FDI inflows into real estate soar in Q3
16:08 | 20/11/2020

VGP – Despite the impact of the COVID-19 pandemic, the real estate market has registered positive reaction in the third quarter of the year, reflected through a sharp increase of 400% in total FDI pledges to the sector compared to Q2, according to the Ministry of Construction.

FDI inflows into real estate soar in Q3

Specifically, FDI inflows into real estate rose from US$0.264 billion in Q1 to US$0.536 billion in Q2 and US$2.35 billion in Q3. 

Property experts said this is a good signal for the addition of an important capital source to development investment in the real estate sector in particular and a significant contribution to Viet Nam’s socio-economic development investment as a whole.

Actual developments in the real estate market show that, after the two COVID-19 waves, most real estate businesses have gradually restarted their operations.

Property developers have begun to sell projects and announce their post-pandemic business plans, as well as recruiting workers and seeking suitable staff for the long-term plans.

Although the market still faces many difficulties, real estate traders and developers have taken solutions to approach customers, changing the development areas to leapfrog the FDI shifting trend and the trend of urbanization in localities outside big cities.

In addition, with special incentives from nature, improved transport system, open investment policy and favorable conditions for domestic and foreign investors, Viet Nam currently has its own advantages to attract domestic and foreign real estate investors compared to other countries in the region firms compared to other countries in the region, regarding the attraction of investment capital for the tourism sector and the segment of investment in resort tourism real estate.

The Construction Ministry said despite the double impact by the return of the COVID-19 pandemic in July and the low season in the seventh lunar month which is considered a “bad luck” period, the surge in FDI in the sector is a positive signal.

According to the ministry, most businesses in the real estate sector have resumed operation after two waves of COVID-19.

They have taken measures to approach customers, and even look to new areas to anticipate the shift in the FDI flow and the trend of urbanization outside major cities./.

By Vien Nhu

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