Nearly US$2Bln Licensed in First Two Months
The Ministry of Planning and Investment said the Vietnam attracted US$1.911 billion registered foreign direct investment capital in the first two months of 2007, up 45 per cent year on year.
In the two months, 22 provinces and cities housed foreign-invested projects, with southern Binh Duong Province taking in the lead with 35 per cent of total registered capital, followed by southern Ba Ria-Vung Tau Province with 27 per cent, and northern Thai Nguyen Province with 16 per cent. In Binh Duong Province, Thailand’s SCG Siam Cement Group invested more than US$220 million to build a craft paper production plant. This project made Thailand the largest foreign investor in Vietnam in the first two months of this year.
Besides, a project building Cai Mep-Thi Vai terminal in Ba Ria-Vung Tau Province had registered capital of US$165 million. Although these projects are under pressure of higher production costs from Vietnam opening its market, many investors are still keen on doing business in Vietnam, especially the Chinese-invested Huazhong auto production project in Do Son Industrial Park, Haiphong City.
Many investors are seeking investment opportunities in Vietnam. For example, Gamuda Group of Malaysia plans to invest US$1 billion to build five-star hotels, conference centre, offices and luxury apartments. Japan’s Rivier applied for the building of a US$500-million five-star hotel in Hanoi. Taiwan’s Compell wants to invest in a US$500-million electronic production project in Vinh Phuc Province. A South Korean company asked for investing US$500 million for a horse-racing complex in Vinh Phuc Province. Taiwan’s Foxconn expects to invest US$5 billion to build a hi-tech city in either Bac Ninh or Bac Giang Province. Japan’s Sumitomo plans to inject US$3.5-4 billion into Khanh Hoa Province-based Van Phong Bay to build a 2,640-MW thermal power plant and two international transhipment terminals.
Although Vietnam receives strong interest from international investors, the country still ranks low on the world economic liberation table, 138th position out of 157 economies. The classification is based on criteria including; free business, free trade, free monetary, tax situation, government intervention, free investment, free assets ownership, corruption rate and labour freedom.
Nguyen Thoa
Vietnamese
