Bài luận văn môn International Economics tại Đại học Ngoại thương CS2 Đề tài: International Investment: Situation Analyst and Implication in Vietnam Giảng viên: Trần Nguyên Chất Sinh viên thực hiện: Trần Ánh Nguyệt
FOREIGN TRADE UNIVERSITY HO CHI MINH CITY CAMPUS -*** MID-TERM ESSAY COURSE: INTERNATIONAL ECONOMICS INTERNATIONAL INVESTMENT: SITUATION ANALYSIS AND IMPLICATION IN VIETNAM Class: K55CLC3 Class Code: 26 GROUP 16: Bùi Thị Phương Nguyên 1601015297 Nguyễn Như Nguyện 1601015302 Trần Ánh Nguyệt 1601015304 Ngô Xuân Nhã 1601015306 Đặng Thị Yến Nhi 1601015315 Lecturer: Mrs Trần Nguyên Chất Ho Chi Minh City, September 28th, 2018 TABLE OF CONTENTS INTRODUCTION I GENERAL CONCEPT OF FDI Definition Methods Types of Foreign Direct Investment General trends of global FDI II OVERVIEW OF FDI IN VIETNAM Periods of development Some characteristics of FDI in Vietnam 2.1 Investment composition by sector 2.2 Investment location 10 2.3 FDI inflow by country 11 General trends of FDI in Vietnam 12 III 3.1 FDI with green growth 12 3.2 FDI with technology transfer 12 3.3 FDI with unequal development 13 3.4 FDI with the market and partners 13 3.5 FDI with diffuse effects 14 OVERVIEW OF POLICY TO ATTRACT FDI INFLOWS 14 Vietnam legal system for attracting FDI 15 Significant progress of laws on investment 19 IV DETERMINANTS ATTRACTING FOREIGN INVESTORS TO VIETNAM 20 The stability 21 Attractive demographics 21 Dynamic economy, stable and attractive policy system 22 Continuous integration 22 V ROLE OF FDI IN VIETNAM’S ECONOMY 22 The role of FDI in increasing capital inflows into Vietnam 22 The role of FDI in increasing export surplus 23 The role of FDI in employment and human resources 24 The role of FDI in economic restructuring in the direction of modernization 24 The role of FDI in expanding foreign relations and increasing international economic integration 25 VI CASE STUDY ANALYSIS 26 TOYOTA in Vietnam 26 1.1 The establishment and development of TOYOTA Motor Vietnam 26 1.2 The reason why TOYOTA invested billions of USD into Vietnamese market 27 1.3 The remarkable achievements Toyota obtained from Vietnamese market 27 1.4 TOYOTA Motor Vietnam’s contributions to the economy of Vietnam 28 Central Group 29 2.1 The establishment and development of Central Group in Vietnam 29 2.2 The reason why Central Group invested billions of USD into Vietnamese market 32 2.3 Investment orientations of Central Group in Vietnam 33 VII LIMITATION OF FDI IN VIETNAM 34 The overall effect of foreign investment is not high 34 Limitation in protecting environment 34 Limitation in technology transfer 36 The phenomenon of transfer pricing, tax evasion 36 CONCLUSION 37 REFERENCES 39 TABLE OF FIGURES Figure FDI inflows, global and by group of economies, 2005 – 2016, and projections, 2017 – 2018 Figure FDI inflow and Disbursement period 1986 – 2014 Figure Newly registered capital by sector, period 1988 – 2010 10 Figure Top foreign direct investors in Vietnam in 2017 11 Figure FDI in Vietnam 20 Figure FDI inflow into Vietnam 22 Figure Relation of FDI inflows and Vietnamese export’s expansion 23 Figure Some big commercial deals of Thailand’s enterprises in Vietnam in 2016 31 Figure Central Group’s Overseas Expansion 32 INTRODUCTION Since the past century, the Economist Paul Samuelson have stated the theory about “the vicious cycle of poverty” According to that theory, most developing countries have trouble with capital because of limited ability to accumulate capital So, these countries need external factors in order to break that “vicious cycle” such as technology, labor, resources and especially, capital from foreign countries FDI is this most important factor In the context of globalization, “foreign direct investment” becomes a very popular economic term because of its benefits for not only investors and recipients but also the whole global economy By transfer of foreign capital investment abroad directly, FDI expands all commercial activities and markets, contributing to improve competitiveness and create a fair economic environment Now FDI is one of major drivers of globalization and it controls most investment activities in the world Especially in developing countries, FDI plays a very important role in socioeconomic life The problem of developing countries, including Vietnam, is that low standards of living resulting from the low income level becomes the biggest obstacle for investment activities In other word, it means that developing countries not have enough capital to invest So, they may attract FDI because FDI will provide local businesses with much-needed capital to grow and prosper Moreover, except for the investment aspect, FDI contributes to resolve many problems of the host country, such as decreasing the unemployment rate through the creation of new meaningful job opportunities The employees in foreign companies can learn a lot about modern methods of management and marketing, then gaining higher skills and experience For new industries, foreign investment