Nghe An accelerates, rises to the top in attracting foreign capital

In the first 10 months of 2023, Nghe An ranked fourth in attracting newly registered foreign investment capital with 1.01 billion USD, only behind Quang Ninh, Bac Giang, and Hai Phong.

Previously, in 2015, Nghe An was still ranked 20th with total FDI capital attracted in the year of 206 million USD.

In 2018, this ranking was even lower when the province ranked 45th, with only 25.68 million USD.

In 2020, Nghe An attracted 169.4 million USD, ranking 25th.

In 2021, the locality attracted 318.5 million USD and still ranked 20th.

2022 marked a rapid change in Nghe An's ranking when the province rose to 11th place among the localities attracting the most FDI capital with 890.6 million USD.

In the first 10 months of 2023, Nghe An rose to fourth place with 1.01 billion USD.

The notable point of investment capital in Nghe An in recent years is the quality of capital. The 4 major investment projects are all in the field of electronic equipment and technology production such as: Goertek, Everwin, JuTeng, Luxshare ICT, with a total investment capital of nearly 1.1 billion USD.

Among the foreign investors choosing Nghe An as a business investment destination, we must mention Foxconn Interconnect Technology Singapore PTE.LTD (Foxconn Group) - a leading partner in Apple's supply chain.

In June 2023, Nghe An province approved the investment policy of Runergy PV Technology Co., Ltd. (Thailand) to produce monocrystalline silicon bars and semiconductor wafers in Hoang Mai I Industrial Park, Hoang Mai town (Nghe An). The project has a total investment capital of more than 400 million USD and is in the process of adjusting the investment certificate. The project's factory has a design capacity of nearly 40,000 tons of silicon bars/year and nearly 30,000 tons of semiconductor wafers/year.

Despite bright signs of attracting foreign investment, Nghe An will have to reform its business environment more strongly.

According to the 2022 Provincial Competitiveness Index (PCI) report published by the Vietnam Federation of Commerce and Industry, Nghe An still ranks 23rd out of 63 provinces and cities. Although it increased 7 places compared to 2021, compared to 2021 and 2020, this index has dropped.

Of the four indexes that Nghe An dropped in ranking, the two indexes that dropped the most were the market entry index (from 29th to 46th) and the labor training index (from 31st to 48th).

The next index is time cost from 30 to 42; land access index continues to decrease from 40 to 45.

After a decade of Japanese and Korean capital flows, Vietnam is about to receive huge FDI capital from the US and EU . Changes in international relations and geopolitics can lead to a shift in trillions of dollars in cash flows. Vietnam has the opportunity to receive large capital flows and achieve huge export values, thereby raising the economy to a new level.

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