According to the Asian Development Bank (ADB), Vietnam is forecast to be one of the fastest growing economies in Southeast Asia, despite the impact of COVID-19. Vietnam’s economy has shown strong growth over the past five years due to high domestic demand, strong manufacturing and processing industries, and increasing foreign direct investment.

Besides a fast growing economy, Vietnam also boasts nearly 60 million workers with half under the age of 39. The government has focused on education reform and policies that help boost the workforce through vocational training. The government also introduced reforms that boosted productivity, skills and the quality of workers. Nearly 95% of the workforce is literate, 5% are proficient in English, and 10% are considered “Skilled”.

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Another competitive advantage of Vietnam that is attracting investors is the very competitive minimum wage compared to other Asian countries, this salary ranges from US$132/month to US$190/month depending on the economic sector. With this competitive rate, many investors are looking to move the supply chain to Vietnam as an alternative to cut costs.

A number of large manufacturing companies and supply chains have moved factories to Vietnam such as Foxconn, Panasonic, LG, Google, Intel. This change is made more attractive by the Government’s support for FDI sources through free trade agreements and tax incentives.

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With the support of the Vietnamese government, which has been gradually reducing public administrative procedures, many policies to welcome the wave of foreign investment have been launched. With the advantage of cheap, young and professional labor, new and improved facilities such as roads and wharfs, we always welcome businesses interested in learning and investing.