According to Mr Tuan, the number of large-scale investment projects to be licensed in the near future will rise sharply. Many projects are taking shape, while others are being tabled at state management authorities.

“The target of $6.5bil in investment capital for 2006 is within our reach,” said Mr Tuan.

Regarding concerns over decreasing foreign direct investment (FDI) capital over the last six months, Mr Tuan said that it was not a serious problem.

“It is not important that the capital sums go up or down at specific moments, it is more important to see an upward trend of FDI over time,” he said.

In 2006, Vietnam hopes to attract large scale investment projects from international groups. Have investors expressed their interests in Vietnam as an investment destination?

I’m sure that there will be many big investment projects in the near future. Big investors and groups have taken tours to Vietnam to seek opportunities here. Besides the investors coming from Japan, the US, we have received ‘new’ investors, from Spain for example. All of them praised Vietnam’s good investment environment. Especially, the model ‘China+1’ has brought many Japanese investors to Vietnam.

A lot of Japanese owned projects have been initiated this year. Canon, for example, has set up the third and fourth plants in Bac Ninh province after the first one in Thang Long Industrial Zone. Terumo, which specialises in healthcare equipment, is going to set up a plant in the Quang Minh IZ in Vinh Phuc Province. Sumitomo, which has been very successful with the Thang Long IZ, is now seeking to develop another IZ. Sumitomo has proposed establishing a general economic zone in Khanh Hoa Province, with investment of up to one billion dollars.

I can say that Japan has emerged as the biggest investor in Vietnam, while the US will be the next potential big investor in Vietnam after WTO accession. You may know that Intel has engaged a $600mil project in Vietnam which will draw many other investors.

The Common Investment Law has become effective as of July 1, 2006. When will the legal documents guiding the implementation of the law be promulgated?

I know that investors are still waiting for legal documentation to enable them to make decisions on whether to invest. However, investors may well understand that Vietnam welcomes all the good-will investors by setting up an open investment environment for everyone.

As far as I know, the relevant authorities have been compiling legal documents to enact the law as soon as they can.

Could you please detail the implementation of the registered projects?

There are three noteworthy points in the projects registered so far this year. Firstly, the number of high-tech projects has increased. Secondly, more international groups listed in the top 500 companies in the world have arrived in Vietnam. Finally, the disbursement process has been accelerated.

In the past, the implemented projects accounted for only 4-5% of registered projects, at around $2.5-2.7bil a year. The figure now has risen to $3.5bil a year. MPI hopes that in coming years, the percentage of implemented projects will be 15-20% a year.

Vietnam has been striving to call for more investment in infrastructure. However, the number of projects in this field remains modest. Could you please point out what the reasons for this are?

I think the legal framework on calling for investment into infrastructure is yet to be completed. In addition, Vietnam has not announced the list of infrastructure works calling for investment. However, the government will announce a list of projects calling for investment soon. It will also enact regulations to encourage domestic and foreign private businesses to make investment in infrastructure.

Source: VietnamNet