Public investment disbursement hits five-year high, FDI inflows surge

Accelerated public investment disbursement over the past 10 months, coupled with record-breaking foreign direct investment (FDI) disbursement, has become a crucial driver for Vietnam’s full-year economic growth target.

Over the first 10 months, the disbursed investment funding from the state budget is estimated at 63.1% of the annual plan, up 27.8% year-on-year. (Photo: VietnamPlus)
Over the first 10 months, the disbursed investment funding from the state budget is estimated at 63.1% of the annual plan, up 27.8% year-on-year. (Photo: VietnamPlus)

Hanoi (VNA) - The National Statistics Office of Vietnam has released a set of striking figures highlighting the significant efforts by ministries, agencies, and localities in boosting investment capital deployment. Notably, public investment disbursement in October reached its highest level on record, with the fastest growth rate in five years.

Over the first 10 months, the disbursed investment funding from the state budget was estimated at 63.1% of the annual plan, up 27.8% year-on-year. Meanwhile, the disbursed FDI amounted to 21.3 billion USD, an 8.8% increase from the same period last year, underscoring Vietnam’s continued appeal to international investors.

In October alone, disbursed public investment was estimated at 91 trillion VND (3.45 billion USD), an annual surge of 29.1%. Of this, capital managed by central authorities reached 12.9 trillion VND (up 11.6%), while locally managed investment soared 32.6% to 78.1 trillion VND.

For the 10-month period, total realised public investment was estimated at 640.2 trillion VND, equivalent to 63.1% of the year’s target and up 27.8% year-on-year. This marks a remarkable achievement, especially when compared to the same period last year, which saw just a year-on-year increase of 2.8% and 64.1% of the annual plan.

Investment managed by central authorities saw 90.7 trillion VND disbursed, meeting 61.2% of this year’s target and increasing 6.1% from a year earlier. Many ministries recorded significant growth in disbursement. These include the Ministry of Agriculture and Environment (up 66.2%), the Ministry of Health (nearly tripling its rate), and the Ministry of Education and Training (up 76.2%). However, some, including the Ministry of Science and Technology and the Ministry of Industry and Trade, witnessed declines.

Meanwhile, the disbursed funding managed by local authorities went up 32.3% year-on-year and represented 63.5% of the 2025 target.

Meanwhile, foreign capital inflows into Vietnam continued to strengthen. As of October 31, total registered foreign capital was valued at 31.52 billion USD, a 15.6% increase year-on-year. This included newly registered capital, adjusted capital, and capital contributions and share purchases by foreign investors.

There were 3,321 newly licensed projects with a total registered capital of 14.07 billion USD, up 21.1% in project count. The manufacturing and processing sector remained the top recipient, attracting 7.97 billion USD (56.7% of new registrations), followed by real estate with 2.75 billion USD (19.5%).

Among investing countries and territories, Singapore led with 3.76 billion USD (26.7%), followed by China with 3.21 billion USD (22.8%).

Additionally, 1,206 projects saw their investment capital increased by a total of 12.11 billion USD, up 45% year-on-year. Equity contributions and share purchases by foreign investors also remained buoyant, with 2,918 transactions worth 5.34 billion USD, up 45.1%.

The FDI disbursed in Vietnam between January and October reached an estimated 21.3 billion USD, up 8.8% from a year earlier, marking the highest level in five years.

Vietnamese outbound investment also gained momentum. In the first 10 months, 148 new projects were licensed with a total registered capital of 742.8 million USD, up 72.8%. Together with 28 projects increasing their capital by 358.2 million USD, total outbound investment hit 1.1 billion USD, 2.3 times higher than the same period last year.

The power, gas, steam, and air-conditioner production and distribution sector led with 342.5 million USD (31.1%), followed by manufacturing and processing with 277.6 million USD (25.2%). Laos remained the largest recipient of Vietnamese investment, attracting 590.3 million USD, equivalent to 53.6% of the total./.

VNA

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