Vietnamese firms invest more than $3.45b in Laos

27-Apr-2012 Intellasia | Dau Tu Chung Khoan | 7:59 AM Print This Post

Vietnam’s investment activities in Laos have been constantly increasing in recent years. Vietnam currently ranks at the second place in foreign investment in Laos.

As of March 31, 2012, Vietnamese firms have invested total $3.45 billion in 212 projects in Laos, mainly focusing in sectors such as energy (hydropower plants), mining, agriculture and forestry.

Some typical projects were implemented basically and on time such as Laos-Vietnam Joint Venture Bank, Hoang Anh Gia Lai Joint Stock Co (coded HAG)’s rubber growing project, sugarcane and rubber project of Vietnam Rubber Industry Group and Dak Lak Co’s rubber growing project.

In 2011 alone, Vietnamese firms invested nearly $500 million in 15 licensed projects in Laos. Currently, Vietnam’s investment activities are being carried out in 16/17 provinces of Laos, mainly in potential and key economic sectors of Laos.

In finance, banking and insurance sectors, Vietnamese enterprises have nine projects worth nearly $82 million, accounting for 2.3 percent of Vietnam’s total investment capital in Laos, including large financial groups such as Bank for Investment and Development of Vietnam (Bidv), Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank-STB), Military Commercial Joint Stock Bank (MB), Vietnam Commercial Joint Stock Bank of Industry and Trade (VietinBank-CTG), Laos-Vietnam Insurance Co, Post Insurance Joint Stock Co, PetroVietnam Insurance Co and Lanexang Securities Public Co (Sacombank), a joint venture between the Sacombank Securities Joint Stock Company (Sacombank-SBS) and the Lao Development Bank (LDB).

However, there are still many projects being pended and delayed for implementation so far.

Vietnam is now Laos’ second biggest foreign investor.

 


Category: Economy

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