Infrastructure sector in Vietnam Market 2021 Industry Status and Global Outlook till 2025

Infrastructure sector in Vietnam - Growth, Trends, and Forecasts (2020 - 2025)

The report will make detailed analysis mainly on in-depth research on the development environment, Market size, development trend, operation situation and future development trend of Infrastructure sector in Vietnam Market on the basis of stating current situation of the industry in 2021. This is a latest report, covering the Post COVID-19 impact on the market. The pandemic of Coronavirus (COVID-19) has affected every aspect of life globally. This has brought along several changes in market conditions. The rapidly changing market scenario and initial and future assessment of the impact is covered in the report. It offers critical information pertaining to the current and future growth of the market.

The Infrastructure in Vietnam is estimated to grow at a CAGR of approximately 4% during the forecast period.

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Competitive Landscape

The Infrastructure sector in Vietnam is fragmented, the market is expected to grow during the forecast period due to demand for the infrastructure sector, FDI inflow in the country as well and many other factors are driving the market.

Vietnam has been one of Asia's fastest-growing economies over the past decade, with an average GDP growth rate of 6.2% between 2000 and 2017. Recognizing this, the Vietnamese government has made transport infrastructure a priority and aims to raise investment from USD 7bn (2001-2008) to USD 120bn (2020).

Government plans to develop further infrastructure, with power and toll roads likely to be the main areas for expansion and quality improvements. Other infrastructure, including ports and railways, will also be developed.

Infrastructure has been a central factor in Vietnams fast-paced economic development. However, economic growth is putting increasing pressure on Vietnams infrastructure. Freight volumes are expanding rapidly. Road traffic has increased by an astounding 11% annually and the demand for energy is expected to grow by about 10% per year until 2030.

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Key Market Trends: 

Increase in FDI in Vietnam

According to Foreign Investment Agency (FIA), a total of USD 14.22 billion in FDI has been disbursed for 2019 a 7.3 % year-on-year increase and 2,759 new projects with a total commitment of USD 10.97 billion have been approved. A total of 112 countries and territories invested in the country in 2018, with Japan leading the way with USD 8.59 billion followed by South Korea (USD 7.2 billion) and Singapore (USD 5 billion). The countrys manufacturing and processing sector have traditionally gained the most interest from foreign investors, and the two sectors attracted USD16.58 billion in FDI 2018 followed by the real estate sector (USD 6.6 billion) and retail sector (USD 3.67 billion).

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