD. It will be locatedin the city's Hi-Tech Park in District 9.
Authorities alsogranted a licence for capital expansion of 95.8 million USD to NidecTosok Vietnam \, a subsidiary of the Japanese Nidec Group. Thatbrought the total capital investment of the plant, located in TanThuan Industrial Park in HCM City's District 7, to 205.6million USD.
In addition, 26 FDI projects in the city were licensed for capital expansion of 175.3 million USD.
Accordingto HEPZA, the city's EPZs and IPs in the first quarter mobilised atotal investment of 144.5 million USD, up by 21.4 percent compared withthe same period last year.
That included FDI of 122.65million USD, an increase of 57.35 percent, and domestic investment of21.83 million USD, down by 57.35 percent compared to the same period in2012.
The profitable operation of companies in the city'sExport Processing Zones and Industrial Parks, especiallyforeign-invested enterprises, was behind the rising investment trend,said Nguyen Tan Dinh, deputy head of the HCM City Export Processing ZoneAuthority (HEPZA).
Dinh said that this year, HEPZA will take measures to attract even more investment to the city's EPZ and IPs.
Focuswill be on hi-tech industries that have high added value: mechanics,electronics/information technology, chemicals, and food and foodstuffprocessing. In addition, the city will map out a plan to build anindustrial area for support industries within the Dong NamIndustrial Park, and is seeking Japanese investment for infrastructureconstruction.
The HCM City Trade and Investment PromotionCentre, the Department of Planning and Investment, and the IP and EPZInfrastructure Development Company will organise investment promotionsin Japan, the Republic of Korea, Singapore, Taiwan, the US and Canadawith the aim of attracting investment to local IPs.-VNA