Sunset over downtown HCM City. (Photo: ermakova-photography.com)
Southern Vietnam, where Ho Chi Minh City is located, has become more appealing to Japanese investors as the business investment and living conditions have improved considerably, newly-appointed Chairman of the Japanese Business Association of Ho Chi Minh City (JBAH) Maeno Koji was quoted by Saigon Times as saying.
Speaking at a recent meeting with Nguyen Thanh Phong, chairman of HCM City People’s Committee, Mr. Koji highlighted that the annual roundtable dialogues between the local government and the JBAH have helped remove hindrances for Japanese businesses in the city.
As many as 834 Japanese enterprises operating in HCM City are members of the JBAH. Around 3,000 Japanese people and 220,000 Vietnamese laborers are working for them, according to Mr. Koji.
JBAH has become the fourth-largest JBA in the world, only after those in Shanghai, Bangkok and Singapore. “This fact evidences the appeal of HCM City to Japanese enterprises,” Mr. Koji noted.
Chairman Nguyen Thanh Phong expressed hope that Japan to improve their investment scale in the city from the sixth-highest position currently in the context of Japanese investment shift to Southeast Asia.
He called on Japanese firms to invest in supporting industries, hi-tech industry and agriculture, which are their strengths.
Foreign direct investment in Ho Chi Minh City reached $647 million in the first five months of this year, dropping 38.6% year-on-year. Japan was the second largest investor, with $75.67 million, after Cayman Islands with $230.5 million, according to the city’s data.