Foreign direct investment (FDI) in Vietnam records strong growth during the first seven months of 2026. (Photo: VNA)

Vietnam's FDI inflows surge 58% to 38 billion USD in seven months

Vietnam attracted 38.06 billion USD in registered foreign direct investment (FDI) in the first seven months of 2026, up 58% year-on-year, the National Statistics Office (NSO) under the Ministry of Finance reported on August 3.

The figure includes newly registered capital, additional investment for existing projects, and capital contributions through share purchases.

The NSO also reported that realized FDI reached an estimated 15.2 billion USD during the January-July period, an increase of 11.8% from a year earlier and the highest seven-month disbursement recorded over the past five years.

More than 82.6% of the disbursed capital, equivalent to 12.55 billion USD, was channelled into the processing and manufacturing sector.

Newly registered FDI posted particularly strong growth. During the period, Vietnam licensed 2,429 new projects with total registered capital of 21.05 billion USD. While the number of projects rose 7.8% year-on-year, newly registered capital more than doubled, 2.1 times higher than the level recorded in the same period last year.

Processing and manufacturing remained the largest recipient of new FDI, attracting 11.58 billion USD, or 55% of the total. Electricity, gas and water production and distribution ranked second with 3.13 billion USD, accounting for 14.9%.

Among 69 countries and territories investing in Vietnam, Singapore remained the largest source of newly registered capital with 7.5 billion USD, representing 35.6% of the total. It was followed by the Republic of Korea with 5.61 billion USD, Hong Kong (China) with 2.91 billion USD, and China with 1.73 billion USD.

Additional capital for existing projects also remained positive, with 666 projects increasing their investment by a combined 10.43 billion USD, up 4.4% year-on-year.

Meanwhile, capital contributions and share purchases totalled 6.58 billion USD through 1,815 transactions, soaring 61.6% compared with the same period last year. Most of the investment was directed to professional, scientific and technological activities, which attracted 2.68 billion USD, followed by the wholesale and retail sector with 1.96 billion USD.

The latest figures mark a sharp increase from the beginning of the year. In January, newly registered and adjusted FDI totalled just over 2.36 billion USD, while realized capital stood at about 1.48 billion USD.

The steady monthly rise in newly registered capital since then has pushed the total above 21 billion USD, reflecting stronger investor confidence, particularly in high-tech manufacturing, energy production and processing industries.

Vietnam's investment abroad also recorded robust growth in the first seven months. Total outbound investment, including newly registered and adjusted capital, reached 2.36 billion USD, 4.5 times higher than the figure a year earlier, cited VNA.

New overseas investment licences were granted to 106 projects worth 1.17 billion USD, up 2.9 times year-on-year, while additional capital for existing overseas projects reached 1.19 billion USD, a 9.2-fold increase.

Outbound investment was concentrated on transport and warehousing, which accounted for 601.7 million USD or 25.5% of the total, and electricity and gas production and distribution with 585.8 million USD, or 24.8%.

Laos remained the largest destination for Vietnamese investment, receiving 638.3 million USD, equivalent to 27% of the total, followed by Cambodia with 449.9 million USD and Indonesia with 308.6 million USD. More distant markets such as India, the Philippines and Kazakhstan are also increasingly attracting Vietnamese investors.

Vietnam's import-export turnover up 28% in first seven months

Vietnam's total import-export turnover reached 659.58 billion USD in the first seven months of 2026, up 28.1% year-on-year. However, imports outpaced exports, resulting in a trade deficit of 20.52 billion USD, largely driven by stronger demand for imported raw materials, machinery and production inputs.

According to the National Statistics Office (NSO) under the Ministry of Finance, merchandise exports totalled 319.53 billion USD between January and July, an increase of 21.7% compared with the same period last year.

The domestic economic sector contributed 63.64 billion USD, up 5.8%, accounting for 19.9% of total exports, while the foreign-invested sector (including crude oil) generated 255.89 billion USD, up 26.4%, representing 80.1% of total exports.

In the first seven months, 31 export items recorded turnover exceeding 1 billion USD each, accounting for 93% of the total export value. Of these, seven products each generated more than 10 billion USD, making up 69.7% of total exports, according to VNA.

Import and export cargo handled at MPC Port in Hai Phong city. (Photo: VNA)

Manufactured goods remained dominant, reaching 287.91 billion USD and accounting for 90.1% of exports. Agricultural and forestry products earned 22.79 billion USD (7.1%), seafood exports totalled 6.86 billion USD (2.2%), while fuel and mineral exports reached 1.97 billion USD (0.6%).

