Vietnam received $8.65 billion in foreign direct investment (FDI) in the first six months of the year, down 4.9% from a year earlier, the Ministry of Planning and Investment said on Friday.
FDI has been a key driver of Vietnam’s economic growth. Companies with FDI account for around 70% of the Southeast Asian country’s exports. Reuters reported.
According to Reuters, FDI pledges – which indicate the size of future FDI disbursements – dropped 15.1% in the year to $15.67 billion, the ministry said in a statement.
Of the pledges, 51.1% are due to be invested in manufacturing and processing, while 25.2% would go to gas, water and electricity distribution, it said.
Among the 98 countries and territories registering new projects in Vietnam in the first six months, Singapore was the largest investor, with US$5.44 billion, accounting for 34.7% of the total, followed by Thailand with US$1.58 billion (10.1%), China with US$1.58 million (10.1%) and then Japan, the Republic of Korea, and Taiwan (China).
Among the 57 localities receiving FDI in the six-month period, the southern province of Bac Lieu ranked top with US$4 billion. Ho Chi Minh City came next with over US$2 billion and Ba Ria – Vung Tau placed third with US$1.95 billion, followed by the capital Hanoi, Binh Duong province and Hai Phong city.