In the first seven months of this year Hong Kong companies invested $5.44 billion USD into Vietnam, becoming the largest source of foreign direct investment into the country.
According to a report from the Ministry of Planning and Investment’s Foreign Investment Agency, between January 1 ~ July 31, the following countries were the leaders in Vietnamese inbound investment:
|1.||Hong Kong||$5.44 billion USD|
|2.||South Korea||$3.13 billion USD|
|3.||China – Mainland||$2.45 billion USD|
|4.||Singapore||$2.29 billion USD|
|5.||Japan||$2.25 billion USD|
In total, international investors made $20.2 billion USD in new investments into Vietnam in the seven-month period. This was a decrease of 13.5% compared to the same period in 2018.
A breakdown of the $20.2 billion USD in new investment:
• $8.27 billion USD came from 2,064 newly licensed projects
• $3.42 billion USD came from 781 existing projects raising their capital
• $8.52 billion USD was for acquisition of shares in Vietnamese companies
Despite the reduction in new investment, disbursement of FDI saw a positive increase of 7% to $10.6 billion when compared to the same period in 2018.
Investments were made into the following sectors:
|Manufacturing & Processing||$14.46 billion USD – 71.5% of total FDI|
|Real estate||$1.47 billion USD – 7.3% of total FDI|
|Wholesale, retail, car and motorbikes||$1.09 billion USD – 5.4% of total FDI|
|Science & technology||$930 million USD – 4.5% of total FDI|
Top FDI localities:
|1.||Hanoi||$4.85 billion USD|
|2.||Ho Chi Minh City||$3.54 billion USD|
|3.||Binh Duong||$1.73 billion USD|
|4.||Dong Nai||$1.43 billion USD|
Bao Viet Securities Company (BVSC) has predicted that the there will be $22 billion USD of new investments into the country by the end of this year, which will be a 13 ~ 15% increase over 2018. BVSC analysts said that continuing investment would come from China (mainland), Hong Kong, South Korea and Taiwan.