Vietnam's FDI attraction forecast to recover in 2022

A recovery in the global investment flow will open up a bright future for Vietnam's investment attraction, according to experts.

Vietnam News Agency (VNA) has quoted Nguyen Anh Duong, director of the general research department under the Central Institute for Economic Management (CIEM), saying that the fact that Vietnam is among countries with positive economic recovery in 2022 and in the recovery momentum of the Asian production network will make an important contribution to accelerating foreign investment attraction.

Thargbodee Serng Adichaiwit, deputy chair of the Thai Chamber of Commerce and Industry, said that Vietnam's economic growth can double in 2022 compared to that of this year, thus making Thai investors pour more capital in Vietnam in the time to come.

Many Thai businesses want to invest in Vietnam when the pandemic is under better control. They have faith in Vietnam due to its large consumer market and commitments to improve its business climate, he stated.

Foreign Direct Investment (FDI) registered in Vietnam reached US$26.46 billion as of November 20, up 0.1 percent year on year, according to the Ministry of Planning and Investment. Notably, the total additional registered capital stood at over US$8 billion, an annual rise of 26.7 percent.

During the period, US$14.1 billion was poured into 1,577 newly-licensed projects, up 3.76 percent in value but down 31.8 percent in volume over the same period last year.

The remaining investment capital was used for capital contribution and share purchases in a total 3,466 transactions.

Foreign investors landed investments in 18 sectors, with processing and manufacturing absorbing the largest amount of capital (over US$14 billion or 53 percent), followed by power generation and distribution (over US$5.7 billion), real estate (US$2.41 billion), and wholesale and retail sale (US$1.27 billion).

It is estimated that in the last month of the year, several billion USD in FDI will be added to Vietnam's total investment attraction this year.