supports their development and helps small businesses reach global value The transfer of technology stimulates poor countries develop effectively and comprehensively The gap between countries is also shortened When it comes to political aspect, FDI drives regional development and strengthen international relationships among countries all over the world With over 30 years attracting FDI of Vietnam, we realize that utilizing external resources is the most effective step for developing countries, where FDI plays an important role in economic growth and development Therefore, we decide to take a deeper research into international investment, particularly foreign direct investment, to analyze the situations and its implications in Viet Nam context I GENERAL CONCEPT OF FDI Definition “Foreign direct investment (FDI) is an investment made by a firm or individual in one country into business interests located in another country Generally, FDI takes place when an investor establishes foreign business operations or acquires foreign business assets, including establishing ownership or controlling interest in a foreign company” (According to Investopedia) Methods To enter a foreign market through FDI, a firm can choose a variety of ways such as opening of a subsidiary or associate company in a foreign country, acquiring a controlling interest in an existing foreign company, or by means of a merger or joint venture with a foreign company Types of Foreign Direct Investment - Horizontal FDI – the MNE enters a foreign country to produce the same products product at home - Conglomerate FDI – the MNE produces products not manufactured at home - Vertical FDI – the MNE produces intermediate goods either forward or backward in the supply stream General trends of global FDI In the context of weak economic growth, global FDI flows also fell per cent, to 1.75 trillion USD The general trend is that there is a fall in developing countries and a growth in developed countries, however quite modest It resulted in the fact that developed economies accounted for a large share (59%) of global FDI inflows in 2016 (Figure 1) Figure FDI inflows, global and by group of economies, 2005 – 2016, and projections, 2017 – 2018 Source: World Investment Report 2017, UNCTAD For global outward FDI flows, MNEs from developed countries maintained their large share However, there were a substantial decrease in their investment activity, falling 11 per cent to $1 trillion The situation of those from developing countries is similar when their FDI outflows fell by 3% to $409 billion II OVERVIEW OF FDI IN VIETNAM Periods of development According to the Department of Foreign Investment, from 1988 to 20/10/2017, 63 provinces and cities of Vietnam have received 24,397 FDI projects in 128 countries and territories, with registered capital (are still in effective) that is up to $ 312.9 billion and implemented capital is 169.05 billion Figure FDI inflow and Disbursement period 1986 – 2014 Source: Vietnam Institute of Economics From 1991 to now, implemented FDI has increased rapidly: - 1991 - 2000: reached 19.446 billion USD, an average of US $ 1.95 billion per year - 2001 - 2010: reached 58,497 billion USD, three times comparing to the previous decade, averagely $ 5.85 billion a year - 2011- 2015: reached 84 billion USD, equivalent to 4.55 times in the period 19912000 and 1.43 times in the previous 10 years, with an average of $ 12 billion a year - 2015 - 2017: Notably, the amount of FDI into Vietnam in this period has been increasing steadily over the 2011 - 2015 period Vietnam’s actual foreign direct investment reached an estimated $17 billion in 2017, which is the highest annual amount ever recorded by the country, according to official figures Some characteristics of FDI in Vietnam 2.1 Investment composition by sector - 2017: Lining off the 400,000th vehicle; introduction to the project “No Quality No Life” It is clearly that since its foundation, TMV has continuously grown and developed not only in production scale but also in sales 1.2 - The reason why TOYOTA invested billions of USD into Vietnamese market The stability of political, social, economic situations as well as policies of Vietnam has attracted many FDI companies - Preferential policies of Government for foreign business, especially in the automobile industry such as: Corporate income tax (CIT) exemption or reduction in the first years of operation, import tax on components for automobile assembly in the host country is much lower than import tax on cars - Automobile industry has not developed so far in developing countries like Vietnam, so this is a potential market with less competitors - The implementation of international agreements such as WTO, AFTA, ASEANChina FTA, has made Vietnam’s economy become more integrated and interdependent with others’, gradually removing tariff barriers and opening the domestic market from January 1, 2009 - The plenty of labor force with low cost is also a key factor that