Recent moves and many forecasts show that foreign investment attraction will recover next year, when the Covid-19 epidemic is better controlled.
Welcome the good news in the last days of the year
Statistics on foreign investment attraction in 2021 will take a few days to be officially announced by the Foreign Investment Department (Ministry of Planning and Investment). However, up to this point, it can be affirmed that Vietnam has achieved remarkable results in attracting foreign investment, despite the decline in global investment flows due to the impact of the Covid-19 epidemic. 19.
In 11 months, there was 26.46 billion USD of foreign investment capital registered in Vietnam, including investment capital through capital contribution and share purchase, up slightly by 0.1% over the same period last year. . In the last month of the year, with a few billion more USD registered, the amount of foreign investment in Vietnam this year will not be small.
Moreover, not only numbers, recent movements also show a more positive trend of attracting foreign investment. One of the moves that can be mentioned is the signing of an agreement to invest in a $1 billion project by LEGO Group in Binh Duong province.
Meanwhile, within the framework of the visit to India and Korea by National Assembly Chairman Vuong Dinh Hue, multi-billion dollar cooperation agreements were also signed. For example, Dai An Group, the infrastructure investor of Dai An Industrial Park (Hai Duong), signed a memorandum of understanding on the construction of a $500 million Pharmaceutical Park with Sri Avantika Contractors Ltd., (India).
A member company of Dai An also signed a Memorandum of Understanding with Ramky Enviro Engineers Co., Ltd. to implement waste management projects with investment capital of 150 million USD.
Besides, Saigon Telecommunications Technology Joint Stock Company (SAIGONTEL) and Ecologic Engineering Company (India) signed a cooperation agreement in the fields of infrastructure development, industry and innovation, with the value of investment cost up to 4 billion USD.
Billionaire Prashant Ruia, who owns Essar, a multi-industry corporation with an annual profit of about $2.2 billion, has also expressed his desire to invest in Vietnam, especially in the oil and gas sector.
It is not easy for these cooperation agreements to be realized soon, but that is enough to prove the interest of foreign investors to Vietnam and it also partly reflects the recovering trend of investment inflows. global investment.
According to the Ministry of Planning and Investment, global investment has clearly recovered in recent months, despite the difficulties brought by Covid-19. The foreign investor sentiment index (fDI) in September stood at 939 points (up 27.9% year on year). This is the highest score since November 2019.
In particular, foreign investors continue to focus on projects to develop digital infrastructure and develop the semiconductor field. In addition, the amount of capital invested in fossil fuel projects is also increasing instead of renewable energy, as oil and gas prices increase.
Opportunities for 2022
It will be difficult to make an accurate forecast about the number of foreign investment attraction of Vietnam in 2022, when the uncertain trend of the global economy is still very large, due to the influence of Covid-19. But obviously, along with the recovery trend of the global investment flow, the opportunity opened up for Vietnam is not small.
"Vietnam is gradually reopening its economy, with production and business activities having recovered by nearly 90%. Many factories have planned to increase capacity. We believe this is the economic growth rate. Vietnam's economy could double in 2022." - Mr. Thargbodee Serng Adichaiwit, Vice President of the Thai Chamber of Commerce in Vietnam (ThaiCham).
Mr. Thargbodee Serng Adichaiwit, Vice President of the Thai Chamber of Commerce in Vietnam (ThaiCham) forecast that Vietnam's economy could double next year and this is the reason why Thai investors will continue to invest in Vietnam. continue to invest heavily in Vietnam in the near future.
“As noted by ThaiCham, many Thai businesses want to continue to invest and make new investments in Vietnam when Covid-19 is effectively controlled with a capital amount of up to several billion USD,” said Serng Adichaiwit. .
Mr. Serng Adichaiwit is confident that Thailand is ranked 9th among countries and territories investing large in Vietnam, but in the coming time, it may rise to 5th position.
Meanwhile, according to Mr. Nguyen Anh Duong, Head of General Research Department (Central Institute for Economic Management - CIEM), the fact that Vietnam is in the area of positive economic recovery in 2022, as well as lying in the in the recovery of the Asian production network will make an important contribution to accelerating foreign investment attraction.
“Foreign investors will see opportunities from new-generation free trade agreements, especially RCEP. These agreements will open up new spaces for economic activities. Moreover, when the economy of the whole region recovers, foreign investors can consider and make investment decisions to diversify production bases," Duong said.
In fact, in the past 11 months, foreign investment into Vietnam, including newly and additional capital, has still grown positively. The decrease is mostly in the investment part through capital contribution and share purchase. However, according to KPMG, Vietnam's M&A market will "explode" in 2022. Korean and Japanese investors are all very interested in the Vietnamese market.
For example, Mizuho Bank is willing to spend $170 million to buy a 7.5% stake in M-Service. Meanwhile, many Korean and Thai banks are also expressing their desire to join the financial - banking market in Vietnam.
The trend is clearly very positive…
Nguyen Duc (baodautu.vn)