Despite the ongoing domestic and global economic woes, investment in Ho Chi Minh City has shown positive signs of foreign direct investment (FDI) re-growth in the first few months of this year. In late March, the HCM City People’s Committee granted an investment license to Sanofi Vietnam One Member Company, Ltd., under the Sanofi Aventis Group.The company invested US$75 million to build a factory and research centre for pharmaceuticals, cosmetics and food supplements in HCM City Hi-Tech Park. This is Sanofi Vietnam’s third factory with the largest amount of investment.A company representative said the most important factor for choosing the site for its factory was the high quality of human resources in HCM City. The company also received active support from the city in finalizing necessary procedures and improving transport infrastructure.Hoang Lan Anh, Sanofi Vietnam Communications Director, noted that HCM City’s current policy to attract investment provides maximum support for foreign businesses to enter Vietnam, establish production and contribute to the country’s economic development.Apart from central agency policies, HCM City Hi-Tech Park also offers many incentives to attract more investment to the city, she said.Not a few foreign companies have also decided to invest in the city in the first few months of 2013.As of March, 78 new FDI projects were licensed for operation in the city with total investment capital of nearly US$160 million, up 109 percent over last year’s same period, and there are still 26 adjustable expansion projects invested with over US$175 million.Overall, the number of new projects has dropped but total investment capital has risen and adjustable capital increased much more than during the same period last year.This shows signs of FDI re-growth which help investors regain their trust in the production and business environment in the city.HCM City authorities and departments have recently made considerable efforts to boost the city’s investment environment by gradually improving transport infrastructure to reduce congestion and overload, providing facilities at industrial areas and export processing zones to welcome investors and focusing o education, training to increase high quality human resources.The Hi-tech Park in District 9 was designed specifically for high-tech enterprises and it is now operating effectively, making it a desirable destination for technology investment in Vietnam.The Hi-tech Park’s sixty three projects with total capitalization of US$2 billion have been granted licenses to establish business, three of which, worth nearly US$50 million, have been added since the beginning of this year.HCM City Hi-tech Park Management Board Deputy Director Le Bich Loan said, "Our investment strategy is focused on open, international standard infrastructure to meet the needs of high-tech enterprises.”To further improve its competitiveness and attract more investors to the city in the near future, HCM City will continue improving its investment environment and capital management, particularly for FDI; prioritize attracting new investment and large-scale projects; and apply modern and environmentally friendly technology.It also aims to promote the efficient use of natural resources and limit the number of non-manufacturing investment projects not associated with processing.The HCM City Planning and Investment Department Director Thai Van Re underlinied the need to remove cumbersome administrative procedures and deal with other problems that may arise after investment licenses or business registrations are granted to both domestic and foreign enterprises.Business tax exemptions and payment extensions and social order is also a priority for attracting new investment, he noted.The influx of investment, in the first few months of this year, especially from foreign sources, indicates the reforms to the city’s incentives, policies and mechanisms have been effective which has paved the way for the city to attract more investment towards achieving its socio-economic targets./.VOV