Vietnam has become a magnet for foreign direct investment (FDI). FDI inflows to Vietnam stood at $2.4 billion in 2006, or 0.2 per cent of the global FDI flows. This has grown to $14.1 billion and 1 per cent in 2017. This share is set to rise further as more multinationals seek to set up manufacturing production in the country. In the first four months of this year, there have been 1,082 new projects that were granted investment certificates, with the total registered investment capital amounting to $5.34 billion, a 50 per cent increase from the same period last year. What attracts foreign investors to Vietnam are its political stability, a welcoming policy environment, skilled and competitive labour force, and access to the global market place with the country securing free trade agreements which will cover 60 per cent of the world’s GDP. The benefits of FDI to the Vietnamese economy are evident in the strong GDP growth performance, the rapid rise in the country’s total … [Read more...] about What’s needed to shift towards higher quality investment?
What innovation changed the textile industry
Mai Linh launches cooperative to attract idle cars Mai Linh Group on November 15 will officially introduce and start the operation of Hoa Binh Xanh Taxi Cooperative in HCMC, which will call for the participation of owners of idle cars. According to the group’s press release, the cooperative is expected to offer more choices to the group’s customers. Early joiners of Hoa Binh Xanh Cooperative will be exempt from the management fee until December 31. They will also receive a uniform, free training courses and practicing certificates. After that, they will have to pay the management fee of only 13.9% of revenues for the duration of their contracts. Hoa Binh Xanh Cooperative will share Mai Linh’s taxi booking app and use call center 1055. The cooperative’s taxicabs will not be forced to have bright colors or be repainted in green, the traditional color of Mai Linh. However, they will have a lightbox highlighting the word “Taxi,” the Hoa Binh Xanh logo … [Read more...] about BUSINESS NEWS IN BRIEF 15/11
In the Industry 4.0 era, General Electric (GE) is ready to partner up with ASEAN member economies, including Vietnam, to realise the power of technology and innovation. Alex Dimitrief, president and CEO of GE Global, talked with Hoang Anh during his visit to Hanoi for the World Economic Forum on ASEAN 2018 – Entrepreurship and the Fourth Industrial Revolution. In the Industry 4.0 era, General Electric (GE) is ready to partner up with ASEAN member economies, including Vietnam, to realise the power of technology and innovation. Why do you think Industry 4.0 was chosen as the main theme for the World Economic Forum on ASEAN? The World Economic Forum (WEF) this year has gathered policymakers and focused on finding the optimal way to regulate Industry 4.0, hence the theme. It is a very important policy issue that goes beyond technical innovation and requires co-operation between the government, businesses, and the academia around the world. Industry 4.0, ranging from … [Read more...] about Fueling innovation throughout ASEAN
Nguyen Chi Dung It has been three decades since Vietnam started opening its doors to foreign direct investment (FDI). What role has FDI played in the country’s socioeconomic development in your view? In short, I would describe foreign-invested enterprises (FIEs) as the “trail-blazers” helping propel Vietnam’s socioeconomic development. Three decades ago, as soon as Vietnam enacted the Law on Foreign Investment, foreign investors arrived to set up their manufacturing facilities and engaged in business in the country. They have worked like “busy bees” to create “sweet fruits”. They have reaped the benefits and made great contributions to Vietnam’s socioeconomic development since then. It is noteworthy that at the time, the country’s doi moi policy had been taking place for about a year and the country’s economy faced mounting challenges. Now, after three decades of FDI attraction, the country has performed spectacular … [Read more...] about FIEs as the “trail-blazers” of Vietnam’s stellar growth
Vinatex completes 65% of yearly revenue target Viet Nam National Textile and Garment Group (Vinatex) has completed 65 per cent of the yearly target set for total revenues with its eight-month result (excluding VAT) reaching over VND31.45 trillion (US$1.34 billion). This figure also represented a rise of 7 per cent against the same period last year, the textile group reported in a filing to the Ministry of Planning and Investment. In August alone, it earned VND4.48 trillion in revenue, down 5 per cent year-on-year, of which turnover of the parent company and subsidiaries with its holdings of over 50 per cent capital reached almost VND1.74 trillion. Revenues from other affiliate companies in which the group holds less than 50 per cent capital reached a combined VND2.74 trillion. Vinatex attributed the growth in total revenues to increases in sales of fibre products (96,051 tonnes, up 9.5 per cent year-on-year), fabric of all kinds (100.7 million m3, up 18.6 per cent) … [Read more...] about BUSINESS NEWS IN BRIEF 1/9