Vietnam builds ecosystem to attract and retain foreign investment

Vietnam is working to create a more robust environment for foreign direct investment by bridging the gap between multinational corporations and domestic enterprises, according to World Bank recommendations. The focus centers on three interconnected strategies: linking global companies with local suppliers, enhancing the business climate, and developing financial mechanisms to support supply-chain development. These initiatives aim to help Vietnamese firms progressively meet stringent international requirements for quality, technology, cost competitiveness, and on-time delivery. By strengthening these capabilities, domestic companies can position themselves as dependable suppliers to multinational corporations operating in the region. The push reflects Vietnam's broader strategy to move beyond attracting foreign capital and toward building a sustainable, integrated investment ecosystem. Recent data shows FDI disbursement has reached five-year highs, with major industrial zones like Ho Chi Minh City and Dong Nai provinces increasingly attracting technology-focused investments. Supply-chain finance solutions are expected to play a crucial role by providing Vietnamese suppliers with better access to working capital and credit facilities. Experts believe that when coupled with business climate improvements and direct linkages between foreign and domestic firms, these financial tools could accelerate the integration of Vietnamese companies into regional and global supply networks.