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BIZ GUEST

RECOVER - REGAIN - REBOUND

“I believe this year’s business focus is all about emerging stronger and bolder,”
Mr. Benjamin Lam, CEO of Industrial Park Projects at VSIP Group and COO at VSIP JSC,
told VET in discussing FDI inflows in the eyes of a Singaporean expert.

hensive Economic Partnership (RCEP)
comes into force. Moreover, many impor-
tant free trade agreements (FTAs) Vietnam
has signed continue to introduce roadmaps
and set the stage for a promising comeback
in the year ahead.
The more than $1 billion that Denmark’s
Lego Group invested in VSIP Binh Duong
and the nearly $1 billion in additional
investment by VSIP Group in VSIP Bac
Ninh can also be regarded as factors sup-
porting inflows.

% Bac Ninh led the country in attracting
FDI in the first two months of 2022.
The biggest contribution came from the
VSIP Group, in its “Investment in the
construction of urban infrastructure
and services at VSIP Bac Ninh” project,
which increased its capital by nearly
$941 million. As CEO of Industrial Parks
at VSIP Group and General Director of
VSIP Bac Ninh, can you tell us about
the investment climate in Bac Ninh and
what you see as the reasons for its success
in FDI attraction over the past year?
Bac Ninh is the smallest province in
Vietnam in terms of land area but has
long been popular as a destination for for-
eign investors. There are 16 industrial
parks and 26 industrial clusters in the
province. The unique provincial policy of
“2 Less, 3 High, 4 Ready” promoted invest-
ment attraction despite the significant
challenges in 2021.
Under “2 Less”, local authorities selec-
tively prioritize projects using less land
and less labor.
% Due to the pandemic, FDI to Vietnam plus 1” model for their operations, are key The policy of “3 High” - high investment,
is predicted to surge in 2022 after a long factors helping the country remain an high budget contributions, and high-tech
hiatus. What is your view on this predic- attractive destination for FDI. content - is suitable for investors bringing
tion? What do you think are the driving In addition to these factors, the following new and modern technologies. The local
forces behind this promising outlook? will also help propel FDI inflows in 2022. manufacturing and processing industry is
FDI commitments and inflows accel- The government’s strategy of safely and improving in regard to science and tech-
erated from the first months of 2022, with flexibly adapting to the Covid-19 pandemic nology and Industry 4.0. As a result, the
a prosperous year tipped for the key capital and the country’s high vaccination rate proportion of high-tech industrial pro-
source. As a result, $2.1 billion in new gives foreign companies confidence to duction has jumped to 86 per cent.
investment and $1.6 billion in disbursement invest in Vietnam and enables the domestic And “4 Ready” consists of being ready
were recorded, both of which are positive workforce to spring into action. as an investment location, ready with work-
signs confirming the prediction. Vietnam is no longer facing the risk of force, ready for reform, and ready to support.
Vietnam’s favorable geographic location being labelled “a currency manipulator”, Improving the quality, professionalism, and
in the heart of East Asia, golden population thanks to an agreement between the US transparency of policies and laws, reforming
structure, lower cost of skilled labor, impres- Treasury Department and the State Bank its business environment, and streamlining
sive economic growth, and expansion of of Vietnam (SBV) on currency policy signed administrative procedures, especially those
investment abroad, together with the shift- in July 2021, which will stimulate multi- relating to land and site clearance, are sig-
ing of manufacturing philosophies from national corporations to invest in Vietnam. nificant achievements that “4 Ready” has
global businesses now pursuing a “China 2022 is when the Regional Compre- brought about.

20 | VIETNAM ECONOMIC TIMES | APRIL 2022 www.en.vneconomy.vn