By Khant Ko Ko Aung – Statistics
The official goodwill visit of President U Min Aung Hlaing to Viet Nam comes at an important time for Myanmar-Viet Nam relations. The visit is expected to provide an opportunity to strengthen the long-standing friendship between the two countries while opening new possibilities for economic cooperation, particularly in trade and investment. For Myanmar, the significance of the visit should extend beyond diplomatic engagement. It offers an opportunity to translate political goodwill into concrete economic cooperation that can contribute to investment, employment, technology transfer, production and sustainable economic development.
The direction of this cooperation was already highlighted during Vietnamese Foreign Minister Le Hoai Trung’s visit to Myanmar on 26 August 2026. During his meetings with President U Min Aung Hlaing, the two sides discussed expanding business, bilateral trade and investment cooperation and developing practical mechanisms to strengthen economic relations. The two sides also discussed the goal of increasing bilateral trade to US$1 billion. These discussions provide a timely foundation for considering what Myanmar could seek from the current Presidential visit and how the two countries can further strengthen their economic partnership.
From the perspective of foreign direct investment, Viet Nam is already an important investment partner for Myanmar. According to Myanmar’s Directorate of Investment and Company Administration (DICA), as of 30 April 2026, Vietnamese investors had been permitted to undertake 31 investment projects in Myanmar with total approved capital of approximately US$2.082 billion. This represents about 2.21 per cent of Myanmar’s total permitted foreign investment. Although the number of Vietnamese projects is relatively small compared with some other major investor countries, the amount of capital associated with these projects is significant.
The historical pattern is also noteworthy. A substantial portion of Vietnamese investment in Myanmar was approved during 2017-2018, when approximately US$1.386 billion was recorded. This demonstrates that Vietnamese companies are capable of undertaking large-scale investments in Myanmar when appropriate opportunities and conditions are available. The challenge now is to create a new generation of investment opportunities that can attract Vietnamese capital into a wider range of productive sectors.
Viet Nam is particularly important to Myanmar because it should not be viewed simply as another source of foreign capital. Over the past several decades, Viet Nam has developed considerable experience in attracting foreign investment and integrating foreign-invested enterprises into manufacturing, exports and regional production networks. Official Vietnamese data show that by the end of 2024, Viet Nam had more than 42,000 valid foreign-invested projects with accumulated registered capital of approximately US$502.8 billion. Realized foreign investment had reached approximately US$322.5 billion. In 2024 alone, newly registered, additionally registered, and share-purchase foreign investment amounted to approximately US$38.23 billion, while realized FDI reached approximately US$25.35 billion.
These figures are relevant to Myanmar because Viet Nam’s experience offers lessons not only in attracting investment but also in creating an environment in which investment contributes to industrial development, exports, technology and employment. Myanmar does not need to copy Viet Nam’s development model, but there is considerable value in learning from its experience in investment promotion, industrial zones, manufacturing, export-oriented production, human-resource development and the connection of domestic businesses with international supply chains.
Against this background, the current Presidential visit could provide an opportunity to encourage a new wave of Vietnamese investment in Myanmar. Manufacturing and agro-processing should be among the priority areas. Myanmar has substantial agricultural resources, while Viet Nam has strong experience in agricultural technology, food processing, packaging and export-oriented production. Greater Vietnamese investment in Myanmar could help transform agricultural commodities into higher-value processed products, creating opportunities not only for investors but also for farmers, local businesses, logistics providers and workers.
Manufacturing more broadly also deserves attention. Myanmar’s strategic location between South Asia, China and South-East Asia provides a potential advantage for companies seeking to diversify their production and supply chains. Vietnamese companies with manufacturing and regional market experience could find opportunities in food processing, consumer goods, building materials, garments and other industries where Myanmar possesses market or resource advantages. The objective should not simply be to attract factories, however. Investment should ideally generate local value-added, employment, skills development, technology transfer and opportunities for Myanmar businesses to become part of supply chains.
