Green economy attracts huge investments
HCMC – Domestic and foreign-invested companies have poured US$9 billion into Vietnam’s green economy, making
Sharing at the seminar "FDI Enterprises in Vietnam's green growth" on April 27, Mr. Nguyen Anh Tuan, Deputy Director of the Foreign Investment Department (Ministry of Planning and Investment), assessed the contribution of The business community, including FDI enterprises, which is very large.
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According to Mr. Tuan, FDI enterprises have helped to change production, consumption, and business behavior, contributing to the realization of green growth goals.
"About 9 billion USD has been invested in green growth and development by the corporate sector, including FDI and domestic businesses, in areas like renewable energy or purchasing green economy-related equipment. This figure accounts for about 2% of GDP; the average growth during the past two years is quite high, from 10-13%. This is one of the good signals", Mr. Tuan said.
Experts attended the seminar. (Photo: VGP)Meanwhile, Mr. Nguyen Van Toan, Vice Chairman of the Association of Foreign Investment Enterprises, said that although Vietnam has made a lot of commitments to green growth, sustainability, and emission reduction, in coordination with organizations and NGOs on cooperation to build a circular economy; joining many agreements, treaties and collaboration and the latest is the strategy to reduce emissions to 0% by 2050. However, there is still a considerable gap from policy to practice.Along with that, although FDI has a green development model, according to the cumulative summary report from before 2021, the high technology rate of FDI enterprises is still low: only 5% use high technology, 15% of enterprises use outdated technology, and 80% of enterprises use medium technology.
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Green economy needs no rush
"Since we try to attract foreign investment at all costs, even without paying much attention to the environment, it is a progressive index. Attracting foreign investment requires capital and solves labor only needs to export. But gladly, many businesses such as Lego, Nestle, and many others entering Vietnam,... have been interested in high technology.
The Ministry of Planning and Investment currently does not have specific data, but I believe that that index has changed a lot in the last 3-4 years," added Mr. Toan.
Read more: Making growth greener
Mr. Nguyen Quang Vinh, Vice Chairman of VCCI, Chairman of the Vietnam Business Council for Sustainable Development (VBCSD), noted the Government's commitments to reduce net emissions and the plans and roadmaps approved by the Government. As outlined, businesses, associations and industries must change their investment methods and strategies.
"The same goes for FDI enterprises, they have to change how they use technology and the formula to create surplus value instead of old machines and technology that have to use new ones. If Vietnam does not commit to green growth, sets high standards, and strives for 0% emissions by 2050, businesses will rush to buy outdated technology," Vinh said.
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According to Mr. Vinh, the big challenge for green and sustainable growth is green financial resources and people. If Vietnam wants to mobilize foreign countries to participate in this process, it must have a strategy and regulations to meet green investment.
"It is time for the business community to review past plans, particularly green growth plans, and reposition their values, emphasizing not just the function of businesses but also how they add value", Mr. Vinh emphasized.
