Japan is now the second largest foreign direct investor in Vietnam, after South Korea. By the end of November 2016, Japan had invested in 53 projects with total investment capital of $1.91 billion, or 4.5 percent of total FDI capital. Many of the developers of large-scale real estate projects recently are from Japan. From 2015 to July 2016, Vietnam was the Number 2 among ASEAN countries in terms of Japanese M&A deals.The Vietnamese market is now especially attractive to Japanese investors because the investment environment has improved considerably. With abundant capital, the investors have jumped into Vietnam’s real estate, the capital intensive sector.According to Ben Gray from Cushman & Wakefield, the low borrowing cost in Japan and narrow profits have prompted investors to pay attention to the real estate sector which can bring high profits in Vietnam.In the ‘real estate game’, Japanese are expected to have great advantages as Japan has made heavy investments in infrastructure in Vietnam.

Source: VietNamNet News February 10, 2017 08:15 UTC