Vietnam's association for FDI investors vows support for Saudi Arabian businesses

The Vietnam’s Association of Foreign Invested Enterprises (VAFIE) is ready to work alongside the Ministry of Finance to support Saudi Arabian businesses in exploring opportunities, accessing information, and implementing projects in Vietnam, said its chairman Dr. Nguyen Anh Tuan.

Tuan made the statement at a meeting with a delegation from the Saudi Arabian Embassy in Vietnam. The meeting in Hanoi opened new avenues for cooperation in clean energy and offered opportunities for Vietnamese enterprises to expand into the Middle East market.

During the session, Dr. Tuan introduced the role and functions of VAFIE, which has operated for over 30 years. The association not only contributes to the development of investment policies and legislation and promotes foreign direct investment (FDI) in Vietnam, but also provides support to foreign businesses operating in the country.

While VAFIE has organized many international cooperation programs and business field trips, this marked its first official engagement with Saudi Arabian partners, he noted.

The association currently owns a media network that includes Nha dau tu in Vietnamese (print and www.nhadautu.vn) and The Investor in English (www.theinvestor.vn), helping disseminate information and connect domestic and international business communities.

Dr. Tuan emphasized that Vietnam is emerging as a safe and attractive investment destination, citing factors such as political stability, high economic growth (forecast at over 8% this year), competitive production costs, a market of more than 100 million people, and a network of 17 free trade agreements (FTAs).

He also highlighted Vietnam’s increasingly complete legal framework for investment and its growing logistics infrastructure, with major seaports positioning the country as a key regional transshipment hub.

Importantly, the Politburo recently issued Resolution No. 57 on directions for attracting and managing FDI capital, creating significant opportunities for high-tech, innovation-driven, and renewable energy projects.

"FDI remains a key component of Vietnam’s economy, contributing to sustainable growth and the transformation of the development model. VAFIE is fully committed to supporting Saudi businesses in exploring and implementing projects in Vietnam, alongside the Ministry of Finance," Dr. Tuan reaffirmed.

As part of its investment attraction strategy, Vietnam is prioritizing high-tech sectors, semiconductors, innovation, digital transformation, and particularly renewable energy, he added.

The Saudi delegation introduced ACWA Power, the largest energy company in the Middle East specializing in power generation, green hydrogen, and renewable energy. The group expressed strong interest in exploring opportunities to cooperate with Vietnamese enterprises - an approach aligned with Vietnam’s energy transition and sustainability goals.

Regarding Vietnam's incentives for foreign investors, another VAFIE representative noted key policies such as reductions in land lease fees and corporate income tax incentives (rates can be reduced from the standard 20% to as low as 5-9%, with preferential periods extending up to 37 years). Major high-tech, R&D, AI, and high-tech agriculture projects, or those with capital of over $250 million, receive special encouragement.

Saudi Arabia opens door to Vietnamese enterprises

Both sides agreed to maintain close communication and exchange information on potential projects. VAFIE appointed Nguyen Thi Minh Hien, deputy secretary general cum head of international cooperation, as the main liaison.

On the Saudi side, Dr. Abdullah Al-Dubaikhi, Deputy Minister of Investment, expressed willingness to facilitate business connections and actively encouraged Vietnamese companies to explore investment opportunities in Saudi Arabia.

Dr. Tuan underscored that this is an opportune moment for Vietnamese enterprises, especially those in clean energy and high-tech sectors, to pursue opportunities in Saudi Arabia, a rapidly diversifying economy moving beyond oil dependence. Leading Vietnamese firms such as FPT and Viettel are ready to enter the Saudi market if the right incentives are given.

The meeting concluded on an optimistic note, with both sides seeing strong potential for future collaboration. The groundwork has been laid for tangible bilateral investment projects, paving the way for strengthened economic ties and friendly relations between Vietnam and Saudi Arabia.