PM Phuc promises to make Vietnam friendlier to businesses

Mikio Masawaki - General director of Sapporo Vietnam

Recently, we can observe clearly the changes and efforts from the Vietnamese government in improving investment climate in Vietnam. As a foreign investor, we are very interested in the following factors while investing in Vietnam.

Firstly, it is the consistency and transparent in policies and undertaking policies. It is important for investors to be updated quickly and correctly of such policies. Therefore, should the government enable a convergent information portal for investors, it would help them to easily locate the information that are looking for.

Secondly, it is the transparent business environment. This especially is meaningful for Japanese investors who have strict standpoints in compliance with regulations.

Thirdly, it is completion of infrastructure before any proceed with investors. Investors will prioritise any areas that offer complete infrastructure and related services. We should not wait until investors come to invest in building infrastructure.

Fourthly, when investors are investing here, it is important to maintain the good relationship with them. It means the local authorities should engage and communicate more with the investors’ opinions, proposals. Hence, both parties can grow together.

Colin Pine - General director of Ho Tram Project Company

We're the largest foreign-invested tourism project in Vietnam, and our US-based shareholders have already invested over $700 million in the first phases of our multiple-phase integrated resort project.

From this experience, it’s our view that Vietnam is clearly committed to attracting quality foreign investment. Furthermore, the commitment to entering free-trade agreements, particularly Vietnam’s participation in the Trans-Pacific Partnership, underlines Vietnam’s understanding that attracting foreign investment is a competitive endeavour.

Regarding the new government, we believe foreign investors would like to see improvements in the following areas: firstly, a clear, fair and competitive legal framework both generally and for their industry. Secondly, they want to operate in a reasonable and competitive tax environment, with quality infrastructure to support investment and expansion.

It’s also important that the legal framework is clear and treats foreign businesses and investors the same as their Vietnamese counterparts.

In our case, a key milestone that would strengthen our investments in Vietnam would be the proclamation of a Casino Decree within this year, which provides a legal and tax framework that is regionally competitive. We're excited to work closely with the government in creating a safe and enjoyable casino entertainment industry for all.

The other major improvement that can instill more confidence in foreign investors is continued commitment to enhancing and expanding Vietnam’s infrastructure. For the southern economic zone, we may take Long Thanh international airport as a good example.

Don Lam – CEO of VinaCapital

The majority of our investments are in Vietnamese companies such as IDP and Hoa Phat Group. Through our experience with them, we see that the main hindrance for companies is that they always need to apply for permission to do something.

Dealing with this kind of bureaucracy is time consuming, expensive and mostly unnecessary. Moves to reduce the numbers of permits companies are required to obtain and other related bureaucratic burdens would be welcomed by all and ultimately enhance efficiency.

We believe the new government is business-friendly, wants to maintain an ongoing dialogue with the community, and is open to feedback. It is genuinely trying to help Vietnamese businesses compete more effectively in our increasingly integrated economy.

Shimon Tokuyama - Chairman of the Japan Business Association in Vietnam

Vietnam has a huge potential to flourish its economy through IT related industries, particularly some businesses towards Japanese market. The background we consider so is due to the similarities of language between Vietnamese and Japanese. As we know about 70 per cent of Vietnamese words can be expressed to use Chinese character, our language of Japanese is also the one to use the character (Kanji).

When an IT related company tries to develop some software or programmes aiming to foreign market, workers' ability to use and understand the language spoken by customs in the market is very important. Actually focusing on the result of advanced level test for Japanese language ability, Vietnamese has the largest number of applicants in ASEAN. And some Japanese businesses have already set up its developing institutions or design center in Vietnam , and developed a lot of IT related products in Japanese.

However, we estimate that the human resources in such area have not been fully utilised in Vietnam . For example, the number of applicants for the Japanese test is far below the numbers of China and Korea . As 1,726 Vietnamese students applied to the most advanced level test in 2015, the number of China for same level is 42,414 and Korea is 13,981.

Thus, to bring more opportunities in the Japanese related IT businesses, we strongly hope that more government efforts to strengthen the Japanese language education in Vietnam . As many students who has their major in IT and software, it seems a lot of opportunities to study English but little on Japanese. Making some chances to get know the similarities between our two languages could become the first step.

Philip Falcone – Founder and principal of Harbinger Capital

Vietnam stands at the vanguard of an ascendant Asia-Pacific. The country’s economy continues to grow with a purpose and stamina that is matched only by the ambition and entrepreneurial spirit of its people. The educated middle-class continues to expand, while the country’s strong work ethic has made it one of the most productive and competitive manufacturing centers in Asia. Its population of 90 million are among the savviest users of technology in the region and the country’s burgeoning start-up culture is quickly gaining recognition around the world. Even among its neighbours in this fast-developing region, Vietnam stands out as exceptional.

Today, the country’s business environment continues to rapidly improve and offers enormous upside for American investors. With the Trans-Pacific Partnership and ASEAN Economic Community coming online in the next few years, Vietnam is quickly evolving into one of the most dynamic markets Asia. Vietnam’s approach to cultivating economic growth and development will further improve its investment climate.

As an investor, I also see a tremendous opportunity to support the country’s growth through the development of improved hard infrastructure in the transportation sector, especially with respect to air travel. The construction of new, high quality facilities will relieve overcrowding at the country’s already bustling airports, create additional investment opportunities, and add to Vietnam’s international prestige as it draws in visitors from Asia and farther abroad. I am currently working closely with other large American investors to identify and support airport development projects, and I’ve been encouraged to learn that it is a priority for the government as well.

President Obama’s visit in May symbolises the growing recognition of the key role Vietnam will play in the Asia-Pacific century. Cementing a stronger and more closely integrated commercial relationship with the United States promises further economic growth and development. It is a natural partnership that will benefit both countries and present wonderful opportunities for even deeper friendship as time goes on. As an experienced investor in Vietnam, I have seen the country’s promise firsthand - as we say in New York, I am bullish about Vietnam’s future and I’m all-in.