Economists: Vietnam should grasp opportunities in Africa

Illustrative image (Source: VNA)

Consultant Ali Ahmed from Egypt’s EHAF Consulting Engineers said upgrading infrastructure is an important part of development strategies in many African countries. They also need huge resources, especially in finance, to invest in infrastructure, energy, agriculture and other fields to speed up economic growth and generate jobs.

On prospect of Vietnam – Egypt ties, he said favourable political and economic conditions will open up more opportunities for their businesses.

He advised Vietnamese firms to narrow cultural differences when it comes to accessing African markets, and to join exhibitions, fairs and trade promotion activities in the region.

Head of the procurement office from Egypt’s CNE company Ihab Mohamed Samy said the recent visit by President Tran Dai Quang to the country opened up new opportunities in trade and industry for the two countries’ economic sectors.

The two countries’ authorities should make it easier for enterprises to meet and update information via events held by their chambers of commerce and industry, as well as enhance cultural exchanges to raise mutual understanding, he said.

According to him, many made-in-Vietnam goods have become popular in shopping malls in Egypt, especially apparel, footwear, aquatic products such as tra and basa fish, and mobile phones. However, most of them are sold by global or multinational corporations instead of Vietnamese firms.

He urged Vietnamese authorities to offer all possible support to allow Egyptian goods to enter Vietnam to balance trade, and suggested the work should focus on agriculture, infrastructure and tourism.

Statistics from the General Statistics Office show Vietnam’s exports to Egypt reached US$321.11 million last year, up 9.6% annually, accounting for 14.7% of Vietnam’s total exports to Africa.

According to the Vietnamese Trade Office in Egypt, the African country invested in three projects worth US$2.05 million in Vietnam as of late 2017. Though Vietnam is yet to invest in Egypt, it has a trade surplus with the country.

Egypt’s demand for imports is forecast to keep increasing while international financial institutions and credit ranking agencies offer a positive outlook for the Egyptian economy in the medium term thanks to economic reforms, creating opportunities for investors worldwide, including those from Vietnam.