This year foreign direct investment in Vietnam is focused on technology, renewable energy, healthcare, finance, and real estate.

Record number of American businesses to visit Vietnam this year

50 representatives of American technology, energy, aviation, defense, agriculture, and food businesses just completed a market research trip to Vietnam. This is the second year that Vietnam has welcomed a large number of American business delegations to explore investment opportunities and expand their markets. The recent visit was one of several annual activities organized by the US-ASEAN Business Council (USABC).

USABC President and CEO Ted Osius says Vietnam and the US have made commitments to strengthening bilateral economic relations after upgrading their  ties last year. This year the USABC will help a record number of American businesses realize investment and trade opportunities in Vietnam.

Ms. Reta Jo Lewis, President of the US Export-Import Bank (EXIM), promised to continue to support financial transactions between the US and Vietnam. EXIM just signed a memorandum of understanding worth 500 million USD with Vietnamese partners.

A representative of Atmo, an American enterprise that provides multinational weather forecasting services using AI technology, said he is very confident of the investment potential in Vietnam, a country that is developing rapidly.

A representative of Meta, Facebook's parent company, said Meta will bring new products and services to Vietnam, and he believes Vietnam will become a bright spot in AI in Asia.

President of the AIS USA Group Josep Frank Uldo said: "AIS has been in the market for many years. We've seen a tremendous opportunity, simply because of the growth of the market. We're power provider. So when GDP grows up, power grows up. We're here because there are great opportunities with 100 million people, young workforce, hard working and hospital people. It's wonderful to be here. We're excited to play a role in the great future that Vietnam has."

The Foreign Investment Department of the Ministry of Planning and Investment says that last year American businesses invested in more than 1,300 projects in Vietnam with a total capital of nearly 12 billion USD, ranking 11th in investment value. Leading American corporations like Intel, CocaCola, and Cargill have poured billions of dollars into Vietnam.

New growth level expected in 2024

The US business delegation’s recent visit is a positive sign for foreign direct investment this year.

Last year, Vietnam set a record of 36.6 billion USD in registered FDI capital, up 32.1%. Many economists say 2024 will be another breakthrough year in FDI.

These achievements are due to changes in Vietnam's FDI policy. In 2019, the Politburo adopted Resolution 50 on directions for fine-tuning institutions and policies and improving the quality and efficiency of foreign investment until 2030. In 2022 the Government issued the Foreign Investment Cooperation Strategy for the 2021-2030 period. The National Assembly also directed the Government to draft a decree on the establishment, management and use of the Investment Support Fund to stabilize the investment environment, attract strategic investors and multinational corporations, and help domestic businesses in a number of areas.

Last year, Fitch Ratings, an international credit rating organization, upgraded Vietnam's credit rating to BB+ with a stable outlook, and said Vietnam is creating favorable conditions to attract FDI.

Stable economic prospects and investor-friendly policies are attracting foreign businesses to Vietnam and boosting Vietnam’s growth potential.