Vietnam ready to create favourable business environment for Japanese investors

At a reception in Hanoi on March 7 for Masaaki Yamada, the managing executive officer and global head of the Energy and Natural Resources Finance Group at the Japan Bank for International Cooperation (JBIC), Dung expressed his elation at the strong development of the Vietnam-Japan ties, saying the bilateral relations are enjoying a period of strong and comprehensive development across a variety of fields, especially in economics, trade, and investment. 

Vietnam is calling for investment in the prioritised fields of infrastructure and energy development, and highly appreciated the role of JBIC in these realms, Dung noted. 

Over recent years, JBIC has provided loans to intensify Japan’s foreign direct investment (FDI) into Vietnam, especially for developing key infrastructure systems and large-scale energy projects such as the Nghi Son Petrochemical Refinery complex; as well as the Nghi Son 2, Vinh Tan 4, and Duyen Hai 3 thermal power plants. 

While appreciating the new cooperation suggestions of JBIC, Deputy PM Dung proposed that the Japanese bank accelerate negotiations to soon carry out those cooperation plans. 

He also asked JBIC to consider expanding loans for Vietnamese businesses or joint ventures between Vietnamese and Japanese enterprises, helping them promote investment in Vietnam. 

Massaki Yamada for his part, hailed the effective implementation of projects using JBIC loans, noting that the bank is focusing on technology transfer projects and encouraging Japanese small- and medium-sized enterprises to invest and expand their business and operations in Vietnam, he stressed. 

He noted that JBIC is likely to arrange bigger loans for Vietnamese firms, especially those developing substantial infrastructure and energy projects.

Japan has affirmed its role as one of the leading economic partners of Vietnam. The country is the biggest provider of official development assistance (ODA) funding for Vietnam with a total amount of US$ 30 billion, as well as the second largest foreign investor in Vietnam with roughly 4,200 projects worth US$57 billion. 

According to a survey by the Japan External Trade Organization (JETRO), up to 70% of Japanese enterprises interviewed desire to invest in Vietnam, while 66.6% of Japanese firms operating in Vietnam plan to expand their production and business activities.