FDI capital hits US$14 billion despite Covid-19

SGGP
According to the Ministry of Planning and Investment, from the beginning of this year to May 20, the total newly registered and adjusted capital, capital contribution, share purchases, and purchases of contributed capital by foreign investors reached US$14 billion, up 0.8 percent over the same period last year. Realized capital of foreign direct investment (FDI) projects was estimated at $7.15 billion, up 6.7 percent year-on-year.
FDI capital hits US$14 billion despite Covid-19 ảnh 1 The processing and manufacturing sector attracts the highest capital, with a total investment of $6.14 billion. (Photo: SGGP)
Specifically, 613 new projects were granted investment registration certificates, down 49.4 percent over the same period last year, with total registered capital touching $8.83 billion, up 18.6 percent year-on-year. There were 342 times of projects registered to adjust investment capital, down 21.6 percent year-on-year, with total additional registered capital of $3.86 billion, up 11.7 percent compared to the same period last year.

In the first five months of this year, although the number of newly-registered FDI projects and projects with adjusted capital decreased over the same period, the total registered capital rose sharply.

Noticeably, the amount of realized capital maintained an upward momentum, estimated at $7.15 billion, up 6.7 percent compared to the same period in 2020.

In terms of investment sectors, foreign investors invested in 18 sectors. The processing and manufacturing sector attracted the highest capital, with a total investment of $6.14 billion, accounting for 43.9 percent of total registered investment capital. Power generation and distribution ranked second, with a total investment of $5.43 billion, accounting for 38.8 percent of the total registered investment capital. Real estate, wholesale and retail sales followed with investment capital of $1.05 billion and nearly $522 million, respectively. The rest was other areas.

In the first five months of this year, 70 countries and territories had invested in Vietnam. Singapore was the biggest investor, with a total investment of $5.26 billion, accounting for nearly 37.6 percent of total investment capital in Vietnam. Japan was in second place, with $2.59 billion, accounting for 18.5 percent. South Korea came in third, with $1.83 billion, accounting for 13.1 percent, followed by China, Hong Kong, and Taiwan.

Foreign investors invested in 56 provinces and cities across the country, in which Long An absorbed the most investment capital with $3.35 billion, accounting for 23.9 percent of total registered investment capital. Ho Chi Minh City was the runner-up, with $1.34 billion, accounting for 9.6 percent. Can Tho ranked third with $1.32 billion, accounting for 9.4 percent, tailed by Binh Duong, Hai Phong, Bac Giang.

By May 20, 2021, the whole country had had 33,615 valid projects, with a total registered capital of $396.86 billion. The accumulated realized capital of FDI projects was estimated at $240 billion, equal to 60.5 percent of the total valid registered investment capital.

By Anh Phuong – Translated by Bao Nghi

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