16
Vietnam,Honda’s total investment capital has reached
$530 million, and so far this company has contributed
more than $40 trillion in taxes to the budget and
created jobs for about $530 million. 10,000 employees;
Formosa Group (Taiwan) has also invested nearly $10
billion in steel projects in Vietnam.
According to the Ministry of Planning and
Investment, by the end of 2017, the country has
24,748 projects in force with a total registered capital
of $318.72 billion. Accumulated capital until the end
of 2017 for FDI projects is estimated at $172.35 billion,
equivalent to 54% of the total registered capital. There
are 125 countries and territories with valid investment
projects inVietnam, ofwhich SouthKorea has the total
registered capital of 57.66 billion (accounting for 18.1%
of total investment capital). Japan ranked second with
49.46 billion US dollars (accounting for 15.5% of total
investment), followed by Singapore, Taiwan, British
Virgin Islands, HongKong ... FDI has been available in
all 63 provinces, cities throughout the country.
The presence of “giants” has contributed to
promoting the development of supporting industries
and high quality human resources for Vietnam,
changing Vietnam’s position in the export market.
Achieving this result, the most important factor is
the stable political environment, improved business
investment environment, low labor cost, high trade
opening rate, geographic advantage of Vietnam.
Especially, the Government’s focus on direct reform
of the investment environment has had a positive
impact on the FDI sector and is appreciated by the
foreign investors.
TheFDI sectorhasmadean increasingly important
contribution to the socio-economic development
of Vietnam. These contributions are expressed by
specific figures such as the proportion of FDI in total
FDI ANDNEWRECORDS
PHAM THI VAN ANH, PhD.*
2017 marked a significant milestone marking 30 years of Vietnam’s implementation of policies to attract
foreign direct investment (FDI). 2017 is also a year of strong progress when FDI reached record levels and
“jump” in quality. Registered FDI reached nearly 36 billion USD, the highest in 10 recent years; FDI reached
over USD 17 billion, the highest ever. It is forecasted that in 2018 and the years to come, FDI inflows will
continue to fall on Vietnam. However, Vietnam still faces shortcomings and limitations.
Key words: FDI, business environment, reform, investment incentives
Received:December22
nd
,2017
Revised:January4
th
,2018
Acceptedforpublication:January5
th
,2018
Vietnam - attractive investment destination
Vietnam has started to implement the policy
of attracting FDI since 1987. So far, after 30 years,
this source of capital has become one of the
important driving forces promoting socio-economic
development. Over $310 billion of foreign investors
poured into Vietnam. This capital has changed the
face of the economy aswell as the position of Vietnam
in the international arena.
During 30 years of attracting FDI, Vietnam has
witnessed the presence of foreign investors, typically
multinational corporations such as Honda, Intel,
Samsung, Yamaha, Panasonic, Microsoft. , LG ...
The “billion” projects of the top economic groups
show that Vietnam has been an attractive investment
destination for foreign investors.
Especially, in the past 10 years (from 2006 to 2017),
the appearance of FDI flowing into Vietnam has
changed drastically. Foreign investors poured about
$276 billion into Vietnam, many times higher than the
figure of 20 years ago. In2006,with the announcement
of a US $1 billion investment in Ho Chi Minh City,
Intel Corporation (USA) named Vietnam on the
map of global information technology. This is also a
pioneering event that will inspire Vietnam to attract
big projects and other high technology projects. After
Intel, in 2008, Samsung Group invested in Vietnam
with the project of assembly plant in Bac Ninh with a
total capital of 700 million USD. To date, Samsung’s
total registered capital is about $17 billion. Along
with that, LG Group also invested in Vietnam about
3 billion USD. During the 20 years of its presence in
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