Manufacturing electronic components at Sumida Co., Ltd. (Japan) in Tinh Phong Industrial Park, Quang Ngai province (Photo: VNA)

This growth is driven by several factors, including a sharp increase in additional investment to existing projects, capital contribution, and share purchases.

In the reviewed period, 401 existing projects registered for capital adjustment, with additional funding of nearly 5.16 billion USD, respectively surging 44.8% and almost 5.1 times from the same period last year.

Nearly 1.49 billion USD was spent by foreign investors to contribute capital to and purchase shares of Vietnamese firms, shooting up 83.7% from a year earlier.

In contrast, over 4.33 billion USD was poured into new projects in Q1, down 31.5% year-on-year, due to the absence of large-scaled projects.

However, the FIA said that the situation has improved, with newly registered FDI rising sharply in March, up 66.5% from January and nearly 2.4 times from February. The number of new projects also increased, by 42.7% and 18.4% from January and February, respectively.

According to the agency, the higher overall number of new projects, capital-added cases, capital contributions, and share purchases demonstrates that Vietnam remains a trusted destination for foreign investors to pour capital into both new projects and existing ones.

In January–March, about 4.96 billion USD in FDI was disbursed, up 7.2% against the same period last year.

Foreign investors invested in 18 out of 21 sectors of the national economy. Among these, the processing and manufacturing industry led with total investment exceeding 6.79 billion USD, accounting for approximately 61.9% of the total, up 26% year-on-year. It was followed by real estate, with more than 2.39 billion USD, or 21.8% of the total, up 44.1% year-on-year.

In the reviewed period, Vietnam attracted investments from 73 countries and territories, with Singapore topping the list, pouring over 3 billion USD, equivalent to 27.6% of the total. The Republic of Korea ranked second with nearly 2.04 billion USD, almost 2.7 times higher than the same period last year.

The northern province of Bac Ninh led the nation in terms of FDI attraction, with nearly 1.9 billion USD, or 17.3% of the total, up 2.1 times. It was followed by Ho Chi Minh City with 1.43 billion USD, making up nearly 13% and surging by 58.3% year-on-year. Hanoi was in the third place with 1.42 billion USD, representing 12.9% of the total and rising 23.6%, statistics show./.