Recovery and rebuilding – a priority for Japan

The Vietnam Ministry of Planning and Investment and the Nikkei Economic Times co-hosted a conference with the Japanese Embassy in Vietnam on the topic of “Recovery and rebuilding scenarios of Japan – the trend of oversea investment”.

The conference in Hanoi on August 10 explained in details many effects of the recent natural disaster in Japan, to the country’s economy in particular and to the world as a whole.

The conference laid out various blueprints for the recovery and rebuilding of Japan after the earthquake and tsunami disaster in March to update investors on the state of the Japanese economy and society post-disaster, along with changes in the country’s policy regarding overseas investment.

At the event, Bui Quang Vinh, Vietnamese Minister of Planning and Investment said that Japan was a strategic partner of Vietnam in many fields and is also the largest overseas development assistance (ODA) provider, with up to 30 per cent of Vietnam’s total ODA.

Japan was also ranked in the top five investors in Vietnam, covering around 11 per cent of total foreign direct investment. By July 2011, Japan had 1,560 valid direct investment projects in Vietnam, worth $21.6 trillion.

N.Hasegawa, editor-in-chief of the Nikkei Economics Times, commented on the severe impacts left by the earthquake in eastern Japan in March. The disaster cost Japan more than 20,000 billion JPY (equivalent to $250 billion); and over 20,000 people were either dead or could not be found.

However, Japan and its people are strongly committed to rebuilding the country, taking one step at a time to reconstruct infrastructure and restore economic activities.

According to Professor Dr. Nguyen Xuan Thang, president of the Institute of Social Science of Vietnam, the work to recover and rebuild Japan is urgent. Vietnam has held a vital position in the chain of production of Japanese firms in the Asian market and has become a key location in the manufacture of important products to be transported to Japan.

Japan has consistently invested in Vietnam, in the construction of infrastructure and the development of supporting as well as high-tech industry; considering Vietnam as a bridge for Japan to promote its influence in regional politics and economics.

According to Tran Tuan Anh, Vice Minister of Industry and Trade, Vietnam should provide Japanese investors with favourable infrastructure and land, as well as skilled workers, in order to encourage and successfully attract more investment into the manufacturing industry in Vietnam.

He said the Vietnamese government as well as private companies of Vietnam and Japan should cooperate and plan for long-term investment projects. – VIR

Tags: invest in Vietnam, Vietnam FDI, Vietnam FDI 2011, Vietnam investment