Ho Chi Minh City has recorded a striking recovery in foreign direct investment (FDI) during the first seven months of 2025, securing $6.2bn - a 45% rise compared with the same period last year, when inflows had fallen sharply, Viet Nam News reports. The upswing reflects renewed confidence among overseas investors and points to stronger growth prospects for the city.

Figures from the municipal Department of Finance show that 1,073 new projects have been granted licences, together worth $1.3bn. A further 296 existing ventures increased their capital by $2.37bn, while 1,323 cases of share acquisitions by foreign partners totalled some $2.52bn.

Export processing zones and industrial parks continue to draw steady investment, with high-technology schemes enjoying particularly robust expansion. Among the notable commitments are a $42mn microchip plant by BE Semiconductor Industries NV and an additional $48mn for Amazon Data Services Việt Nam.

At a recent review of socio-economic performance, People’s Committee chairman Nguyễn Văn Được hailed the FDI surge as proof of the city’s competitiveness and vitality. He noted that this year has seen a stream of delegations from major global firms – including Intel (United States), AEON (Japan), GS Engineering and Construction (South Korea), the Astana International Financial Centre (Kazakhstan), and Argentina’s Ministry of Economy – exploring opportunities in the city.

Municipal leaders have also travelled to Singapore and Malaysia to promote investment and attend international trade fairs, seeking to position the city as a magnet for capital across diverse industries.

The contrast with 2024 is marked: last year’s $2.2bn represented a fall of nearly 40% from 2023, a decline largely blamed on shortages of industrial land. That constraint has eased dramatically since Ho Chi Minh City merged with Bình Dương and Bà Rịa-Vũng Tàu provinces.

The newly enlarged metropolis now combines three complementary strengths: the financial and service expertise, advanced technology, and world-class education and healthcare of the former HCM City; Bình Dương’s modern manufacturing base and transparent business climate; and Bà Rịa-Vũng Tàu’s advantages in energy production, port infrastructure, and tourism. Together, they form an integrated economic zone capable of supporting complete value chains in production, logistics, consumption, and premium services.

City authorities have set an ambitious target of attracting $10.44bn in FDI this year. The Department of Finance says that legal procedures for priority projects are being accelerated to lay the groundwork for sustainable development and enhanced urban competitiveness.