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FDI in Vietnam

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FDI in Vietnam
CONTENTS

Assignment 1. FDI and its importance in the economy in Vietnam 2 1.1 An introduction to FDI in Vietnam 2 1.2 FDI distribution by sector 5 1.3 FDI contribution to Vietnam economy 6 2. Incentives and regulations to attract FDI in Vietnam 10 2.1 Regulations 10 2.2 Incentives 11 3. These obstacles need to be reformed to attract FDI in Vietnam 13

Final Exam

1. Meaning of Money 18

Functions of money 18

2. a. Name 3 tools of monetary policy 19

b. Name tools of fiscal policy 19

3. Definition “natural rate of unemployment” 19

REFERENCE 23

Adam University
Executive Master of Business Administration
BUS 503 Applied Business Economics

Assignment

Vietnam has been quite successful in attracting FDI inflows since the inception of economic reform in 1986. The inflow of FDI has contributed significantly to the economic development of Vietnam. Over the past year, the Vietnamese Government has attached importance to attracting foreign investment. The Government has incessantly improved investment environment to create favorable conditions for domestic and foreign enterprises, with special focus on realizing the legislation construction programs.

In 2005 in particular, Vietnam's National Assembly adopted 14 laws-the highest number of laws to be adopted in a year up to now, including the General Investment Law and the Unified Enterprise Law-and has been debating 8 draft laws for approval in the coming session.

As a result, foreign investment flows to Vietnam have recovered, especially since 2004. Generally, over the past five years, Vietnam has attracted over USD 18 billion of newly-registered FDI and USD 13.6 billion of realized FDI which have contributed to increasing development investment capital, production capacity and export value of the economy. It is estimated that foreign-invested economic sector

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