|Nguyen Mai, Chairman of Vietnam Association of Foreign- Invested Enterprises (VAFIE)
Nguyen Mai, Chairman of the Vietnam Association of Foreign- Invested Enterprises (VAFIE), assumed that if the country does not increase its right to select proper investors for foreign direct investment (FDI) projects, it could fail to meet the target of attracting FDI with the aim of changing the economic structure and renewing the growth model as well.
Mai underscored the need to select FDI projects in accordance with the Resolution No. 50-NQ/TW newly signed by Party General Secretary Nguyen Phu Trong, in order to ensure both FDI quantity and quality and prevent the transfer pricing of foreign investors and those making use of legal loopholes as mentioned within the resolution.
The VAFIE chairman reiterated major targets of the resolution. The Politburo stated that the average registered investment capital stood at US$30-40 billion per year during the 2011-15 period, while the average disbursed capital reached US$20-30 billion in the reviewed period. Five years later, the average registered capital is set to increase to US$40-50 billion a year; of which, US$30-40 billion is estimated to be disbursed.
If the FDI attraction is implemented efficiently during 2019, the whole-year disbursed capital could amount to nearly US$20 billion. For the 2011-25 period, the annual disbursed capital could reach US$25 billion on average, he expected.
He noted that the document makes a comprehensive assessment of the achievements Vietnam country has enjoyed from FDI attraction, along with shortcomings arising from the implementation of FDI.
“We appreciate the quality of FDI projects and give priority to high-tech and environmentally-friendly projects and those yielding high economic efficiency and technology transfer, in order to leverage the economic growth in conformity with world trends.”
Mentioning the resolution’s target of disbursing FDI, the VAFIE chairman said that of the undisbursed FDI worth US$300 billion, only US$100 billion is likely to be realized. This capital belongs to projects which face difficulties in seeking land plots, gaining construction permits, and mobilizing capital.
Competent agencies should provide investors with extra six months to implement their delayed projects before determining the revocation of investment permits, he added.