HCM City Expects to Disburse US$1Bln FDI in 2008

Ho Chi Minh City is expected to attract US$10 billion and disburse US$1 billion in foreign direct investment (FDI) this year, said an official from the Ministry of Planning and Investment (MPI).

 

Vice Head of the MPI’s Foreign Investment Agency Nguyen Xuan Trung said that despite a great disparity between the city’s registered and disbursed FDI capital, the disbursement of US$1 billion is quite high compared to many localities nationwide and the country’s disbursement goal of US$10 FDI this year.

 

An official from the municipal Planning and Investment Department said the city’s slow FDI disbursement is attributed to poor infrastructure and sluggish site clearance.

 

He added that the situation has been improved over the past two years as the city has poured huge investments into infrastructure development.

 

Between January and July this year, Ho Chi Minh City licensed 172 FDI projects totaling US$7.9 billion, up 12 times on-year, the MPI said.

 

To date, the southern hub is home to 2,908 FDI projects worth US$24.91 billion, topping nationwide in attracting foreign investors. (Youth)