Open policies required to control gold fluctuation, says expert

Open and market-oriented policies will put gold under control, says director Tran Trong Quoc Khanh of a gold shop of the Asia Commercial Bank. Peopel rush to sell gold jewelries at a HCMC-based gold shop after the precious metal constantly hit llifetime highs (Photo: Minh Tri) "Vietnam's gold follows the global move. Yet there is still a gap between them as the domestic and international markets are not connected with each others," Khanh says in an interview with SGGP Dau Tu Tai Chinh Newspaper. Legal documents having been released recently show the government restricts gold trade although it still continues to recognize the right of citizens to have gold holdings, Khanh says. Vietnam has already forbidden banks from lending gold for the production and trade of gold bars since October last year. The new rule is an attempt to eliminate the role of gold as a means of payment in Vietnam, the central bank said. While the central bank has already ruled out any ban on gold bullion … [Read more...]

Government’s proposed lump-sum taxes reduction vital, say officials

The government's proposals on tax exemption and reduction have raised questions from the National Assembly's Committee for Budget and Finance (CBF) on the effectiveness of the measures in boosting the economy. The government's proposed tax reduction for landlords of rent houses for workers and students, private kindergartens and food suppliers for workers is vital (Photo: Minh Tri) SGGP Dau Tu Tai Chinh Newspaper has caught up with Tran Du Lich, deputy head of the Ho Chi Minh City NA deputy delegation, to interview him about the suggesting measures. Tran Du Lich: I agree with most of the government's proposals, except for one on a 30 percent corporate income tax reduction. I align with CBF's suggestion that the tax should be reduced for small- and medium-size enterprises (SMEs), footwear makers, textile firms, food suppliers, electronic spare part producers and public infrastructure builders only. Dau Tu Tai Chinh: What is your opinion about the government's proposal on individual … [Read more...]

Banks post H2 positive earning despite high-cost loans

Many commercial banks announce to earn positive profits, while many businesses have to reduce operation and lay off staffs in an attempt to survive the economy meltdown. Depositors fill saving application forms at a HCMC-based branch of Asia Commercial Bank. Despite high lending rate, lenders still made healthy earning, while enterprises incurred losses Statistics show many lenders achieved booming earning results in the first six months of the year, making 40-50 per cent of this year's target. Sacombank, Vietnam's fifth largest partly private lender by assets, announced in a financial report that it earned a pretax profit of VND1.5 trillion ($75 million) in the first half, an equivalent of 55 per cent of its goal this year. Ho Chi Minh City-based DongA Bank made a pretax profit of VND676 billion in the first two quarters, equal to 52 per cent of 2011's target. Vietcombank, the country's third biggest bank by asset, earned around VND3 trillion in the first half. Small-cap … [Read more...]

Solution for businesses in shortage of invoices

Many businesses are anxious about the printing houses' delay in the invoice orders as the deadline for tax filing - April 1st - is approaching. SGGP Dau Tu Tai Chinh has caught up with Nguyen Trong Hanh, deputy head of the Ho Chi Minh City Tax Bureau, to interview about the issue. The deadline for tax filing is approaching, but many businesses have not received invoice books from printing houses (Photo:tuoitrenews) Dau Tu Tai Chinh Newspaper: Many businesses complaint that they have not received invoiced they had ordered from printing houses. Who is responsible for this problem? Nguyen Trong Hanh: After receiving complaints from businesses, the HCMC Tax Bureau has inspected all printing houses in the city and found out the printing house Lien Son defaulted on around 5,000 invoice orders, of which 1,500 orders could be shared to other printing houses. Lien Son cited many businesses placed orders with small volumes, but asked to print their own colorful logo, which took long time to … [Read more...]

Banks raise dollar saving rates to attract remittance inflow in Tet

Banks’ depositing interest rate are moving up on the fact that lenders are trying to attract strong remittance inflows that come in ahead of Tet, the Lunar New Year festival, general secretary Duong Thu Huong of the Vietnam Bank Association (VNBA) said in an interview with SGGP Dau Tu Tai Chinh magazine (Investment and Finance). Photo: cafeland Dau Tu Tai Chinh: What do you think about many experts’ concern that lenders rush to mobilize dollars as they need more Vietnam dong capitals desperately? Duong Thu Huong: Some banks rush to raise dollar saving rates in an effort to mobilize overseas remittance, which is often getting very strong at the end of every year. However, this move will lead the remainders in the bank system to follow in an effort to keep their clients. They also said lenders are trying to mobilize more dollars in order to meet the increasing demand of companies which import a large volume of goods in preparation for the country’s biggest … [Read more...]

