Katsuro Nagai, envoy of the Japanese Embassy, said Japanese firms considered Viet Nam as an attractive destination for business. — Photo vnu.edu.vn

HA NOI (Biz Hub)  — The Ministry of Foreign Affairs yesterday organised a meeting between leaders of Vietnamese localities and representatives of the Japanese embassy and firms with expectations of boosting mutual understanding for further investment opportunities.

Katsuro Nagai, envoy of the Japanese Embassy, said Japanese firms considered Viet Nam as an attractive destination for business.

However, investment in Viet Nam accounted for just one per cent of Japan's foreign investment while the country poured 31 per cent of its foreign investment into United States.

The envoy said that there was much space and opportunities for expanding Japan's business in Viet Nam, particularly as Viet Nam keeps improving the business climate and signing free trade agreements with major partners like EU, Trans-Pacific Partnership and ASEAN-China.

The President of Japan Business Association in Viet Nam, Shimon Tokuyama, said that over 1,400 Japan firms were operating in Viet Nam, mostly in automobile, electronics, trade and services in major cities of Ha Noi, HCM City, Hai Phong and Da Nang.

Few businesses reached disadvantaged provinces, especially mountainous ones because of poor infrastructure and services.

However, he said, some businesses were considering to shift investment to agriculture and run businesses in other provinces.

The Head of the Japan External Trade Organisation in Viet Nam, Naoki Takeuchi, said according to a survey conducted by the organization last year, Japanese firms in Viet Nam called for an improved legal framework, administrative simplification and infrastructure in the country.

He said, besides transport infrastructure, provinces that wanted to attract foreign investors must pay more attention to developing housing and services for foreigners.

"Localities must identify their advantages and promote them in both English and Japanese to reach potential investors," he said.

Chairman of Cao Bang Province People's Committee Hoang Xuan Anh said that the mountainous province was seeking investors in the areas of tourism, mining and hi-tech agriculture.

The province has about 300-km of border with China which should help the province boost trade with China.

Chairman of Long An Province People's Committee Do Huu Lam said that among measures to better attract foreign investors, the province focused on communication to provide timely information for investors, particularly those related to laws and incentives.

According to statistics from the Ministry of Planning and Investment, in the last 11 months, Japanese investors poured capital in 410 projects, totaling $1.72 billion, ranking third among the largest investors in Vietnam behind South Korea and Malaysia. Japanese investments are in 32 out of Viet Nam's 63 cities and provinces. — VNS