Foreign Direct Investment into Vietnam Continues To Grow

Foreign Direct Investment into Vietnam Continues To Grow

Foreign direct investment (FDI) in Vietnam jumped by nearly 10 percent
in the first two months of 2019, according to data from Vietnam’s Ministry
of Planning and Investment.

In January and February 2019, Vietnam received a total of US$2.58 billion
in FDI, a rise by 9.8 percent compared to the same period of 2018.

FDI pledges, or commitments for future investments, surged to US$8.47
billion in January and February 2019—this sum is 2.5 times higher than
investment pledges in the first two months of 2018.

A total of 81.8 percent of FDI pledges in January-February this year were
commitments for investment in the manufacturing and processing sectors,
according to Vietnam’s Ministry of Planning and Investment.

For full 2018, FDI into Vietnam jumped by 9.1 percent on the year to
US$19.1 billion , ministry data shows.

The processing and manufacturing sectors attracted 46.7 percent of the
total registered investment capital last year.

In 2018, Japan ranked first in terms of total investment capital into
Vietnam, with US$8.59 billion, accounting for 24.2 percent of all
investment, followed by South Korea and Singapore.

In January 2019 alone, foreign direct investment into Vietnam came in at
US$1.55 billion , rising by 9.2 percent compared to January 2018.
Processing and manufacturing again captured the lion’s share of foreign
investment, according to data from the Ministry of Planning and
Investment.

Japan, South Korea, and China ranked first, second, and third,
respectively, in terms of foreign investment in Vietnam’s economy in
January 2019.

According to the Economist Intelligence Unit , real gross domestic product
(GDP) in Vietnam grew by 7.1 percent in 2018. The EIU expects Vietnam’s
economic growth to remain relatively robust between 2019 and 2023 as
Vietnam will continue to be one of the fastest-growing economies in the
Asia-Pacific region.

 

Image Source: Trading Economics