Vietnam hopes to attract more capital from RoK
Policies and orientations on attracting foreign investment, especially from Korean businesses, spotlighted a conference in the capital city of Hanoi on October 18.
An overview of the forum. (Photo: VNA)
The forum lured the participation of more than 30 Vietnamese and Korean companies.
In her opening remarks, Vietnam News Agency (VNA) General Director Vu Viet Trang said Vietnam is not only the Republic of Korea (RoK)’s biggest trade partner in the Association of Southeast Asian Nations (ASEAN) but also a focal partner in its New Southern Policy. Currently, many Korean enterprises are making effective investments in the country, she said.
VNA General Director Vu Viet Trang speaks at the forum. (Photo: VNA)
As the Covid-19 pandemic was controlled, Vietnam and the RoK have continued stepping up cooperation in various fields to boost recovery and growth in the post-pandemic period, Trang said, adding that economic, trade and investment ties were a bright spot and an important pillar in the bilateral relationship. The latest data from the Ministry of Planning and Investment (MPI) showed that the accumulated registered FDI capital from the RoK from 1988 to September 2022 reached more than US$80.5 billion with more than 9,400 operating projects. In the first nine months of 2022, the RoK ranked second among 97 countries and territories investing in Vietnam with 290 projects, worth over US$3.8 billion. In his speech at the event, Do Nhat Hoang, Director of the Foreign Investment Agency under the MPI, praised the effective contributions of Korean enterprises to Vietnam’s socio-economic development. Particularly, the country has seen a shift in capital flows from Korean investors in basic manufacturing to high-tech industries, energy, banking, financial and high quality services, and M&A.
Do Nhat Hoang, Director of the Foreign Investment Agency, speaks at the event. (Photo: VNA)
Hoang said he believed that the RoK maintains its position as Vietnam’s leading source of foreign investment. “In the next one to two years, the two countries can fully realise the "Dual Goals", which aims at the milestone of US$100 billion in bilateral trade turnover and total accumulated investment,” he said.
Bae Yong Geun, Vice President of the Korean Chamber of Commerce and Industry in Vietnam (KOCHAM), said that Vietnam, the epicentre of the Korean wave in Southeast Asia, is an important destination, and the countries have experienced the strongest cooperation in the world. "The RoK is still Vietnam’s largest investor," said Bae, adding that more than 9,000 Korean companies are participating in various sectors, such as manufacturing, energy, culture, education and tourism. At the event, Yoon Chang Woo, General Director of POSCO Vietnam, an enterprise with more than 30 years of investment in Vietnam, said that thanks to the support from the Government, the company was able to overcome difficulties during the Covid-19 pandemic. Yoon suggested that southern provinces need to develop human resources and essential infrastructure. More Korean enterprises wish to invest in these provinces, but barriers in human resources and infrastructures might make them hesitate. For his part, Koen Soenens, General Sales and Marketing Director of DEEP C Industrial Zones, said DEEP C will continue to expand new industrial parks to welcome more large investors, and these new industrial parks will ensure sustainability standards like the current five parks. Entering Vietnam since 1997, DEEP C has been operating in the field of industrial park complex development. It is striving to a greener standard to be different, providing a sustainable and reliable investment location for customers is the goal of DEEP C.