ĐỒNG NAI PULLS IN US$1.2 BILLION IN FDI, SMASHING 2025 GOAL
The southern province of Đồng Nai had lured over US$1.218 billion in foreign direct investment (FDI) as of early June, achieving 152.3 per cent of its annual target, according to the Đồng Nai Industrial Zones Authority (DIZA). This figure, encompassing both new and added capital, not only exceeds the province’s 2025 goal of $800 million by 52.3 per cent but also marks a 39 per cent leap from the 874.7 million recorded in the same period last year.
VN STEPS UP BORDER CLEARANCE FOR AGRICULTURAL PRODUCT EXPORTS
With key agricultural products such as lychee, durian, mango, longan and dragon fruit entering the peak harvest season, Vietnamese authorities are stepping up efforts to streamline customs clearance at border gates to prevent congestion and market oversupply. In a recent directive, Prime Minister Phạm Minh Chính urged the Ministry of Finance to instruct the customs force to prioritise the swift clearance of fresh farm produce for export.
BUSINESSES ADOPTS ESG AS PART OF LONG-TERM STRATEGY
Climate change poses challenges and opportunities for Vietnamese businesses as global markets increasingly prioritise sustainable products and services, said economists and industry experts. The Director of Sustainability & Climate Change Advisory Services at Deloitte Việt Nam, Phạm Minh Hương, noted that enterprises can tap into new potential by developing environmentally-friendly products and improving energy efficiency.
DOMESTIC CONSUMPTION DRIVES INDUSTRIAL PRODUCTION GROWTH IN HCM CITY
HCM City’s Index of Industrial Production (IIP) rose by 8.2 per cent in the first five months of 2025 compared to the same period last year, marking the highest five-month growth rate in the past seven years, according to the municipal Department of Industry and Trade. In May alone, the IIP increased by 5.1 per cent over the previous month and 9.4 per cent year-on-year.
VN’S OVERSEAS INVESTMENT INCREASES BY 2.3 TIMES IN THE FIRST FIVE MONTHS
Vietnam's overseas investment surged in the first five months of 2025, reaching US$317.3 million, a 130 per cent increase compared to the same period in 2024, according to the General Statistics Office (GSO). This significant growth is primarily attributed to a surge in newly licensed projects. Between January and May, Vietnamese investors received approval for 46 new overseas projects with a total registered capital of $275.7 million, a 170 per cent year-on-year increase.
FDI JUMPS MORE THAN 50 PER CENT IN THE FIRST FIVE MONTHS OF 2025
Foreign direct investment (FDI) trends in Vietnam showed divergent trends in the first five months of 2025. While newly registered capital declined, adjusted investments, capital contributions, and share purchases surged – driving overall foreign investment inflows. In the first five months of 2025, Vietnam reported $18.4 billion in FDI, an increase of 51 per cent on-year, according to the Foreign Investment Agency (FIA) under the Ministry of Finance.
AGRICULTURAL LAND TAX EXEMPTION MOTIVATES BUSINESS
Extending exemptions for agricultural land use tax is expected to create motivation for businesses to expand and renovate their investments in Vietnam. The government has proposed that agricultural land use continue to be exempted from taxation through to 2030, according to a draft resolution on the issue submitted in mid-May to the National Assembly (NA).
INFRASTRUCTURE UNDERTAKINGS UNLOCKED VIA PRIVATE FUNDING
Last week, THACO Group expressed its desire to invest in the North-South high-speed railway. The company will contribute 20 per cent of the total capital, nearly $12.27 billion, through equity and legally mobilised domestic capital. The remaining amount, around $50 billion, will be borrowed from domestic and foreign credit institutions that the government guarantee and support all loan interest for 30 years, secured by assets formed from the project.
