Business
PM calls on FDI firms to boost technology transfer
  • By Nguyen Tuyen | dtinews.vn | October 04, 2018 04:55 PM
Foreign-invested companies play a crucial part in the Vietnamese economy, but they haven’t transferred much in the way of technology, said Prime Minister Nguyen Xuan Phuc.

Phuc made the statement at a meeting to review 30 years of foreign direct investment held by the Ministry of Planning and Investment on October 4 in Hanoi. 

  

Foreign-invested companies play a crucial part in the Vietnamese economy



According to PM, over the past three decades, Vietnam has become a middle-income country from a poor country, which is partially contributed by foreign direct investment (FDI) firms.

FDI is seen as an indispensable part of the national economy. To date, Vietnam has licensed more than 26,000 FDI projects with USD300 billion.

By late 2017, FDI accounted for 20% of the national GDP. The FDI sector also held up to 70% of the country’s export value and generated millions of jobs.

The PM cited a report conducted by the United Nations Conference on Trade and Development as saying that Vietnam was among the top 12 countries worldwide in luring FDI.

The government leader, however, pointed out that most of FDI enterprises in Vietnam still use less modern technology. The number of FDI companies using high technology remains low. Many of them spend only a modest investment in research and development activities.

Most of FDI companies in Vietnam still focus on assembling, mining and labour-intensive industries. Some FDI have been found to have broken environmental and tax laws.

The PM highlighted the necessity to prioritise hi-tech FDI projects for the high economic value and environmental protection.

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