Vietnam–EFTA FTA seen as increasingly urgent to unlock investment potential

The agreement would provide a stable and predictable legal framework, giving businesses the confidence to expand their presence and undertake long-term investments, Astrup told hanoimoi.vn newswire on April 23.

Astrup, who is leading an EFTA Parliamentary Committee delegation on a visit to Vietnam, highlighted that the two economies are highly complementary, with limited direct competition.

While EFTA countries bring strengths in advanced manufacturing, renewable energy, finance and maritime industries, Vietnam offers a dynamic market, strong growth momentum and an increasingly competitive business environment.

This complementarity creates significant room for deeper cooperation, particularly as Vietnam accelerates its transition towards green growth and higher value-added industries, areas where EFTA businesses can play a key role, he said.

However, Astrup stressed that institutional stability and a transparent business environment remain critical factors in attracting investment. A comprehensive FTA would help ensure policy consistency and create a level playing field for EFTA companies, which currently do not enjoy the same advantages as some other European partners.

Against this backdrop, both sides are stepping up efforts to conclude the agreement after more than a decade of negotiations, paving the way for increased flows of high-quality investment from EFTA into Vietnam.

During their visit to Vietnam from April 20 to 24, the delegation of the EFTA Parliamentary Committee held working sessions with the National Assembly, the Ministry of Industry and Trade, and authorities of Ho Chi Minh City.

The delegation also conducted field visits to industrial parks and foreign direct investment (FDI) projects operated by EFTA enterprises in Hai Phong and Ho Chi Minh City to gain first-hand insights into Vietnam’s industrial development orientation, as well as the operational landscape for foreign investors in general and EFTA investors in particular.

Vietnam, Switzerland push to advance Vietnam – EFTA FTA talks

Minister of Foreign Affairs Le Hoai Trung on March 17 received Helene Budliger Artieda, Director of Switzerland’s State Secretariat for Economic Affairs, who is on a working visit to Vietnam from March 15 to 17.