Vietnam has attracted more than 4.29 billion USD in foreign direct investment (FDI) in the first two months of 2024, a year-on-year increase of 38.6%, according to the Ministry of Industry and Trade (MoIT)’s Foreign Trade Agency.

During the period, 405 new projects with total registered capital of 3.6 billion USD were granted investment certificates, up 55.2% in volume and doubling the value recorded in the same period last year.

Meanwhile, 159 projects had their capital adjusted, with the total amount at 442.1 million USD, up 19.5% and down 17.4% year on year, respectively.

Capital contributions and share purchases fell 68% year on year to 255.4 million USD.

As much as 2.8 billion USD in FDI was disbursed in the two months, expanding 9.8% from the same time of 2023.

According to the MoIT, most of the capital was funnelled into cities and provinces with sound infrastructure, stable human resources, great efforts to improve administrative procedures and active engagement in investment promotion events.

Hanoi, Quang Ninh, Thai Nguyen, Ba Ria – Vung Tau, Bac Ninh, Dong Nai, Bac Giang, Ho Chi Minh City, Hai Phong, and Hung Yen topped the country in terms of FDI attraction, the Foreign Trade Agency shared, elaborating that the ten localities made up a lion’s share of 81.7% of the foreign capital in the period.

The capital city of Hanoi led all localities in FDI attraction with nearly 914.4 million USD.

Among the 48 countries and territories with investment in Vietnam during the January-February period, Singapore was the biggest investor, pouring more than 2.08 billion USD into the country, followed by Hong Kong (China), Japan, and China.

The investors injected capital into 16 out of 21 economic sectors, of which the processing and manufacturing industry took the lead with total investment of nearly 2.54 billion USD. It was followed by the realty sector (1.41 billion USD), whole and retail sale (125.2 million USD) and scientific and technological activities (nearly 76.4 million USD).

In the two-month period, the foreign-invested sector posted a trade surplus of more than 8.6 billion USD (excluding crude oil), helping compensate the domestic sector’s trade deficit of 4.63 billion USD.

As of February 2024, the country has 39,553 valid projects with total registered capital of 473.1 billion USD. Nearly 300 billion USD has been disbursed so far.