attracts foreign investors - Vietnam has favorable geographic location with long coastline and large ports – convenient for export and import 1.3 The remarkable achievements Toyota obtained from Vietnamese market Up to now, after 20 years of operation, thanks to the support from Government, partners and Vietnamese consumers, together with continuous efforts of all members, TMV has become a leading automobile manufacturer in Vietnam and attained remarkable achievements According to new achievements announcement in 2017 of TVM: 27 - For sales volume: In 2017, sales volume of TMV reached a record of 59,355 units (excluding the Lexus), accumulated sales volume reached 472,066 units Especially, TMV again ranked No in the Sales Satisfaction Index (SSI) for the third consecutive time since 2015 - For production: With production volume of 41,424 car units in 2017, the total accumulated production volume so far of TMV has reached 428,073 units - For service turnover: In 2017, TMV recorded total 1.14 million service units at dealers Thus, the accumulated service turnover of TMV so far has reached 8.7 million units - For dealer network: The total number of TMV dealers is up to 47, located in 22 provinces across the country - For export: In 2017, TMV also expanded its business scope, exporting parts and components to 13 countries and territories TMV's export turnover reached nearly $64 million, contributing to the accumulated export turnover up to approximately $465 million - For localization: Up to now, TMV's supplier network has reached the number of 33, in which there are Vietnamese suppliers In 2017, TMV also expanded its localization scale for some parts & components Up to now, TMV's total localized products have reached over 300 types of products With the success achieved, in 2018, TVM has decided to invest more in Vietnam, estimated about 40 million USD, to expand its production from 50,000 units a year to 90,000 units a year 1.4 TOYOTA Motor Vietnam’s contributions to the economy of Vietnam Along with the achievements in business, TMV always focuses on supporting the development of human resources by creating thousands of jobs for Vietnamese local employees Up to the end of 2017, there are approximately over 30,000 employees in TMV, in dealers and suppliers Moreover, employees of TMV often have chances to participate 28 in short and long-term training courses, both inside and outside the country, in order to improve and develop their skills as well as enhance the working-spirit TMV has also completed its tax obligations to the state budget Total tax contribution of TMV in 2017 reached approximately over $1 billion, raising the accumulated tax contribution since the establishment reached to nearly $7 billion (including value added tax - VAT, special consumption tax - SCT, corporate income tax - CIT, personal income tax, import tax, …) TMV is also one of the leading companies in tax contribution in Vinh Phuc province Besides those, TMV has contributed to development of the society and people of Vietnam through programs, campaigns and projects focusing on traffic safety, human resource development, sports-culture and environmental protection such as Go Green - Go Green; Toyota Scholarships; Robot Vietnam (Robocon), Toyota Classical Music Festival, Monozukuri Course Especially, through “Toyota Environmental Challenge to 2050”, as well as the target to become a green automaker, in 2017, TMV has cut 21% of its CO2 emissions per unit of product compared to 2014 with a variety of practical activities to save electric and diesel Central Group 2.1 The establishment and development of Central Group in Vietnam Since joining the Vietnam market in July 2011, Central Group is no longer unfamiliar to consumers in the country This Thailand company is investor in six areas of Vietnam, including supermarkets, electronics, hotel management, shops, exportation and wholesale; with a total of 160 stores/supermarkets This is the largest foreign retail group in Vietnam with 217 stores in five areas; including 31 Big C stores, 59 Big C stores, Lanchi Mart, 49 fashion outlets (Robins, DELALA, Supersports, Marks & Spencer), 79 stores of building materials, home decoration and electronic equipment (Nguyen Kim, B2S) and three online sales (nguyenkim.vn, robins.vn and B2S com.vn) The continuous development of Central Group Vietnam since its establishment: 29 - At the end of 2014: Central opened two Robins fashion centers in Hanoi and Ho Chi Minh City These two centers have many high-end brands in the world with the majority of Thailand products Central Group also operates the SuperSports, Crocs and New Balance brands through the distribution network of subsidiaries of the Central Group and the franchisees for Vietnamese partners - In January 2015: Power Buy, a unit of the Central Group, acquired a 49% stake in New Technology Development and Investment Company (NKT), a unit owned by Nguyen Kim Trading Company with 21 electricity appliances supermarket across the