Luxembourg invests $1.04 billion in Vietnam media
Luxembourg invests $1.04 billion in Vietnam media
Luxembourg has two investment projects in the field of information and communications in Vietnam with total capital of $1.02 billion USD, taking the lead in this area among foreign investors in Vietnam.
According to the Foreign Investment Agency (Ministry of Planning and Investment), as of May 20, 2015, there were 1,152 FDI projects in the field of information and communications, with total registered capital of about $4.14 billion, accounting for 6.3% of total projects and 1.6% of total investment capital.
Information and communication ranks 7th in 18 fields with FDI in Vietnam, with average investment of about $3.6 million/project.
With only two projects, Luxembourg is still the top foreign investor in information and communication industry, with $1.04 billion, accounting for 25.1% of total investment capital of the whole sector.
In the second place is Japan with 329 projects and a total registered capital of $807.7 million, accounting for 19.5% of total investment capital of the whole industry.
Singapore ranked third with $738.8 million and 91 projects, representing 17.8% of total investment capital. Other countries and territories that also have major capital in this field include France, Cyprus, and South Korea.
In terms of location, HCM City took the first spot, with 751 projects and nearly $2.3 billion of registered capital, accounting for 55.5% of total investment capital in the information and communications industry.
Hanoi ranked second with 333 projects and registered capital of $1.69 billion, representing about 41% of total investment capital.
Hai Phong came third with 5 projects and $57.1 million, equivalent to 1.4% of total investment capital of the whole industry. Other provinces in the list are Bac Giang, Binh Duong, and Ba Ria - Vung Tau.
In terms of forms of investment, investors preferred business cooperation contract (BCC), with nine projects and total investment of about $1.95 billion, accounting for 47.1% of total investment capital.
The form of joint venture takes the lead in terms of project number, with 152 projects and over $1 billion. The forms of joint stock company and 100% foreign-owned company accounted for 15.7% and 13% of total investment, respectively.
According to the Foreign Investment Agency, the field of information and communications will have more opportunities to attract FDI after new economic policies take effect, especially the amended Investment Law and Enterprise Law.
These laws have loosened many regulations, enabling foreign investors to participate in the information and communication market in Vietnam.
