Foreign investment surges 52%

Vietnam attracted US$21.93 billion in foreign direct investment (FDI) during the first seven months of this year, a surge of 52 per cent year-on-year, the highest rate since 2011, according to the latest Foreign Investment Agency statistics.

Of the total, $12.92 billion came from 1,378 newly-licensed projects, representing a yearly increase of 48.7 per cent.

Another 677 already-operating projects have registered to increase their capital by more than $5.87 billion, up 38.5 per cent year-on-year.

Foreign investors made 2,946 deals in contributing capital to businesses and buying shares of Vietnamese businesses with total value of $3.12 billion, soaring by 109.7 per cent compared with the same period in 2016.

During January-July, FDI disbursement reached $9.05 billion, up 5.8 per cent against last year’s figure.

Exports of foreign-invested enterprises (including crude oil) are estimated at $83.05 billion, up 20.3 per cent over last year, accounting for 72 per cent of the country’s total export turnover. Excluding crude oil, this figure is $81.26 billion, up 20 per cent.

Imports of foreign-invested enterprises reached $71.35 billion, up 28.1 per cent over the same period in 2016 and accounting for 60.3 per cent of the total import turnover of the country.

Manufacturing and processing industries continued to be the top sector, receiving $10.83 billion of FDI, comprising 49.4 per cent of the total registered FDI.

The sector was followed by the electricity production and distribution sector, with total investment capital of $5.25 billion, accounting for 23.98 per cent of the total FDI. The mining sector took third place, with $1.28 billion, or 5.86 per cent of the total FDI.

Among 98 countries and territories invested in Vietnam, South Korea remained the leading investor, with $5.62 billion, 25.63 per cent of the FDI pledged to the country. Japan was the runner-up, with $5.46 billion, or 24.92 per cent of the FDI. Singapore followed with $3.8 billion, accounting for 17.3 per cent of the total FDI.

The central province of Thanh Hoa was the most attractive destination to foreign investors, as it received $3.06 billion in FDI, accounting for 15.9 per cent of the total FDI poured into 60 provinces and cities.

The northern province of Bac Ninh was close on its heels with $2.95 billion, or 13.48 per cent of total FDI. The province granted an investment licence to Samsung Display Vietnam Co Ltd’s $2.5 billion expansion project.

The northern province of Nam Dinh took the third place with $2.2 billion, or 10 per cent of total FDI. Of the estimate, $2.07 billion came from the BOT Nam Dinh 1 thermal power plant, the largest-ever investment project in Nam Dinh province.