FDI in Vietnam 11 months of 2023 reached the highest growth in the year: 28.85 billion USD

As of November 20, 2023, FDI in Vietnam in the 11 months of 2023 reached the highest growth since the beginning of this year, approximately 28.85 billion USD, rising 14.8% year-on-year. The capital generated by FDI projects was estimated at 20.25 billion USD, up 2.9% over the same period in 2022.

By sector:

Foreign investors poured funds into 18 out of 21 sectors in the national economic classification system, of which the processing and manufacturing industry took the lead with over 20.97 billion USD, making up 72.71% of the total and increasing 40.2% year-on-year. Real estate came next with a total investment of over 2.87 billion USD, accounting for 10% of the total and falling 31.4% compared to the same period last year. Following were banking and finance, wholesale, and retail, with nearly 1.54 billion USD (up 58.5 times more compared with the figure last year) and nearly 1.04 billion USD (up 12.9% annually), respectively.

It is also worth noting that processing and manufacturing was the sector with the largest number of newly registered projects (32.9%) and capital adjustment (54.1%). Wholesale and retail led in the number of capital contributions and share purchases (accounting for 40.9%).

By counterpart:

There were 110 countries and territories investing in Vietnam in the first eleven months of 2023. Singapore remained Vietnam’s leading source of foreign investment with about 5.15 billion USD, making up 17.8% of the total FDI registered in the country (down 0.9% year-on-year). Hong Kong (China) came in second with over 4.33 billion USD, making up 15% of the total and more than 2.2 year-on-year. The Republic of Korea came in third with a total registered investment capital of over 4.17 billion USD, accounting for 14.5% of the total and rising 1.2 times per year. Next were China, Japan, Taiwan (China), and so on.

Regarding the number of projects, China led in terms of the number of newly registered projects (accounting for 22.1%); the RoK topped the list when it comes to turns of capital adjustment (26.2%) and capital contributions and share purchases (27.9%).

By location:

The foreign investors had invested in 56 provinces and cities nationwide in the first eleven months of 2023. Quang Ninh led the way with a total registered capital of nearly 3.11 billion USD, making up 10.8% of the total and increasing 42.3% from a year earlier. Ho Chi Minh City ranked second with over 3.08 billion USD, accounting for 10.7% of the total and falling 12.9% compared with the figure in the same period last year. Followed by Hai Phong, Bac Giang, and Hanoi.

Ho Chi Minh City remains the best performer in attracting new projects (38%), turns of adjusted projects (25.3%), and capital contributions and share purchases (66.6%).

As of November 20, 2023, FDI in Vietnam in the 11 months of 2023 reached the highest growth for the first time since the beginning of this year, up 14.8% over the same period and up 0.1 percentage points compared to the previous ten months. With the support of the Government and the Prime Minister and the close coordination of ministries, sectors, and localities in actively removing bottlenecks and legal barriers related to business and investment activities, enterprises have stabilised their business production.

Sources and Infographics: Ministry of Planning and Investment