Digital transformation represents another area in which cooperation could be expanded. The recent Myanmar-Viet Nam discussions included digital transformation as an area of cooperation, and Vietnamese officials proposed studying a bilateral digital transformation programme beginning with practical pilot projects. For Myanmar, this could open opportunities for cooperation in digital government, information and communications technology, digital financial services, e-commerce, digital logistics, technology-based manufacturing and digital skills development. Investment in these areas could contribute not only to capital formation but also to the technological upgrading of Myanmar’s economy.
Energy and infrastructure should also be considered in the broader investment relationship. Myanmar has opportunities in renewable energy, logistics, warehousing, transport and other infrastructure-related activities. Vietnamese companies have experience in infrastructure development, manufacturing and energy-related investment. Carefully selected and commercially viable projects in these areas could strengthen Myanmar’s productive capacity and improve connectivity between producers, markets and regional supply chains.
Tourism is another sector with potential for cooperation. Myanmar and Viet Nam share rich cultural and natural attractions, while Viet Nam has developed a large and increasingly sophisticated tourism industry. Greater cooperation could involve hotel and tourism investment, tourism infrastructure, training, joint tourism promotion and stronger connectivity. Such cooperation would have the potential to generate employment and income across a wide range of local businesses.
At the same time, Myanmar should look beyond attracting large corporations. Vietnamese small and medium-sized enterprises could also become important partners for Myanmar businesses. Joint ventures and business partnerships can bring together Vietnamese capital, technology, management experience and regional market access with Myanmar’s local knowledge, resources, workforce and market opportunities. A stronger network of Myanmar-Vietnamese business partnerships could therefore create benefits that extend beyond the initial amount of FDI.
Trade should also move together with investment. Recent official Vietnamese data indicate that bilateral trade has considerable room for expansion. According to Vietnam’s Ministry of Foreign Affairs, bilateral trade reached approximately US$590 million in 2025, while trade during the first six months of 2026 was approximately US$335 million. The two countries have discussed the goal of increasing bilateral trade to US$1 billion. Achieving that target would require stronger participation by businesses on both sides and, importantly, greater opportunities for Myanmar’s exports to the Vietnamese market.
Investment can play an important role in achieving this objective. Vietnamese companies operating in Myanmar could use local production and resources to supply both the Myanmar market and regional markets. At the same time, Myanmar enterprises could become suppliers to Vietnamese-invested companies. In this way, investment could generate production, production could generate trade, and trade could encourage further investment.
The current visit could therefore be an appropriate occasion to consider establishing or strengthening a dedicated Myanmar-Viet Nam investment promotion and facilitation mechanism. Such a mechanism could bring together relevant government agencies and business representatives from both countries and provide a regular platform for identifying investment opportunities, matching investors with local businesses, facilitating existing investments and addressing practical investment-related issues. It could also support technology transfer, SME cooperation and the development of local supplier networks.
Myanmar could also consider developing a medium-term Myanmar-Viet Nam Investment Cooperation Roadmap with measurable objectives. Such a roadmap could cover investment, manufacturing, agriculture, digital transformation, logistics, tourism, technology transfer, SME partnerships and trade. The purpose would not simply be to establish ambitious numerical targets, but to create a practical framework that identifies priority sectors, potential investors, investment projects and mechanisms for implementation.
A particularly important issue is investment facilitation after an investment has entered the country. Existing Vietnamese investors are valuable potential ambassadors for future investment. If investors receive effective facilitation and can operate within a predictable, transparent and legally sound environment, they are more likely to expand their businesses and recommend Myanmar to other investors. Investment promotion therefore should not end when an investment permit or endorsement is granted. It should continue through investment facilitation, investor aftercare and constructive dialogue between investors and relevant authorities.
Myanmar already has a legal foundation for investment cooperation with Viet Nam. The two countries signed the Agreement for the Promotion and Reciprocal Protection of Investments in 2000. This provides an important basis for investor confidence and bilateral investment relations. The focus going forward could therefore be on making existing arrangements more effective in practice and ensuring that investors have clear information about investment procedures, opportunities and applicable laws and regulations.
