The second foreign investment exhibition in Vietnam was organised from November 2-6, 2005 at the Giang Vo Fair and Exhibition Centre, Hanoi. This was an opportunity for foreign investors to learn about the Vietnamese investment environment and a favourable condition for Vietnam to promote its foreign investment attraction. According to Deputy Minister of Planning and Investment Nguyen Bich Dat, Vietnam is expected to attract US$5.4 million in foreign direct investment (FDI) in 2005.
Vietnam’s foreign investment inflow has seen a sharp increase. Possibly, Vietnam will attract US$5.4 billion in 2005. Which figure is Vietnam expected to attract in 2006?
Before 2003, it was possible to say that foreign investment in Vietnam saw signs of recovery. Since 2003, foreign investment has seen a sharp increase. In 2004, Vietnam has attracted US$4.6 billion. This year’s figure may reach US$5.4 billion. The figure was calculated based on existing projects, let alone figures released by localities. This year’s figure may be the highest in several years. With such a momentum, next year’s foreign investment attraction may see a sharper rise. An estimated figure is US$5.5 billion. We hope that with a new investment environment, featuring the Common Investment Law and the Unified Enterprises Law and Vietnam’s accession to the World Trade Organisation (WTO), next year Vietnam’s foreign investment inflow will increase sharply.
With optimistic signs, do you think the estimated figure of US$5.5 billion for 2006 remains too modest?
Despite favourable conditions, it remains impossible to be sure about the figure as many projects are waiting for ideas from ministries and agencies while many other projects are still being negotiated. Some projects are facing obstacles. Also, we have to think of whether the projects are implemented in 2005, 2006 or some years later. This is an initial figure. We are seeing an increase in foreign investment inflow into Vietnam and we are striving for a higher increase. In fact, we cannot count money in investors’ pocket when they want to invest in Vietnam. We’ll have to wait for concrete figures.
Foreign investment in services remains modest. Do you think the sector will become more attractive to foreign investors in the coming time?
That is correct.Foreign investors have invested in services in recent years, mainly in tourism, hotel, and telecommunication. In the coming time, alongside results negotiating Vietnam’s accession to the WTO, Vietnam will gradually open the door for services, so the sector will become attractive to foreign investors.
Reported by Kim Phuong
Vietnamese
