Overseas Vietnamese firms contribute significantly to HCMC’s development
Overseas Vietnamese firms contribute significantly to HCMC’s development
The overseas Vietnamese business community has made significant contributions to the development of HCMC by not only sending home remittances but also providing information and technology to local firms.
At a conference held in HCMC on October 9, Phung Cong Dung, head of the HCMC Committee for Overseas Vietnamese Affairs, said that overseas Vietnamese enterprises have acted as a bridge to bring foreign investors to Vietnam and help domestic enterprises boost their business and investment activities abroad.
In particular, they have helped introduce and promote Vietnam’s culture and people to the world, the local media reported.
At the conference, Dung also stated that remittances to HCMC in the January-September period this year were estimated to have grown 7% year-on-year to US$3.8 billion.
The remittances have mainly been used in business and production activities, instead of real estate, securities or savings.
The increase in remittances to the city is due to the rising number of Vietnamese people sent to other countries for guest work.
Overseas Vietnamese have also grasped many investment opportunities in Vietnam. The Government has attempted to create favorable conditions for them to do business in the country.
Further, banking services have been improved, easing the transfer of foreign currencies.
Nguyen Cong Chinh, a Vietnamese entrepreneur in Germany and a member of the standing board of the Business Association of Overseas Vietnamese, said that the figures have yet to fully express the contributions of overseas Vietnamese enterprises.
For example, some overseas Vietnamese in Germany have invested in projects worth millions of U.S. dollars in Vietnam.
A representative of the State Bank of Vietnam said remittances to HCMC have risen annually by 8%-10% in recent years.
According to the World Bank, the remittances to Vietnam have increased constantly, placing Vietnam among the top 10 countries to receive the most remittances. Last year, the country received nearly US$16 billion in remittances. The respective figures in the two previous years were US$13.8 billion and US$11.88 billion.
