A production line at an FDI-funded company in Dong Nai province. (Photo: VNA)

Despite a slight 3% year-on-year decrease in total FDI commitments, which amounted to 38.23 billion USD, the country recorded positive indicators in several areas. A total of 3,375 new projects worth 19.7 billion USD were approved, up 1.8% and down 7.6% year-on-year, respectively. FDI inflows targeted 18 of Vietnam’s 21 economic sectors, with the manufacturing and processing industry taking the lead with 25.58 billion USD, followed by real estate with 6.31 billion USD.

In terms of investors, 114 countries and territories poured capital into the country. Singapore topped the list with 10.21 billion USD, followed by the Republic of Korea, China, Hong Kong, and Japan.

Bac Ninh emerged as the top destination for FDI, attracting 5.12 billion USD, 2.8 times higher than the 2023 figure. Hai Phong and Ho Chi Minh City secured the second and third spots, attracting 4.94 billion USD and 3.04 billion USD, respectively.

The FIA said foreign capital continues to play a pivotal role in Vietnam’s economic development. While the total registered FDI dropped slightly, increases in capital added to existing projects (50.4%) and the number of new projects (1.8%) reflect investors’ strong confidence. The implementation of major projects in semiconductors, energy, and high-tech industries have bolstered the local economic transformation.

The FDI sector contributed around 20.49 billion USD to the state budget and was a key driver of exports, generating an estimated 290.8 billion USD in export turnover, including crude oil, a year-on-year growth of 12.2%. The sector accounted for 71.8% of Vietnam’s total exports and posted a trade surplus of nearly 49.2 billion USD, offsetting the domestic sector’s trade deficit of 25.4 billion USD, leading to the nation’s trade surplus of 23.8 billion USD.

By the end of 2024, Vietnam had attracted a cumulative 502.8 billion USD in FDI across 42,002 valid projects. The manufacturing and processing industry dominated with 308.76 billion USD, followed by real estate (73.18 billion USD) and power production and distribution (41.93 billion USD).

The RoK was the top investor with over 92 billion USD, followed by Singapore, Japan, Taiwan (China), and Hong Kong (China). HCM City led in FDI attraction with nearly 59 billion USD, trailed by Binh Duong (42.48 billion USD) and Hanoi (42.34 billion USD).