MOIT VIETNAM | Foreign Investment in Vietnam Reaches $9.27 Billion in the First Four Months of 2024

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Foreign Investment in Vietnam Reaches $9.27 Billion in the First Four Months of 2024

7th May 2024 post by MOIT Vietnam

As of April 20, 2024, Vietnam has 40,049 active foreign investment projects with a total registered capital of approximately $478.58 billion. The cumulative realized capital for these foreign investment projects is estimated at around $303.46 billion, representing 63.4% of the total effective registered capital.

In April 2024, there was a notable increase in new investment capital and the value of capital contributions and share acquisitions compared to the earlier months of the year. The number of new investment projects reached its highest level since the beginning of the year. The overall registered investment capital, which includes new investments, adjustments, capital contributions, and share acquisitions, saw a 4.5% increase compared to the same period in 2023. This is a decrease of 8.9 percentage points compared to the first three months of 2024 and a 34.1 percentage point decrease from the same period in 2023, mainly due to a significant decline in capital contributions and share acquisitions. Foreign investment has been predominantly concentrated in provinces and cities with strong investment appeal, such as Hanoi, Bac Ninh, Quang Ninh, Thai Nguyen, Ho Chi Minh City, Dong Nai, Ba Ria-Vung Tau, Hung Yen, Bac Giang, and Hai Phong. These ten locations alone accounted for 74.8% of new projects and 79.1% of the total investment capital in the country over the past four months.

Exports from the foreign-invested sector have continued to rise compared to the same period last year. The foreign-invested sector recorded a trade surplus of $15.89 billion, including oil, and a surplus of over $14.94 billion excluding oil. This surplus has helped offset the nearly $8.6 billion trade deficit of the domestic business sector, contributing to a national trade surplus of approximately $7.29 billion in the first four months of the year.

Regarding Vietnamese outbound investment, from January to April 2024, Vietnamese investors initiated 36 new projects and made three capital adjustments abroad. The total investment by Vietnam overseas reached $98.86 million, which is 64.4% of the amount from the same period last year. Vietnamese investors have targeted 11 sectors for their overseas investments. The largest share of investment has gone into mining (59.3%), wholesale and retail (11.7%), other services (10.1%), and construction (5.6%). The remaining investments are distributed across other sectors.

As of April 20, 2024, Vietnam has 1,733 active overseas investment projects with a total capital of more than $202.22 billion. The majority of Vietnam’s outbound investment is focused on the mining sector (31.6%) and agriculture, forestry, and fisheries (15.6%). The top destinations for Vietnamese investment are Laos (24.7%), Cambodia (13.1%), and Venezuela (8.2%).