Vietnam earns 1.5 billion USD in export surplus in 4 months

(VOVworld) – The General Statistics Office reports that Vietnam has pocketed over 14 billion USD in April, an increase of 4.5% against the same period last year. In the first 4 months of 2016, export revenue is estimated at 53 billion USD, 6% higher than last year. (photo for illustration) Exports of telephones, garments and textiles, electronics, computers, footwear, equipment, machines, aqua-products, coffee, and rice have all increased. The US remains Vietnam’s biggest export market with 11.4 billion USD. It’s followed by the EU, China, and South Korea. Vietnam’s imported goods were worth about 14 billion USD in April and 51 billion USD in the first 4 months of this year. Goods imported from China have made up the biggest proportion worth about 15 billion USD, which is followed by the ASEAN, Japan, the EU, and the US. … [Read more...]

Vietnam’s FDI capital rises 85% in four months

The Hanoitimes - The General Statistic Office (GSO) said that as of April 20, the total capital of foreign direct investment (FDI) projects in Vietnam reached about 6,886 million USD, increasing by 85% against the same period of 2015. Of which, 5,082 million USD came from 697 newly-registered projects and the remaining 1,804 million USD was from 314 added-capital projects. In January-April, FDI disbursement was estimated at 4.7 billion USD, rising by 12% against the same period last year. The northern port city of Hai Phong led the country in drawing new FDI projects with 1,591 million USD, accounting for over 31% of the total new-registered FDI in the reviewed time. Photo for illustration. The runner-up was Hanoi city with 595.5 million USD, and the southern province of Binh Duong with 329 million USD ranked third place. Among 45 countries and territories that invested in new projects in Vietnam, the Republic of Korea (RoK) topped the largest investors with 2.480 billion … [Read more...]

Vietnam’s trade surplus reachs nearly 1.5 billion USD in first four months

The Hanoitimes - Vietnam gained a trade surplus of nearly 1.5 billion USD in the first four months of this year. The trade results of foreign direct invested firms were more remarkable than those of the domestic sector in terms of import and export value. The General Statistics Office (GSO) said in April, Vietnam reached a trade surplus of about 100 million USD with its export value to 14.1 billion USD and import value at 14 billion USD. In January-April, the country’s total exports witnessed a year-on-year growth of 6% to 52.9 billion USD, according to the office. The country earned a trade surplus of nearly 1.5 billion USD in the first four months of this year. In the reviewed time, export value of the domestic economic companies reached 15.11 billion USD, increasing by 2.9% against the same period last year, while the foreign direct invested (FDI) enterprises saw a year-on-year increase of 7.3% in export value to 37.76 billion USD. Illustrative image According to … [Read more...]

After 10 years, each Vietnamese burdened with additional $1,200 public debt

VietNamNet Bridge - In 2006, each Vietnamese shouldered about VND3.5 million of public debt, and 10 years later the burden has increased to nearly VND30 million. The debt burden of Vietnamese people increases annually. In 2006, the country’s total public debt was about $13.8 billion. If total population of 83.3 million people at that time, each person would bear approximately $165.7. However, 10 years later, the per capita debt has risen to approximately $1,384. The figure is calculated based on GDP and population. Specifically, public debt accounted for 62.2% of GDP in 2015, or about $126.9 billion. The debt is divided to the population of about 91.7 million people to have the per capita debt of $1,384. The number increased 8.5 times compared to that of 2006. In 2015, the per capita income of Vietnamese people was about VND45.72 million ($2,200). Thus, the per capita debt in 2015 accounted for 65% of the total income of Vietnamese people. In 2006, according to data from … [Read more...]

FDI tops $6 billion in four months

Vietnam received as much as $6.886 billion in foreign direct investment (FDI) by April 20, a year-on-year surge of 85 percent, according to the General Statistic Office (GSO). Of the total, $5.082 billion came from 697 newly-registered projects and the remaining $1.804 billion was from 314 added-capital projects. In the first four months of this year, FDI disbursement was estimated to hit $4.7 billion, up 12 percent against the same period last year. The processing and manufacturing industry attracted the most FDI, with about $5.246 billion, making up 76.2 percent of the total. The science and technology sector came in second, luring $336.6 million, or 4.9 percent of the total. The northern port city of Hai Phong topped the country in attracting new FDI projects with $1.591 billion, accounting for 31.3 percent of the period’s total new-registered FDI. It was followed by Hanoi with $595.5 million, and the southern province of Binh Duong with $329 million. Among 45 … [Read more...]

