Vietnam shifts FDI focus toward high-tech and green economy

Vietnam is shifting its strategy for attracting Foreign Direct Investment (FDI) to prioritize high-quality, sustainable, and high-tech projects over sheer volume. This transition is driven by a national goal to achieve double-digit economic growth between 2026 and 2030 through innovation, digital transformation, and a green transition.

In the first seven months of 2026, registered FDI reached $38.06 billion, a 58% year-on-year increase, while disbursed capital hit $15 billion, the highest for a seven-month period in five years. The new strategic direction, outlined in Resolution No. 10-NQ/TW, emphasizes linking investment incentives to commitments in research and development (R&D), technology transfer, and environmental, social, and governance (ESG) standards.

This policy shift is impacting various sectors, including industrial real estate, which is moving toward ecological and smart industrial park models. Additionally, foreign companies are increasingly viewing Vietnam as a hub for R&D and high-tech production rather than just low-cost manufacturing, with growing interest in semiconductors, electronics, and AI-driven software development.