(VOVWORLD) - Foreign investors, especially those from the European Union (EU) would find it more appealing to land investment in Vietnam when the EU-Vietnam Free Trade Agreement (EVFTA) takes effect, according to German broadcaster Deutsche Welle (DW).
In a story posted on its website, DW said the trade agreement would be the most ambitious the EU has ever negotiated with a developing country, which abolishes 99 percent of customs duties, eliminates bureaucratic hurdles by aligning standards for goods like cars and medicine, and ensures easier market access for both European and Vietnamese companies.
On Tuesday, the EU Parliament’s International Trade Committee will present a draft resolution of the EVFTA. If the European Parliament accepts the resolution during its plenary session in February, the EVFTA will come into force one month later.
Currently, the EU is Vietnam’s 5th biggest foreign investor.
Meanwhile, Erwin Schweisshelm, former head of the Friedrich-Ebert Foundation in Vietnam said that the EVFTA is part of the EU’s wider economic strategy in Southeast Asia.
“In the long term, there could be an ASEAN-EU agreement”, he said.