Vietnam’s open economic environment and significant growth potential across various sectors have consistently placed it among the top investment destinations for Singaporean investors. These investors are prominent contributors to foreign capital inflows into Vietnam. In the first eight months of 2023, Vietnam witnessed a foreign investment influx of over $18.15 billion, an 8 percent increase compared to the previous year. Singapore’s contribution stood out with $3.83 billion, highlighting the strong faith Singaporean investors have in Vietnam’s economic management and its equitable, transparent investment climate.
Singapore has recently emerged as the top foreign investor in the ASEAN region and is the second-largest investor in Vietnam, with 143 countries and territories investing a total of $70.8 billion across more than 3,000 projects. The real estate sector has particularly piqued the interest of Singaporean investors, attracting over $18 billion in capital across more than 180 projects, according to the Foreign Investment Agency’s latest data. A 2022 Singapore Business Federation report showed that 28 percent of 690 surveyed Singaporean businesses identified Vietnam as their top investment prospect, outpacing countries like Malaysia, Indonesia, Thailand, and even larger economies like China, India, the UK, and Germany.
Vietnam is expected to remain a focal point for Singaporean investment. During a visit to Singapore earlier this year, marking 50 years of diplomatic ties and a decade of strategic partnership, Prime Minister Pham Minh Chinh spoke on the strengthened mutual understanding, experience, trust, and collaboration between the two countries. Keppel Corporation’s President of Real Estate in Vietnam, Joseph Low, remarked on the potential in Vietnam’s energy and data centre sectors, aligning with the country’s shift towards green and circular economies. Committed to Vietnam for the long haul, Singaporean investors plan to innovate in Real Estate-as-a-Service, leverage cutting-edge technology with a customer-focused approach, and explore new avenues like sustainable urban renewal to increase their recurring revenue streams.
