There were 1,091 new investment licences issued in 2011 to foreign enterprises in Vietnam. Japanese manufacturers are major investors in Vietnam Investors from Korea (270 licences), Japan (208 licences) and Singapore (105 licences) led the way. As for Japanese foreign direct investment (FDI) to Vietnam, we are very pleased because we broke the record of 157 licences in 2007. We are sure that Japanese companies are the biggest investors to Vietnam in terms of total invested capital. We can also say that Japanese manufacturing industries are major investors in Vietnam, making up more than 75 per cent of total investment projects and more than 90 per cent of the total amount of capital shared by Japanese manufacturing industries. Vietnam will continue to be one of the most promising destinations for Japanese investment in East Asia on the condition that continuous efforts are made to improve the investment climate in Vietnam. FDI future in Japan’s manufacturing … [Read more...] about Infrastructure vital to boosting FDI
Infrastructure
Unsynchronized infrastructure development in Phu Quoc airport
While the Phu Quoc International Airport in Kien Giang Province is likely to reach completion by the year’s end, infrastructure works around it have come to a halt due to capital shortage. Work on the runways, hangars, and terminals are 65 percent complete, and the project will become operational on schedule, the investor representative said. The VND16.2 trillion (US$810 million) airport, located in Duong To Commune, Phu Quoc District, will replace the existing Phu Quoc Airport 10 km away. Unlike the rapid working pace at the airport, however, no sign of construction can be seen on the sites of the infrastructure projects around it. These days, no workers are spotted on the construction site to build the main 20-km route connecting the north and south ends of the district from Duong Dong Town to Suoi Lon Bridge, and the bulldozers are left unused. “The constructors worked on the site for only a few months, and have since disappeared,” said Nguyen Van Sang, a … [Read more...] about Unsynchronized infrastructure development in Phu Quoc airport
MPI says infrastructure in poor ‘cause of bad thinking
The Ministry of Planning and Investment (MPI) has submitted to the government, the plan on building the infrastructure system in 2011-2020, pointing out that the current infrastructure remains very poor due to the unreasonable way of thinking. In its report, the ministry has pointed out that despite the heavy investment, the infrastructure system remains weak and backward. The transport infrastructure system, for example, is lagging behind the world in all terms of quality, equipments, operation and management. The highways in Vietnam now just account for 0.1 percent of the total roads, while the proportions are much higher in Thailand (13.3 percent) and South Korea (3.3 percent). Vietnam still does not have high-speed railways, modern seaports and airports, and still cannot meet the demand for multi-modal transportation. Meanwhile, the national electricity grid remains weak, which explains why the power loss in the transmission is very high at 9-10 percent. The irrigation … [Read more...] about MPI says infrastructure in poor ‘cause of bad thinking
EIB called to support Viet Nam’s infrastructure development
Photo: VGP The deputy PM made the call at a reception for EIB Vice President Jonathan Taylor in Ha Noi on January 9.He thanked the EIB for its specific steps in supporting Viet Nam over the past few years, stating that multifaceted cooperation between Viet Nam and the European Union (EU) is growing smoothly, particularly in the spheres of economy, trade and investment, thereby contributing significantly to the development of Viet Nam and EU member states. Viet Nam currently has a big demand for resources in service of infrastructure development, Dung said, stating that the country is in need of developing the North-South Expressway, airports, seaports, as well as clean and renewable energy sources.As one of the countries most affected by climate change and sea level rise, Viet Nam urgently needs resources to serve the sustainable development of vulnerable areas and the effective adaptation to the negative effects of climate change, he said. … [Read more...] about EIB called to support Viet Nam’s infrastructure development
Poor infrastructure keeps Vietnamese millionaires away from yachts
Vietnamese millionaires are rich enough to possess yachts. The only reason which makes them hesitate to purchase yachts is the poor infrastructure and the lack of marinas. How big the Vietnamese market? Duong Hong Thuy, Director of the Representative of China-based Heno Company, which specializes in making ship parts and equipments, said that most of the demand from Vietnam focuses on medium class products, while there is almost no order for high class yachts. The main clients are mostly private companies or travel firms who provide yacht leasing services. Few Vietnamese individuals purchase yachts because yachts are really expensive, while different tax rates are being applied to individual and institutional owners. According to Nguyen Anh Tuan, Director of the Vietnam Maritime Technical Service Company, individuals are imposed 10 percent of import tax, 10 percent of VAT and 30 percent of luxury tax. Meanwhile, the travel firms which are licensed to carry passengers can enjoy … [Read more...] about Poor infrastructure keeps Vietnamese millionaires away from yachts