Vietnam: Second Most Attractive Area for Japanese Investors

Small and medium Japanese investors are now considering Vietnam as the world’s second most attractive destination for investment following China, according to Mikio Takeuchi from the International Financial Center of Japan.

 

Takeuchi told a conference, with the theme “Japan – Promising Market and Investment Partner of Vietnam” held by the Vietnam Chamber of Commerce and Industry (VCCI) in Hanoi recently, that the advantages of investing in Vietnam are the result of low production costs, a quality low-cost work force, political stability, and the country’s important position in the region.

 

Earlier, a poll conducted by the Japan External Trade Organization (Jetro) pointed out fives reasons why Japanese firms want to invest in Vietnam, including geographical advantage as Vietnam connects with China and ASEAN, Vietnam’s political stability, low wages for workers, local workers’ hardworking effort, and hospitality shown to Japanese investors by Vietnamese.

 

At a symposium on investment in Vietnam held in Tokyo yesterday by the Vietnamese Ministry of Planning and Investment and the ASEAN-Japan Center, Deputy Minister of Planning and Investment Nguyen Bich Dat said the Vietnamese government is perfecting its legal system, promoting human resources training, and constantly upgrading infrastructure so foreign investors can enjoy the best conditions for their operation.

 

Vietnam and Japan signed an agreement on liberalization, encouragement and protection of investment and creating an important legal basis ensuring Japanese investors' operation in Vietnam.

 

Japan now stands third among countries investing in Vietnam and is leading in terms of foreign direct investment (FDI) in the country. It has to date invested around US$6.22 billion in 591 projects in Vietnam. Japan is also Vietnam's biggest provider of official development assistance (ODA).
Labourer, VNA