FDI key to high trade surplus

Vietnam’s economy is experiencing a record four-month trade surplus, the highest in the past four years, mostly driven by foreign-backed firms. The General Statistics Office reported that Vietnam’s total export turnover in the first four months of 2016 is estimated to be $52.87 billion, up 6 per cent year-on-year. Total import turnover hit $51.4 billion, down 1.2 per cent year-on-year, leading to a trade surplus of $1.47 billion over this period. "The four-month trade surplus is a very good sign for the economy in general," senior economic expert Nguyen Mai told VIR. The economy suffered from a trade deficit of $3 billion in the same period last year, and a trade surplus of $683 million, $722 million, and $176 million in the first four months of 2014, 2013, and 2012, respectively. However, Mai said that this year’s four-month trade surplus was driven by foreign-invested enterprises (FIEs), which tactitly reflects the weak performance of locally-owned … [Read more...]

Purchasing power increases slightly

The total revenue of retail goods, which accounted for more than 75 per cent of the total revenue, hit $39.5 billion, up 9 per cent. — VNA/VNS Photo Tran Viet HA NOI (Biz Hub) — The purchasing power in the total national retail value of goods and services until April 2016 reached nearly VND1.14 trillion, the General Statistics Office (GSO) reported. This was equivalent to US$51.7 billion, and a year-on-year increase of 8.8 per cent. The increase was estimated at 7.5 per cent if the price factor was excluded, lower than the growth of the first four months of last year at 8.3 per cent, and the lowest growth since the beginning of this year. In particular, the growth of January was 11 per cent, of the first two months is 8.3 per cent, and of the first three months was 7.9 per cent. GSO expert Vu Manh Ha attributed the decrease in purchasing power of the first four months of this year to the significant growth of the consumer price index (CPI) of the first four months … [Read more...]

New firms number nearly 11,000

More than 34,700 companies opened in the first four months of this year, creating 427,200 jobs for local people. — VNA/VNS Photo Ngoc Ha HA NOI (Biz Hub) — As many as 10,954 enterprises were formed in April with total registered capital of VND62.2 trillion (over US$2.7 billion), according to the General Statistics Office (GSO). The number of newly-established business increased by 19.2 per cent year-on-year, while registered capital jumped 21.3 per cent against the same period last year. In the first four months of this year, 34,721 new enterprises were established with total capital of VND248.2 trillion, a year-on-year rises of 22.9 per cent and 52.8 per cent, respectively. During the reviewed period, each new company had an average investment of VND7.1 billion, up 24.2 per cent over the same period last year. The new firms were expected to employ 427,200 people. A total of VND801.5 trillion was added to the country's economy. According to the GSO, 25,135 … [Read more...]

FDI tops 6,000 million USD in four months

Vietnam received as much as 6,886 million USD in foreign direct investment (FDI) by April 20, a year-on-year surge of 85 percent, according to the General Statistic Office (GSO). Illustrative image - Source: VNA Of the total, 5,082 million USD came from 697 newly-registered projects and the remaining 1,804 million USD was from 314 added-capital projects. In the first four months of this year, FDI disbursement was estimated to hit 4.7 billion USD, up 12 percent against the same period last year. The processing and manufacturing industry attracted the most FDI, with about 5,246 million USD, making up 76.2 percent of the total. The science and technology sector came in second, luring 336.6 million USD, or 4.9 percent of the total. The northern port city of Hai Phong topped the country in attracting new FDI projects with 1,591 million USD, accounting for 31.3 percent of the period’s total new-registered FDI. It was followed by Hanoi with 595.5 million USD, and the southern … [Read more...]

Social News 3/5

Red Cross activities integrated into climate change response More than 15,000 households in 14 cities and provinces who announced natural disaster status, have received initial support from the Vietnam Red Cross Society (VRC). Vice President of the VRC Central Committee Tran Thi Hong An told an April 27-28 event, that by April 24, 2016, the organisation had mobilised over 25 billion VND (1.1 million USD) donated by people from all walks of life to aid natural disaster victims. The conference, jointly held by the VRC, the German Red Cross (GRC) and the VRC's chapter in Quang Binh province, aims to assess the risks and impacts of climate change and how red cross activities can work in response to climate change. As part of the GRC-funded "Community-based disaster risk management" project, the event is due to create an opportunity for the VRC, and relevant agencies, to promote the integration of climate change adaptation into the management of risks and disasters in Vietnam. It is … [Read more...]

