Vietnam seeks support from the Korea Credit Guarantee Fund (KODIT) in helping local businesses further integrate into the global value chains.

State President Nguyen Xuan Phuc (r) and KODIT President Yoon Dae Hee (l). Source: VNA

State President Nguyen Xuan Phuc gave the remarks during a meeting with KODIT’s President Yoon Dae Hee on April 14.

According to Phuc, the fund, one of the world’s largest credit guarantee institutions, could serve as a bridge to promote South Korean investment in Vietnam, especially in priority fields such as IT, smart cities, renewables, transport infrastructure, and supporting industries.

South Korea is currently the largest investor in Vietnam, while bilateral trade turnover is expected to increase to US$100 billion in 2023, and $150 billion by 2030.

“To achieve these goals, South Korean companies would play a key role,” said Phuc, adding the success of South Korean firms in Vietnam is not only the success of Vietnam but also a showcase of the attractiveness of the local business environment.

Phuc added in the three key industrial hubs in the north, namely Bac Ninh, Bac Giang, and Quang Ninh, there are only 600 South Korean companies operating, despite the huge investment potential.

The State President asked the KODIT to look at investment opportunities in these provinces, which would lay the foundation for more South Korean businesses to come to Vietnam, especially to do business in hi-tech fields.

He welcomed the fund’s recent launch of a representative office in Hanoi to aid South Korean companies in Vietnam and strengthen cooperation with Vietnamese authorities in the fields of credit and finance.

Phuc said the country gives priority to all South Korean companies regardless of their sizes, as they are the basis for the supporting industries and the source of innovation, which are in line with Vietnam’s vision for development.

For his part, KODIT President Yoon Dae Hee expressed his delight in visiting Vietnam at a time when both countries are celebrating the 30^th anniversary of diplomatic relations.

Yoon revealed Vietnam was the first country he visited once the pandemic is contained.

As the largest credit guarantee fund in South Korea, Yoon said KODIT could continue to provide support for Vietnam’s small and medium enterprises, as well as those from South Korea doing business in Vietnam.