REAL ESTATE RETAINS SECOND POSITION IN FDI ATTRACTION

Real estate remained the second biggest magnet for foreign direct investment (FDI) in 2019, following processing – manufacturing, as it attracted 3.88 billion USD of FDI, equivalent to 10.2 percent of the total registered.

Real estate remained the second biggest magnet for foreign direct investment (FDI) in 2019, following processing – manufacturing, as it attracted 3.88 billion USD of FDI, equivalent to 10.2 percent of the total registered.

The Ministry of Construction said the real estate market last year developed rather stably, in terms of supply, number of transactions, prices, outstanding credit and foreign investment.

The ministry predicted that “bubbles” in the market are unlikely in 2020.

However, it also forecast possible land price hikes in the areas designated to become special zones or new residential areas with synchronous infrastructure, as well as in the housing projects that are located in downtown areas, developed by prestigious investors, and have fast construction progress and good infrastructure.

This is also the rule of the market, the ministry noted.

Meanwhile, the market may witness decline in certain segments due to supply-demand imbalance or difficulties in some property projects, especially in the two largest metropolises of Hanoi and Ho Chi Minh City.

Source: VIR

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