Foreign investors drawn to Vietnam’s manufacturing-processing

It was followed by real estate, with 5.54 billion USD, and the wholesale and retail sector with 1.5 billion USD, making up 27.3 percent and 7.4 percent of the total, respectively.

According to the Foreign Investment Agency (FIA) under the Ministry of Planning and Investment, in the period, FDI poured into Vietnam exceeded 20 billion USD, while 8.37 billion USD was disbursed, up 5.7 percent and 8.4 percent from the same period last year respectively.

Foreign investors invested in 1,362 new projects, added capital to 507 existing ones and contributed capital and bought shares in domestic companies 2,749 times.

Japan ranked first among 87 nations and territories investing in Vietnam in the first half, with 6.47 billion USD, followed by the Republic of Korea (5.06 billion USD), and Singapore (2.39 billion USD).

During January-June, foreign investors poured their capital into 55 provinces and cities, in which Hanoi ranked first with 5.87 billion USD. The capital city was followed by Ho Chi Minh City (3.68 billion USD), and Ba Ria-Vung Tau province (1.93 billion USD).

According to Deputy Minister of Planning and Investment Nguyen The Phuong, after 30 years of Vietnam opening its door to foreign investors, the FDI sector has become an important part of the economy.

To date, the country has attracted nearly 26,000 projects with a registered capital of 326 billion USD. Disbursement is estimated at 180 billion USD.

Foreign investment accounts for 25 percent of the country’s total investments and contributes 20 percent of GDP. Last year, the sector contributed nearly 8 billion USD to the State budget, 14.4 percent of total revenue.

At present, 58 percent of foreign investments focus on processing and manufacturing, generating half of industrial production value.-VNA