Strategic move
In the flow of global integration, Vietnam has not only affirmed its position as an attractive destination for foreign direct investment (FDI), but is also confidently entering a new era - the era of proactively reaching out to the world through foreign direct investment (OFDI).
According to Dr. Phan Huu Thang - Chairman of the Vietnam Industrial Park Finance Association (VIPFA), former Director of the Foreign Investment Department, Ministry of Planning and Investment (now the Ministry of Finance ), this is a strategic shift, demonstrating the maturity of the economy and the aspiration of Vietnamese enterprises, towards a strong, independent and prosperous nation.
FDI and OFDI are two sides of the same coin, both are investment capital flows from the private sector. If FDI is external strength, OFDI is internal strength.
"With the impetus from Resolution No. 68-NQ/TW of the Politburo on private economic development, this sector will become the main driving force for the wave of overseas investment. When institutional and internal capacity barriers are removed, the Vietnamese economy will truly "go on both feet", effectively attracting FDI while promoting OFDI to create a solid position in the international arena," the expert emphasized.
Looking back on the past, the Chairman of VIPFA shared that Vietnam's OFDI picture shows remarkable progress. 2024 saw a spectacular boost with nearly 665 million USD in new and adjusted investment capital, up 57.7% over the previous year. This impressive figure has raised Vietnam's total accumulated capital abroad to more than 22.59 billion USD through 1,825 projects.
The most encouraging thing is the positive shift in investment structure. If previously capital flowed mainly into traditional sectors, 2024 witnessed a strong rise in professional activities, science and technology (accounting for 30.2% of total capital) and processing and manufacturing industry (accounting for 21%). This is a signal that Vietnamese enterprises are gradually moving up the ladder in the global value chain.
However, according to Dr. Phan Huu Thang, looking at the overall cumulative picture, capital flows still bear the imprint of the old model when focusing mainly on mining (31%) and agriculture (15%) in neighboring markets such as Laos and Cambodia. Although prioritizing the ASEAN region is a reasonable step due to geographical and cultural advantages, this also shows that Vietnam's OFDI has not really reached far to technology centers and developed markets. The scale of OFDI is still quite modest compared to the tens of billions of USD of FDI capital flowing into Vietnam each year, reflecting significant challenges.
Overcoming difficulties to reach out to the ocean
The VIPFA Chairman assessed that the initial success is undeniable, but the road ahead is still full of thorns. Behind the optimistic figures are structural challenges. The scale of Vietnamese enterprises' projects is still small, lacking strategic and high-tech projects. The cross-border management capacity, understanding of international law and financial strength of many enterprises, especially small and medium enterprises, are still weaknesses.
In addition, the supporting policy framework, although available, is not strong and comprehensive enough. We still lack effective tools such as financial support funds, political risk insurance mechanisms, or systematic investment promotion programs to "support" businesses in the international market. These barriers make many businesses hesitant and miss out on potential investment opportunities.
For OFDI to truly become the second pillar of the economy, experts recommend, Vietnam needs a strategic and synchronous roadmap. In the immediate future, in the period up to 2030, the goal must be to decisively shift from the "large capital - resources" model to "high-value OFDI".
This requires the State to perfect the legal framework towards transparency and streamlining, and at the same time establish strong financial tools such as support funds and risk insurance so that businesses can confidently "set sail". At the same time, there needs to be in-depth training programs, improving international governance capacity and providing legal advice to the business community.
The long-term vision to 2045 needs to be more ambitious: building Vietnamese corporations of global stature, becoming "leading cranes" in key areas such as technology, clean energy and logistics. To do that, we need a comprehensive support ecosystem, where law, finance, diplomatic networks and high-quality human resources join forces to create a solid launch pad for Vietnamese businesses.
Of course, when investing abroad, businesses themselves need to equip themselves with solid legal knowledge, especially the provisions in the Investment Law 2020 on investment forms, capital transfer and profits, to avoid unnecessary risks.
"With wise leadership, consensus of the entire people and a correct strategy, OFDI activities will not only bring economic benefits but also be a means to bring Vietnamese brands and intelligence to the world. The Vietnamese economic ship is sailing out to sea, with the strong belief that "there is nothing other countries can do that Vietnam cannot do", the expert emphasized.
Source: https://doanhnghiepvn.vn/doanh-nghiep/lan-song-dau-tu-truc-tiep-ra-nuoc-ngoai-dang-tang-toc/20250821105855958
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