Sectors that directly benefit from public investment

According to the plan, by the end of 2025, Vietnam will complete at least 3,000 km of expressway, putting into operation a series of key projects such as Tan Son Nhat T3 terminal, Noi Bai T2 terminal, Long Thanh airport phase 1 and Lach Huyen seaport. In particular, the North-South high-speed railway project with an estimated investment capital of 67 billion USD has been approved by the National Assembly, promising to create a booming public investment cycle in the coming years.

By the end of 2025, Vietnam will complete at least 3,000 km of highways.

In addition, in 2024, many provinces and cities have approved the next 5-year Plan for the period 2025-2030. However, many projects have been stalled waiting for the official Plan, while the scarcity of raw materials and high import costs have affected the disbursement progress. A bright spot in 2024 is the completion of the 500 kV line 3 and many other stations and transmission lines, contributing to ensuring power supply.

The infrastructure construction group is the group that benefits the most from the wave of public investment. Construction enterprises, especially those specializing in transport infrastructure such as highways, airports, and ports, will have more large-value construction contracts. Some listed enterprises that can benefit directly include Hoa Binh, Coteccons, Vinaconex, Cienco4, Deo Ca...

Next is the construction materials group. The strong increase in public investment projects will lead to a large demand for cement, steel, asphalt, sand and stone. Steel manufacturing enterprises such as Hoa Phat, Pomina, Viet Duc Steel; cement enterprises such as Vicem, Ha Tien Cement or stone mining groups such as KSB, DHA are forecasted to have impressive revenue growth in 2025.

Another group is industrial parks and seaports. Developed transport infrastructure will facilitate logistics activities, attracting more FDI capital into industrial parks. Large enterprises in the industry such as Kinh Bac, Sonadezi, Long Hau, Gemadept, VSC... can benefit from this wave.

Long Thanh International Airport

The increase in public investment also means an increase in demand for credit capital. Banks with a large proportion of loans in the infrastructure sector such as BIDV, VietinBank, and Vietcombank can benefit from growth in outstanding loans and improved profit margins.

Besides transportation, public investment in the energy sector also plays an important role. The completion of the 500kV North-South line 3 and power transmission projects will help businesses such as EVN, Gelex, and REE have opportunities to increase revenue.

Although public investment is a major driving force for the economy, slow disbursement in 2024 shows that there are still bottlenecks that need to be resolved. Factors such as the new Land Law, site clearance procedures, construction material supply and policy changes may affect the implementation progress. However, with the Government having taken strong reform measures on investment procedures, along with abundant financial resources as the State budget shows signs of bumper revenue, the outlook for 2025 remains very bright.

With a plan to spend nearly 31 billion USD on development investment in 2025, businesses in the construction, materials, banking, and seaport sectors are expected to grow strongly, creating a spillover effect for the economy.

Source: https://thoibaonganhang.vn/nhung-nhom-nganh-huong-loi-truc-tiep-tu-dau-tu-cong-161898.html