In recent years, Foreign Direct Investment (FDI) has become a key measure of a country’s investment appeal and competitiveness. Global conditions remain challenging. Inflation is persistent. Geopolitical risks are rising. Supply chain disruptions also continue. As a result, multinational firms are becoming more selective about where to expand.

Against this backdrop, Vietnam stands out as a stable and strategic destination. Beyond attracting capital, the country is prioritizing high-quality FDI that supports industrial upgrading, long-term value creation, and stronger spillover effects for local businesses.

Vietnam remains a bright spot for FDI attraction

Amid global economic uncertainty, Vietnam continues to stand out as a key destination for foreign direct investment (FDI). According to Finance Minister Nguyen Van Thang, Vietnam ranks among the top 15 developing countries attracting FDI globally, reflecting strong international investor confidence in its business environment and long-term policies.

Reforms to improve the business climate — including administrative simplification, legal improvements, and greater transparency — have also contributed to domestic growth: the number of active enterprises nationwide has surpassed 1 million, a 46% increase compared to 2020.

FDI also makes a significant contribution to the economy, accounting for about 16% of total social investment, supporting job creation and industrial expansion.

Policy reforms and competitiveness gains

Beyond attracting capital, Vietnam has strengthened its institutional, legal, and fiscal frameworks to support stable macroeconomic management. Over the 2021–2025 period, the finance sector issued numerous laws, decrees, and circulars aimed at removing development bottlenecks, decentralizing authority, and streamlining administrative procedures.

Alongside FDI, the capital market has also seen significant progress. By the end of 2025, Vietnam’s bond market reached about VND 3.93 million billion (30.7% of GDP), and stock market capitalization nearly VND 10 million billion (77.9% of GDP). Vietnam was also upgraded from a frontier to an emerging market, improving its access to long-term international capital.

Maintaining a budget deficit around 3.1–3.2% of GDP and public debt at 35–36% of GDP also supports national credit ratings — a critical factor in attracting foreign investment.

Focus on high-quality FDI

Looking forward, Vietnam plans to continue attracting selective FDI, with priority given to large-scale, high-tech, and environmentally friendly projects. Policymakers also emphasize the need to strengthen linkages between domestic firms and foreign investors to increase participation in global value chains.

This approach helps not only to attract capital but also to upgrade production capabilities, promote technology transfer, and improve workforce skills. In a competitive regional landscape for attracting FDI, this strategy positions Vietnam to retain investors and attract long-term, high-impact projects.

With stable macroeconomic conditions, improvements in its investment climate, and clear policy direction, Vietnam continues to be highly regarded internationally as a destination for FDI — supporting sustainable growth and enhanced competitiveness over the long run.