Vietnam urged to use FDI more effectively

Vietnam needs to shift its focus from attracting more foreign direct investment (FDI) to using this source of capital effectively in order to improve the country’s economic situation, said a Vietnamese economist.

Speaking at a seminar entitled “FDI: Reason or Result of Development” held in Hanoi on December 19, Nguyen Ngoc Anh from the Development and Policies Research Centre also emphasised the role of policies on science and technology and auxiliary industries in making the best use of FDI capital.

According to Rodney Schmidt from Canada ’s North-South Institute, FDI plays an important role in transferring knowledge and technology, generating jobs and increasing competitiveness.

FDI helps to accelerate economic growth for all economies at every level of development, he said.

To use FDI effectively, it is necessary to narrow salary gaps and invest in improving the quality of the workforce, said Hoang Thanh Huong from the National University of Economics.

vna

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