IPI grows nearly 8% in April

VGP – The Industrial Production Index (IPI) in April posted a year-on-year growth of 7.9%, according to the General Statistics Office (GSO). The GSO reported that mining industry dropped 8.1% while processing and manufacturing sectors electricity production and distribution, and water supply and sewage treatment increased 12.5%, 11.5%, and 8.5% respectively. In the January-April period, the IPI grew 7.3% compared to 9.6% in the same period of 2015. In the first four months of 2016, some industrial products enjoying sharp growth included television (up 46.6%), steel (27.6%), and automobiles (23.9%). Meanwhile, motorbikes, crude oil, sugar, and mobile phones saw shrinking growth. In the reviewed period, the index expanded 42.7% in Thai Nguyen; 32.8% in Quang Nam; 24% in Can Tho; 8.8% in Ha Noi; 8.3% in Dong Nai; 7.3% in Binh Duong; 6.2% in Ho Chi Minh City; 5% in Ba Ria-Vung Tau; 4.6% in Vinh Phuc./. By Kim Loan … [Read more...]

Nearly 11,000 new firms set up in April

As many as 10,954 enterprises were formed in April with total registered capital of 62.2 trillion VND (over 2.7 billion USD), according to the General Statistics Office (GSO). The number of newly-established businesses increased by 19.2 percent year-on-year, while the total amount of registered capital jumped 21.3 percent against the same period last year. In the first four months of this year, 34,721 new enterprises were established with total capital of 248.2 trillion VND, a year-on-year rises of 22.9 percent and 52.8 percent, respectively. More than 34,700 companies were opened in the first four months of this year, creating 427,200 jobs for local people. During the reviewed period, each new company had an average investment of 7.1 billion VND, up 24.2 percent over the same period last year. The new firms are expected to employ 427,200 people. A total of 801.5 trillion VND was added to the country’s economy. According to the GSO, 25,135 enterprises stopped operations … [Read more...]

Industrial production up 7.3% in 4 months

From January to April, the processing and manufacturing industry posted a yearly rise of 9.6 per cent, while electricity distribution and production increased 12.1 per cent year-on-year. — Photo ndh.vn HA NOI (Biz Hub) — The national index of industrial production (IIP) in the first four months of this year surged 7.3 per cent year-on-year, according to the General Statistics Office (GSO). GSO attributed the IIP's positive growth to the great efforts of domestic industrial enterprises in spurring consumption. In the first four months of 2016, the consumption index of local industry climbed 12.7 per cent, much higher than the 9.1 per cent seen in the first quarter of this year. However, the climb in industrial production was still lower than the 9.6 percent rise recorded in the same period last year, GSO noted. From January to April, the processing and manufacturing industry posted a yearly rise of 9.6 per cent, while electricity distribution and production increased … [Read more...]

Industrial production index rises 7.3 percent in first four months

The national index of industrial production (IIP) posted a year-on-year increase of 7.3 percent in the first four months of this year, according to the General Statistics Office (GSO). Metal production grew by 21.4 percent; production of electronics, computers and optical products by 17.4 percent; furniture manufacturing by 16.5 percent; paper and paper-based products by 14.2 percent; automobiles by 14 percent; rubber and plastic-based products by 13.9 percent; textiles by 13.3 percent; and electricity production and distribution by 12.1 percent. Photo for illustration Localities where industrial production surged included Thai Nguyen (42.7 percent), Quang Nam (32.8 percent), Can Tho (24 percent), Hai Phong (14.6 percent), Bac Ninh (14.5 percent), Da Nang (10.5 percent), Hanoi (8.8 percent), Binh Duong (7.3 percent), Ho Chi Minh City (6.2 percent), Ba Ria-Vung Tau (5 percent), and Vinh Phuc (4.6 percent). High levels of inventory were seen in automobiles (61.3 percent); … [Read more...]

Central Group officially owns Big C Vietnam

Thai company Central Group has become new owner of Groupe Casino’s Big C Vietnam after paying $1.14 billion, according to a press release posted on the company’s website today. Big C Vietnam has a network of 43 stores and 30 shopping centers and achieved a net sales in 2015 of €586 million ($666 million). According to the press release, Central Group in partnership with the Vietnamese Nguyen Kim Group will continue the strategy of Big C Vietnam in particular concerning the supply of goods produced in Vietnam for Big C stores. Casino continues its procurement of Vietnamese food, which will be distributed in France, Brazil and Colombia. In December 2015, Casino Group had revealed plans to sell its Big C supermarket chain in Vietnam as well as Thailand and Colombia to pay debts. Casino sold Big C Thailand to TCC Holding for €3.1 billion ($3.4 billion) in February. In Vietnam, the race for the retail chain includes Korea’s Lotte, Thailand’s Berli … [Read more...]