Attracting remittances for national development

In 2024, remittances to Vietnam will increase to a record high, estimated at 16 billion USD. So how can we continue to attract remittances and resources to serve socio -economic development in the era of national development?

A performance by overseas Vietnamese in the Spring Homeland 2025 program. Photo: Nhat Bac.

According to statistics, the amount of remittances sent to Vietnam in 2024 is estimated to reach 16 billion USD, equivalent to 2023, which is a year of record growth in remittances. Of which, more than 9.5 billion USD was transferred to Ho Chi Minh City. In recent times, thanks to open policies, Vietnam has attracted more and more remittances into the economy and has always been in the Top 10 countries receiving the largest remittances in the world for many years.

Remittances mainly come from two sources: overseas Vietnamese sending money to support their relatives in the country and Vietnamese workers abroad sending money back for investment and savings. In recent years, banks have strongly developed financial services, making it easier for customers to transfer and receive money internationally quickly, safely and conveniently. Thereby attracting and creating conditions for the amount of remittances to Vietnam to increase. This source of money has been going into areas such as consumption, investment, business, helping people improve their lives, bringing many economic and social security benefits.

Remittances have continued to grow strongly in recent times, demonstrating the confidence of overseas Vietnamese in the stable macroeconomic situation and favorable investment and business environment in the country, along with the mechanisms and policies of the Government and the State Bank of Vietnam on attracting remittances. In the context of the country entering a new era in great need of resources to develop the country, the issue is what policy to promote remittances.

Recently, when meeting with outstanding overseas Vietnamese attending the Spring Homeland Festival 2025, National Assembly Chairman Tran Thanh Man emphasized that the overseas Vietnamese community currently living in over 130 countries with 6 million Vietnamese people is a strength, a bridge between countries for Vietnam and this is an important and inseparable force for Vietnam.

The National Assembly Chairman also hopes that in investment, technology transfer and economic development, the National Assembly and the National Assembly Standing Committee expect that people will continue to play a pioneering role in investing in the country, transferring technology, starting innovative businesses, and connecting with international organizations and businesses to promote the rapid and sustainable development of the country's economy. The National Assembly pledges to continue to improve support policies and create the best conditions for these activities.

According to Deputy Minister of Foreign Affairs, Chairwoman of the State Committee for Overseas Vietnamese Le Thi Thu Hang, Resolution 36 of 2004 of the Politburo on the work of overseas Vietnamese has contributed to unlocking the resources of overseas Vietnamese, encouraging them to actively contribute to the country's development. Over the past 20 years, the return of overseas Vietnamese businessmen to invest and do business in the country has become increasingly prominent. Especially since 2020, the amount of remittances to Vietnam has surpassed the disbursed FDI capital and ODA foreign aid capital, contributing to improving the balance of payments, stabilizing the macro-economy, helping many households escape poverty, and improving the quality of life. In addition, there are thousands of small and medium-sized enterprises of overseas Vietnamese participating in investment and operations in Vietnam in all areas of social life.

Ambassador Nguyen Phu Binh - Chairman of the Association for Liaison with Overseas Vietnamese said that in order to exploit the resources of our overseas Vietnamese to contribute to the country, the Association for Liaison with Overseas Vietnamese has called for and brought back hundreds of investment projects in localities and is promoting the organization and attracting foreign individuals to participate in socio-economic development in the country.

Economic experts recognize that Vietnam has had many policies to attract remittances to invest in projects and economic development. Especially now, banks are also actively investing heavily in technology and services to facilitate the sending and receiving of remittances, especially near the Lunar New Year, which is the busiest remittance season of the year. However, to attract remittances more strongly in the era of national development, Mr. Nguyen Tri Hieu - an overseas Vietnamese in the US proposed that, in addition to the solutions being implemented to call for remittances through relatives abroad, family relationships, and the system of consulates around the world, there should be a policy to issue bonds for overseas Vietnamese. Up to now, when we call for remittances, people send money back to the country as individuals, or some businesses send money back to the country for investment, but at the national level, there has not been any. Therefore, the Government should consider issuing government bonds for overseas Vietnamese. “Issuing bonds is a way to systematically increase remittances,” said Mr. Hieu.

Dr. Cao Sy Kiem - former Governor of the State Bank of Vietnam expressed the view that many factors are needed to attract remittances. Accordingly, in the country, the socio-economic development must be stable, with many effective and profitable projects. In particular, the institutions must be open. "Whenever people think of sending money back home for investment, they have a patriotic spirit. The world is vast, they can invest anywhere that can make a profit, but because of patriotism, they invest back home to contribute to their homeland. Therefore, investment policies must be open, and projects calling for investment must also be selective to stimulate them to invest more back home" - Mr. Kiem said.

Source: https://daidoanket.vn/thu-hut-kieu-hoi-cho-phat-trien-dat-nuoc-10298820.html