Vietnam Invests Over US$500 Million Abroad in 2019

9:44:28 AM | 30/12/2019

Vietnamese companies registered to invest more than US$508.14 million in foreign countries in 2019, said the Foreign Investment Agency (FIA) under the Ministry of Planning and Investment. They particularly registered to bring US$154.6 million to Australia.

They registered to invest US$403.15 million in 164 new projects in the year and planned to invest an additional US$105 million in 29 existing projects.

By sector, the wholesaling and retailing sector took the lead in Vietnam’s offshore investment with US$121.6 million, accounting for 23.9% of total investment fund. Agriculture, forestry and fishery ranked second, with US$86.1 million, accounting for 16.9% of the total investment value, followed by professional and scientific activities with US$70.1 million, or 13.8% of the total value.

By location, instead of investing in popular markets like Laos and Cambodia, Vietnamese businesses actively sought and invested in new markets. Among 32 invested destinations this year, Australia was the biggest recipient of Vietnamese investment of US$154.6 million, accounting for 30.4% of Vietnam's total offshore investment value.

TH Group invested over US$88.5 million in two projects in Australia. TH Milk Food Joint Stock Company registered to invest US$46.5 million in rearing cows, growing cotton, sunflower and maize, and developing farm tourism. Besides, Da Lat Dairy Products Joint Stock Company, also owned by TH Group, registered to spend US$42 million raising cows, improving farm productivity and capacity to increase profitability, plant and process mango juice and extract premium essence from sandalwood.

2019 is a particularly successful year for TH Group as it has constantly received positive signals. In October 2019, the group announced the export of Vietnam's first batch of dairy products to China under a protocol signed between the Ministry of Agriculture and Rural Development of Vietnam and the General Administration of Customs of China on April 26, 2019. Accordingly, TH Milk Joint Stock Company was the first to be granted license by the General Administration of Customs of China to export two dairy products (pure sterilized fresh milk and flavored sterilized fresh milk).

TH Group's founder, Madam Thai Huong said, exporting Vietnam's first batch of dairy products to China marked a particularly important milestone for Vietnam's agriculture sector in an effort to boost agricultural exports. This was also an important milestone for Vietnam's dairy industry.

IMG Investment Joint Stock Company and ADPG Development Investment Joint Stock Company also registered to pour US$38 million to build houses for sale and for rent in Australia. The United States was the second biggest recipient of Vietnam’s offshore investment with US$93.4 million, accounting for 18.4% of the total, followed by Cambodia, Spain, Singapore and Canada. Many corporations have invested over US$1 billion abroad, including Vietnam Oil and Gas Group (PetroVietnam), Viettel Group and Hoang Anh - Gia Lai Group Joint Stock Company.

According to economic experts, offshore investment is the result of offshore investment support policies of the Government aimed to power Vietnamese companies to expand investment and business activities, improve their competitiveness, enhance their international integration and seize opportunities for development.

Le Hien