As of October 20th,2020,the total newly registered capital, adjusted capital and capital contribution or share purchase by foreign investorsreached23.48billionUSD,equaling 80.6%compared to the same period last year.Capital generated by FDI projects was estimated at15.8billionUSD,or97.5%over the same period last year.
Accumulated as of October 20th, 2020, the whole country had 32,777validprojects with total registered capital of381.2billionUSD.The accumulated realized capital of foreign direct investment projects was estimated at227.68billionUSD, equaling59.9%total valid registered investment capital.
Details are as follows:
I. FDI INFLOWS
1. FDI attractionin thefirst 10 monthsof 2020
As of October 20th, 2020, foreign direct investment projects were estimated to disburse15.8billion,or97.5% comparedwith the same period last year.
Import and export performance:
Export: Export turnover of the foreigninvestmentsectorcontinued todecrease in ten months.Export (including crude oil) reached147.97billion USD,equaling 97.6%over thesame periodlast year,accounting for64.7% of export turnover.Export excluding crude oil was146.52billion USD,equaling95.7%over thesame periodlast year,accounting for64.4% ofthe country'sexportturnoverin thetenmonthsof 2020.
Imports: Imports of foreign investment sector reachednearly 117.56billion,or97%overthe same periodlast year and accounting for55.8% of the country's import turnover.
Despite a decrease compared to the same period last year, in the first 10 months of 2020, the FDI sector still saw a trade surplus of 30.4billion USD including crude oil anda trade surplus of 30billion USD excluding crude oil,offsetting the trade deficit of 12.2billion USD of the domestic sector, helping the country to gain a trade surplus of 18.2billionUSD.
As of October 20th, 2020, total newly registered capital, adjusted capital and capital contribution or share purchase by foreign investorsreached23.48billion USD,or80.6%compared to the same period last year.
Newly registered capital:There were 2,100new projects grantedwith investment certificates(ayear-on-year decrease of 32.1%). Total registered capital reached 11.66billionUSD(ayear-on-year decrease of 9.1%).
Adjusted capital:There were 907times of projects registered for adjustment of investment capital (a year-on-year decrease of 20.8%).Total additional registered capital reachedover 5.71billionUSD(up by4.4%compared with the sameperiod last year).Adjusted capital in10months increasedthanks to the capital expansion of Vietnam Southern Petrochemical Complex Project in Ba Ria-Vung Tau (Thailand) by 1,386 billion USD and that of the project of West of West Lake Urban Residence Centre (South Korea) by 774 million USD.
Capital contribution and share purchase:There were5,451times of capital contribution and share purchase by foreign investors (a year-on-year fall of 27.4%). The total value of capital contribution was worth6.11billionUSD(equal to 43.5%compared to same period last year).The proportion of capital contribution and share purchase in the total investment capital also decreased significantly compared to the same period last year(fromnearly37.1% in the8months of 2019 to26% in the10months of 2020).
Foreign investors have invested in18sectors, of which the processing and manufacturing led with total investment capital of almost 10.7billion USD, accounting for 45.7%of the total registered investment capital.Electricity production and distribution ranked second with investment capital of over 4.8billionUSD, accounting for20.5% of total registered investment capital.It is followed by the real estate business, wholesale and retail with the total registered capital of nearly 3.5billionUSD and1.4billionUSD.The rest are other sectors.
There are 109 countries and territories investing in Vietnam in 10 months.Singapore led the list with total investment capital of 7.51billion USD, accounting for31.9% of total investment capital in Vietnam;South Korearanked secondwith investment of3.42billionUSD, accounting for14.6% of total investment capital.Chinaranked third with registered investment capital of2.17billionUSD, accounting for9.2% of total investment capital.Next were Japan, Thailand,Taiwan, etc.
In terms of the number of new projects, Korea ranked first(528projects);China ranked second (294projects);Japan ranked third (226projects);followed by Hongkong (164projects).
Theforeign investorshave invested in59provinces andcitiesnationwide in 10 months.Bac Lieucontinued tolead the list with a large project worth 4 billion USD, accounting for17% of total registered investment capital.Ho Chi Minh Cityrankedsecondwith total registered capitalof3.4billionUSD, accounting fornearly 14.6%of total investmentcapital (of which investment was mainly in the form of capital contribution and share purchase, accounting for75.7% of the City’s total registered investment capital).Hanoiranked third with3.13billionUSD, accounting for13.3% of total investment capital(of which investment in the form of project expansion and capital contribution and share purchase accounted for 39.8% and 39.3% of the city’s total investment capital, respectively).Next are Ba Ria - Vung Tau, Binh Duong, HaiPhong, and so on.
Regarding the number of new projects, Ho Chi Minh City led the list (776projects);Hanoi ranked second (438projects);Bac Ninh ranked third (125projects).
Several major projectsin September and thefirst10monthsof 2020:
(1) Liquefied Natural Gas (LNG) Plant Project under the operation of Bac Lieu LNG Thermal Power Centre (invested by Singaporean investors) having total registered investment capital of 4 billion USD with the goal of producing electricity from liquefied natural gas (granted with a certificate of competency on January 16th, 2020).
