FDI inflows drop in first half of the year
The country attracted US$6.85 billion in foreign direct investment (FDI) in the first half of this year, down 35% as compared to same period last year.
According to the latest report of the Foreign Investment Agency, of the total US$6.85 billion, US$4.85 billion came from 656 newly-licenced projects while the remainder was from 219 existing projects, which raised their levels of capital.
In a brighter spot, the period's FDI disbursement saw a modest increase of 0.9% and was estimated to touch US$5.75 billion.
The manufacturing and processing sector absorbed the largest share of FDI, touching US$4.8 billion or 70.2% of the nation's total registered capital. Construction and real estate trading industries ranked second and third, respectively.
 |
Among the 41 countries and territories investing in Vietnam, the Republic of Korea is the leading source of FDI with US$1.55 billion, accounting for 22.6% the total FDI registered in the country. It was followed by Hong Kong (US$1 billion), Japan (US$806 million) and Singapore (US$732.1 million).
The economic hub of HCM City is the most attractive destination for foreign investors with US$886.3 million or 13% of the nation's total FDI, followed by the southern provinces of Binh Duong and Dong Nai, with US$876.1 million and US$688.37 million, respectively.
Other ideal localities preferred by foreign investors include the northern provinces of Quang Ninh and Hai Duong and southern Tay Ninh province, where they registered to invest US$573.5 million, US$382.1 million and US$349.9 million, respectively.
During the January to June period, the foreign-investment sector generated US$47.82 billion from exports, a yearly rise of 17% or equivalent to 67.5% of the country's total export turnover, while its imports reached US$39.29 billion, up 11.4%.