DOUBLE RISE IN VIETNAM'S ADDITIONALLY-REGISTERED FDI IN THE FIRST TWO MONTHS

In the first two months of 2022, Vietnam counted total foreign direct investment (FDI) inflows of about $5 billion, equivalent to a rise of 91.5 per cent on-year, of which additionally-registered capital was $3.6 billion.

According to the Ministry of Planning and Investment's Foreign Investment Agency, $631.8 million were poured into 183 newly-licensed projects, an increase of 45.2 per cent in the number of projects, but a sharp decrease of 80.9 per cent in value.

Besides this, $3.6 billion were added to 142 projects currently underway, more than twice as high as a year ago in value and 23.5 per cent more in the number of projects. Overseas investors also poured $769.6 million into 400 share purchase deals, an increase of 41.7 per cent on-year.

The agency said that the decrease in newly registered investment capital in the first two months of the year was caused by the absence of large-scale projects. Specifically, there was only one project with an investment capital of $136.4 million.

A sharp decline in newly-registered capital almost countered increases in the other two categories, with total FDI inflows reaching $5 billion, equaling 91.5 per cent on-year, while capital disbursement went slightly up by 7.2 per cent on-year, to $2.68 billion.

The issuance and prompt implementation of many appropriate solutions to support and remove woes for businesses to minimise damage, maintain and expand production and business activities are said to be the main reasons for the disbursed FDI capital to improve.

Accumulated to the end of this month, there were 34,700 valid FDI projects across the country with total registered capital of $418.8 billion, and their disbursement was almost $254.3 billion, equivalent to 60.7 per cent of valid registered capital.

Among the 17 sectors receiving funds in the first two months, processing and manufacturing took the lead with $3.13 billion, accounting for 62.7 per cent of total FDI. It was followed by real estate with over $1.52 billion, making up 30.4 per cent, followed by science technology and professional activities ($109.6 million) and power generation and distribution ($60 million).

Singapore led the 51 countries and territories investing in Vietnam the first two months with a total investment capital of nearly $1.7 billion, followed by South Korea ($1.4 billion) and China ($538 million).

Bac Ninh has attracted the highest amount of FDI in these two months with over $1.3 billion, followed by Thai Nguyen ($924 million), million), Hanoi ($487.4 million), Nghe An ($400 million), and Long An ($309.3 million).

Source: VIR