Southern region leads nation in FDI attraction with US$7.21 billion

The southern region attracted US$7.21 billion worth of foreign direct investment (FDI) in 2014, according to the Ministry of Planning and Investment's Foreign Investment Agency.
 

The recorded value accounted for 35.9% of the total FDI registered in the country, which pushed the region as the top performer in terms of FDI attraction. From January to December, 644 new foreign-invested projects were licensed while 238 operating ones were allowed to increase capital in the region, which comprises Ho Chi Minh City, Ba Ria–Vung Tau, Dong Nai and Binh Duong. Also included in the region are Binh Thuan, Tay Ninh, Binh Phuoc and Ninh Thuan.

The latest addition has brought the number of licensed projects in the region to a total of more than 9,760 with a combined investment capital of US$114.95 billion. This amount made up 56% of the nation's total number of foreign-invested projects and 45.8% of the total FDI registered in the country to date, the agency noted.

Among eight localities, Ho Chi Minh City ranked first with US$38 billion, or equivalent to 31.1% of the region's total FDI. It was followed by Ba Ria–Vung Tau (US$26.7 billion, or 23.2%); Dong Nai (US$22.35 billion, or 19.4%) and Binh Duong (19.98 billion, or 17.4%).

Four remaining provinces, Binh Thuan, Tay Ninh, Binh Phuoc and Ninh Thuan, made up 3.1%, 2.1%, 0.82% and 0.7% of the total FDI pledged in the region, respectively.

Singapore was the region's leading source of FDI with US$15.31 billion, which accounted for 13.3% of the region's total FDI. The Republic of Korea came second with US$14.96 billion, or 13%.

During the reviewed period, the manufacturing and processing sector attracted the largest share of FDI, with US$57.6 billion, or 50.1% of the region's total registered FDI. It was followed by estate trading (US$27.18 billion, or 23.6%) and hospitality and catering services (US$6.18 billion, or 5.4%).

NDO/VNA