Vietnam continues to represent safe and attractive destination for investors

Foreign investment in the country has rebounded in recent times, with the Mekong Delta province of Long An being officially granted the investment registration certificate for LNG Long An I and II Gas Power Project after receiving investment from VinaCapital GS Energy Pte Ltd of Singapore.

The project features a capacity of 3,000 MW, including two combined cycle gas turbine plants that possess a capacity of 1,500 MW each, with registered investment capital totaling a figure of US$3.1 billion.

This comes after a sum of US$1.31 billion was previously invested in the O Mon II thermal power plant by a group of Japanese financiers.

According to data released by the Foreign Investment Agency under the Ministry of Planning and Investment, since March 20 the country has attracted US$10.13 billion worth of foreign direct investment, representing an annual increase of 18.5%.

Furthermore, newly-registered capital and additional increased capital has recorded sharp rises of 30.6% and 97.5% to US$7.2 billion and US$2.1 billion, respectively, after witnessing consecutive drops during the course of the initial two months of the year.

Foreign investment disbursement during the first quarter of the year reached US$4.1 billion, up 6.5% in comparison to last year’s corresponding period, thereby signaling that local foreign investment remains on a positive growth trend.

Do Nhat Hoang, director of the Foreign Investment Agency, said foreign-invested enterprises (FIEs) continues to enjoy a recovery whilst maintaining their numerous production and business activities in the post-novel coronavirus (COVID-19) period. Indeed, Vietnam remains a safe and attractive destination that continues to enjoy foreign investors pouring capital into large-scale projects throughout the country.

Hoang noted that the quality of FDI inflows has enjoyed significant improvement, with a growing trend of foreign tech giants injecting capital into the country since the beginning of the year.

Local economists have stated that, aside from two separate billion-dollar projects in the country since the beginning of the year, there remains a number of large-scale projects which will receive foreign investment moving forward.

AT&S Company of Austria has recently unveiled that the firm is seeking a location for investment into a hi-tech project in Vietnam, with total investment capital reaching EUR1.5 billion.

The company's representatives said it will have the final decision on whether or not to establish a Vietnamese factory until mid-April. Elsewhere, Taiwanese electronics giant Foxconn have also revealed that, alongside injecting an additional US$700 million into the country this year, they is poised to intensify investment into the nation in the time ahead.