Top 10 localities attracting the largest FDI investment

According to data from the Foreign Investment Agency, Ministry of Planning and Investment , by the end of 2023, Vietnam had attracted 39,140 foreign direct investment (FDI) projects, with a total registered capital of 468.917 billion USD; of which, the 10 localities attracting the most FDI include: Ho Chi Minh City, Hanoi, Binh Duong, Dong Nai, Ba Ria - Vung Tau, Hai Phong, Bac Ninh, Thanh Hoa, Long An and Quang Ninh.

Leading the top 10 localities attracting the largest FDI is Ho Chi Minh City with 12,398 projects, with a total registered capital of 57.632 billion USD, accounting for 31.67% of the total number of FDI projects nationwide and nearly 13% of the total registered capital.

Ranked second is Hanoi with 7,363 projects, with a total registered capital of 41.170 billion USD, accounting for 18.8% of the total number of projects and 8.77% of the total registered FDI capital in Vietnam. Ranked third among the localities attracting the most FDI is Binh Duong with 4,217 projects and 40.4 billion USD, accounting for 10.7% of the total number of projects and 8.6% of the total registered FDI capital in Vietnam.

Production line of electronic equipment and lighting equipment for cars and motorbikes at Stanley Vietnam Electric Company Limited (Japanese investment) in Hanoi. Photo: Danh Lam/VNA

In 2023 alone, Vietnam attracted 36.6 billion USD of foreign capital; in which the leading localities were: Ho Chi Minh City, Hai Phong, Quang Ninh, Bac Giang, Thai Binh, Hanoi, Bac Ninh, Nghe An, Binh Duong, Dong Nai. Accordingly, Ho Chi Minh City continued to be the leading locality with a total registered capital of 5.85 billion USD, accounting for nearly 16% of the total FDI capital invested in Vietnam in the year.

The top 10 localities with the lowest FDI attraction in Vietnam, cumulatively up to 2023, include: Lai Chau, Dien Bien, Ha Giang, Cao Bang, Bac Kan, Gia Lai, Son La, Ca Mau, Tuyen Quang and Dong Thap. Of which, according to statistics from the Foreign Investment Agency (Ministry of Planning and Investment), the two provinces of Lai Chau and Dien Bien have only attracted 1 FDI project, with a very small total registered capital of only 1.5 million USD and 3 million USD, respectively.

According to the assessment of the Ministry of Planning and Investment, FDI capital flows in recent times have still focused on provinces and cities with many advantages in attracting investment, such as favorable infrastructure, stable human resources, efforts in administrative reform and dynamism in investment promotion such as: Ho Chi Minh City, Hanoi, Hai Phong, Quang Ninh, Binh Duong, Ba Ria - Vung Tau...

Recently, at the "Conference to review the work of 2023 and deploy tasks for 2024 of the planning and investment sector", Deputy Minister of Planning and Investment Tran Quoc Phuong said that Vietnam's position and role in the global FDI flow continues to be enhanced. Vietnam is not only an attractive investment destination, with registered FDI capital in 2023 reaching about 36.6 billion USD, an increase of over 32%, but also proactively and actively investing abroad, to developed economies such as the US, Canada... and in new industries and sectors.

Along with that, Vietnam has strongly promoted innovation, digital economy, green growth, circular economy, new economic sectors such as chip manufacturing, semiconductors, high-tech agriculture, high-quality human resource training, improving the effectiveness of promotion, investment attraction, supporting overseas investment... to better exploit opportunities from major country strategic competition, global FDI capital flow shift, FTAs, strategic partnerships, comprehensive strategic partnerships, especially with major economies.

However, Deputy Minister Tran Quoc Phuong also said that foreign investment in the new situation still has many issues that need to be resolved; that is, the most effective application and implementation of Resolution No. 50-NQ/TW of the Politburo on orientations for perfecting institutions and policies, improving the quality and effectiveness of foreign investment cooperation until 2030; especially, in the face of changes in the global and regional context, strategic competition between major countries, and the trend of shifting global investment flows.

“Vietnam is a global bright spot in attracting FDI, but the connection between the FDI sector and domestic enterprises is still weak, lacking cohesion, and has not strongly promoted technology transfer and improved position in global value chains,” Deputy Minister Phuong noted.

To increase FDI attraction in 2024, the Ministry of Planning and Investment will continue to implement the Government's Action Program to implement Resolution No. 50-NQ/TW dated August 20, 2019 of the Politburo. Accordingly, the Ministry has presided over and submitted to competent authorities to issue many directive documents in the fields of foreign investment, overseas investment, and investment promotion.

On the other hand, the Ministry has also proactively researched and assessed the impact of global minimum tax rates on attracting foreign investment flows in Vietnam and proposed solutions to attract and support new investments applied in the context of implementing global minimum taxes; researched and developed mechanisms and policies to attract FDI investment in chip technology, semiconductors, green hydrogen, etc.

According to VNA/Tin Tuc Newspaper

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