Vietnam urges German investors to focus on production

10:51 | 08/08/2017 Cooperation

(VEN) - Prime Minister Nguyen Xuan Phuc met leading German companies in the information technology, finance, healthcare, agriculture, and the high-tech fields during his recent visit to Germany and suggested that they invest in production in Vietnam.  

vietnam urges german investors to focus on production
PM Nguyen Xuan Phuc (2nd from the R) visits a gas turbine manufacturing factory of Siemens Group - Photo:

The PM said Vietnam is a dynamic economy with rapid growth, a stable macro-economy, and favorable business environment, adding that the country is shifting economic growth to high-added value sectors and has joined many new-generation free trade agreements.

The German investors applauded the Vietnamese government’s efforts to promote the fourth industrial revolution and expressed their wish to cooperate with Vietnam in the training of human resources.

The meeting also focused on the development of smart cities, which use digital technologies to enhance the performance of urban services. “We are working with Vietnamese businesses to invest in lighting infrastructure to develop smart cities that can save up to 65 percent of electricity. In addition, smart cities ensure safety for people and visitors,” said Karsten Vierke, the CEO of Philips Lighting DACH.

Prime Minister Phuc praised the project, noting that Vietnam’s economic growth is also resulting in increasing demand for electricity, and savings of up to 65 percent in power consumption could prove very important. He said he hoped Philips Lighting DACH would expand its projects to all of Vietnam’s major cities.

The prime minister also welcomed investment by Deustche Bank in the field of finance and the securities market. He noted that the Vietnamese securities market is stable and growing continuously. In particular, the VN-Index rose to record highs over the past nine years.

Discussing long-term policy to develop the renewable energy sector and attract investors, the Prime Minister said Vietnam has great potential in terms of renewable energy sources, such as wind and solar, and urged German investors to consider investment in that sector. He also added that the Vietnamese Ministry of Industry and Trade had been tasked with proposing a new wind power price framework to encourage investors.

The prime minister suggested that German investors focus on investment in production rather than product consumption. The Vietnamese government is committed to creating the most favorable conditions for businesses, and taking into account the legitimate aspirations of investors, he said.

Nguyen Quang