HA NOI — Viet Nam's investment in Myanmar is expected to reach US$2 billion by 2015 from its current $500 million, said Tran Bac Ha, chairman of the Association of Vietnamese Business Investors in Myanmar (AVIM).
|Customers make deposits at the Bank for Investment and Development of Viet Nam, which is among a number of firms pouring money into Myanmar. — VNA/VNS Photo Pham Hau
Ha, also chairman of the Bank for Development and Investment in Viet Nam (BIDV), made the statement at the meeting with Myint Swe, chief minister of the Yangon Division, accompanied by a delegation of more than 20 Myanmar businesses in Ha Noi yesterday.
Statistics showed that by the end of last year, Viet Nam had 15 planned investment projects in Myanmar with total registered capital of $514 million.
Several initiatives, including those of Simco Da River Company, Viettel, Vietnam Airlines, PetroVietnam, PetroVietnam Exploration and Production Corporation (PVEP) and Viglacera Corporation, have obtained business licences thus far.
Recently, Hoang Anh Gia Lai Real Estate Development Company invested $300 million in a trading, office and housing complex in Yangon.
"Viet Nam has opened direct flights from Ha Noi and HCM City to Yangon in efforts to promote trade and tourism between the two countries," Ha said.
However, he added that the two sides needed to further promote co-operation, as Myanmar's foreign direct investment into Viet Nam has not yet reached its full potential.
The chairman said HCM City would hold a trade fair in Yangon on the 15th and 19th of next month, to include a local business delegation in search of co-operative opportunities.
He called on the Myanmar Government to approve a Vietnamese sugarcane, wine, ethanol and micro-organism fertiliser complex in Yangon.
The BIDV project is expected to produce 7,000 tonnes of sugar per day in its first phase and 20,000 tonnes in the second phase, 30MW of electricity and 1,000 tonnes of micro-organism fertiliser.
Swe said the Yangon Government would support Viet Nam's investment in Myanmar.
He added that authorities from the International Monetary Fund and World Bank have been supporting Myanmar in improving its banking system.
In addition, the country has opened its market to foreign banks, especially those with already established representative offices.
The AVIM, including 45 leading Vietnamese businesses, was established in 2009. It has organised more than 600 trips for Vietnamese business delegations and around 2,000 entrepreneurs to Myanmar for investment co-operation purposes. — VNS