|Workers produce motorbike parts at Thailand's TS VietnamCo in the capital's Noi Bai Industrial Zone. — VNA/VNS Photo
HA NOI (VNS) — The strong flow of foreign direct investment (FDI) into Viet Nam from multinational groups will continue in the 2015-20 period, economists forecast at an online discussion held recently by online newspaper Bizlive.
Chairman of the Vietnam Association of Foreign Invested Enterprises (VAFIE) Nguyen Mai stated that global economic recovery is on the mend, and successful businesses are scurrying to find lucrative investments.
Mai noted that universally, they consider Vietnam among the top investment destinations in the world, which is largely attributed to its population of nearly 100 million, of which 15 per cent belong to the middle class, and the country's solid economic growth rate.
Korea Trade-Investment Promotion Agency Deputy Director Park Chang Eun remarked that multilateral groups focus on the nation's ability to assimilate modern technologies.
They also consider the nation's political stability and commitment to offer preferential policies on the origin of products as strong-points, he added.
Deputy Director of the Ministry of Planning and Investment's Foreign Investment Agency Nguyen Noi emphasised that drastic measures to improve the business environment will be undertaken. Most notably, measures will be adopted to simplify customs formalities and streamline procedures to establish businesses, he reported.
The Ministry of Planning and Investment is also gathering recommendations on the revised draft Law on Investment, which is expected to create a more transparent investment climate, amending and adding new administrative procedures and addressing the difficulties in gauging the investment performance.
The amended law, which will be submitted to the National Assembly for approval this year, will clarify four issues: defining foreign investors, procedures to set up a business with foreign investors, procedures for capital contributions to buy shares, and essential issues to implement a one-door policy.
According to statistics, many multinational groups from the US, Japan, and Singapore have invested in Viet Nam with a focus on the processing industry, manufacturing, hotel, and real estate.
Experts forecast that the enforcement of the Land Law after July 1, which will allow foreigners and overseas Vietnamese to purchase homes in Viet Nam, will likely increase the flow of foreign capital into the country's real estate sector. — VNS