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SINGAPORE IS VIETNAM’S SECOND LARGEST FOREIGN INVESTOR
Among the 143 countries and territories investing in Vietnam, Singapore is the second biggest source of foreign investment with 3,274 active projects worth US$73.5 billion. More investment capital from Singapore is expected to come to Vietnam as Singaporean Prime Minister Lee Hsien Loong arrived in Vietnam yesterday for a three-day official visit at the invitation of his Vietnamese counterpart Pham Minh Chinh.
Loong’s fifth Vietnam visit in his capacity as PM of Singapore would bolster the strategic partnership between the two countries, with a particular focus on the digital and green economy, according to the Vietnamese Government news site at baochinhphu.vn.
Bilateral ties have grown steadily over the years. Two-way trade reached US$8.3 billion in 2021 and soared by 11.6% to US$9.15 billion in 2022. Last year Vietnam had a trade deficit of half a billion U.S. dollars with Singapore.
From January to June, Singapore became Vietnam’s largest investor with 163 newly licensed projects, 72 projects with capital revisions, and 164 projects involving capital contribution and share acquisition.
Singaporean investors are engaged in a wide range of economic sectors in Vietnam. However, their primary focus is on manufacturing and processing, with 775 projects valued at US$28.6 billion. Additionally, the real estate and power generation and distribution sectors are also appealing to investors from Singapore, with 214 property projects and 47 power projects, with respective capital of US$19.1 billion and US$11.8 billion.
Singapore investors are present in 51 of Vietnam’s 63 provinces. Leading the pack, HCMC attracts the most investment capital from Singapore, accounting for 19.3%. Hanoi ranks second at 10.8% and Bac Ninh Province at 7.6%.
Conversely, Vietnam has invested in 153 projects in Singapore, with total capital exceeding US$690 million. These projects primarily target science and technology, retail and wholesale, telecommunications, real estate, manufacturing and processing.
Source: VNS
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