08:52 | 09/03/2016 Economy
(VEN) - Foreign direct investment (FDI) in Vietnam grew rapidly in January offering new indications of greater FDI attraction and disbursement during the year.
Specifically, the Ministry of Planning and Investment’s Foreign Investment Department said that FDI projects had disbursed US$800 million in January, a 23.1 percent increase from a year ago. This represents high growth since FDI disbursement is usually modest in the early months of the year and normally only increases in the last months.
Concurrent with the sudden growth in FDI disbursement, new and supplementary registered FDI capital also increased sharply in January. Specifically, the country attracted 127 new FDI projects with total registered capital of US$1.011 billion, a 157.9 percent increase from a year ago. In addition, 56 ongoing projects increased their capital by US$323.41 million, a 19.2 percent increase from last January. Both new and supplementary FDI capital soared by 101.2 percent to US$1.334 billion.
According to the Ministry of Planning and Investment, the rapid increase both in terms of registered and disbursed FDI capital in January offered positive indications of FDI flows in 2016. Minister of Planning and Investment Bui Quang Vinh also expected that FDI will increase this year.
The processing and manufacturing sector continued leading in attracting FDI in January with 58 new projects and total new and supplementary registered capital of US$905.15 million accounting for 67.8 percent of total investment capital. Among the 24 countries and territories investing in Vietnam in January, Singapore took the lead with total new and supplementary capital of US$295.47 million accounting for 22.1 percent of total investment capital. Malaysia took second place with US$243.57 million accounting for 18.2 percent of total investment capital, and China third place with US$179.51 million and 13.4 percent, respectively.
Exports from the FDI sector in January also increased by 3.2 percent from a year ago. Specifically, the sector exported US$9.745 billion worth of goods including crude oil accounting for 70.6 percent of total export revenues. Meanwhile, the foreign-invested sector imported US$8.15 billion worth of goods, a 1.2 percent drop from a year ago. The sector recorded an export surplus of US$1.595 billion this month.
Hanoi attracted the largest amount of FDI in January hosting 22 projects with total new and supplementary capital of US$243.51 million accounting for 18.2 percent of total investment.