cách cá cược bóng đá手机版Japanese investment in Việt Nam on the rise in 2019

Japanese investment in Việt Nam on the rise in 2019

Thu Hà

HÀ NỘI — Japanese investment in Việt Nam is expected to grow this year, given Japan’s recent initiative to shift investment to Việt Nam and other Mekong River nations, as well as free trade agreements (FTA), experts said.

According to Hironobu Kitagawa, chief representative of the Japanese External Trade Organization (JETRO) in Hà Nội, the Vietnamese market will remain attractive to Japanese investors in  二0 一 九. Japan was the largest investor in Việt Nam last year with registered capital of nearly US$ 八 billion.

“Currently, many Japanese investors are coming to Việt Nam to seek business opportunities and I expect Japan and Việt Nam will maintain good business ties,” Kitagawa told Việt Nam News.

“Competitive human resources, economic and market growth, and a dynamic society are considered factors that make Việt Nam an attractive destination for Japanese firms to develop their business in the future,” Kitagawa said, noting Japanese investors can promote the advantages, given by Việt Nam’s expanding economic ties with many other countries across the world thanks to its active participation in FTAs such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

Kitagawa said a JETRO recent survey on investment trends among Japanese firms operating in Việt Nam in the  二0 一 八 fiscal year showed nearly  七0 per cent of Japanese businesses want to expand operations in Việt Nam after gaining good business performance last year. A total of  六 五. 三 per cent of the  七 二 三 Japanese companies recorded high profits in Việt Nam in  二0 一 八, according to the survey.

The majority of these companies said the market scale and growth are the greatest advantages of Việt Nam’s investment environment. Other positive factors include low labour cost and political stability.

“Việt Nam ranked fourth in political and social stability, and cheap labour cost while its market size and growth took the sixth position in the ASEAN, Southwest Asia and Oceania regions,” Kitagawa cited the survey as saying. 

Besides, experts forecast the Japanese investment inflow to Việt Nam would benefit from a Japan Chamber of Co妹妹erce and Industry initiative to shift Japanese investment to Việt Nam and other Mekong River nations with an aim to enhance economic partnerships between the two sides.

“Japan's initiative to move its investments to the Mekong region nations will likely see Việt Nam receive a significant slice of the pie, particularly if these investments are in lower-end manufacturing,” Jason Yek, country risk analyst of Fitch Group’s Fitch Solutions, told Việt Nam News.

Yek explained China accounts for  一 一. 六 per cent of Japan's total outbound FDI in  二0 一 七 as compared to just  二. 一 per cent for Việt Nam. Given the Chinese government's goal of moving the Chinese economy away from low-end manufacturing and the rising labour costs in China, this will likely see much of these Japanese direct investments shift to countries like Việt Nam, which boasts a relatively cheap and educated labour force alongside a large and growing working class population.

However, instead of just focusing on manufacturing, Kitagawa forecast Japanese investment inflow to Việt Nam’s non-manufacturing industries would keep rising in  二0 一 九 and in the next few years.

 “Japanese investment in Việt Nam’s non-manufacturing industries, such as retail, wholesale, IT, professional support and education, will continue to increase, fuelled by the rising growth of Việt Nam’s consumption market,” Kitagawa said.