Deputy Minister of Planning and Investment Tran Quoc Phuong has outlined three groundbreaking solutions to attract foreign direct investment (FDI), especially for the semiconductor and new industries.

Answering questions FDI and large technology projects, Phuong said FDI began recovering strongly in the last six months of 2023 and gained encouraging growth.

Several reasons cited were political, security and macroeconomic stabilities. The success of high-ranking diplomatic activities also helped attract foreign investment, and foreign investors foresee the great potential of the economy.

The encouraging results in FDI attraction continued in the first two months of this year. The registered FDI capital during that time reached $4.29 billion, up 38.6 percent over the same period last year.

Phuong said this was a very high growth rate, if noting that several percent would be satisfactory. The disbursement rate was also very good, with 9.8 percent growth rate, or $2.8 billion. The high registered capital and disbursement rate showed foreign investors’ interest in Vietnam.

The high ratios of new capital and new projects will have a positive impact on Vietnam’s growth in 2024 and 2025.

Regarding solutions to investment attraction, Phuong said the Prime Minister has assigned tasks to ministries and branches. The Ministry of Planning and Investment (MPI) takes responsibility for attracting foreign investments, especially major investors and projects in priority business fields, including science and technology, and innovation.

He emphasized Vietnam’s strategy to attract investment in the microchip – semiconductor industry, as well as new industries.

Foreign investors are concerned about infrastructure and land. The solution is speeding up large infrastructure projects and promulgating legal documents that guide the implementation of the amended Land Law.

Human resources are also important. The Prime Minister has called for a plan on producing 100,000 workers in innovative fields and semiconductors, including 50,000 engineers for semiconductors.

Foreign investors expect breakthroughs in institutional reform. The government has recently submitted to the National Assembly new policies which will help increase growth and investment, including Land Law, Law on Bidding and others. The new visa policy which increases the number of countries enjoying Vietnam’s visa waiver and extends the length of stay not only helps attract more tourists, but also satisfies investors.

Viet Nam Net