Four-month FDI into real estate increases fourfold
VOV.VN - Foreign businesses poured US$1.68 billion into real estate projects in Vietnam in the first four months of this year, representing a fourfold increase compared to the same period last year, according to the General Statistics Office (GSO).
The GSO reported that the country attracted US$9.27 billion in FDI capital in the four-month period, with real estate ranking second among the leading industries.
The upward trend indicates that Vietnam’s real estate market remains a magnet to foreign businesses despite difficulties faced by the market over the past years.
The Ministry of Planning and Investment reported that foreign businesses have injected US$66.4 billion into approximately 1,100 real estate projects in Vietnam over the past 35 years.
Among the investors from 48 countries and territories, Singapore tops the list, followed by the Republic of Korea, the British Virgin Islands and Japan.
Neil MacGregor, managing director of Savills Vietnam, revealed that his company has recently received mergers and acquisitions consulting requests from FDI businesses, and many Japanese, Singaporean, and Taiwanese-Chinese businesses are keen to invest in Vietnam’s real estate market.
Meanwhile, Le Hoang Chau, chairman of the Ho Chi Minh City Real Estate Association, said many FDI businesses with abundant capital sources are pouring capital into industrial, tourism and residential real estate in the country.
Statistics unveiled by KPMG that provides audit, tax, advisory and legal services show that real estate ranks second in terms of mergers and acquisitions transactions, accounting for 23% of the US$4.4 billion transactions in the Vietnamese market. Investors from Singapore, Malaysia, Taiwan (China), and the Republic of Korea take the lead.
