Da Nang revives FDI inflow

Da Nang aims to attract 7 billion USD of FDI by 2030 (Photo: VNA)

Da Nang – The central beach city of Da Nang is taking measures to revive the foreign direct investment (FDI) flow with a view to attracting 7 billion USD in this capital by 2030.

In the first two months of this year, Da Nang licenced 16 new FDI projects with a total registered capital of 2.55 million USD, a decrease of 53.6 per cent in value year-on-year.

To date, the city has lured 965 FDI projects with a total registered capital of over 4.065 billion USD, mostly in industry and real estate. Japan is the city’s biggest investor with more than 900 million USD, followed by Singapore, the US and the Republic of Korea.

However, the FDI inflow into the city has experienced a downward trend in recent time due to the impact of COVID-19 pandemic.

Particularly, during 2020-2021, most FDI enterprises in the locality suffered losses and were forced to lay off employees. Notably, 57 FDI projects were terminated from 2018-2022.

According to the municipal Department of Planning and Investment, although the total new FDI capital into Da Nang in 2022 decreased, the capital contribution and share purchases increased with a total value of more than 58 million USD, soaring 509.3 per cent from 2021.

Tran Thi Thanh Tam, Director of the department, said the city will focus on completing infrastructure projects in the development of high-tech industry, information technology and logistics. It is accelerating the completion and upgrading the technical infrastructure of such industrial zones as Hoa Nhon, Hoa Ninh and Hoa Cam - phase II, Da Nang hi-tech support industrial park, and expanding the hi-tech park. At the same time, it will step up investment promotion in more perse and practical forms in order to lure more investors.

Vice Chairman of the municipal People's Committee Ho Ky Minh shared that the locality is preparing a land fund for industrial development, supporting industries, high technology, and information technology to welcome capital flows shifted to Vietnam. It will also focus on developing high-quality human resources while removing difficulties and obstacles to create the best conditions for investors in the locality.

Da Nang aims to attract 7 billion USD of FDI by 2030, with 3 billion USD during 2021-2025 and the rest in 2026-2030.

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