The broader objective should be to move Myanmar’s approach to foreign direct investment from general investment attraction towards targeted investment promotion. Rather than simply communicating that Myanmar welcomes foreign investors, investment authorities can identify specific sectors, projects, locations and investment opportunities and present them directly to suitable Vietnamese companies. A targeted approach can connect a particular project with a particular investor and clearly communicate the available market, resources, infrastructure, legal framework and potential business partners.
This approach is especially relevant because the latest DICA figures show that Viet Nam has already demonstrated its capacity to make substantial investments in Myanmar. The US$2.082 billion in approved Vietnamese investment represents an important foundation, but the relatively small number of 31 permitted projects also indicates that there is room to broaden the relationship. The next stage should therefore focus not only on increasing the amount of Vietnamese FDI but also on improving its quality and economic impact.
For Myanmar, the most valuable outcome of the forthcoming visit would not necessarily be the signing of a large number of agreements. The real measure of success would be whether those agreements lead to investment projects, business partnerships, production, employment, technology transfer and increased trade. A high-level visit can create political momentum, but sustained institutional cooperation and business engagement are needed to turn that momentum into economic results.
The desired process is straightforward: high-level diplomatic engagement should lead to investment dialogue; investment dialogue should identify priority sectors and projects; those opportunities should be presented to potential investors; and successful investment should generate production, employment, technology, local supplier development and exports.
The current visit of President U Min Aung Hlaing to Viet Nam therefore presents an opportunity to open a new chapter in Myanmar-Viet Nam economic relations. The two countries already have a foundation of friendship and cooperation, and Vietnamese companies have already demonstrated their willingness to invest in Myanmar. The next step is to build on that foundation.
Myanmar can seek greater Vietnamese investment in manufacturing, agriculture and agro-processing, digital transformation, energy, logistics, tourism and other productive sectors while learning from Viet Nam’s experience in FDI attraction and industrial development. At the same time, Viet Nam can benefit from Myanmar’s resources, strategic geographical position and market opportunities.
The future of the Myanmar-Viet Nam economic relationship should therefore not be measured only by the number of agreements signed or the value of trade recorded in a particular year. Its real value will be measured by how effectively the two countries combine capital, technology, skills, local businesses, production and regional market access.
The opportunity is now to transform a long-standing diplomatic friendship into a deeper economic partnership – one in which Vietnamese investment contributes to Myanmar’s productive capacity while Myanmar provides Vietnamese businesses with new opportunities to grow in one of Asia’s strategically important markets.
References
Directorate of Investment and Company Administration. (2026). Foreign investment of permitted projects as of 30 April 2026 (by country/region). Ministry of National Planning, Investment and Foreign Economic Relations, Republic of the Union of Myanmar.
Directorate of Investment and Company Administration. (2026). Foreign direct investment yearly approved amount by country/region as of 30 April 2026. Ministry of National Planning, Investment and Foreign Economic Relations, Republic of the Union of Myanmar.
Directorate of Investment and Company Administration. (n.d.). Investment opportunities. Ministry of National Planning, Investment and Foreign Economic Relations, Republic of the Union of Myanmar.
Directorate of Investment and Company Administration. (n.d.). Investment agreements. Ministry of National Planning, Investment and Foreign Economic Relations, Republic of the Union of Myanmar.
Ministry of Foreign Affairs of the Socialist Republic of Viet Nam. (26 August 2026). Viet Nam, Myanmar seek breakthroughs in economic cooperation. Government of Viet Nam.
Ministry of Planning and Investment of Viet Nam. (6 January 2025). FDI attraction situation in Viet Nam and Viet Nam’s overseas investment in 2024. Government of Viet Nam.
Ministry of Industry and Trade of Viet Nam. (17 June 2025). Viet Nam’s trade with ASEAN up 10.4% in five months. Government of Viet Nam.
President’s Office of Myanmar. (26 August 26). President receives Vietnamese Foreign Minister. Office of the President of the Republic of the Union of Myanmar.
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