At the signing ceremony Tuesday (04 August 2009) in Hanoi, Vietnamese Deputy Minister of Finance Tran Xuan Ha and Israeli ambassador to Vietnam Ephraim Ben Matityau concurred that the agreement would create a legal environment for taxation to help investors extend their business activities and investment operations. This would bolster bilateral cooperation in trade and investment, they said.

According to figures from the Ministry of Industry and Trade, two-way trade between Vietnam and Israel reached USD163 million last year. Vietnam exports shoes, clothes, and agricultural products to Israel and imports hi-tech equipment, chemicals and fertilizers from the country.

Israeli companies have invested in construction projects in Vietnam such as the Hanoi-based Landmark Tower and the Ho Chi Minh City-based Capital Fund building. Israel currently ranks 60th among 85 countries and territories investing in Vietnam with eight projects and a total registered capital of nearly $12 million.