Global recession causes foreign investment flow to trickle

This figure is equal to just 18 percent of the FDI influx into the country in the previous month, reported the Foreign Investment Department (FID) under the Ministry of Planning and Investment.

The national governing body for the FDI also acknowledged a reduction in the scale of investment in projects. The month’s biggest FDI project stood at 20 million USD, while the average capital was between 3 and 3.5 million USD for each project.

The disbursement of FDI registered capital was 70 percent of that recorded during the corresponding period last year. However, the department predicted a rosier outlook for February, as the southern coastal province of Ba Ria-Vung Tau is expected to license a 200 million USD foreign-invested project in mid-February.

The FID said it was working hard to adopt concrete measures to resume 2008’s record FDI spree, when total FDI registration hit 64 billion USD and 11.5 billion USD was disbursed, at an average of 60 million USD per project.