FDI capital hit $20 billion in six months

By An Nhien - Jun 28, 2018 | 11:01 AM GMT+7

TheLEADERThe total amount of foreign investment capital including new registration, increase adjustment and contribution for shares purchase deals reached $20.33 billion, an increase of 5.7 per cent compared to the same period in 2017, based on the latest report of the Foreign Investment Agency (FIA).

FDI capital hit $20 billion in six months
Laguna Lang Co Resort has just been licensed to increase its investment capital by $1.12 billion in casino services

The disbursed capital of FDI projects as of June 20 was estimated to reach at $8.37 billion, an increase of 8.4 per cent over the same period in 2017.

In the first six months of 2018, FDI exports including crude oil reached $80.86 billion, a growth of 14.8 per cent over the same period last year and accounted for 71 per cent of export turnover.

Exports excluding crude oil reached $79.84 billion, an increase of 15.8 per cent over the same period last year and accounted for 70.1 per cent of export turnover.

The imports of the FDI sector was $65.21 billion, a growth of 8.1 per cent over the same period in 2017 and accounted for roundly 58.6 per cent of import turnover. 

The FDI sector's trade surplus including crude oil exceeded $15.65 billion and $14.63 billion excluding crude oil.

Nationally, in the first half of 2018, a total of 1,366 new projects have been granted with certificates of investment registration with the total newly registered capital of $11.8 billion, an equivalent to 99.7 per cent compared to the same period last year. 

Additionally, there were 507 projects registered for investment capital adjustment with total registered capital increase of $4.43 billion, an equivalent to 86.2 per cent over the same period in 2017.

A number of major projects have been granted investment registration certificates in the first six months of 2018.

For instance, the Lotte Mall in Hanoi city, with a registered capital of $600 million; Smart City Project in Hai Boi and Vinh Ngoc communes, Dong Anh district, Hanoi city with a total investment capital of $4.138 billion; Polypropylene production factory (PP) and Liquefied Petroleum Gas (LPG) Warehouse in Vietnam invested by Korea based HYOSUNG CORPORATION with total registered capital of $1.201 billion; the project of Laguna (Vietnam) Co., Ltd. also approved to increase their investment capital by $1.12 billion.

Additionnally, project of LG Innotek Hai Phong factory (Korea) with the objective of manufacturing modular camera also wished to increase investment capital by $501 million.

In the first 6 months of 2018, the country has had 2,749 turns of capital contribution and share purchase of foreign investors with total contributed capital of $4.1 billion, an increase of 82.4 per cent over the same period of 2017.

In terms of investment fields, foreign investors have invested in 17 industries, in which the manufacturing sector is the most attractive area for foreign investors, followed by real estate industry and then wholesale and retail industry.

With regard to investment partners, 87 countries and territories have investment projects in Vietnam, of which Japan has the biggist number of investment projects in Vietnam followed by South Korea and Singapore.

In respect of investment areas, foreign investors have invested in 55 provinces and cities, of which Hanoi attracts the most FDI, followed by Ho Chi Minh City and Ba Ria - Vung Tau province.

At present, FDI sector has made an increasingly important contribution to the socio-economic development of Vietnam. In particular, FDI firms always account for around 25 per cent of total social investment capital, contributing more than 20 per cent to the GDP.

FDI is also a budget-paying sector, accounting for a high proportion of total revenue and constituting a large and growing portion of Vietnam's total export turnover at about 71 per cent.