Dong Nai's FDI disbursement among the top in the country

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Producing electronic components for export at Fujitsu Computer Products of Vietnam in Bien Hoa 2 Industrial Zone

Up to now, Dong Nai has attracted more than 1,500 FDI projects (still valid) with a total registered capital of over 30.5 billion USD. Particularly, the province's industrial zones attract 1,340 projects with a total registered capital of nearly 25.8 billion USD. In spite of the severe impact of the Covid-19 pandemic causing serious impacts on Vietnam's economy as well as the world since the beginning of the year, the disbursement of FDI capital in Dong Nai still remains high compared to the same period in 2019.

Businesses confident in pouring capital into the province

Up to now, Vietnam has attracted nearly 31.700 FDI projects from 93 countries and territories in the world, with a total registered capital of over 370 billion USD. The disbursed FDI has reached more than 215.6 billion USD, reaching over 58% of the total registered capital.

According to the Ministry of Planning and Investment, Ho Chi Minh City, Hanoi, Binh Duong, Dong Nai and Ba Ria-Vung Tau are in the top group in attracting FDI. These are also provinces where FDI disbursement is much higher than the national average. Dong Nai has the leading development industry of Vietnam thanks to attracting FDI investment early and creating favorable mechanisms for businesses to quickly implement projects. Quick disbursement projects contribute to improving revenue from industrial production and export of the province. At present, Dong Nai is one of the 6 provinces with the largest export turnover of the country, of which 80% of the export turnover belongs to FDI businesses. Since 2015, Dong Nai has always had an industrial production value of 1-2%/ year higher than the national average.

Dong Nai is still a province of great attraction in attracting FDI. However, the province is currently facing difficulties that may limit the amount of FDI poured in because industrial zones are about to be filled up, and the remaining land for lease is very limited.

Director of Dong Nai Industrial Zones Authority advises “For nearly the last 4-5 years, FDI enterprises registered to invest in the province has disbursed capital very quickly. There are projects that right after granted with an investment certificate, businesses start applying for construction permits, assembling production lines and disbursing registered capital within 1-2 years after being approved for implementing the project.

Mr. Kho Ngee Seng Roy, Consul General of Singapore in Ho Chi Minh City said: “Singapore businesses have invested in Dong Nai more than 70 projects with a total registered capital of about 3.3 billion USD. Singapore's projects in Dong Nai have been successfully put into operation, so new businesses also want to invest in the province. The capital of Singapore businesses registered in the province is implemented quickly." Currently, Singapore ranks 4^th among countries and territories investing in the province and ranks first among ASEAN countries with registered capital in Dong Nai.

Promoting efficiency quickly

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Fujitsu Computer Products of Vietnam in Bien Hoa 2 Industrial Zone has more than 90% of its products exported

Up to now, Dong Nai has nearly 1560 completed FDI projects in operation. For about the last 4 years, FDI projects invested in Dong Nai have been disbursed relatively early. The provincial departments have also shortened the time for processing dossiers and procedures for investment of FDI enterprises. Therefore, after being granted with investment certificates, businesses quickly put capital into building workshops, buying machinery, and assembling production lines.

Mr. Nguyen Huu Nguyen, Deputy Director of the Department of Planning and Investment, said: “FDI businesses that want to invest in the industries that the province is calling for will be handled quickly. The province also continually improves the investment environment to create favorable conditions for businesses to finish projects soon”. Also according to Mr. Nguyen, FDI businesses operating in the province are always accompanied by the government; the difficulties and problems are promptly solved, so many companies and factories operate very effectively. Therefore, there are many groups and FDI businesses investing in Dong Nai after a few years have registered for more projects, pouring 2-4 times of capital into the province compared to the original such as Hyosung, Changshin, Fujitsu, Ajinomoto, Bosch, Kenda, etc.

According to Dong Nai Industrial Zones Authority, the disbursement value of FDI in the first 4 months of 2020 is nearly 230 million USD, reaching nearly 190% compared to the same period in 2019 and reaching over 38% of the whole year plan (the whole year plan is 600 million USD). In April 2020, the projects in operation include Fulin Plastic Industry Joint Stock Company in Amata Industrial Zone (Bien Hoa City), producing PU leather fabric; Project of Ara Gaya Vina Co., Ltd in Nhon Trach II Industrial Zone; Project of Kumkang Kind Vietnam Co., Ltd in Nhon Trach I Industrial Zone (Nhon Trach District).

                                                                 Vi Quan​