Positive Vietnam FDI attraction in first quarter 2025

We are publishing the Vietnam FDI Report Q1/2025 amidst a period of significant global and domestic changes.. As of March 31, 2025, according to Vietnam GSO, more than 10.98 billion USD in FDI poured into Vietnam in the first quarter of 2025, a significant increase of 34.7% compared to the same period last year. Disbursed FDI Capital is estimated at 4.96 billion USD, an increase of 7.2% over the same period last year. This is the highest disbursed capital in the first quarter in the past 5 years.

Global changes and national reforms

Escalating US-China trade tensions and retaliatory tariffs imposed by the United States on 180 nations pose risks of supply chain disruption in certain industries and threaten international free trade. Domestically, Vietnam is undertaking large-scale and robust reforms – specifically administrative management reform and the merger of provinces and cities; this could represent the second major reform revolution after the 1986 DOI MOI (Renovation) reforms.

Resolution 57-NQ/TW, approved by the National Assembly on December 22, 2024, sets a foundation for national development  of Science and Technology, Innovation and digital transformation. The Resolution provides a clear Viewpoint and Actions, including 8 specific tasks and solutions. The Resolution has removed barriers, overcome bottlenecks and created breakthrough mechanisms to unleash creativity and resources.

FDI Q1 2025 Figures

Vietnam‘s GDP in Q1/2025 was reported to increase by 6.93% over the same period last year, reaching the highest increase compared to the first quarter of the years in the period 2020-2025. The disbursed capital in the first quarter of 2025 reaching about US$4.96 billion is the highest in the last 5 years. Of which, the capital for processing and manufacturing industry was the majority with 4.05 billion USD (81.7%), followed by real estate business with 387.7 million USD (7.8%).

By sectors, foreign investors have invested in 18 out of 21 national economic sectors. In terms of number of projects, the Manufacturing and processing industry takes the lead in new projects (accounting for 37.41%), newly registered capital (accounting for 60.5%), and capital adjustment projects (accounting for 71.43%).

By investment partner, 73 countries and territories invested in Vietnam in the first three months of 2025. Of which, Singapore leads with a total investment capital of nearly 3.03 billion USD, accounting for nearly 27.6% of total investment capital. South Korea ranked second with more than 2.03 billion USD, accounting for 18.5%. Followed by China, Japan, Taiwan, Hongkong.

By investment area, there were 50 cities and provinces in Vietnam receiving FDI in Q1/2025. Top 5 locations to receive the most FDI are Bac Ninh, Ho Chi Minh City, Ha Noi, Dong Nai and Ba Ria – Vung Tau. HCMC received the most newly-registered FDI projects.

Vietnam FDI Q1 Report

We continue to provide our esteemed clients and investors with information regarding Vietnam’s attraction of Foreign Direct Investment (FDI) flows in the first quarter of 2025. The first part reports the FDI figures in Vietnam in the first quarter of 2025 while The second part is the update on the country’s investment environment.

Regarding its FDI attraction policy, Vietnam endeavors to continually improve a favorable investment environment, welcoming all investors engaged in legitimate business activities without preferential treatment towards any specific nation. Moreover, Vietnam actively opposes activities such as tax evasion, transfer pricing, and illicit transshipment or origin circumvention.

The Vietnamese economy is, and continues to be, deeply integrated into the global supply chain. When significant changes occur, the Government has demonstrated timely and proactive responses aimed at safeguarding the interests of all domestic enterprises as well as FDI companies operating in Vietnam.

Vietnam also encourages foreign investors to gain a thorough understanding of the nation’s economic development direction, including the national digital transformation and the green transition. This understanding will enable the formulation of long-term investment strategies and foster sustainable cooperation.

Download the full FDI Report Q1/2025 here.