FDI on the upswing for 2011

January 26, 2011 | 18:02

(0) user say

Net foreign direct investment in Vietnam surged five per cent year-on-year in the first month of this year, raising hopes for a high disbursement in the Year of the Cat.

According to the Foreign Investment Agency under the Ministry of Planning and Investment (MPI), the country received $420 million net of foreign direct investment (FDI) this January, $20 million higher than January 2010.

Registered FDI capital stood at only $188 million in the first month, down 84.3 per cent against the same period last year. However, the statistics did not include the $1 billion solar cell manufacturing plant of US-based First Solar, which has just received investment certificate from Ho Chi Minh City People’s Committee.

In January, foreign investors registered to invest in 40 new project and increased capital at five projects. This month also saw an increase of export value from foreign invested enterprises with $3.1 billion, surging 10.9 per cent year-on-year.

The increase in January signals an upward trend of the FDI disbursement this year in line with the recovery of global FDI inflow. This year, the MPI expects foreign investors to disburse $11-$11.5 billion.

The amount of registered capital is also expected to increase this year with some giant projects. Besides the manufacturing project of First Solar, the Van Phong Economic Zone Management Authority announced considering issuing grant investment certificates to about 10 projects, worth $5 billion.

The Department of Planning and Investment in northern Hai Duong province also announced it would grant an investment certificate to $2 billion coal-fired power plant, invested by Malaysian Jaks Resources next month.

By Ngoc Linh

vir.com.vn

What the stars mean:

★ Poor ★ ★ Promising ★★★ Good ★★★★ Very good ★★★★★ Exceptional