Spanish companies are keen on investing in urban infrastructure, urban transport, water supply and treatment, tourism, and food and foodstuff processing projects in Vietnam in the next five years, according to President of Spanish Firm Organizations Federation Jose Maria Cuevas.
The European nation’s investors also want to provide technology to Vietnam, as well as help develop small and medium enterprises in Vietnam, he said.
Jose Maria Cuevas headed a delegation of 30 Spanish firms and associations, which accompanied King Juan Carlos and Queen Sofia on a tour of Vietnam from Feb 20-21.
The president said at the Vietnam-Spain Business Forum held in Hanoi on Feb 21 that Spanish investors now have plans to expand operation in Vietnam, the second largest market in the Southeast Asia region after Indonesia.
Spanish firms can help Vietnam in hotel management and training and resorts, and also cooperate with Vietnam in financial and legal issues.
After working with the Vietnam National Administration of Tourism (VNAT), Medium Hotels group of Spain revealed that it plans to build a five-star hotel in Vietnam with total investment of US$12-30 million to welcome Spanish tourists.
In the cause of industrialization and modernization, Vietnam has a huge demand for machinery, equipment, and materials, which are seen as Spain’s advantages, for national development.
Vietnam has attractive policies for foreign investment attraction such as the one-price policy, preferential tax, and equality treatment for local and foreign firms. The country is on the way to integrating into the global economy, and in talks with Japan, China, and India for free trade agreements. Due to its political stability and high economic growth, Vietnam is now very attractive to foreign investors.
Spain has invested in five projects in Vietnam to date with the total registered capital of over US$6.8 million, ranking 13th among 16 EU investors and 57th among countries and territories investing in Vietnam, according to the Vietnamese Ministry of Planning and Investment.
Two-way trade between Vietnam and Spain rose to nearly US$500 million in 2005 from US$200 million in 2001. Spanish exports to Vietnam were mostly chemicals, steel, electrical equipment, machinery, and pharmaceuticals, while Vietnam exported to Spain footwear, garments and textiles, coffee, furniture, and seafood.
Vietnam Economic Times, Liberated Saigon
Vietnamese
