26.7 C
Ho Chi Minh City
Saturday, June 22, 2024

Vietnam attractive to U.S., European investors as economic allure grows

By Le Hoang

Must read

HCMC – Vietnam is seeing an uptick in investments from the U.S. and Europe, driven by its robust economic growth, skilled labor and reputation as a preferred destination amid the changing investment landscape.

Ivan Alver, co-founder of Global M&A Partners (GMAP), highlighted this trend on the sidelines of the GMAP conference organized on November 13 by RECOF Vietnam, an international M&A consulting firm. GMAP is a global alliance of 30 M&A firms covering 50 countries and territories across the Americas, Europe, and Asia Pacific.

Investors from the United Kingdom, the U.S., and Europe are increasingly interested in Vietnam given its stable political environment, skilled workforce, and lower labor costs. Alver emphasized the appeal of Vietnam’s demographics, economic growth, and expanding middle-income consumer base.

Economic challenges in Europe, including inflation, are prompting investors to diversify their portfolios. Frederic De Boer, co-founder of GMAP, noted strong interest in Vietnam, particularly in its manufacturing sector.

European companies, previously operating in China, are exploring the relocation of their production bases to Vietnam. Factors such as an abundant labor pool, business-friendly conditions, and positive preliminary assessments are driving this shift, aligning with the broader global trend of supply chain diversification.

Recognizing the untapped potential, RECOF Vietnam is hosting the GMAP Conference to facilitate cross-border deals and showcase investment opportunities, with the aim of enhancing communication between RECOF and its global partners.

Masataka Yoshida, CEO of RECOF Vietnam, said he remains optimistic about the M&A landscape in Vietnam despite a global economic slowdown. He added that the GMAP Conference, acting as a bridge for M&A professionals and investors, aims to tap into Vietnam’s dynamic market, providing valuable insights into regulatory frameworks and emerging sectors.

According to FiinGroup statistics, Vietnam’s M&A market reached nearly US$2.7 billion in the first half of 2023, up by a significant 54% against the same period last year. However, foreign direct investment (FDI) approvals in Vietnam during the first 10 months of 2023 soared by 14.7% to over US$25.7 billion, underscoring the country’s economic resilience in the face of global challenges.

More articles


Please enter your comment!
Please enter your name here

Latest articles