Singapore tops the list of a total of 80 countries investing in Vietnam

, Singapore tops the list of a total of 80 countries investing in Vietnam
  • Foreign investors have poured US$5.27 billion of investment into Vietnam in 2021.
  • Singapore tops foreign investors in the Southeast Asian nation over six-month period, according to the Ministry of Planning and Investment.

Singapore tops the list of a total of 80 countries and territories investing in the nation this year with investment reaching US$5.64 billion, trailed by Japan at US$2.44 billion, and the Republic of Korea at US$2.05 billion, VOV reported.

The MPI report indicates that foreign investors have poured US$5.27 billion of investment into the Southeast Asian nation this year, equivalent to 97.4% of the amount recorded during the same period from last year.

Related: How to start a foreign invested company in Vietnam.

As of June 20, a total of US$9.55 billion has been injected into 804 newly-licensed projects, representing an annual rise of 13.2%, while foreign investors also poured US$1.61 billion into local share purchase deals.

Furthermore, the disbursement of foreign direct investment (FDI) throughout the reviewed period surged by 6.8% from the same period last year to reach US$9.24 billion.

Among the 18 sectors attracting FDI, manufacturing-processing has attracted the highest amount at US$6.98 billion, accounting for 45.7% of the total investment, followed by power production and distribution with US$5.34 billion, roughly 35% of the total investment.

The export revenue of the foreign-invested sector has continued to expand by 32.2% to reach US$116 billion, including crude oil, making up 74.1% of the country’s total export revenue. The sector’s revenue, excluding crude oil, hit US$115.3 billion, marking an annual rise of 32.6%, according to VOV.

Despite the COVID-19’s fourth wave that broke out in late April, Vietnam’s economy continued its recovery with its GDP growing by 4.5 percent in the first quarter of 2021 compared to the same period last year, the United Overseas Bank (UOB) said, citing statistics.

Singapore-based UOB has forecast that Vietnam’s gross domestic product (GDP) growth rate would rebound to 6.7 percent in 2021 from 2.9 percent in 2020, regardless of the impacts of the COVID-19 pandemic.

In general, positive psychology of investors in Vietnam has been reflected in both existing and new investment categories, despite the latest COVID-19 outbreaks wave that has slowed down and interrupted business and production activities in many localities.

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