Production at the Samsung Electronics Vietnam Company at the Yen Phong Industrial Park, Bac Ninh province (Photo: Thanh Thuong/VNA)

In the first half of this year, newly registered capital increased 47% and adjusted capital up 35%. The disbursement of FDI projects was estimated at 10.8 billion USD, up 8%.

The increase of FDI registered capital and disbursement has boosted domestic production. The quality of investment projects has improved significantly, many of which involve semiconductors, energy, and electronic components and products. Projects to produce added-value items have been expanded.

FDI capital increased because numerous provinces, cities, and localities reformed their administrative procedures and took the initiative in investment promotion. Vinh Phuc province, for example, has been a leader in improving the business investment environment and attracting foreign investors.

It reported 430 million USD in FDI in the first half of this year, exceeding 9% of the plan set for the whole year. Vinh Phuc has focused on attracting projects with advanced technology and high added value and providing necessary information to investors about the environment and investment attraction policies.

Nguyen Xuan Phuong, Head of Vinh Phuc province’s Industrial Park Management Board, said, “We make investors who come here feel like they are Vinh Phuc citizens who are working at home in a very friendly investment environment. Administrative procedures have been reformed to reduce direct contact and increase online services. In addition, we’ve reserved enough infrastructure to attract investors into industrial parks.”

Bac Ninh, Ba Ria-Vung Tau, Quang Ninh, Hanoi, Hai Phong, Ho Chi Minh City, and Dong Nai are also leaders in FDI attraction, thanks to good infrastructure, stable human resources, and local authorities’ efforts to remove obstacles for production and help businesses speed up recovery and growth.

Tran Thuy Trang, Deputy Director of the Jasan Vietnam Textile and Dyeing Company operating in the Vietnam Singapore Industrial Park in Thuy Nguyen district, Hai Phong city, said that as an FDI entrepreneur, she saw clearly the improvements in Hai Phong’s reforms and administrative mechanisms for better investment environment.

“The city’s departments, sections, and authorities have addressed businesses’ questions. It used to take us between 15 and 20 days or even longer to deal with administrative procedures, but now we can get an answer within the same day. This reform makes it more convenient for our business to expand investment in Hai Phong,” said Trang.

Deputy Minister of Planning and Investment Tran Quoc Phuong (Photo: baotintuc.vn)

Vietnam's FDI is forecast to keep the growth momentum this year thanks to stable macroeconomics, better growth recovery, and the supply chain diversification strategy of multinational manufacturers.

Investors' confidence in Vietnam continues to grow, says Deputy Minister of Planning and Investment Tran Quoc Phuong, adding, “Investors have clearly seen Vietnam’s specific preparations to attract and meet investors’ basic needs in land, energy, and human resources.”

“We’re ready for human resources. The Ministry of Planning and Investment has been assigned to lead the training of 50,000 semiconductor engineers. Vietnam has improved its global position, and this will be the basic premise for us to participate in economic and business production chains,” Phuong noted.

Vietnam’s tech industry is undergoing a great deal of innovation and digitalization. Vietnam's position in the electricity and electronics supply chain is getting stronger, attracting more and more major electronics manufacturers to the country.