The Foreign Investment Agency under the Ministry of Finance reports that Vietnam attracted over US$21.5 billion in FDI in the past six months, a 32.6% increase compared to the same period last year.

This growth reflects growing investor confidence in the country’s investment climate, supported by preferential policies, administrative reforms, and the pilot implementation of the “one-stop-shop” investment support model.

The capital city of Hanoi topped the country in FDI inflows, drawing in US$3.66 billion in registered capital, nearly 2.8 times higher than in the same period last year. Bac Ninh followed with US$3.15 billion, while Ho Chi Minh City ranked third with over US$2.7 billion.

These localities have effectively leveraged advantages in infrastructure, a stable workforce, proactive investment promotion, and simplified administrative procedures to attract investors.

Elsewhere, foreign investment was distributed across 54 former provinces and cities, with top six localities accounting for nearly 65% of new projects and 62.4% of total registered capital.

Vietnam saw increases across all FDI indicators, including new project registrations, capital adjustments, and capital contributions or share purchases, indicating strong foreign investor confidence. June alone recorded the highest FDI activity in the first half of the year, with 439 new projects, 152 capital adjustments, and 350 share purchase transactions.

The leading sources of investment continue to be traditional partners from Asia, with Singapore, the Republic of Korea, China, Japan, and Malaysia representing nearly 63% of new projects and 65% of total registered capital.

Despite positive momentum, authorities warn of potential risks from geopolitical tensions and international policy shifts. Notably, reciprocal tax policies of the United States may lead to increased costs and lower trade volumes, potentially affecting both Vietnam’s and global FDI inflows.

Phi Thi Huong Nga, head of Construction Industry Statistics at the National Statistics Office, notes that the impact of new US tax policies could make some investors more cautious, especially regarding large-scale or long-term projects. However, she emphasised this is a shared global challenge, and Vietnam must increase its competitiveness by focusing on sectors that benefit from tariff advantages and free trade agreements (FTAs).

She also affirms that Vietnam’s investment environment continues to improve, offering competitive labour costs and strong supply chain connectivity – the factors that will help maintain the country's FDI appeal moving forward.

Meanwhile, economic expert Nguyen Thuong Lang points out three policies to help Vietnam attract FDI in the coming time, including special incentives for strategic projects, the simplified administrative procedures and the model of a one-stop investment support service centre.

The one-stop shop model will be piloted in several former provinces, including Bac Giang, Vinh Phuc, and Quang Ninh to provide quick and convenient support for financiers.

Vietnam sustains high-quality FDI attraction amid global headwinds

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