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German investor interest on the rise

09/11/2007 -- 11:16 AM

Ha Noi (VNA) – German companies increasingly recognise Viet Nam as a location for investment in Southeast Asia, said Jan Noether, chief representative of the German Chamber of Industry and Commerce in Viet Nam.

Noether expressed this view after a workshop on Vietnamese investment environment, held yesterday in Ha Noi.

The workshop, entitled “ Viet Nam – Land of Investment Opportunities in Southeast Asia”, drew representatives from 15 enterprises in many fields from Thuringen , Germany .

During the workshop, participants shared information and experiences on the investment environment in Viet Nam .

“To date, German companies have invested in 94 projects in Viet Nam , worth 426 million USD,” said Phan Huu Thang, general director of the Ministry of Planning and Investment’s Foreign Investment Agency.

Potential investors were also informed of investment conditions in Viet Nam as well, as its legal system.

“ Opportunity for co-operations between our countries is huge given mutual respect and knowledge of the benefits to be gained,” Thang said.

Advantages and disadvantages of investing in Viet Nam were also aired.

Viet Nam has a stable political system and investment climate continues to improve, Noether said.

A young population and competitive productivity are among other advantages discussed.

Noether identified short-comings investors may face when choosing Viet Nam such as: economic growth exceeds development of infrastructure, recent high inflation, the administrative cost of non-competitiveness and a shortage of skilled labour.

Despite this, investors from Thuringen regard Viet Nam as a prime location for investment and believe future co-operations between Vietnamese and German enterprises will develop strongly.-Enditem
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