Strong Start for Foreign Direct Investment in Vietnam: January 2026 Insights
According to recent data from the Ministry of Finance, January 2026 marked a significant month for foreign direct investment (FDI) in Vietnam, showcasing strong year-on-year growth in disbursements. This growth reflects not just a boost in numbers, but also an unwavering confidence from foreign investors regarding Vietnam’s economic landscape.
Growth in FDI Disbursement
In January 2026, FDI disbursement reached an impressive $1.68 billion, a rise of over 11 percent compared to the same month in 2025. Such growth indicates that foreign investors are actively implementing and expanding their production and business activities within Vietnam. It’s a positive signal that underscores their steadfast belief in the country’s robust business environment and promising economic future.
Decline in Newly Registered FDI
However, the overall picture of foreign investment is nuanced. Total newly registered FDI saw a significant decline, plummeting nearly 41 percent year-on-year. The total registered foreign investment in January 2026 amounted to more than $2.575 billion, compared to over $4.3 billion in January 2025. This drop raises important questions about the factors influencing new registrations.
Breakdown of Investment Figures
Diving deeper into the figures, newly registered capital of nearly $1.5 billion was recorded across 349 projects. This marked an increase of almost 16 percent in value and a 24 percent surge in the number of projects when compared to the previous year. Conversely, adjusted capital totaled nearly $889 million across 91 instances, showing a dramatic decline of over 67 percent. Moreover, the capital contributed through share purchases and contributions surpassed $198 million across 265 transactions, reflecting a 39 percent decrease.
Sectoral Focus of FDI
Examining the sectoral breakdown, FDI in January 2026 remained predominantly concentrated in the processing and manufacturing industries, which took the lion’s share of total registered capital. Following this sector, significant investments flowed into real estate, information and communications, and wholesale and retail trade. This sustained focus aligns with longstanding trends, reiterating Vietnam’s appeal as a prime destination for production, processing, and manufacturing projects—especially amid ongoing global supply chain realignments.
Leading Investment Partners
When it comes to investment partners, Singapore led the way with $1.07 billion, making up nearly 42 percent of total registered capital. Following close behind was South Korea, contributing $551 million or over 21 percent. China accounted for $385 million (15 percent), while Japan invested $208 million (about 8 percent). This regional dominance by traditional partners indicates a strong and stable investment relationship between Vietnam and these countries.
Regional Investment Dynamics
Altogether, the four leading partners from the Asia-Pacific region—Singapore, South Korea, China, and Japan—collectively represented around 86 percent of total registered FDI. Notably, several investors from Europe and North America, including the United States and the Netherlands, have also maintained a visible presence. This diversification in foreign investment sources highlights Vietnam’s growing attractiveness as a global investment hub.
By focusing on these distinct aspects of the foreign direct investment landscape, we can observe a vibrant and evolving economic scenario in Vietnam, shaped by both traditional and emerging investment trends.