Business
FDI disbursement in 2016 to surpass last year's record
The disbursement of foreign direct investment (FDI) last year reached a record level with 14.5 billion USD. This achievement is expected to reiterate in 2016.
Early promising signs are expected that Vietnam will continue to have a successful year in attracting FDI, especially the disbursement of this capital flow.
According to the latest statistics from the Ministry of Planning and Investment’s Foreign Investment Agency, January 2016 witnessed a 23% jump on-year in disbursed FDI volumes, to 800 million USD.
As reported by the Ministry of Planning and Investment, FDI disbursement in 2015 reached 14.5 billion USD, up 17.4% compared to 2014.
It is a disbursed-FDI record which Vietnam has never achieved, Minister Planning and Investment Bui Quang Vinh said.
In the previous years, the FDI disbursement reached only around 11-12 billion USD yearly, he added.
FDI is forecast to continue pouring into Vietnam this year, when a series of free trade agreements (FTA) take effect. Especially the Trans Pacific Partnership Agreement (TPP) signed early February 2016 is expected to contribute increasing FDI disbursements in 2016.
Early promising signs showed that in 2016 Vietnam will continue to make a successful year in attracting FDI, especially the disbursement of this capital flow.
In cities and provinces nationwide, a slew of FDI projects are being launched or are reporting an accelerated pace of construction. For instance, at the end of January this year, Schneider Electric, a global specialist in energy management and automation, began construction on the first phase of its new plant in HCM City’s Saigon Hi-tech Park (SHTP).
The company is contemplating turning the 45 million USD-plant into one of its major manufacturing bases in the Asia-Pacific region.
Other sizable FDI projects are expected to start construction this year, including the US$4 billion South Hoi An resort complex in the central province of Quang Nam, and the US$3.2 billion Vung Ro oil refinery in the central province of Phu Yen.
2015’s FDI disbursement record was attributed to the execution of raft of large-scale projects, most notably the US$10.5 billion Taiwan-backed Formosa Ha Tinh iron and steel complex, and the Samsung Electronics Vietnam Thai Nguyen hi-tech complex (SEVT) project.
Formasa increased its construction and equipment import last year to be able to roll out the first batch of hot-rolled coil on December 25, 2015, marking the start of operation for Vietnam’s largest FDI project to date.
Meanwhile, Samsung, after investing additional 3 billion USD into its hi-tech manufacturing complex in Thai Nguyen province in late November 2014, quickly built new workshops and imported equipment to begin production of its metal-frame smartphones in Vietnam in 2015’s first quarter.
According to the latest statistics from the Ministry of Planning and Investment’s Foreign Investment Agency, January 2016 witnessed a 23% jump on-year in disbursed FDI volumes, to 800 million USD.
As reported by the Ministry of Planning and Investment, FDI disbursement in 2015 reached 14.5 billion USD, up 17.4% compared to 2014.
It is a disbursed-FDI record which Vietnam has never achieved, Minister Planning and Investment Bui Quang Vinh said.
In the previous years, the FDI disbursement reached only around 11-12 billion USD yearly, he added.
FDI is forecast to continue pouring into Vietnam this year, when a series of free trade agreements (FTA) take effect. Especially the Trans Pacific Partnership Agreement (TPP) signed early February 2016 is expected to contribute increasing FDI disbursements in 2016.
Early promising signs showed that in 2016 Vietnam will continue to make a successful year in attracting FDI, especially the disbursement of this capital flow.
In cities and provinces nationwide, a slew of FDI projects are being launched or are reporting an accelerated pace of construction. For instance, at the end of January this year, Schneider Electric, a global specialist in energy management and automation, began construction on the first phase of its new plant in HCM City’s Saigon Hi-tech Park (SHTP).
The company is contemplating turning the 45 million USD-plant into one of its major manufacturing bases in the Asia-Pacific region.
A corner of the US$10.5 billion Taiwan-backed Formosa Ha Tinh iron and steel complex.
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2015’s FDI disbursement record was attributed to the execution of raft of large-scale projects, most notably the US$10.5 billion Taiwan-backed Formosa Ha Tinh iron and steel complex, and the Samsung Electronics Vietnam Thai Nguyen hi-tech complex (SEVT) project.
Formasa increased its construction and equipment import last year to be able to roll out the first batch of hot-rolled coil on December 25, 2015, marking the start of operation for Vietnam’s largest FDI project to date.
Meanwhile, Samsung, after investing additional 3 billion USD into its hi-tech manufacturing complex in Thai Nguyen province in late November 2014, quickly built new workshops and imported equipment to begin production of its metal-frame smartphones in Vietnam in 2015’s first quarter.
