Stronger flow

- Last year, our country's remittances reached a record 16 billion USD. Of which, Ho Chi Minh City alone accounted for 9.6 billion USD. Notably, this remittance amount is three times higher than foreign direct investment (FDI).

- Vietnamese people living abroad send money back to relatives and family living in the country. So is this just money, or does it have a greater meaning?

- The most obvious is that remittances increase the supply of foreign currency and stabilize the exchange rate. But more than that, remittances contribute significantly to stimulating demand and investment. From there, the economy of the whole country and Ho Chi Minh City will develop better. Compared to 2018, the amount of remittances in 2024 has doubled. This shows that overseas Vietnamese's trust in domestic policies is getting deeper and deeper.

- What is the basic difference between remittances and FDI?

- Financial experts say FDI depends largely on preferential policies. When there are many incentives, foreign investors pour money in. When they see a better deal elsewhere, they withdraw their capital. Remittances are a source of personal money, transferred back to the country regularly and stably.

- Besides the purpose of helping relatives or buying real estate, does remittance have any other potential to expand?

- For many years, labor export has also contributed significantly to the remittance flow. Money transferred back also moves into bonds, stocks, opening businesses, etc. Creating sustainable jobs, remittances will be a stronger flow.

CROSSED WORDS

Source: https://www.sggp.org.vn/dong-chay-manh-hon-post811818.html