Vietnam's FDI Inflows Surpass $40 Billion in First Eight Months, Manufacturing Sector Leads

SOCIALIST REPUBLIC OF VIET NAM Government News Kim Loan Meanwhile, FDI disbursement was estimated at US$17.25 billion during the January-August period, an increase of 12 percent year-on-year and the highest eight-month figure recorded over the past five years, the NSO said. Although the number of newly-licensed projects increased by 9.4 percent from the same period last year, their total registered capital soared by 96.8 percent, indicating a significant increase in average project size and stronger investment commitments from the outset. The manufacturing and processing sector remained the largest recipient of newly registered FDI, attracting US$12.15 billion, accounting for 55.9 percent of the total FDI inflows. It was followed by electricity, gas, water supply, and air conditioning production and distribution, which lured US$3.13 billion, or 14.4 percent. Among 73 countries and territories registering new investment projects in Viet Nam during the reviewed period, Singapore ranked first with US$7.62 billion, accounting for 35.1 percent of total newly registered capital. South Korea came second with US$5.67 billion, or 26.1 percent, followed by Hong Kong (China) with US$2.96 billion, mainland China with US$1.93 billion and Japan with US$1.42 billion. Foreign investors also continued to increase capital in existing projects, with 819 projects registering additional capital totaling US$12.21 billion, up 14.7 percent year-on-year. Combining newly registered and additional capital, the manufacturing and processing sector attracted the largest amount with US$20.18 billion, accounting for 59.5 percent of the total. The real estate business sector ranked second with US$5.32 billion, representing 15.7 percent. The NSO also said Viet Nam's total outward investment, including newly registered and additional capital, reached US$2.62 billion in the first eight months, 4.7 times higher than the same period last year. The increase was driven by 113 newly licensed projects with total registered capital of US$1.21 billion, up 2.8 times year on year, and 29 existing projects receiving additional capital of US$1.41 billion, a 10.9-fold increase. Transport and storage emerged as the top domains for outward investment with US$601.7 million, accounting for 23 percent of the total outward investments, followed by energy sector with US$585.8 million. Laos remained the leading destination for Vietnamese investment with US$667.5 million, followed by Cambodia with US$486.5 million. Vietnamese businesses have continued to expand investment into major and promising markets, including India with US$323.9 million and Indonesia with US$313.6 million. These figures reflect the continued expansion of Vietnamese enterprises' overseas investment activities and their growing presence in regional and international markets./. ONLINE NEWSPAPER OF THE GOVERNMENT OF THE SOCIALIST REPUBLIC OF VIET NAM Editor-in-chief: Nguyen Hong Sam License: No. 102/GP-BTTTT dated on April 15, 2024. Head office: No. 16, Le Hong Phong - Ba Dinh - Ha Noi Tel: 080 43162 – 080 48440; Fax: 080 48924 Email: [email protected]