The Situation of Foreign Investment in Vietnam
According to the latest report of the Ministry of Planning and Investment of Vietnam, as of October 20, 2020, the total amount of newly registered capital, adjustment and capital increase and shares purchased by foreign investors amounted to US$23.48 billion, equivalent to 80.6% of the same period of 2019, a decrease of nearly 20%. Reports show that in the first 10 months of this year, 2,100 new projects received investment registration certificates in Vietnam, a year-on-year decrease of 32.1%, with the total registered capital reaching US$11.66 billion, down 9.1% from the same period in 2019. Among the adjusted investment projects, there were 907 adjusted investment projects, a year-on-year decrease of 20.8%. The newly registered capital exceeded US$5.71 billion, up 4.4% year on year. In terms of capital contribution and share purchases, foreign investors' capital contribution and share purchases decreased 27.4% year on year to US$6.11 billion, a decrease of 43.5% year on year. There are 18 fields of foreign investment, among which processing and manufacturing industry ranks the first, with a total investment of US$10.7 billion, accounting for 45.7% of the total investment. The electric power production and distribution ranks second, with a total investment of over US$4.8 billion, accounting for 20.5% of the total registered investment. It is followed by the real estate business, wholesale and retail, with a total registered capital of nearly US$3.5 billion and US$1.4 billion respectively. In addition, according to the Foreign Investment Department of the Ministry of Planning and Investment, 109 countries and regions have invested in Vietnam, of which Singapore ranks first with a total investment of US$7.51 billion, accounting for 9% of Vietnam's total investment. South Korea came in second with US$3.42 billion, or 14.6% of total investment. China ranked third, with a registered capital of US$2.17 billion, accounting for 9.2% of the total invested capital. It is followed by Japan, Thailand and so on. In terms of the number of new projects, South Korea ranked first with 528, China second with 294, Japan third with 226 and Hong Kong fourth with 164.