Vietnam had 962 investment projects in other countries, worth $15 billion in registered capital, by the end of April. This was disclosed by the nation’s Foreign Investment Agency (FIA) under the Ministry of Planning and Investment, which further added that about 100 of these projects had submitted for a capital increases by a combined value of $5 billion.
The largest markets for Vietnamese projects abroad are its two neighbours in Indochina – Laos and Cambodia. While Laos attracted 259 Vietnamese projects worth $3.9 billion, accounting for around 27 per cent of the total, the figures for the Cambodian market were 171 projects worth $3.2 billion, which accounted for nearly 20 per cent of the total investments made abroad.
In addition, Vietnamese corporates have also expanded outside of ASEAN, to nations like Russia, Venezuela and Peru, which had 26 projects from Vietnam with a combined capital of over $4 billion.
“The overseas investment trend did not simply include traditional markets, but has stretched to many other countries,” the FIA said in its report, adding that a large part of investment flows came to the US, Algeria, Malaysia and Myanmar.
In terms of sector, Vietnamese firms mostly favoured minerals (111 projects, $5.1 billion), followed by agriculture, forestry and fisheries (125 projects, $2.7 billion). “These are the areas where Vietnam has its own strengths. However, the country has also increased its investment in telecommunications, power generation, real estate and financial services,” the FIA stated.
The agency commented that the investment scene has been more diversified. Along with state-owned companies, the private sector has been more active in looking for growth opportunities in foreign markets. Last year, investment by private enterprises accounted for 88.5 per cent of the entire quantity. These included the leading tech firm FPT Corporation, anti-virus software and smart device developer BKAV, steelmaker Hoa Sen Group and latex furniture maker Kym Dan.