Vietnam has approved foreign investment projects worth nearly US$2 billion in the first 10 months of the year, up 19 percent over the same period last year, state media reported yesterday.
Construction of two thermal power plants in the southern coastal province of Vung Tau account for 812 million dollars of the total capital, according to the Vietnam News.
Industrial and construction projects make up 92 percent of the 368 projects approved this year, the report said. So far, US$1.7 billion in capital has been disbursed, a 6 percent year-on-year increase.
In the face of the global economic downturn and plummeting prices in key exports such as coffee, Vietnam has been struggling to attract investment to meet a 7.1 percent GDP growth rate target.
The World Bank earlier in the week advised Hanoi to continue with its economic reforms process -- especially the streamlining of state-owned enterprises -- to stimulate more growth.
"At a time when growth is hard to get, you need all hands on board," said World Bank representative Andrew Steer.
He said Vietnam is wise in its plans to capitalize on its recently being named the safest of 13 countries in the Asia-Pacific region -- out-ranking such countries as Singapore and Australia in the new environment after terrorist attacks on the US on Sept. 11.
"Vietnam needs to demonstrate that it is not only a safe country to invest in, but a productive country to invest in," Steer said.
In past years, Vietnam has worked to streamline business licensing, creating "one-stop shops" and recently ordered police not to visit businesses without special reason to fight the appearance of seeking bribes. However, reforms in the banking sector and privatizing state-owned companies has gone more slowly.
RSS