country - In late 2015: this group once again heated the Vietnam’s market when buying supermarket chain Lan Chi - supermarket chains are mainly appeared in rural areas, which have not received many attentions from foreign enterprises However, the move to the rural of Central Group continues to show the "craving" as well as the desire of the group in a potential market as Vietnam - In April 2016, the Central Group continued to make waves when it overtook a series of heavyweights cooperations such as TCC Group (Thailand), Lotte (Korea), Aeon (Japan), Masan and Saigon Co.op (Vietnam) in the race to buy Big C supermarket in Vietnam Central Group announced that it has completed the purchase of Big C supermarket chain in Vietnam from the French Casino Group at a price of € 920 million ($ 1.05 billion) To complete this $ billion deal, the Central Group sold its stake in the Big C supermarket chain to Thai rival TCC Group's billionaire Charoen Sirivadhanabhakd 30 Figure Some big commercial deals of Thailand’s enterprises in Vietnam in 2016 - On May 2016: Zalora Vietnam - a website specializing high fashion under the support of Rocket Internet (Germany) has officially handed to Nguyen Kim, which Central Group currently holds a 49% stake in Meanwhile, Zalora Thailand is also sold to Central Group It is known that the value of each transaction is about $ 10 million - In 2017: 72% of Central Group's revenue comes from Thailand, 15% in Europe and 13% in Vietnam “This rate is expected to remain unchanged in 2018 " said Tos Chirathivat, CEO of Central Group - In the year 2018: the group plans to open more than 500 stores to reach about 750 stores in 2016 in the same period It is forecast that revenue from the Vietnamese market will contribute to Central's total revenue from 13% to 20% over the next five years With such a bold investment plan, the Central Group wants to boost sales in Vietnam to 35 billion baht ($ 1.05 billion) this year, bringing its total revenue to 382 billion baht ($ 11.5 billion USD) 31 2.2 The reason why Central Group invested billions of USD into Vietnamese market - CEO of Central Group believes in investment opportunities in Vietnam and is looking to pour more money into this market based on capital strength, management experience and especially want to continue to exploit the potential of rapid growth in the retail sector in ASEAN Like TCC and Berli Jucker, Central is attracted to the rapidly growing in average income, and economic growth of more than 5% annually in Vietnam Morealso, it’s said that after the success of M & A in the retail industry of Vietnam, Tos can reach out for agricultural field and the processing industries - Thailand has established a solid distribution channel and is continuing to expand in Vietnam This is a good time for Thai company in general and Central Group in particular to have the opportunity to direct Thailand’s product to Vietnamese consumers Figure Central Group’s Overseas Expansion Source: Central Group 32 - The impact of the shift of importing sources: In the past, many consumer goods were mainly imported from China, now shifted to Thailand because of the good quality of Thailand’s products compared to Chinese goods, while the prices are even cheaper than Japanese or Korean - Vietnam has implemented the tariff reduction schedule as committed in ATIGA: Many goods imported from Thailand have enjoyed the preferential tax rates as committed in the ASEAN Agreement on Trade in Goods (ATIGA) So far, Vietnam has eliminated import tariffs on approximately 90% of total tariff lines and will eliminate tariffs on 98% of tariff lines by 2018 - According to Vu Vinh Phu, trade expert and former president of the Hanoi Supermarket Association, supposed that the domestic market was taken by the Thailand’s business is a reality With the situation of too many Vietnamese’s “piece of cake” gradually disappear from the market, must first look at the problem in the management and operation system of Vietnamese enterprises - Vietnam is maintaining the policies to encourage foreign investors to invest in the country; such as Metro, Big C are allowed to exempt from many kinds of tax preferential to the convenient location in the cities 2.3 Investment orientations of Central Group in Vietnam After purchasing Big C supermarket chains in Vietnam, the Central Group is now reorganizing its management of this chain As a result, Big C's sales increased 11% in July 2016 With this strong investment, the Central Group aims to grow 20-30% annually in Vietnam The group's business in Vietnam has grown by 340% in the past five years Currently, Vietnam will be the main focus of Central Group on expansion plans in retail and hospitality This is a potential market and is expected to grow fourfold in revenue for the Group over the next five years In the fashion sector, in addition to the Robins brand, the Central Group also operates the SuperSports, Crocs and New Balance brands via the distribution network of subsidiaries 