VIETNAM, September 28 –
HÀ NỘI – European companies have shown their optimism about Vietnam’s economy, which is recovering strongly after the COVID-19 pandemic, said Nguyễn Hải Minh, vice-chairman of the European Chamber of Commerce in Việt Nam (EuroCham).
According to Minh, despite global supply disruptions caused by the pandemic, Việt Nam still exported more than US$35.1 billion worth of goods to the EU in 2020 and over US$40 billion last year.
Meanwhile, the Southeast Asian nation imported $14.6 billion worth of goods and $16.7 billion from the bloc respectively in the two years.
In the first eight months of this year, Việt Nam’s exports to the EU were valued at US$31.9 billion, up 23.6 percent, resulting in a trade surplus of up to US$21.6 billion, which corresponds to an increase of 46.4 percent.
The figures reflected the positive impact of the EU-Vietnam Free Trade Agreement (EVFTA), he noted.
However, Minh said, European companies in Việt Nam said they benefited more from the EVFTA as the country’s exports to the EU mainly came from FDI firms.
EuroCham member companies and even those who have yet to invest in Việt Nam expressed their hope that the EU-Việt Nam Investment Protection Agreement (EVIPA) will soon be approved and come into force, paving the way for European companies to invest in Southeast Asia expand nation.
Minh also cited the Business Climate Index (BCI) released by EuroCham, which shows that European economic actors’ confidence in the investment environment in Việt Nam fell slightly to 68.8 percent in the second quarter of this year due to external factors.
Up to 60 percent of respondents predicted that Vietnam’s economy would stabilize or improve in the third quarter of 2022, 45 percent were very or moderately satisfied with Việt Nam’s efforts to attract and retain foreign direct investment (FDI), and 76 percent expects in-country FDI to increase before the end of the third quarter.
55 percent of respondents said Việt Nam has improved its FDI attraction and retention capabilities since the first quarter.
Regarding the link between green growth and foreign direct investment, nearly 90 percent of respondents said Việt Nam should step up green economy development to attract more foreign investment.
Minh said apart from the above benefits, Việt Nam’s improved administrative procedures have also helped attract foreign investors, including those from the EU.
He also noted that many EU companies are still concerned about specialized inspections in Việt Nam, which continue to overlap. — VNS
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