Large-scale projects include Japan’s Nghi Son Oil Refinery and Petrochemical Complex Project in ThanhHoa province and China’s Vinh Tan 1 build-operate-transfer (BOT) coal-fired thermal power plant.

Investment fields of foreigners’ interest are the processing industry, power and water supply, air conditioner production and real estate.

The official operation of Idelmitsu Oil & Gas Co, Ltd, under Japan’s Idemitsu Kosan Co, Ltdat the beginning of the new year hasproved that Vietnam is an attractive destination for foreign investors.

Idelmitsu Oil & Gas Co, Ltd  Director R Yuji Kusakasays that the project’s investment capital comes from Japan’s Idemitsu Kosan and the company selected Vietnam as an investment location because of its great natural resources and abundant young workforce, both of which provide a firm foundation for foreign investors to do business in Vietnam.

A sharp increase in foreign investment has recently accelerated the development in other fields in localities.

Hai Phong is a case in point, attracting the most foreign investment. It has secured investment from 400 foreign businesses from ten major groups namely Bridgestone, Nipro Pharma, Fuji Xerox Posco and LG.

Japan has topped the list of 29 nations and territories investing in Hai Phong city, followed by the Republic of Korea, Taiwan and China.

HaiPhong Municipal People’s Committee Chairman Dan Duc Hiep said that since the Law on Investment took effect, Hai Phong has attracted over US$26 billion from big investors.

In 2014 and the following years, the city hopes to make the best of its advantage to attract even more foreign money.

In the context of capital shortages, foreign investment is a priority trend to restructure the economy and deal with bad debts and large inventories aiming to establish long-term cooperation between banks and businesses.

The MPI said that Vietnam is selecting hi-tech projects with high added value to reduce environmental pollution which has hindered the country from attracting foreign investment.

In addition, poor infrastructure and laborious administrative formalities have made Vietnam’s investment environment less attractive.

Planning and Investment Minister Bui Quang Vinh stressed the need for Vietnam to accelerate economic restructuring.

At present, the Vietnamese Government has re-built projects with the crucial role of the foreign-invested sector, which will bring changes in economic restructuring, develop enterprises with high environmentally friendly technologies and create competitive products in both international and Vietnamese markets.

Foreign investment attraction will help restructure the Vietnamese economy and offer a more competitive environment for Vietnamese businesses.

Economists urge that businesses should devise clear strategies and objectives to attract foreign investment based on incentive policies for such fields as high technology, support industries, infrastructure development and the financial market.