(2) The South Vietnam Petrochemical Complex Project (invested by Thai investors) in Ba Ria - Vung Tau with an increase of adjusted investment capital by 1,386 billion USD (adjusted Investment Certificate dated April 18th, 2020).
(3) Project of West of West Lake Urban Residence Centre (invested by South Korean investors) with expanded investment capital by 774 million USD (adjusted Investment Certificate issued on June 29th, 2020).
(4) Radian Jinyu Tire Manufacturing Plant Project (Vietnam) with total investment of 300 million USD aimed at producing full steel TBR tires invested by Chinese investors in Tay Ninh (granted with a certificate of investment on January 1st, 2020).
(5) Victory Project - A factory manufacturing high-tech electronic products in Dong Van, Ha Nam (invested by Taiwanese investors), worth 273 million USD with the goal of manufacturing and assembling electronic computer and computer auxiliary equipment, production of civil electronic audio and visual equipment (granted with a certificate of competency on April 1st, 2020)
2.Evaluation of the FDI performance in October and the first 10 months of 2020
- Production and business activities were affected by the Covid-19 pandemic. Realized investment capital of FDI projects in 10 months continued to decrease compared to the same period, but the stagnation was lower. Many foreign-invested enterprises are gradually recovering, maintaining good business and production activities, creating momentum for faster growth in the last months of 2020.
- There are still a lot of foreign investors interested, trusting and have the need to invest in Vietnam. But due to the effects of the Covid-19, investors’ travel as well as new investment decisions and the expansion of the scale of FDI projects continue to be affected.The number of new projects,capital adjustmentand capital contribution and share purchase by foreign investors decreased compared to the same period last year.However, in the context of a very strong decline in global investment due to the effects of the Covid-19, this result is better than many other countries, showing the attractiveness of Vietnam in the eyes of international investors.
- Although the impact of the epidemic is extremely heavy on the economies of many countries, the balance of trade in goods in the first 10 months of 2020 in Vietnam continued to have a trade surplus of 18.2 billion USD, of which foreign invested sector (including crude oil) saw a trade surplus of 30.4 billion USD; trade deficit of the domestic economic sector was 12.2 billion USD.
3.Accumulated foreign investment as ofOctober20th,2020
Accumulated as of October 20th,2020, thewhole country had 32,777valid projects with total registered capital of nearly 380billionUSD.The accumulated realized capital of FDI projects was estimated at 227.68billion USD, equaling 59.9% of the total valid registered capital.
- By sector: foreign investors have invested in 19/21 sectors in the national economic classification system, of which the processing and manufacturing sector accounted for the highest proportion with 223.6billion USD, accountingfor 58.9% oftotal investment capital, followed by real estate business with59.9billion USD (accounting for15.8% of total investment capital);electricity production and distribution with28.4billion (accounting for7.5% of total investment).
- By counterpart: In October, 2020, 138 countries and territories have valid investment projects in Vietnam.Of which, South Korea ranked first with registered capital ofnearly70.14billion USD (accounting for 18.5% of total investment).Japan ranked second withnearly59.9billion USD (capturing 15.8% of total investment capital), followed by Singapore, Taiwan,and Hong Kong.
- By location: FDI has been present in all 63 provinces and cities nationwide, of which Ho Chi Minh City is still the leading province in attracting foreign investment with 47.9billion (accounting for12.6% total investment);followed byHanoiwith35.9billion USD (accounting for9.4% of total investment capital);Binh Duongwithover 35.2billion USD (accounting for9.3% of total investment capital).
In thefirst10months of 2020, Vietnam’s total newly registered investment and expanded investment outflows were 478.26million USD,up by 16.1% over the same period last year.Of which,107projects were newly registered with total investment of 314.5million USD (a year-on-year increase of0.8%)and28times of investment adjustment with capital gain of163.8million USD(a rise of 63.8% compared to the same period last year).
In October, 2020 only, 11 projects were granted with newinvestment registration certificates with the total investment outflow of46.1million USD (a year-on-year slight rise of 0.4%).
Vietnamese investors have invested in 13 sectors abroad.Of which, processing and manufacturing led the list with10new projectsand7times of capital adjustment obtaining registered capital of 228.1million USD, accounting for47.7% oftotal investment capital.Finance,bankingand insurance rankedsecond with 68.2 million USD, accounting for 14.3%;followed byprofessional, scientific and technical activities and wholesale and retail trade.
There are24countries and territories receiving investment from Vietnam in thefirst10months of 2020. Leading is Australia with13new investment projects and 02 expanded projects worth101.8million USD, accounting for21.3% of the total investment.Germany ranked second with92.6millionUSD, accounting for19.4%.Followed byLaos, United States, etc.
Attach Files: Copy_of_FDI_10.2020_E.xlsx
Ministry of Planning and Investment