Meanwhile, merchandise imports rose 34.8% year-on-year to 340.05 billion USD. Imports by the domestic sector reached 92.14 billion USD, up 24.1%, while the foreign-invested sector imported goods worth 247.91 billion USD, an increase of 39.2%.

A total of 40 imported products exceeded 1 billion USD in value each, accounting for 93% of the total imports. Two products each recorded import turnover above 10 billion USD, representing 52% of the total imports.

Production inputs accounted for 94.1% of imports, equivalent to 319.95 billion USD. Machinery, equipment, tools and spare parts made up 56.9% of imports, while raw materials and fuels accounted for 37.2%. Consumer goods imports totalled 20.1 billion USD, or 5.9% of the total.

The US remained Vietnam's largest export market, with exports valued at 104.7 billion USD in the seven-month period, while China continued to be the country's largest source of imports, supplying goods worth 138.6 billion USD. As such, Vietnam recorded a trade surplus of 91.4 billion USD with the US, up 22.6% year-on-year, while its trade deficit with China widened to 93 billion USD, an increase of 39.7%.

Vietnam Cultural Day promotes heritage, deepen people-to-people ties with Austria

Vietnam Cultural Day took place in Linz on August 2, drawing municipal officials, local residents, and members of the Vietnamese expatriate community in Austria.

The event, organized by the local Vietnamese community in coordination with Linz city authorities, served as a platform to promote cultural exchange, strengthen bilateral friendship, and present traditional heritage to the Austrian public.

Representatives from the Embassy of Vietnam and the local Vietnamese community expressed appreciation for the continued support from Linz authorities. They noted that cultural initiatives not only reinforce traditional friendship and multifaceted cooperation between Vietnam and Austria, but also open new opportunities for cooperation while introducing the country’s rich heritage.

Le Van Ngoc, President of the Huong Viet Association in Linz, emphasized the dual purpose of the gathering.

“Today’s event aims to bring the Vietnamese community in Austria closer together while introducing our country, people, and culture to international friends,” Ngoc said. “It also helps younger generations embrace their roots and take pride in their heritage. With strong support from local authorities and residents, we hope this festival deepens mutual understanding of Vietnamese traditions, culture, and cuisine.”

Vietnam Cultural Day in Linz attracts local officials, residents, and overseas Vietnamese.

Dinh Thi Kim Dung, Vice President of the Economic Council of Vienna's 11th District and President of the Vietnamese Business Club in Austria, underscored the broader social and economic impact of the program. Beyond highlighting national identity, she noted, the event connects Vietnamese entrepreneurs across Austria to build a strong, cohesive community and support young entrepreneurs in starting successful ventures.

The festival featured traditional artistic performances representing different regions of Vietnam, including lion dances, chau van (spiritual singing), and traditional costume presentations showcasing attire from the northern, central, and southern regions. Attendees also had the opportunity to sample authentic Vietnamese dishes, reported VOV.

The event sent a message of unity and cultural pride that deepens people-to-people ties and mutual understanding between the two nations.

European visitor surge boosts Vietnam's tourism growth in first 7 months

A sharp rise in visitors from Europe, led by Russia and supported by Vietnam's visa-free policies, helped drive the country's international arrivals to nearly 13.9 million in the first seven months of 2026, up 13.8% year on year.

Europe was Vietnam's strongest-performing source region during the January-July period, with visitor arrivals rising by an average of 53.4% compared with the same period last year, the National Statistics Office reported on August 3.

Russia was the standout market, recording 864,000 arrivals, up 174% year on year and more than double its pre-pandemic level in 2019.

Tourism authorities attributed the surge to the resumption of direct flights, expanded flight frequencies and growing demand among Russian travelers for beach holidays in Vietnam.

Other European markets also posted robust growth, including Poland (51.3%), the Czech Republic (28.6%), Sweden (24.7%) and Switzerland (21.7%).

Most of these markets benefit from Vietnam's visa exemption policy, underscoring the role of easier entry procedures in attracting long-haul travelers who typically stay longer and spend more.

According to the National Statistics Office, Vietnam welcomed nearly 13.9 million international visitors in the seven-month period, an increase of 13.8% compared with the same period last year. The country received approximately 1.67 million foreign visitors in July alone, up 6.6% year on year. The January-July figure represents around 56% of Vietnam's annual target of welcoming 25 million international visitors.

Despite Europe's rapid growth, China was Vietnam’s largest source market with about 3.1 million visitors, accounting for 22.2% of total international arrivals.

The Republic of Korea ranked second with 2.4 million visitors, followed by Russia. Other leading source markets included Taiwan (China), Japan, Cambodia, India, the Philippines, the United States and Australia.

