Golden opportunity for Thai investors

Public-private organizations decode investment in Vietnam, economic growth, Reveal strategic plan, a golden opportunity for Thai investors The Thai-Vietnam Business Council together with the Embassy of Vietnam in Thailand and Amata VN Public Company Limited held a press conference under the topic "Golden Opportunity for Thai Investors in Vietnam" to open the perspective of Thai investors on the current and potential future growth of Vietnam's economy and investment opportunities.

Public-private organizations decode investment in Vietnam, economic growth, Reveal strategic plan, a golden opportunity for Thai investors

Today (26 January 2021), the Thai-Vietnam Business Council together with the Embassy of Vietnam in Thailand and Amata VN Public Company Limited held a press conference under the topic "Golden Opportunity for Thai Investors in Vietnam" to open the perspective of Thai investors on the current and potential future growth of Vietnam's economy and investment opportunities.

H.E. Mr. Phan Chi Thanh, the Ambassador of Viet Nam to Thailand, affirmed that even through the global business disruption due to the COVID-19 pandemic, Viet Nam was among very few countries in the world enjoyed positive economic growth (GDP) of 2.91% in year 2020, thanks to its early controlling measures. Viet Nam’s GDP annual growth rate during 2016-2020 averaged 5.9%, among the highest growth in the world. Viet Nam’s economic
outlook for 2021 is bright with GDP of 6.5-7.0% as expected by international financial organizations such as World Bank, Internatioal Monetary Fund, Asian Development Bank.

“Factors contributing to large investment to Viet Nam were owing to high political stability, abundant labour forces, large market size with a population of up to 100 million people, as well as, being located on strategic connectivity to ASEAN, China and the world markets.” These factors made Viet Nam a target destination for investors from more than 132 countries. Thai investors currently rank the 9th biggest investment partner of Viet Nam with 603 FDI projects and total value of approximately 13 billion USD (approximately 400 billion Thai Baht.

The investment climate in Viet Nam for the next 5 years is expected to become even brighter as the country is embarking on the new Social and Economic Development Strategy for the period of 2021-2030 and Five Years Plan for 2021-2025. Finally, the development of bilateral relations between Thailand and Viet Nam and the friendship between the two peoples have brought about new opportunities for both Thai investors in Viet Nam and Vietnamese investors in Thailand.

Mr. Tanee Sangrat, Director General of the Department of Information and Spokesman of the Ministry of Foreign Affairs, said “Vietnam is still a destination for foreign investment, including Thailand, because it is a large and growing market.” However, he also informed that there are both challenges and opportunities for foreign investors, at the same time. Therefore, the success of Thai investments in Vietnam in the next few years will largely depend on continuation of the current investment policy and the support of the Vietnamese government, Vietnam's economic growth, iincluding the expansion of its strategic partnership. The ability of Thai businesses and investors in Vietnam to collaborate and unify with each other will be the key to future growth and survival.

Mr. Sanan Angubolkul, Chairman of the Thai-Vietnam Business Council, said that Vietnam market has high purchasing power as it has large number working age population and low level of household debt. In addition, its export volume has grown by leaps and bounds. Last year, Viet Nam has export value of US $ 281,500 million with trade balance of US$19,100 million resulting from its various trade agreements. Viet Nam has entered into 17 trade agreements. At the same time, Viet Nam offers tax incentives and other benefits to ease business operations, promote investments, construct public infrastructures, etc. which is considered an important strategic move that led to continual investment to Viet Nam.

Mrs. Somhatai Panichewa, Director and Chief Executive Officer of Amata VN Plc (AMATAV), said in the perspective of an industrial estate developer in Viet Nam, “we believe in the growth of Viet Nam that is why we have been in Viet Nam for more than 26 years with developments in both North and South of Viet Nam having total of 6 projects with development area of 2,500 hectares (15,625 rai) with an investment capital of about US$ 840 million or about 27,200 million baht. The Vietnamese government are continually improving its social-economic development which is in line with the development of AMATAV as we transform our businesses towards smart city. “ The smart city concept covers field as smart energy, smart community, smart manufacturing, smart mobility, smart education, smart innovation, and smart environment.”