At a sea port in the northern port city of Hai Phong (Photo: VNA)
Hanoi (VNA) – High economic growth and stronginvestment in infrastructure are among the reasons for Northern European businessmento consider when choosing to invest in Vietnam, according to an article recentlypublished on the site ScandAsia, which covers Nordic news and businesspromotion in Asia.
The article said Swedish exports to Vietnam have increasedby almost 6 percent by 2020, despite the COVID-19 pandemic.
Emil Akander, Business Sweden’s acting country manager inVietnam, was cited as saying the growing export was thanks to several factors, particularlythe rapid increase of the Vietnamese middle class’s purchasing power.
He explained that 30 million Vietnamese will belong to thecountry’s middle class by 2025, which is almost a doubling since 2012.
The official said at the same time, Vietnam sees major investments beingmade in infrastructure and health care.
Airports and the subway in the country's two biggest hubs Hanoiand Ho Chi Minh City are being expanded, new hospitals built, andmajor investments made in new energy. These sectors are strengths of Swedishfirms, he added.
Johan Fredriksson, country analyst at the Swedish ExportCredit Agency (EKN), noted Vietnam was one of a handful of countries whoseeconomies grew even during the pandemic year of 2020. And according toforecasts from the World Bank and IMF, continued growth is expected at around6-7 percent per year, he noted.
Today, several conglomerates and large industrial companies fromSweden, including H&M, ABB, Tetrapak, Sandvik, SKF, and Ericsson, are operatingin Vietnam.
According to him, the door is also open forsmall- and medium-sized companies. He highlighted opportunities for the groups toestablish themselves in the country as subcontractors./.
