- August 30, 2023
- Posted by: GBS
- Categories: Business, Economics
Vietnam has attracted approximately $18.15 billion in foreign direct investment (FDI) during the period from the start of the year until August 20, marking an 8.2% increase compared to the previous year, according to the Foreign Investment Agency under the Ministry of Planning and Investment.
Within this timeframe, there were 1,924 newly registered projects with a combined capital of $8.87 billion, indicating a substantial rise of 69.5% and 38.6% respectively, in comparison to the corresponding period in the previous year.
Simultaneously, over $4.53 billion was injected into 830 existing projects. This represents a 39.7% decrease and a 22.8% increase, correspondingly, year-on-year.
Capital contribution and share purchase deals experienced a notable surge by 62.8%, reaching $4.47 billion.
“Vietnam’s ability to maintain economic stability, coupled with its strategic location, favorable policies, and growing market, has contributed to its success in attracting significant foreign direct investment”, according to Sophie Dao, Partner at GBS.
The sector that drew the highest FDI was manufacturing and processing, attracting nearly $13 billion, followed by the real estate sector with over $1.76 billion.
In the January-August interval, Singapore took the lead as the primary source of FDI into Vietnam, contributing more than $3.83 billion, marking a 15.4% decrease compared to the previous year. China followed with an investment of nearly $2.69 billion, succeeded by Japan with an investment of over $2.58 billion.
Among Vietnamese regions, Hanoi secured the largest portion of foreign investment, attracting $2.34 billion, reflecting a significant increase of 2.89 times compared to the prior year. Hai Phong came in second with over $2.08 billion, signifying a growth of 72.2%. Ho Chi Minh City, Bac Giang, and Binh Duong trailed behind.
By August 20, FDI disbursement was estimated at approximately $13.1 billion, indicating an annual rise of 1.3%.