Abstract:
Distribution of foreign direct investments (FDI) by home countries reveals that top positions are occupied by Taiwan, Singapore, Japan and Hong Kong, which together share in 55% of the total amount of capital registered and 60% of the total number of FDI projects. Results of firm-level survey data collected on 240 firms from all three broad regions provides useful information on motivation of foreign firms to invest in Viet Nam. Low labor cost, financial incentives provided by the Government of Viet Nam, and local market conditions are found to be key determinants of FDI inflows into the country.
