Vietnam – an attractive destination for foreign investors
Large-scale projects include Nghi Son Oil Refinery and Petrochemical
Complex Project in Thanh Hoa province with investment from Japan, and
Vinh Tan 1 coal-fired thermal power plant, from China.
Fields
attractive to foreign investors include the processing industry, power
and water supply, air conditioner production, and real estate.
The official operation of Idelmitsu Oil & Gas Co, Ltd, under Japan’s
Idemitsu Kosan Co, Ltd at the beginning of the new year has proved that
Vietnam is an attractive destination for foreign investors.
Idelmitsu Oil & Gas Co Director Yuji Kusaka says that the
project’s investment capital comes from Japan’s Idemitsu Kosan and the
company selected Vietnam as an investment location because of its great
natural resources and abundant young workforce, both of which provide a
firm foundation for foreign investors to do business in Vietnam.
A sharp increase in foreign investment has recently accelerated the development in other fields in localities.
Hai Phong is a case in point, attracting a greet deal of foreign
investment. It has secured investment from 400 foreign businesses from
10 major groups, including Bridgestone, Nipro Pharma, Fuji Xerox Posco
and LG.
Japan has topped the list of 29 nations and territories
investing in Hai Phong city, followed by the Republic of Korea, Taiwan
and mainland China.
Hai Phong municipal People’s Committee
Chairman Dan Duc Hiep said that since the Law on Investment took effect,
the city has attracted over 26 billion USD from big investors.
In 2014 and the following years, Hai Phong hopes to make the best of its advantage to attract even more foreign money.
In the context of capital shortage, foreign investment is a priority
trend to restructure the economy and offers a more competitive
environment for Vietnamese businesses.
The MPI said that
Vietnam is selecting hi-tech projects with high added value to reduce
environmental pollution which has hindered the country from attracting
foreign investment.
However, poor infrastructure and cumbersome
administrative formalities have made Vietnam’s investment environment
less attractive.
Planning and Investment Minister Bui Quang Vinh stressed the need for Vietnam to accelerate economic restructuring.
At present, the Vietnamese Government has re-built projects with the
crucial role of the foreign-invested sector, which will bring changes to
economic restructuring, develop enterprises with high environmentally
friendly technologies, and create competitive products in both
international and Vietnamese markets.
Economists
have urged that businesses should devise clear strategies and objectives
to attract foreign investment based on incentive policies for such
fields as high technology, support industries, infrastructure
development and the financial market.-VNA