Ministry: Vietnam Sees Sharp Drop in Registered FDI in November

Vietnam had licensed US$726 million of FDI projects in Nov, much lower than US$2.02 billion in Oct, which raised concerns over shrinking FDI capital inflows in coming months due to the financial tsunami, the Ministry of Planning and Investment’s Foreign Investment Agency (FIA) said.

 

Speaking about FDI attraction outlook for 2009, FIA Head Phan Huu Thang said it will be hard job to attract US$30 billion next year.

 

In the difficult context, to maintain Vietnam’s image as a cherished investment destination and removing foreign investors’ constraints will be very important to keep the set target possibly afloat, Phuc said.

 

FIA also said expanded FDI capital dropped to US$2.6 billion in 2007 from US$2.9 billion in 2006 and many foreign investors have chosen registering new investment projects in Vietnam instead of expanding existing projects because of simpler and more transparent registering procedures.

 

In Jan-Nov, Vietnam licensed US$59 billion FDI projects and disbursed US$10 billion.

 

Foreign-invested companies reportedly exported US$23 billion of goods in the first eleven months this year, up 31 per cent on year and accounting for 40 per cent of Vietnam’s total exports revenue this year. (Vietnamnet)