It also broke the downward trend of FDI disbursement over past few months. Total FDI disbursement hit $6.3 billion for the first seven months, marking a 1.6 per cent decrease over the same period of last year.

This month also witnessed a significant change in new registered investment capital. Only 49 new foreign-invested projects received licences during the month, the lowest in six months but the total registered capital for these projects was up to $3.23 billion.

Meanwhile, 15 existing projects were allowed to increase their capital by $148 million this month. So far this year 147 projects have been approved to add $1.42 of registered capital. The new additions have brought the total FDI registered in the first seven months to $9.05 billion, down 24 per cent on the same period last year, the agency said.

During the period, Hong Kong overtook Singapore to become Viet Nam's largest source of foreign investment with 31 projects worth $2.89 billion.

Singapore ranked second with 54 projects capitalised at $1.41 billion, following by South Korea with 172 projects valued at $797 million and Japan with 119 projects worth $720 million.

The processing and manufacturing sector attracted the largest share of FDI, gobbling up $4.25 billion. Electricity, gas and water production and distribution sector contributed $2.52 billion while the construction industry made up $603 million.

With 21 projects, totally worth $2.49 billion, the northern province of Hai Duong was the country's biggest destination for foreign investors, followed by HCM City with $1.63 billion and southern Ba Ria-Vung Tau Province with $510 million.