As of January 20, 2020, the total newly registered and adjusted capital and capital contribution or share purchase by foreign investors reached 5.33 billion USD, an increase of approximately 2.8 times over the same period in 2019. Capital generated by FDI projects was estimated at 1.6 billion USD, an increase of 3.2% over the same period in 2019.
As of January 20, 2020, there were 31,189 valid projects in total with registered investment value of 368.1 billion USD. The accumulated realized capital of FDI projects was estimated at 213.38 billion USD, 58% of the total valid registered investment.
I. FDI INFLOWS
1. FDI attraction in January 2020
1.1. FDI Performance
As of January 20, 2020, foreign direct investment projects were estimated to disburse 1.6 billion USD, a rise of 3.2% compared to the same period in 2019.
Import and export performance
Export: Export of the FDI sector (including crude oil) was 12.69 billion USD, equivalent to 84.3% over the same period and amounting to 66.8% of export turnover. Export excluding crude oil was 12.89 billion USD, 84.3% over the same period and accounting for 65.8% of export turnover
Import: Import of FDI sector was almost 10.4 billion USD, or 84.3% over the same period and accounting for 52.6% of import turnover In January 2020, import-export turnover in the FDI sector saw a decrease over the same period, but in general, the sector still experienced trade surplus of 2.29 billion USD including crude oil and a surplus of 2.1 billion USD excluding crude oil.
1.2. Investment registration
As of January 20, 2020, the total newly registered and extended investment and capital contribution or share purchase by foreign investors reached 5.33 billion USD, nearly 2.8 times (179.5%) over the same period in 2019. In which:
Newly registered capital: As of January 20, 2020, there were 258 new projects granted with the investment registration certificate, a rise of 14.2% in the number of newly granted projects. The total newly registered capital reached US $ 4.46 billion, a 5.5-time increase over the same period in 2019. The newly registered capital increased sharply due to the project of Bac Lieu Liquefied Natural Gas (LNG) Plant which was granted a new investment certificate with a total investment of US $ 4 billion. Therefore, the average registered capital of the new projects experienced a year-on-year surge from US $ 3.6 million in January 2019 to US $ 17.3 million in January 2020.
Adjusted capital: In January 2020, there were 77 times of projects registered to adjust investment capital with the total additional registered capital of 334 billion USD, equivalent to 98.1% as compared to the same period in 2019.
Capital contribution or share purchase: Also in January 2020, the whole country had 884 times of capital contribution and share purchase by foreign investors with a total value of capital contribution of 534.8 million USD, equal to 70.2% compared to the same period in 2019.
In January 2020, foreign investors invested in 17 sectors, of which electricity production and distribution stayed on top of the list with 4.04 billion USD, accounting for 75.8% of the total registered investment. The manufacturing and processing sector ranked second with 856.3 million USD, or 16.1% of total registered investment capital. This is also the sector accounting for the largest proportion in the number of newly licensed projects and capital adjustment. Next are the scientific professional activities, technology and wholesale and retail with the total registered investment of almost 119 million USD and 118.2 million USD correspondingly.
In January 2020, there were 59 countries and territories investing in Vietnam. Singapore ranked first with investment of 4.16 billion USD, amounting to 78.1% of total investment into Vietnam; South Korea ranked second with investment of 264.5 million USD, accounting for 5% of total investment capital. Hong Kong ranked third with the registered investment capital of almost 212 million USD, accounting for 4% of total investment, focusing on new forms of investment (amounting to nearly 70% of Hong Kong’s total investment capital in January 2020). Next were China, Japan, etc.
Foreign investors have invested in 40 provinces and cities across the country. Bac Lieu leads the list with a big project with investment of 4 billion USD, accounting for 75.1% of total registered investment. Ho Chi Minh City ranked second with the registered capital of 310.8 million USD, accounting for 5.8% of total investment capital. Investment of Ho Chi Minh City in the form of capital contribution or share purchase accounted for a large proportion or 71.2% of the total registered investment capital of the City and accounting for 54.8% of the total number of capital contributions or share purchases nationwide.
Several major projects in January 2020
- Liquefied Natural Gas (LNG) Plant Project under the operation of Bac Lieu LNG Thermal Power Center (Singapore) having total registered investment capital of US $ 4 billion with the goal of producing electricity from liquefied natural gas.
- Sews - components factory project Vietnam (Japan) with the goal of producing electrical and electronic components for automobiles and motorcycles and plastic products in Hung Yen having investment capital increased by 75.2 million USD.
- Ce Link Vietnam 2 Factory Project (Hong Kong) with total investment capital of 49.8 million USD aimed at manufacturing and processing electronic components and electronic products in Bac Giang.
- Nhon Trach Phuong Nam Stainless Steel Sheet Plant Project (Malaysia) in Dong Nai expanding to 34.6 million USD.
2. FDI accumulation as of January 2020
As of January 20, 2020, there were 31,189 valid projects in total with the registered investment of 368.1 billion USD. The accumulated realized capital of FDI projects was estimated at 213.38 billion USD, or 58% 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 accounts for the highest proportion of 215.3 billion USD, or 58.5% of total investment capital, followed by real estate business worth 58.5 billion USD or 15.9% of total investment capital; electricity production and distribution worth 27.7 billion USD or 7.5% of total investment capital.
- By investment partners: There are 135 countries and territories having valid investment projects in Vietnam. South Korea ranked first with the registered investment of 68.2 billion USD (accounting for 18.5% of total investment capital). Japan ranked second with 59.5 billion USD (capturing 16.2% of total investment capital), followed by Singapore, Taiwan and Hong Kong.
- By location: Foreign investment 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 47.4 billion USD (accounting for 12.9% total investment); followed by Binh Duong with 34.4 billion USD (accounting for 9.4% of total investment); Hanoi with 34.3 billion USD (capturing 9.3% of total investment).
II. FDI OUTFLOWS
In January 2020, Vietnam’s total newly registered and expanded investment outflows were 3.97 million USD. Of which 7 projects were newly registered with a total 3.83 million USD invested by the Vietnam side and 01 turn of project adjusting investment to the value of nearly 0.14 million USD.
Sectors of outward investment projects include wholesale and retail (71.8%); other services (17.3%); construction (3.8%); Manufacturing and processing (3.7%) and information and communication (3.4%).
The countries receiving investment from Vietnam in January 2020 are the United States, Japan, Cambodia and South Korea./.
Attach Files: FDI_01.2020_(ENG).xls