33 under the Central Group and franchisees for Vietnamese partners Central Group is also the company that bring Marks & Spencer (M & S) and Komonoya (Japan) into Vietnam As planned, by 2020 the Central Group will open dozens of Komonoya co-stores as well as develop 20 more M & S centers in Vietnam For the hotel segment, Central Group also invested in and owned a hotel is Centara Sandy Beach Resort in Da Nang In addition, the Central Group is disbursing billion baht to open 20 more Big C supermarkets and Lan Chi Mart wholesale chain, along with 20 Nguyen Kim stores The remaining 7-8 billion baht will be spent during 2019-2021 VII LIMITATION OF FDI IN VIETNAM Although the role of FDI in Vietnam’s economy is important, it cannot be denied that FDI also have many disadvantages The overall effect of foreign investment is not high In the industry - construction, FDI projects mainly focus on assembly, low value added; there are too few infrastructure projects The proportion of projects in agriculture, forestry and fishery is very low and tends to decrease while these are the strengths of Vietnam In services, large-scale real estate projects are still high, but many of these projects are delayed, wasting land and borrowing capital in the country Foreign investment in intermediary services, high added value services, education and training, health care, environment and health care are still limited FDI is mainly concentrated in areas with favorable conditions in terms of infrastructure, human resources, markets for products that cause regional imbalance and failing to achieve the objective of FDI into difficult areas EZs, IPs and HTPs not create a distinct advantage for each locality and territory Investors in Vietnam mainly from Asia, foreign investors are small and medium enterprises account for a high proportion It has attracted over 100 of the top 500 transnational corporations in the world Capital utilization rate is low compared to registered capital, only about 47.2% Limitation in protecting environment 34 According to the report of the Ministry of Natural Resources and Environment at the online conference of the Government on environmental protection held in August 2016, FDI in Vietnam tends to shift capital flow into the industry consuming energy, resources, human resources, not friendly to the environment In addition, Vietnam tends to loosen environmental protection standards to compete with other countries in the process of attracting capital In addition, foreign investors take advantage of Vietnam's restrictions on technical regulations of backward, resource-intensive and energy-intensive technologies in order to maximize profits Steel industry standard is a typical example According to the general standard of industrial waste water, it is required to ensure 33 technical criteria before discharge into the environment, but the national technical regulation on wastewater in the steel industry only stipulates 12 indicators, notably The Xyanua indicator (one of the four deadly toxins in the four central provinces caused by the Formosa Company in April 2016) was allowed five times as much as the standard allowed Not to mention, due to the marine environment, the Formosa project is allowed to discharge with a cyanide content of 0.585 mg / l, nearly six times more than the level allowed by the general standard Many cases of environmental pollution occur in the FDI sector Ten years ago, the Thi Vai River (Dong Nai Province) was polluted 80-90% when Vedan Vietnam Co., Ltd (Taiwan) discharged wastewater into the river for a long time In 2014, Mwon Vietnam Co., Ltd in Phu Tho province was also fined 515 million dong for wastewater discharged 10 times or more into the environment Not stop there, in 2015, serious dust pollution caused by Vinh Tan Thermal Power Plant makes local people urgent, to blockade National Highway to protest In particular, in early 2016, there was a marine environmental disaster in the four central provinces after the Hung Phat Formosa Hung Nghiep Hung Nghiep Co., Ltd (Taiwan) dumped a large amount of untreated wastewater into the sea while operating In May 2016, Mei Sheng Textiles Vietnam Co., Ltd (Ba Ria - Vung Tau) was sealed dying workshop when it was discovered illegally built workshop dying capacity of 1,100 tons / year and illegal discharge Environmental pollution Shortly 35 thereafter, the act of polluting the environment at Lee & Man Paper Mill (Hau Giang) was also discovered Not only loosening standards, environmental monitoring is also lax The project should have the frequency of environmental monitoring at least times a year, but most of them are actively engaged in consulting companies to implement Inspection and checking activities are carried out according to the announced program Violation is also extremely difficult, if there is a fine in business is not significantly less than the cost of waste treatment In many cases, foreign investors take advantage of loopholes in the laws and weaknesses