Vietnam - Asia 2023 Smart City Summit Hanoi celebrates 15 years of administrative boundary adjustment 12th Vietnam-France decentrialized cooperation conference 31st Sea Games - Vietnam 2021 Covid-19 Pandemic
Home / Economy / Industry
PM clarifies Vietnam’s attraction to foreign investors
Ngoc Thuy 16:45, 2021/11/12
Foreign direct investment (FDI) would help create breakthroughs for the country to move forward, especially in terms of capital, technology, corporate governance, and human resources training.

Political stability and the Vietnamese people are the two main reasons drawing foreign investors, especially multinationals to the country.

 Prime Minister Pham Minh Chinh at the session. Source: VGP

Prime Minister Pham Minh Chinh made the view during a National Assembly discussion session held today [November 12].

“A stable political environment would persuade foreign investors to commit long-term in Vietnam, which is particularly important for those planning large-scale investment projects,” Chinh said.

The second factor, Chinh said, comes from the Vietnamese people. “In addition to being hard-working and supportive to each other, Vietnamese people are known for their creativity and flexibility,” Chinh continued.

In this regard, Chinh said the international community welcomed Vietnam’s approach of putting the people at the center of its Covid-19 response.

“It is for the benefits of the people that Vietnam would not sacrifice social equality,  social progress, and environment for pure economic growth,” he stressed.

While Vietnam has identified domestic resources as the key factor for growth, Chinh noted the foreign direct investment (FDI) would help create breakthroughs for the country to move forward, especially in terms of capital, technology, corporate governance, and human resources training.

Vietnam attracted over US$23.7 billion in FDI commitments in the first 10 months of 2021, up 1.1% year-on-year, including 1,375 fresh projects with registered capital of over $13 billion.

Meanwhile, the disbursed FDI amount was estimated at $15.15 billion during the period, down 4.1% year-on-year. Out of 97 countries and territories having investment projects in Vietnam, Singapore led the pack with $6.77 billion, followed by South Korea ($4.15 billion) and Japan ($3.4 billion).

Covid-19 response fund under consideration

As the Covid-19 pandemic has wreaked havoc on the local economy for most of the year, Chinh stressed the priority for Vietnam to soon issue a comprehensive economic recovery plan during the last two months of 2021.

“The first priority in such a plan should be to enhance the public health capabilities, including preventive healthcare and medical facilities at grassroots levels,” Chinh said.

Chinh also mentioned the possibility of setting up a Covid-19 response fund and a social welfare fund with more streamlined administrative procedures compared to current social funds.

The prime minister pointed out the necessity to focus on the people in any social relief package, saying the people are the most valuable resources for any country.

Meanwhile, Chinh noted small and medium enterprises (SMEs), accounting for over 90% of the total number of enterprises in Vietnam, are still struggling with the Covid-19 impacts.

Chinh requested Government agencies to draft more support policies for SMEs, but at the same time acknowledged the difficulties in balancing between economic growth and efforts to control inflation and stabilizing macro-economic conditions.

“Another solution for the economy is non-financial support packages, which are administrative reform and solutions to create a favorable platform for businesses and people to recover,” he concluded.

TAG: Vietnam FDI foreign investors National Assembly Covid-19 pandemic economic recovery
Other news
16:17, 2023/12/08
Vietnam launches first-ever digitalization toolkit for manufacturing and supporting industries
This toolkit is unique in Vietnam, featuring a pillar dedicated to assessing enterprises' digitalization of their green transition and adopting environmentally friendly business practices.
14:43, 2023/12/08
Vietnam emerges as most attractive destination for US semi-conductor investors
The US is experiencing a shortage of semiconductor talent, and since the outbreak of Covid-19, Vietnamese human resources have played a crucial role in alleviating this deficit.
07:06, 2023/12/08
Agreement inked to boost electronics manufacturing in Hanoi
Chinese investors have poured nearly $4 billion into Vietnam in January-November 2023.
11:52, 2023/12/05
Hanoi Grand Sale 2023: Over 12,000 promotions worth US$1 billion
Hanoi's retail sales of consumer goods and services reached VND567.5 trillion (US$23.4 billion) in the first 10 months of 2023, up 28.8% year-on-year.
19:33, 2023/12/03
Vietnam emerges as a strategic location for tech giants
Building high-quality data centers is currently one of the key focuses of Vietnam's digital transformation, in line with its strategy to develop a digital economy and a digital nation.
17:29, 2023/12/03
Vietnamese youth trained to raise community awareness of online safety
Vietnam Youth Federation and Google empower youths with digital transformation skills.