As of July 20, 2024, the total newly registered capital, adjusted and contributed capital to buy shares purchase of foreign investors reached over 18 billion USD, a year-on-year rise of 10.9%. The capital generated by FDI projects was estimated at 12.55 billion USD, up 8.4% over the same period in 2023.

Accumulated to July 20, 2024, the whole country has 40,777 valid projects with a total registered capital of 487 billion USD. The accumulated realised capital of foreign investment projects reached about 309.7 billion USD, equalling 63.6% of the total valid registered investment capital.

Details are as follows:

I. FDI INFLOWS OF VIETNAM

1. FDI attraction in the first seven months of 2024

1.1. FDI performance:

Realised capital:

As of July 20, 2024, disbursement of FDI projects were estimated at about 12.55 billion USD, up 8.4% year-on-year.

Import and export performance:

Export: Export (including crude oil) was estimated at 162.9 billion USD, up 13.1% year-on-year, accounting for 72.3% of export turnover. Export (excluding crude oil) was 161.8 billion USD, an increase of 13.2% from a year earlier, accounting for 71.8% of the country’s export turnover.

Import: Imports of the foreign-invested sector attained nearly 135 billion USD, an increase of 16.9% over the previous period and accounting for 63.4% of the country’s import turnover.

In the first seven months of 2024, the FDI sector saw a trade surplus of about 27.9 billion USD including crude oil and 26.8 billion USD excluding crude oil, while the domestic sector had a trade deficit of 15.55 billion USD.

1.2. Investment registration

As of July 20, 2024, the total newly registered capital, adjusted capital and capital contributions and share purchases of foreign investors stood at over 18 billion USD, a year-on-year rise of 10.9%. Particularly, new investment and added capital rose while capital contribution and share purchase fell compared with the figure of the same period last year,

Of which:

Newly registered capital: There were 1,816 projects worth 10.76 billion USD, were granted licenses, up 11.6% in number and 35.6% in value year-on-year.

Adjusted capital: There were 734 projects had their capital added with a total of about 4.97 billion USD, dropping 0.3% in number and rising 19.4% in value projects had their capital added with a total of.

Capital contribution and share purchases: There were 1,795 capital contribution and share purchases by foreign investors (down 3.1% year-on-year) with a value of nearly 2.27 billion USD (down 45.2% year-on-year).

(Detailed data in Appendix I attached)

By sector:

Foreign investors poured funds into 18 out of 21 sectors in the national economic classification system, of which the processing and manufacturing industry took the lead with over 12.65 billion USD, making up 70.3% of the total and rising 15.7% from the same period last year. The real estate came next with a total investment of over 2.87 billion USD, accounting for 16% of the total and increasing 78% compared with the same period last year. Followed were wholesale and retail, and professional, science and technology activities with 740.5 million USD and 490.6 million USD, respectively

It is also worth noting that processing and manufacturing was the sector with the largest number of new projects (35.1%) and projects had their capital added (65.8%). The wholesale and retail led in the number of capital contributions and share purchases (42.1%).

By counterpart:

There were 91 countries and territories investing in Vietnam in the first seven months of 2024. Singapore was Vietnam’s leading source of foreign investment with approximately 6.52 billion USD, making up 36.2% of the total FDI registered in the country (up 79.1% year-on-year). Hong Kong (China) came second with over 2.19 billion USD, making up 12.2% of the total, double the figure compared with the same period last year. Next were Japan, China, South Korea and so on.

Regarding the number of projects, China led in terms of number of newly-registered projects (accounting 29.7%); South Korea topped the list when it comes to turns of added capital (24.5%) and capital contributions and share purchases (26%).

By location:

The foreign investors had invested in 48 provinces and cities nationwide in the first seven months of 2024. Bac Ninh led the way with a total registered capital of about 3.2 billion USD, making up 17.8% of the total and 3 times higher than the figure of previous year. Quang Ninh ranked second with over 1.56 billion USD, accounting 8.7% of the total and 2.2 times higher as compared with the same period last year. Ho Chi Minh ranked third with a total registered capital of approximately 1.55 billion USD, accounting for 8.6% of the total. Followed by Ba Ria - Vung Tau, Ha Noi, Hai Phong and so on.

Ho Chi Minh City was the best performer in attracting new projects (39.1%), and capital contributions and share purchases (70.1%); Ha Noi led in added capital (14%).