in State management to import backward machinery and equipment that pollute the environment, overestimate import value and value of technology transfer Limitation in technology transfer In particular, FDI has not created close links with Vietnamese enterprises to join the value chain, has not promoted the development of supporting industries in Vietnam, technology transfer activities and management experience Looking back on the period 2006 - 2015, nearly 14,000 new FDI projects have about 600 contracts for technology transfer, reaching 4.28% Accordingly, the efficiency of technology transfer from FDI enterprises in Vietnam is surprisingly low and tends to be increasingly lagging behind In 2009, Vietnam ranked 57th, in 2014 at 103th place, down 46th Meanwhile, Thailand's 36th, Indonesia's 39th, Malaysia's 13th There are many reasons for this, including the FDI enterprises "hide" technology The phenomenon of transfer pricing, tax evasion Some FDI enterprises have applied sophisticated transfer pricing techniques such as raising the value of capital contribution (by machine, equipment, copyright ), value of input materials, semi-finished products, finished products, services, management fees, royalties, guarantee fees, loans, payroll, training, advertising, contractors, capital transfer which lead the loss of budget, causing the majority of Vietnamese parties to withdraw from joint ventures, enterprises become 100% foreign capital 36 CONCLUSION To conclude, it is significant to remind that this is just a mere descriptive research and there is no either requirement or effort of the research team to give out any solution or prescriptive advice However, it is worthwhile to recognize that this paper is a good starting point as to study about temporarily international economy by studying the specific situation of foreign investment in Vietnam The objective of this paper only focus on a part of international investment – Foreign Direct Investment (FDI), and even more specific, the foreign direct investment inflow into Vietnam throughout the period of approximately 20 years, from 1988 to 2017 Although FDI into Vietnam is just a very small part in the whole scenario of international investment, Vietnam is still one of the very typical countries implementing successfully the flexible changes and adaptabilities to remain the growth in FDI in the situation of unstable world economy Through the general description of the changes incurred in Vietnamese legal system and economic determinants with an aim at keeping the pace with the trend of international economy and appealing foreign investors to Vietnam, readers may find helpful understanding of the historical pattern of FDI in Vietnam Especially, readers may realize that Vietnam is a country depending heavily on trade and foreign capital flow to develop its GDP, consume its labor work force and build up its technological know-how In the examples of TOYOTA in Vietnam and Central Group in Vietnam, readers can see how just some multi-national corporations can have a comprehensive influence on the economy of Vietnam Along with the considerable contribution of FDI enterprises to Vietnam’s economy, there are still many existing limitations caused by the poor managerial capability of the Government and loopholes in the laws, which needs immediate and long-term remedies so as to remain the sustainable development of the general economy Problems concerning the dramatic increase in the number of economic activities in FDI zones like inequality in distribution of investment and loss of natural environment are 37 mentioned Therefore, implications for Vietnam is further study should be carried out to anticipate in more precision the effect of these dynamics 38 REFERENCES Foreign References Economist Nihad Ahmed (2018), “The role of FDI in Vietnam's socio-economic development” Retrieved from https://www.focus-economics.com/blog/the-role-of-fdiin-vietnams-socio-economic-development (accessed on 3rd January, 2018) Nguyen Huong (2017), “30 years of foreign 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Quân (2017), “Vốn FDI thực đạt 17 tỷ USD năm 2017, cao từ trước đến nay” Retrieved from http://cafef.vn/von-fdi-thuc-hien-dat-17-ty-usd-trongnam-2017-cao-nhat-tu-truoc-den-nay-20171215134702419.chn (accessed on 15th December, 2017) WEBSITE https://www.investopedia.com/ http://222.255.252.36/invest/Home/ 41 ... for a large share (59 %) of global FDI inflows in 2 016 (Figure 1) Figure FDI inflows, global and by group of economies, 20 05 – 2 016, and projections, 2017 – 2018 Source: World Investment Report... an average of US $ 1. 95 billion per year - 2001 - 2010: reached 58 ,497 billion USD, three times comparing to the previous decade, averagely $ 5. 85 billion a year - 2011- 20 15: reached 84 billion... registered investment capital is approximately $ 318.72 billion, of which the real estate sector reached 53 .2 billion USD 2.2 Investment location Foreign investors have invested in 55 provinces