Ha Tay Province, which is set to be merged with Ha Noi, has attracted foreign direct investment worth US$1 billion in the year to date. Announcing this, the People’s Committee said this had been the original target for the entire year.

A corner of Ha Tay province which has attracted US$1 billion for first five months of the year

Deputy chairman of the People’s Committee, Nguyen Huy Tuong, said 17 projects, all of them in industry and construction, accounted for the entire amount.
 
Korean companies are the biggest investors, with US$827 million in six projects.

The director of the province’s Department of Planning and Investment (DPI), Nguyen Van Tu, attributed the surge in FDI to improved policies and convenient location.

He rejected any suggestion it had to do with the ongoing discussion in the National Assembly about the Ha Noi merger, explaining that these investment decisions had been made in 2006 and 2007, well before the merger had even been contemplated.

Inflation and higher interest rates have not influenced implementation of the projects because foreigners kept their funds abroad, while the Ha Tay government has smoothly completed land acquisition and resettlement of the former owners.

Mr. Tuong was confident more and more foreign investors would flock to Ha Tay from now on.