2. Evaluation of the FDI performance in the first seven months 2024

- The realised capital and total registered capital continued to grow compared with the same period, up 10.9% and 8.4% respectively; In which, new-registered capital, new investment projects and investment scale increased (with the average of more than 5.9 million USD per project as compared with the figure of 4.9 million USD per project in the same period).

- The total registered capital in July reached 2.8 billion USD, accounting for 15.6% of the total investment capital since the beginning of the year and ranking third out of seven months (after June and April).

- Investment still focused on cities and provinces that have more advantages such as infrastructure, stable human resources, efforts to reform administrative procedures, and active investment promotion, like Bac Ninh, Quang Ninh, Ho Chi Minh City, Ba Ria - Vung Tau, Ha Noi, Hai Phong, Binh Duong, Dong Nai, Bac Giang, and Thai Nguyen. These ten localities accounted for 79.5% of the country’s newly-registered projects and 78.6% of the total investment capital in the first six months.

- Asian and traditional investors accounted the most proportion in the seven months (those from Singapore, Hong Kong (China), Japan, China and South Korea). These five partners accounted for 73.7% of newly-registered projects and 77% of total national investment capital).

- Many large projects in the fields of semiconductors and energy (production of batteries, photovoltaic cells and silicon bars), component manufacturing, electronic products, and high value-added products received new investment and expansion in the first seven months of 2024.

- Export of the FDI sector continued to increase compared to the same period last year. With a trade surplus of 27.9 billion USD (including crude oil) and 26.8 billion USD (excluding crude oil), the FDI sector offset the trade deficit of 15.55 billion USD of the domestic business sector, helping the country have a trade surplus of about 12.4 billion USD in the first seven months of 2024.

3. Accumulated foreign investment as of July 20, 2024

Accumulated as of July 20, 2024, the whole country has 40,777 valid FDI projects with a total registered capital of over 487 billion USD. The accumulated realised capital of FDI projects is estimated at about 309.7 billion USD, equalling 63.6% of the total valid registered investment capital.

- By sector: Foreign investors have invested in 19 out of 21 sectors in the national economic classification system, in which the processing and manufacturing accounted for the highest proportion with over 294.1 billion USD, accounting for 60.8% of the total investment capital. It was followed by real estate sector with nearly 70.6 billion USD (representing 14.5%); electricity production and distribution with about 40.8 billion USD (or 8.4%).

- By counterpart: In July, new projects from Kyrgyzstan raised the total number of countries and territories investing in Vietnam to 147. In which, South Korea ranked first with a total registered capital of over 87.6 billion USD (accounting for 18% of the total). Singapore ranked second with over 80.7 billion USD (representing for 16.6%), followed by Japan, Taiwan (China), and Hong Kong (China).

- By location: FDI has been present in all 63 provinces and cities nationwide, of which Ho Chi Minh City remained the leading province in attracting foreign investment with over 58 billion USD (accounting for 11.9% of the total investment capital), followed by Hanoi with 43.6 billion USD (or 8.9% of the total investment capital), Binh Duong with over 41.5 billion USD (representing 8.5% of the total investment capital).

(Detailed data in Appendix III attached)

II. FDI OUTFLOWS OF VIETNAM

In the first seven months of 2024, Vietnamese investors invested 64 new projects abroad and 15 projects had their capital added. Vietnam’s total investment were approximately 150.7 million USD (equivalent 47% year on year).

Vietnamese investors have invested in 12 sectors abroad. Of which, mining sector took the lead (accounting for 38.9% of the total), processing and manufacturing industry (or 19.2%) and wholesale and retail (or 16.4%). The rest were other sectors.

There were 23 countries and territories receiving investment from Vietnam in the first seven months of 2024, namely the Netherlands (36.2%), Laos (24.3%), the US (12.4%), Cambodia (8.2%).

Accumulated as of July 20, 2024, Vietnam had 1,750 valid aboard investment projects with total registered investment capital of over 22.27 billion USD.

Vietnam’s investment aboard focuses mainly in: mining (31.6%); agriculture, forestry and fishery (15.5%). The areas receiving the most investment from Vietnam were Laos (24.7%); Cambodia (13.1%); and Venezuela (8.23%)./.

(Detailed data in Appendix IV and V attached)

Translated by Bao Linh

Ministry of Planning and Investment