Investment opportunities in Vietnam
According to the Report of the General Statistics Office, foreign direct investment capital realized in Vietnam in the first 2 months of 2024 is estimated to reach 2,8 billion USD, an increase of 9,8% over the same period last year. This is the highest amount of realized foreign direct investment (FDI) in the first 2 months of the year in the past 5 years.
Besides, Vietnam is highly appreciated for its open policy factors, creating a favorable investment environment for foreign investors.
Regarding the control of macro factors such as foreign exchange or interest rates, the Government has succeeded in maintaining stable exchange rates and effectively reducing inflation, stable interest rates, and borrowing capital for investment projects. become more attractive to foreign investors.
With the real estate sector, in 2023, many decrees and resolutions will be passed to support the market such as Decree 08/2023/ND-CP, Resolution 33/NQ-CP, 120 trillion VND package for social housing, Circular 06/2023/TT-NHNN, Real Estate Business Law, Housing Law and Land Law have been passed.
Real estate in Vietnam still attracts foreign investors.
These policies are expected to increase predictability and stability for the real estate market, while creating great opportunities for foreign investors to participate in investment projects.
Mr. Nguyen Trong Toan, Manager of Investment Department, Savills Hanoi commented: “Vietnam demonstrates economic stability and is recovering strongly after the pandemic, with inflation remaining low and exchange rates being maintained by the State. The controlling country is more stable in relation to other countries in the region.
Therefore, in the real estate sector, Vietnam still remains a notable investment destination for foreign investors and real estate developers in locations and segments with good development potential. ”.
Many segments are attractive to foreign investors
Mr. Toan commented that each real estate segment of the Vietnamese market in 2024 will have its own investment highlights that attract foreign investors.
“For the residential real estate segment, foreign investors seek investment opportunities and tend to develop projects under their own brands in the context of scarce supply and domestic housing demand. tall people. The advantage of foreign investors is in terms of brand, design ideas, and construction standards and quality, so the developed products, even in the high-end segment, are always positively received by the market." Mr. Toan said.
According to a report by Savills Vietnam, the market witnessed demand growth from the energy, manufacturing and consulting businesses, contributing to maintaining a stable occupancy rate.
In particular, in large cities such as Hanoi, Da Nang and Ho Chi Minh City, office market trends open up opportunities for foreign investors with investment capacity and product positioning to meet standards. green standards, including certificates such as LEED, WELL, BREEAM,...
Real estate in Vietnam is constantly developing and is an attraction for both foreign and domestic investors.
Savills Vietnam also said that in 2023 alone, Vietnam will welcome 120,6 million tourists, an increase of 19% year-on-year. The number of international visitors reached 12,6 million, an increase of 3 times compared to 2022. This caused rental capacity and hotel rental prices in Hanoi and Ho Chi Minh City to both record increases.
In addition to the unique attraction of each segment to foreign investors, Mr. Toan also shared: "If in the past, mainly foreign investors with abundant financial potential would prioritize investment plans that account for control, they are now more open to many different forms of investment, from financial investment, capital contribution, to business cooperation... to fully exploit the potential of the Vietnamese market.
In addition, many foreign investors, after a period of market research, also expanded the scope of project locations, especially in researching investment opportunities in areas outside of big cities."
