The Important Role Of FDI
For many consecutive years, according to data from the Foreign Investment Department, real estate is always the second sector to attract FDI. This position will be maintained until the end of the first quarter of 2023. But since April 2023, real estate has lost the second position in attracting foreign investment, falling to third place with a total registered capital of nearly 1.16 billion USD, accounting for nearly 11% of total capital. investment registration, down 61% over the same period last year (nearly 3 billion USD). The difficulties that Vietnam's real estate market is facing is also partly reflected in FDI capital. In the context that capital sources from credit, bonds and securities have improved positively compared to the first quarter of the year and 2022, the decrease in FDI in real estate is a remarkable thing.
Assessing the role of FDI in Vietnam's real estate market, Mr. Le Hoang Chau, Chairman of Ho Chi Minh City Real Estate Association wrote, FDI capital is not only a source of support capital, valuable addition to the real estate sector but also creates new opportunities and new values for real estate businesses. Because, FDI inflows are associated with foreign investors, when domestic enterprises receive FDI, it means that we have the opportunity to receive new experiences, new trends, civilized values in construction, real estate project development. In addition, domestic enterprises also learned skills in management capacity as well as improving transparency in information. In addition, FDI also brings human resources to Vietnam, leading to the development of office real estate, industrial park housing, and high-class real estate.
Sharing the same opinion, Mr. Nguyen Anh Tuan, Deputy Director, Foreign Investment Department, Ministry of Planning and Investment emphasized that FDI capital poured into the real estate sector is playing an important role in diversifying types of real estate. real estate in Vietnam. In recent years, Vietnam's real estate market has witnessed the strong development of many new types of real estate and an increase in construction standards for many projects in utilities and services. It is impossible not to mention the growth of industrial real estate, high-class apartments, resort real estate, healthcare real estate ... besides traditional types such as residential real estate.
Which Solution To Attract FDI?
Facing the important role of FDI capital and its decline in the real estate sector over the past time, experts believe that it is necessary to promote solutions to attract FDI into Vietnam, including: real estate.
From the perspective of solutions, Mr. Nguyen Anh Tuan, Deputy Director, Foreign Investment Department, Ministry of Planning and Investment said that in order to select quality FDI investors into the real estate business, Vietnam needs to focus on focuses on solving a number of issues as follows: Firstly, the legal regulations on the real estate market need to continue to be reviewed and perfected. Especially new types of real estate such as condotels, officetels, smart cities, real estate combined with health care... need to be considered and perfected to be in line with international practices. Second, in Attracting FDI requires active selection. Investors with good financial capacity, have solutions associated with a sustainable and green economic transformation model, and at the same time uphold the responsibility of investors towards the environment and society during the investment process in Vietnam. South will be important criteria in choosing to attract FDI.
Third, the State needs to urgently operate flexibly and synchronously monetary policy tools to meet the needs of credit capital flows for the development of the real estate market. Creating conditions for businesses, home buyers and investors to quickly access credit capital. Reducing lending interest rates, supporting the real estate market. Fourth, continuing to improve and improve the quality of infrastructure in general and transport infrastructure in particular to create a foundation for the development of the real estate market. the real estate market. Fifth, continue to improve the business investment environment that is attractive, competitive and open, promptly remove difficulties and obstacles in policies to create the most favorable conditions for investors. investors, especially for large land-use projects but slow to implement.
Source: batdongsan.com.vn