Continuing FDI inflow, domestic investment lift Vietnam economy
HO CHI MINH CITY – Vietnam’s economy continues to be fuelled by a solid capital influx from both FDI and private sector. In the first month of 2017, it received pledged FDI of US$1.42 billion for newly-registered and supplemental capital (+6.6% YoY), while disbursed FDI reached US$ 850 million (+6.3% YoY).
In its monthly review, fund manager Vietnam Asset Management says the U.S. withdrawal from the Trans-Pacific Partnership (TPP) does not appear to have had a significant impact on FDI investment into Vietnam as predicted.
“One of recent big investments was from Samsung Electronics’s display panel subsidiary, which announced its intent of investing another US$2.5 billion into Vietnam to expand capacity,” VAM says.
“On domestic side, Vietnam in January recorded 8,990 newly-established enterprises (+8.1% YoY) with VND90.3 trillion (US$3.99 billion) of registered new capital (+52.3% YoY), not taking into account VND114.6 trillion (US$5.1 billion) of supplemental capital of existing enterprises.
“The combined capital of VND204.9 trillion (US$9.06 billion) was mostly from the private sector. In addition, the country continues to receive ODA from traditional donor countries.
“On a visit to Vietnam in mid-January, Japanese Prime Minister Shinzo Abe committed an additional JPY123 billion (US$1.05 billion) in ODA for Vietnam in coming months to support maritime security, climate change, and sewage treatment.” www.vietnamam.com (ATI).