In December 2024, India registered 2 new projects with US$1.05 million in newly registered capital, according to Vietnam’s Ministry of Planning and Investment. This represents a 50 percent decrease in the number of new projects compared to November, which recorded 4 new projects and US$2.28 million in newly registered capital.
In 2024, India invested in 48 new projects with US$86.69 million in newly registered capital.
Foreign direct investment (FDI) from India into Vietnam has been steadily increasing, reflecting the growing economic and strategic partnership between the two countries. Indian investments in Vietnam are concentrated in sectors such as energy, pharmaceuticals, agriculture, information technology, and minerals. Notable Indian companies, including ONGC Videsh, TATA Group, and HCL, have established operations in Vietnam, focusing on areas like oil exploration, renewable energy, and IT services.
Vietnam’s favourable investment climate, competitive labour costs, and expanding consumer market make it an attractive destination for Indian businesses. Additionally, the two countries have strengthened economic ties through agreements like the ASEAN-India Free Trade Agreement, facilitating trade and investment flows. With Vietnam’s emphasis on infrastructure development, digital transformation, and sustainable growth, Indian FDI is expected to expand further, particularly in renewable energy, IT, and healthcare, contributing to the deepening economic collaboration between the two nations.
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