In Asia, the Philippines led in growth rate with a 63.6% increase. Other markets saw positive results, namely India (up 42.9%), Cambodia (up 40.8%), Singapore (up 31.0%), Indonesia (up 27.3%), and Malaysia (up 21.6%). The figures showed that Asia was a key growth driver for Vietnam’s tourism industry, thanks to geographical proximity, expanding flight network, and rising intra-regional travel demand, reported VOV.

Foreign tourists enjoy the experience of herding buffaloes in Vietnam.

Long-haul markets had steady growth momentum as the United States rose by 18.3%, Canada by 25.1%, Australia by 22.5%, and New Zealand by 22.4%. Growth in these high-spending markets not only contributed to increased visitor numbers but also enhanced the tourism sector's value through longer stays and higher average spending.

With over 13.9 million foreign arrivals in the opening seven months, Vietnam achieved 56% of its full-year target. As the country enters the peak season for international tourism and continues to leverage favourable visa policies, the tourism industry is well-positioned to maintain its growth momentum and work toward the goal of welcoming 25 million international visitors in 2026.

Hanoi braces for heavy rain as HCM City faces drier August

Vietnam is expected to experience sharply contrasting weather patterns in August as a strengthening El Niño brings hotter temperatures nationwide, heavier rainfall in the north and below-average precipitation across much of the south.

According to the Northern Regional Hydrometeorological Center, Hanoi's average temperature this month is forecast to be 0.5-1°C above the long-term average, while monthly rainfall is expected to exceed normal levels by 20-50mm.

Forecasters expect one or two heatwaves during August, including periods of intense heat, mainly in the middle and latter part of the month.

The capital is also likely to experience one or two widespread episodes of moderate to heavy rainfall.

Meteorologists warned that thunderstorms, lightning, hail, localized downpours and damaging wind gusts could occur frequently, particularly when low-pressure troughs combine with upper-level wind convergence.

Although one or two tropical cyclones or tropical depressions could develop over the East Sea during August, forecasters believe the likelihood of a direct impact on Hanoi remains low.

Nevertheless, localized heavy rain could trigger urban flooding in low-lying districts, while mountainous areas such as Ba Vi and Soc Son face an elevated risk of landslides.

Hotter and drier conditions forecast for southern Vietnam

In southern Vietnam, meteorologists expect El Niño to continue strengthening after reaching one of its strongest levels in decades. National climate forecasts indicate a high probability that the event will intensify further through the second half of the year.

According to Le Manh Dung, a forecaster at the Southern Regional Hydrometeorological Center, average temperatures across southern Vietnam this month are expected to be 0.6-1.2°C above normal.

The largest temperature anomalies are forecast in Lam Dong, Dong Nai and Dong Thap provinces.

In Ho Chi Minh City, temperatures in the city center and northern districts are expected to remain 0.7-1°C above the long-term average, VNN reported.

Hanoi is expected to experience frequent rainfall throughout August. Photo: Hoang Minh

Rainfall across most southern provinces is forecast to remain below normal.

Dong Nai, An Giang and Can Tho could record rainfall deficits of 10-20%, equivalent to roughly 20-50mm below average.

Although total rainfall will be lower, forecasters expect precipitation to become more concentrated after August 10, with between 15 and 23 rainy days during the month.

In Ho Chi Minh City, rainfall is expected to remain below average in central and northern districts, while southeastern parts of the city are likely to receive near-normal precipitation.

Meteorologists cautioned that reduced rainfall does not eliminate the risk of severe weather.

Localized heavy downpours, thunderstorms and flash flooding could still occur despite the overall rainfall deficit.

From the middle to the end of August, the southwest monsoon is also expected to strengthen over southern waters, prompting warnings for vessels operating at sea.

Authorities are advising residents in southern Vietnam to store sufficient fresh water for household use and agricultural production.

Typhoon Dolphin weakens but rough seas expected

Meanwhile, Typhoon Dolphin has weakened to the equivalent of Category 15 on Vietnam's wind scale while continuing its west-northwest track toward Okinawa, Japan.

As of 7 a.m. on August 2, the storm's center was located east-southeast of Okinawa and was forecast to gradually weaken over the coming days.

Meteorologists expect Dolphin to approach Okinawa around August 6-7 before continuing toward eastern China.

Although the storm is not forecast to affect Vietnam directly, its circulation is expected to strengthen southwest monsoon winds over the East Sea.

Between August 6 and 7, winds across large parts of the northern, central and southern East Sea, including waters around the Hoang Sa (Paracel) and Truong Sa (Spratly) archipelagos, could reach Force 6-7, with waves of 2-4 meters, creating hazardous conditions for shipping and fishing operations.

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