Measures to improve FDI attraction, bolster the competitiveness of Vietnamese enterprises, and make the local investment environment more transparent were discussed at a workshop held by State Audit of Vietnam (SAV) in Hanoi on June 9.

Deputy General Auditor Doan Xuan Tien speaks at the event

In his opening remarks, Deputy General Auditor at the SAV Doan Xuan Tien emphasised that FDI is a key element in a country’s development, especially for developing countries in general and Vietnam in particular.

Since joining the WTO and signing a range of free trade agreements (FTAs) with foreign partners, FDI flows into Vietnam have increased sharply every year in recent times.

Over the last three decades the country attracted more than 30,000 FDI projects from 130 countries and territories, with total registered capital of US$362 billion.

FDI projects, he went on, have helped generate employment and train workers, contributing to creating a skilled workforce and helping Vietnamese firms join global supply chains.

He also, however, touched on law violations by FDI firms, noting that annual auditing activities have uncovered many violations regarding environmental protection, land, and transfer pricing. Therefore, the Deputy General Auditor emphasised the need to amend regulations to address certain issues.

Vice Chairman of the Vietnam Chamber of Commerce and Industry (VCCI) Hoang Quang Phong said Vietnam needs to adjust its FDI attraction policies and focus FDI flows on economic restructuring and renewal of the growth model to increase productivity, efficiency, and competitiveness in the national economy.

Participants said localities’ policies to attract investment should be implemented consistently and be based on law and regional socio-economic development planning.

They also proposed solutions to improve the role and auditing quality of the SAV, thus contributing to preventing and minimising law violations by FDI firms and ensuring discipline and sustainability in the national finance system.