Vietnam’s potential, opportunities, environment and investment incentives in infrastructure construction were introduced to Malaysian businesses at a workshop in Hanoi on Aug. 18.

Addressing the workshop, titled “Construction - opportunities for cooperation and investment between Malaysia and Vietnam,” Tran Van Ta, General Director of the State Capital Investment Corporation (SCIC), stressed that construction is one of five economic magnets for Malaysian investment in Vietnam, which supports 327 projects worth 18 billion USD.

Strong investment in infrastructure in recent years has made an important contribution to poverty reduction in Vietnam, Ta said.

The two main sources for funding such projects in Vietnam are currently the state budget and international assistance. Foreign aid accounts for 40 percent of the total, he said. However, he added, foreign assistance will be reduced as the country’s economic growth increases, so it is necessary to seek other sources.

According to the SCIC general director, the private sector is a key source of finances for infrastructure development in many nations. Vietnam wishes to learn from Malaysia ’s experience in the field, he emphasised.

Aureen Jean Noris, Director of the Malaysia Trade Development Agency (Matrade), said that visiting Malaysian firms, which operate in manufacturing, design, service and other areas, seek opportunities for long-term cooperation with and investment in Vietnam in infrastructure construction and services.

Malaysian construction firms now run 500 projects with a total capital of more than 27.5 billion USD worldwide, she said./.