Business community pours $9 billion in green growth
Business community pours $9 billion in green growth
As much as US$9 billion has been invested in green growth from the business community, including the Foreign Director Investment (FDI) sector. These projects mainly focus on green development, renewable energy or equipment for the green economy.
From the right: Nguyen Anh Tuan, Deputy Director of the Foreign Investment Department, Ministry of Planning and Investment; Nguyen Quang Vinh, Vice President of Viet Nam Chamber of Commerce and Industry (VCCI) and Nguyen Van Toan, Vice Chairman of the Association of Foreign Investment Enterprises (VAFIE), with other delegates at the seminar 'FDI enterprises with green growth of Viet Nam'. — Photo baochinhphu.vn |
“This figure accounts for about 2 per cent of Viet Nam’s GDP, and the average growth of this investment during the past two years has been quite high, at 10-13 per cent, which is a very good sign," said Nguyen Anh Tuan, Deputy Director of the Foreign Investment Department, Ministry of Planning and Investment.
He was speaking at the seminar "FDI enterprises with green growth of Viet Nam" held on Thursday by the Government News, baochinhphu.vn.
Tuan said that green growth and sustainable development are indispensable requirements that all countries in the world are pursuing.
Prime Minister Pham Minh Chinh made very strong commitments at COP26, affirming Viet Nam's desire to achieve economic prosperity, environmental sustainability, and social justice.
“We strive to implement the goal of green growth well to not only contribute to solving the common issues of the world but also to affirm our position and role as a responsible member,” Tuan said.
“Achieving green growth goals requires mobilising the full strength of the political system as well as the business community, including FDI enterprises. FDI enterprises help create a change in perception, resources and experience for management, modern technology and equipment to realise green growth goals in production.”
If in the past, enterprises implementing green growth goals faced many difficulties and challenges, but now, businesses have turned difficulties and challenges into competitive advantages, contributing to further improving their operations, production, and business investment, Tuan said.
From the perspective of an expert in FDI investment, Nguyen Van Toan, Vice Chairman of the Association of Foreign Investment Enterprises (VAFIE), said that by 2021, among FDI enterprises investing in Viet Nam, only 5 per cent could apply high technology, 15 per cent with outdated technology and 80 per cent with medium technology.
“That was the period when Viet Nam attracted FDI at all costs, did not pay much attention to environmental protection issues, much in need of investment capital, occupation for labour and boosting export,” Toan said.
However, this index has greatly improved in recent years with the orientation of attracting FDI in green development. Recently, he said a series of high-tech enterprises, such as Lego and Nestle, have invested in Viet Nam.
FDI investment has contributed a lot to the economy, especially green growth. Especially following the promulgation of the Politburo's Resolution 50, Viet Nam has changed how it considers and selects FDI projects, he said.
The Prime Minister had also committed in COP 26 that by 2050, greenhouse gas emissions will be reduced to zero. Therefore, he said green growth would be the top goal in the following years.
Nguyen Quang Vinh, Vice President of Viet Nam Chamber of Commerce and Industry (VCCI), said that Viet Nam was not a rich country like developed countries but still had made commitments at COP 26. This is a huge goal that shows Viet Nam's clear direction in green growth.
As technology played an important role, many FDI enterprises aimed to use all renewable energy or apply a circular economy in production and business activities.
“The race in green growth started two to three decades ago in Asia and Europe," Vinh said. "Especially China, after having paid the price of economic growth at all costs, is the world leader in investment in green growth, green finance, green technology and many other sources.”
"If there is no strong commitment and thorough selection, FDI businesses will bring outdated technology into Viet Nam, but when we insist, they will have to bring high technology into Viet Nam."
The perception of domestic enterprises has also recently improved and changed significantly. Businesses are now very interested in green finance and bonds to promote investment in green development.
