Capital added in operating projects by foreign investors saw a yearly decline of 76 per cent during the month to $306.3 million, while their capital contributions and share purchases also declined by 61 per cent YoY to over $174 million.

Vietnam attracted foreign investment worth $1.69 billion in January this year, down by 19.8 per cent year on year, according to the Foreign Investment Agency under the ministry of planning and investment. A hundred and fifty three new foreign-invested projects—valued at $1.2 billion—were granted licenses in the month, up by 48.5 per cent in number.

Disbursed capital also declined by 16.3 per cent to an estimated $1.35 billion in the month, FIA said, adding that the processing and manufacturing industry saw $1.05 billion worth of foreign investment disbursed, making up 77.6 per cent of the total.

Twenty eight foreign countries and territories invested in Vietnam in January. Singapore was the largest with $767.6 million, followed by China with $198.2 million, according to a report in a Vietnamese media outlet.

Vietnamese investors poured $126.7 million into their projects overseas, increasing by 3.4 times against the same month in 2022.

Among the three countries and territories receiving investment from Vietnam, South Korea led with $125.1 million, accounting for 98.7 per cent of total investment capital; followed by Thailand ($1.5 million or 1.2 per cent); and Laos ($140,000 or 0.1 per cent).

Vietnam is likely to attract $36-38 billion worth of FDI this year, Do Van Su, deputy director of the department of foreign investment, said. South Korea, Japan and Taiwan are expected to be among the main sources of investment.

Fibre2Fashion News Desk (DS)