Japan has continued to place trust in Vietnam’s investment environment, pouring a total of US$3.3 billion into the market in the opening nine months of the year, or 14.7% of the country’s total foreign direct investment (FDI).
Despite a negative impact of the COVID-19 pandemic, Japan invested in 131 new FDI projects and adjusted capital for 91 investment projects throughout the reviewed period. In addition, Japanese businesses also contributed capital and purchased shares for 155 investment projects in Vietnam.
A number of projects that have investment capital worth billions of US dollars include the US$1.31 billion O Mon II Thermal Power Plant Project in Can Tho and the US$611.4 million Kraft Vina Paper Factory Project in Vinh Phuc.
Fujimoto Masayoshi, chairman of the Vietnam-Japan Economic Committee, recommends that Vietnam continue to improve its business climate, develop transport infrastructure, and offer a range of incentives aimed at further facilitating investment procedures and production activities of businesses.
The Governments of both Vietnam and Japan have recently launched the Vietnam-Japan Joint Initiative, Phase VIII, with a primary focus on improving the investment climate and speeding up infrastructure investment in the form of public-private partnership (PPP). Phase VIII will also help reform State-owned enterprises (SOEs), accelerate the supporting industries, and resolve land-related issues.
In addition, Phase VIII will address a number of macro-economic issues, along with feasible policy recommendations aimed at improving the local investment environment, all of which are anticipated to provide fresh impetus to further FDI attraction in the near future.
VOV
