BizLIVE - The real estate sector in Ho Chi Minh City has attracted $1.43 billion worth of fresh foreign direct investment in the year to October 15, accounting for 58.9% of total FDI in the city.
Real Estate Tops Industries with FDI in Ho Chi Minh City
A view of downtown Ho Chi Minh City. (Photo: Internet)
Ho Chi Minh City, Vietnam’s largest economic hub, granted a license to 456 new FDI projects with a combined capital of $2.43 billion in the period, of which 58.9% belonged to the realty industry.
In addition, as many as 118 projects had their capital raised by $642.9 million, bringing the total FDI flow to the city to $3.07 billion in the year to October 15, compared to $2.94 billion in the same period of 2014.
In terms of industry, the industrial sector comes second with 51 projects worth $581.8 million, accounting for 24% of committed capital. It is followed by the commercial sector with $149.62 million, the science-technology sector with $138.83 million and the construction sector with $64.47 million.
Among the 44 countries and territories investing in the city, the UK takes the lead with $1.2 billion. The runners-up are British Virgin Island with $306.55 million, South Korea with $237.6 million, Singapore with $117.34 million, the U.S. with $88.3 million and Japan with $83.65 million.
Among the notable projects, Empire City Ltd. in June was licensed to carry out the Empire City project worth $1.2 billion in the core part of Thu Thiem New Urban Area. The project will consist of an 86-storey building, a five-star hotel, a shopping mall and an office building, covering an area of 14.5 hectares.
A consortium of seven South Korean and Japanese investors led by Lotte is seeking permission to build the Thu Thiem Eco Smart City complex with an investment of over $2.1 billion also in Thu Thiem New Urban Area.
The Thu Thiem New Urban Area, which was designed by Japanese Sasaki Group, is located on a 657-hectare peninsula across the Saigon river and set to accommodate nearly 200,000 people.