Document Type : Research Article


1 Doctoral School of Regional Development and Economics, University of Pécs, Pécs, Hungary

2 College of Computer Science and Electronic Engineering, Hunan University, Changsha 410082, China

3 VNU School of Interdisciplinary Studies, Vietnam National University, Hanoi, Vietnam

4 Vietnam Women’s Academy, Hanoi, Vietnam

5 Yersin University, Vietnam


This research is one of the most effective studies in Vietnam
using observed variables including tourism, agriculture, foreign direct
investment, energy consumption and economic development in the period
1990-2019. This work affirms the role of attracting foreign investment in
Vietnam in the past 20 years, from which we predict the same results in the
future. The research method used ARDL (Autoregressive Distributed
Lag)model, Bound Test, ECM model and Granger causality to explore the
short-run, long-run and causal relationships between them. The results
show that Foreign Direct Investment (FDI) positively affects economic
development while energy consumption is in the opposite direction, energy
consumption exists a positive relationship to agricultural development
whereas tourism development exists a negative impact in terms of drought.
In addition, one-way causal relations are found that FDI promotes energy
consumption, economic development leads to increased energy
consumption and the promotion of tourism by energy consumption.
Thereby, we have given a number of solutions to increase attracting foreign
investment. In addition, we have proposed to open directions for improving
renewable capacity such as finding modern renewable energy sources for
agriculture and tourism development. Besides, we also show that the
impact of the Covid-19 pandemic globally, which has been start in progress
since 2019 until now.