HCM City to Revoke 40 FDI Realty Projects Totaling $1.77B

Authority of Ho Chi Minh City has decided to revoke licenses of 40 foreign direct investment (FDI) projects in realty sector with a total registered capital of $1.77 billion due to their stagnancy.

 

Though the city now has 143 valid FDI property projects worth $9.61 billion, foreign investors have disbursed only $3.61 billion, making up 37.58% of the total FDI registered capital.

 

Realty sector always takes lead in FDI attraction in Ho Chi Minh City because of huge registered capital. In 2009, the city licensed 13 FDI realty projects worth $682 million, accounting for 3.39% of the municipal total FDI projects but representing 66.39% of its FDI registered capital.

 

Despite the inefficiency in FDI realty investment, the metropolis is still mulling over licensing an additional seven realty projects worth $3.7 billion. (Investment)