Hanoi (VNA) – European firms haveshown their optimism about the Vietnamese economy, which is recovering stronglyafter the COVID-19 pandemic, Vice Chairman of the European Chamber of Commercein Vietnam (EuroCham) Nguyen Hai Minh has said.

According to Minh, despite the globalsupply disruptions induced by the pandemic, Vietnam still exported more than 35.1 billionUSD worth of goods to the EU in 2020 and over 40 billion USD last year.

Meanwhile, the Southeast Asian nation imported 14.6billion USD and 16.7 billion USD worth of commodities to the bloc in the two years, respectively.

In the first eight months of this year, Vietnam’sexport revenue to the EU was valued at 31.9 billion USD, up 23.6%, resulting ina trade surplus of up to 21.6 billion USD, a rise of 46.4%.

The figures have reflected positive impacts ofthe EU-Vietnam Free Trade Agreement (EVFTA), he noted.

However, Minh said, European enterprises in Vietnamsaid they have benefited more from the EVFTA as the country’s export to the EU mainly came from FDI firms.

EuroCham member businesses and even those that haveyet to invest in Vietnam expressed their hope that the EU-Vietnam InvestmentProtection Agreement (EVIPA) will soon be approved and take effect, paving wayfor European firms to expand investments in the Southeast Asian nation.

Minh also cited the Business Climate Index (BCI)released by EuroCham showing that European business stakeholders' confidence inVietnam's investment environment declined slightly in the second quarter ofthis year to 68.8% due to external factors.

Up to 60% of respondents predicted that theVietnamese economy would stabilise or improve in the third quarter of 2022, 45%were significantly or moderately satisfied with Vietnam's efforts to attractand retain foreign direct investment (FDI), and 76% expected toincrease FDI in the country before the end of the third quarter.

55% of respondentssaid Vietnam improved its FDI attraction and retention capabilities since thefirst quarter.

Regarding the link between green growth and FDI,nearly 90% of respondents said that Vietnam should increase green economy development to attract more foreign investment.

Minh said apart from the above-said advantages,Vietnam’s improved administrative procedures have also helped to attractforeign investors, including those from the EU.

He also noted that many EU enterprises are still concernedabout specialised inspections in Vietnam, which remain overlapping./.