10 March 2017
VIETNAM: 40 FDI Projects Lose Licence Over Excessive Delays and Lack of Progress
The investment permits for 40 FDI Projects have been cancelled. All of the projects were based in the southern Dong Nai province, not far from Ho Chi Minh City, and all had either been abandoned or subjected to excessive delays. The combined value of the projects was said to be some US$300 million. The move follows a commitment by the management of the Dong Nai Industrial Zone to rescind the licence of any FDI project that is not up and running within 12 months.
In 2016, the Dong Nai province granted investment permits to around 100 FDI projects, together worth some US$2.2 billion, making it Vietnams’ fifth most popular FDI destination. At present, the province has 32 industrial parks and is home to 1,300 FDI projects with a collective value of US$25.8 billion.