FDI – bright spot of Vietnam’s economy amid COVID-19
The Vietnam Association of Foreign Invested Enterprises (VAFIE) released an annual report on foreign investment in Vietnam last year at a meeting in Hanoi on May 10.
Hanoi (VNA) – The Vietnam Association ofForeign Invested Enterprises (VAFIE) released an annual report on foreign investment in Vietnam last year at a meeting in Hanoi on May 10.
The report was made with the cooperation of KPMGVietnam that provides independent audit services and the support of the ForeignInvestment Agency under the Ministry of Planning and Investment, Fiin Group andsome economists, according to VAFIE Vice President Nguyen Anh Tuan.
The 250-page report, in both Vietnamese and English,is expected to be useful for policy-making agencies, research and traininginstitutions, FDI firms and international investors, he said.
VAFIE President Nguyen Mai said foreign investment is the silver lining inVietnam's economic picture amid the adverse impacts of the COVID-19 pandemic on the national andglobal economy.
He, however, pointed out outstanding problems during the attractionand use of FDI such as the modest number of high-tech projects from the US andEurope. Besides, contributions to the State budget of many FDI enterprises did not match their investment scale and the incentives they are entitled to. The structure of FDI in terms of regions and localities remains unbalanced, and too few businesses established research and development (R&D)centres.
Noting that the Politburo issued Resolution No. 50-NQ/TW datedAugust 20, 2019 on orientations to consolidate institutions and policies inorder to raise the quality and efficiency of foreign investment by 2030, Mai said the VAFIE realised the need for a report on FDI in Vietnam, hence the release of the report.
According to VAFIE, since the National Assembly passed theLaw on Foreign Investment in Vietnam in 1987, the foreign-invested economicsector has continuously developed, significantly contributing to nationaleconomic growth and growth model reform towards industrialisation and modernisation,accelerating Vietnam’s international economic integration and improving itsposition in the world.
The FDI sector now accounts for around 25 percent oftotal social investment, 55 percent of total industrial production valuein Vietnam, and more than 70 percent of the country’s export revenue.
It has generated direct jobs for 4.6 millionpeople or more than 7 percent of the country’s workforce, and indirectly createdjobs for millions of others./.
Foreign direct investment (FDI) flowing into the southern province of Binh Duong neared 1.8 billion USD in the first four months of this year, four times higher than in 2021.
The inflow of foreign direct investment into Vietnam hit 10.8 billion USD in January - April period, according to the Ministry of Planning and Investment
Vietnam attracted over 10.8 billion USD of foreign direct investment (FDI) in the first four months of this year, equivalent to 88 percent of the amount recorded in the same period last year, according to the Ministry of Planning and Investment.
Under a draft to amend and supplement the Government's Decree 125/2020/ND-CP on administrative sanctions for violations of tax and invoice regulations, the Ministry of Finance has proposed classifying the failure to issue invoices into five different levels. Infraction levels will correspond to fines of 1 million VND to 80 million VND, depending on the nature and number of invoicing violations.
A new airline developed and invested by Sun Group — has officially announced a strategic partnership with Amadeus IT Group (Amadeus), one of the world’s leading travel technology companies. This agreement not only lays the foundation for a modern digital infrastructure but also marks a pivotal step in SPA’s global expansion strategy, enabling the airline to access international distribution networks and reach customers worldwide.
Of the total, 107,700 were new firms, with combined registered capital of 928.4 trillion VND (35.4 billion USD), up 10.6% in number and 5.5% in capital compared with the same period last year.
Experts agree that a combination of technology, enforcement, education and cross-border cooperation is essential to protect copyrighted content in Vietnam’s growing digital ecosystem.
Poland is Vietnam’s largest export market in Central and Eastern Europe, with key staples including seafood, textiles, footwear, coffee, and cashew nuts.
Cashless payments are growing at an impressive rate, averaging 30–40% annually. Vietnam’s per capita cashless transaction volume now trails only China, with total value of 295.2 quadrillion VND (11.26 trillion USD), or 26 times of its GDP.
A draft resolution on piloting a digital asset and cryptocurrency market is being developed, aiming to create a broad-enough regulatory sandbox that enables investor participation and provides practical grounds for policy refinement in areas such as risk management and anti-money laundering.
Viettel was ranked third for overall mobile performance with a score of 82.56 just behind UEA’s e& (88.05) and Quatar’s Ooredoo (87.05) and ahead of Singapore’s Singtel (82.53). Vinaphone took second in 5G speed with a score of 78.11, trailing only behind e&.
PM Chinh proposed MUFG work closely with the Ministry of Finance to improve legal frameworks and support the establishment and operation of the international financial centre in Da Nang and Ho Chi Minh City.
The Prime Minister emphasised the significance of maintaining macroeconomic stability, controlling inflation, promoting growth, and improving the harmony between monetary and fiscal policies.
Petrovietnam will step up the development of new products and the expansion of international markets to reduce reliance on the domestic market. It also plans to optimise capital use, manage cash flow and costs, streamline operations, and enhance workforce quality to achieve its 2025 goals.
Vietnam has so far attracted 43,346 valid FDI projects with a total registered capital of 517.14 billion USD. The accumulated disbursed capital is estimated at nearly 331.46 billion USD, accounting for 64.6% of the total registered capital.
More than a product showcase, Vietfood & Beverage – Propack Vietnam 2025 is designed as a comprehensive ecosystem where businesses, experts, and consumers can share knowledge, explore technologies, and connect for collaboration.
Both sides expressed their hope that the outcomes of the discussion will continue to improve the efficiency of customs clearance activities at the customs clearance points and dedicated transport routes of the Huu Nghi – Youyi Guan international border gate pair.
The maximum retail price of E5 RON92 petrol has increased by 207 VND to 19,608 VND (0.75 USD) per litre while that of RON95-III rose by 234 VND to 20,074 VND per litre.
At the meeting to release the report (Photo: VNA) 
