A view of Sapa Homestay Ta May in Sapa District, Lao Cai Province. — Photo booking.com The number of people coming to Viet Nam combining business with tourism has increased significantly in recent times, and is one of the reasons for arrival numbers to jump in recent years. According to the General Statistics Office, last year 15.6 million international visitors came, 2.7 million higher than in 2017. Nearly 7.3 million have arrived in the first five months of this year. Many opt for vacation rentals and homestays because they find it cheaper than traditional accommodation at hotels. Besides, it enables them to experience living together with locals and so has become a popular choice, especially among young people who like to travel and explore cultures and eat, live and work with homestay hosts. Thanks to its many advantages, homestay tourism is also increasingly preferred by foreign tourists and also many Vietnamese, especially younger tourists. The homestay and vacation rental … [Read more...] about The future of homestays in Viet Nam
Business Beat
Survival of the fittest in Viet Nam’s retail market
Edgar Bonte, the CEO of Auchan Retail, recently told French newspaper les Echos that his company has decided to sell all of its 18 stores in Viet Nam. — Photo langvietonline.vn Edgar Bonte, the CEO of Auchan Retail, recently told French newspaper les Echos that his company has decided to sell all of its 18 stores in Viet Nam. The supermarket chain, present in Viet Nam for four years, is expected to be bought by a domestic retail group this week. Bonte said it generated revenues of 45 million euros (US$50.4 million) last year but made losses. He did not disclose the latter figure. Auchan is the last remaining western retailer in Viet Nam after French multinational retail chain Groupe Casino withdrew in 2016. Others to exit, due to various reasons but mainly because of losses, include Germany’s Metro Cash & Carry. In 2014 it sold its business in Viet Nam to Thailand’s Berli Jucker Corporation for 655 million euros (approximately US$879 million). The Thai company … [Read more...] about Survival of the fittest in Viet Nam’s retail market
Restructuring helps shipping companies turn around
Some shipping companies have stopped operating on inefficient overseas routes and are instead using their vessels domestically, significantly reducing costs. — Photo cep.com.vn The Viet Nam Sea Transport And Chartering Joint Stock Company, Viet Hai Shipping & Real Properties Corporation and Seagull Shipping Joint Stock Company are among the maritime transport companies that have had to shift their shares in recent years from stock exchanges to the Unlisted Public Company Market (Upcom) due to their poor performance. Phuong Dong Trade and Service Joint Stock Company reported a net loss of over VND336 billion (US$14.6 million) last year, Viet Nam Shipping Industry Corporation reported a loss of VND2.89 trillion ($125.4 million) and Viet Nam Sea Transport and Chartering Joint Stock Company reported a loss of over VND255 billion ($11.1 million). While the domestic maritime transport industry has generally had a very gloomy time, some companies in the sector have managed to … [Read more...] about Restructuring helps shipping companies turn around
Banks’ interest receivables get little attention
Customer's transactions at a BIDV.branch. — Photo vietnambiz.vn Compiled by Thiên Lý Last year State-owned joint stock commercial banks led the banking sector in terms of interest receivables. Interest receivable refers to interest that has been earned on investments, loans and overdue invoices but has not actually been paid yet. As long as it can be reasonably expected to be paid within a year, interest receivable is generally recorded as a current asset on the balance sheet. Leading the way was the Joint Stock Commercial Bank for Investment and Development of Việt Nam (BIDV) with interest receivables estimated at VNĐ11.89 trillion (US$517.26 million), up 25.5 per cent from 2017. The Joint Stock Commercial Bank for Foreign Trade of Việt Nam (Vietcombank)’s interest receivables amounted to VNĐ7.41 trillion ($322.17 million), a 23 per cent increase from the previous year. In spite of having its interest receivables going down by 52 per … [Read more...] about Banks’ interest receivables get little attention
Not many banks to pay dividends in cash, but shareholders content
VIB is one of only few banks that have decided to pay dividends in cash this year. Photo cafef.vn At the annual general meeting of Vietnam International Bank (VIB) in HCM City on March 28, shareholders approved a dividend of 26.5 per cent for 2019, including 5.5 per cent in cash and the rest in shares. VIB is one of only few banks that have decided to pay dividends in cash this year. Market observers said though most have yet to hold their annual general meeting this year, many banks have indicated they would pay dividends in shares and not cash. Nam A Commercial Joint Stock Bank (Nam A Bank) was one of the first lenders to hold its annual general meeting. On March 23, its shareholders approved many important business plans and targets for this year, one of which was to pay a 16 per cent dividend but only in shares. In its consolidated financial statement sent to its shareholders ahead of this year’s annual general meeting, Vietnam Prosperity Joint Stock Commercial Bank … [Read more...] about Not many banks to pay dividends in cash, but shareholders content