Domestic investors outnumber foreign counterparts in the Southeast

According to the Ho Chi Minh City Export Processing and Industrial Zones Authority (HEPZA), domestic investors invested VND17.95 trillion ($764 million) in the metropolis' industrial parks in the first ten months of this year, while foreign direct investment (FDI) was only $184 million. 

In the reviewed period, Binh Duong province, an industrial hotspot, drew $71.44 trillion and $1.3 billion. The increase was also witnessed in Dong Nai province, which had VND50.75 trillion and more than $1 billion. 

Experts explained that in the past, localities have been selective in attracting investment, prioritizing high-tech, less labor-intensive, and environmentally beneficial enterprises.

Furthermore, the industrial land fund in many cities and provinces in the region has shrunk, and new industrial parks have yet to be established, making them unsuitable for FDI projects.

Investors have identified huge potential in the region, where infrastructure such as Belt Road No. 3 in HCM City, the Bien Hoa-Vung Tau and Ben Luc-Long Thanh Expressways, and Long Thanh International Airport are projected to be finished by 2026.

As a result, both foreign and Vietnamese enterprises have proposed urban area, industrial park, and high-tech agriculture projects in Dong Nai and Binh Duong. 

Many have advised that the municipalities enhance their investment climate, upgrade infrastructure, and focus more on personnel training. 

As a result, authorities from provinces such as Binh Duong and Dong Nai have met on a regular basis with local groups and businesses to discuss how to remove barriers to lowering orders and encourage small and medium-sized enterprises in digital transformation.

Source: Vietnamplus