Hanoi (VNS/VNA) - Vietnam reached more than 14 billion USD in foreigndirect investment (FDI) in the first six months of 2022, announced the Ministryof Planning and Investment (MPI).

The ministry’s data showed that as of June 20, 2022, the total newly registeredcapital, adjusted and contributed capital to buy shares, buy contributed capitalof foreign investors reached 14.03 billion USD, as much as 91.1% over the sameperiod in 2021.

Of which, 752 new projects were granted investment registration certificates,down 6.5% compared to the same period, with a total registered capital of over 4.94billion USD, down 48.2% over the same period.

In addition, there were 487 projects registering to adjust their investmentcapital, up 5.9% over the same period, with the total additional registeredcapital reaching nearly 6.82 billion USD, up 65.6% compared to the same periodlast year.

There were also 1,707 capital contributions and share purchases by foreigninvestors in the first half, down 8% over the same period, with the total valueof contributed capital reaching over 2.27 billion USD, up 41.4% over the sameperiod last year.

The ministry’s Foreign Investment Agency said that although newly registeredcapital has not fully recovered after the interruption of anti-pandemicmeasures in 2021, adjusted capital, capital contribution and share purchaseshave continued to increase sharply at 65.6% and 41.4% respectively.

The Foreign Investment Agency said though adjusted capital decreased in Marchand May, the remaining months increased sharply with an increase ranging from90% to nearly 4.7 times compared to the same months of 2021.

In the first six months of 2022, foreign investors poured funds into 18industries out of a total of 21 national economic sectors. Of which, theprocessing and manufacturing industry continued to lead with a total investmentof nearly 8.84 billion USD, accounting for nearly 63% of the total registeredinvestment capital. The real estate sector ranked second with total investmentcapital of more than 3.15 billion USD, accounting for 22.5% of total registeredinvestment capital.

Next came information and communication industries, scientific andtechnological activities with total registered capital of nearly 442.6 million USDand 408.5 million USD respectively.

However, in terms of the number of new projects, wholesale, retail, processing,manufacturing and scientific and technological professional activities were theindustries that attracted the most projects, accounting for 30.1%, 25.4% and16.5% of the total projects, respectively.

Regarding investment partners, 84 countries and territories invested in Vietnamin the first six months of this year. Among which, Singapore led with a total investmentcapital of more than 4.1 billion USD, accounting for 29.5% of total investmentcapital in Vietnam. The Republic of Korea ranked second with over 2.66 billion USD,accounting for nearly 19% of total investment capital.

By investment location, foreign investors invested in 49 provinces and citiesacross the country in the first six months of 2022. Binh Duong led the way witha total registered investment capital of more than 2.53 billion USD, accountingfor 18% of total registered investment capital and up 98.2% over the sameperiod in 2021. Ho Chi Minh City ranked second with a total investment capitalof more than 2.2 billion USD, accounting for 15.8% of the total capital, up55.2% over the same period.

According to the Foreign Investment Agency, realised investment capital offoreign investment projects in the first six months of 2022 increased by 8.9%compared to the same period in 2021. That shows that enterprises are constantlyrecovering, maintaining and expanding production and business activities.

Accumulated to June 20, 2022, the whole country has 35,184 valid projects witha total registered capital of over 427.97 billion USD. The accumulated realisedcapital of foreign investment projects is estimated at nearly 261.66 billionUSD, equaling 61.1% of the total valid registered investment capital.

A representative of the Foreign Investment Agency further said: "TheRussia-Ukraine conflict does not have a significant direct impact on foreigninvestment in Vietnam because the investment of Russia and Ukraine onlyaccounts for a small proportion of the total investment capital, accounting for0.23% of total investment capital, but has an indirect effect through highprices and causes supply chain disruptions."

However, in the medium and long term, the conflict could lead to a trend ofshifting investment out of Russia and Ukraine to Asian countries. Vietnam canalso benefit from this shift in investment capital. However, this trend is notyet clear./.