Vietnam legislation: ready for integration? More transparent legal documents would contribute to dealing with inconsistencies and overlapping regulations and consolidate investors’ faith. This was put forth by experts and policymakers at the workshop themed “Vietnam legislation – ready for integration?” organised by the Vietnam Chamber of Commerce and Industry (VCCI) in Hanoi on October 17. The delegations at the conference provided an update on the current situation and offered their opinions about the regulatory system. The conference is organised to evaluate Vietnam's new position attained through its active participation in international trade agreements which necessitate the reviewing and amendment of many legal documents. This requires the quality of legal documents to be improved to make sure newly issued documents will not have to be amended after they are found unfeasible or contradictory to other documents. It will also have to be made sure that they … [Read more...] about VIETNAM BUSINESS NEWS HEADLINES OCTOBER 23
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All banks in the country have to adopt the standard version of Basel II and then switch to the advanced version by 2025. — Photo baokiemtoannhanuoc.vn In 2016 the State Bank set a deadline of January 1, 2020, for 17 banks to meet Basel II norms under a national banking sector development strategy. Also, by 2025 all banks in the country have to adopt the standard version of Basel II and then switch to the advanced version. Basel II is the second edition of the Basel Accords, which are recommendations on banking laws and regulations issued by the Basel Committee on banking supervision. It comprises minimum capital requirements, supervisory review and market discipline to enhance competition and transparency in the banking system and make banks more resistant to market changes. Basel II requires banks to have a capital adequacy ratio (CAR) of at least 8 per cent. However, the SBV has allowed 10 banks to adopt Basel II standards earlier than the 2020 deadline. They are Joint Stock … [Read more...] about Basel II deadline rapidly approaching, are banks on course to meet norms?
VPBank has helped more than 40,000 women-owned enterprises to gain access to banking loans The award is the IFC's recognition of VPBank as the best issuing-bank partner for small and medium-sized import and export enterprises owned by women in the East Asia and Pacific regions, within the framework of the IFC's Global Trade Finance Program (GTFP). This is the first time that the IFC has granted the award to a Vietnamese bank in order to honor the outstanding achievements of the bank when participating in GTFP. VPBank, along with other award winners, was selected among more than 500 banks from 60 countries and territories across the world. After nearly two years of participation in the GTFP, VPBank has gained impressive achievements in promoting trade finance solutions for import-export and domestic trade activities. As a leading bank in the segment of financing women-owned businesses, VPBank has helped more than 40,000 enterprises to gain access to banking loans. Theo NDO … [Read more...] about IFC names VPBank as best issuing-bank partner for women-owned businesses
Companies issue $7.7b worth of bonds in nine months The nine-month value is equal to nearly 80 per cent of the total bond issuance value in 2018. The figure is also lower than the total registered value of nearly VND276.9 trillion (nearly $12 billion), which means nearly VND98 trillion bonds were unsold. In September, 28 companies made 60 issuances with total capital raised of VND19.4 trillion (excluding international bond issues). Most bonds were three-year term with total value of VND13.5 trillion. Interest rates of bonds issued in September ranged between 6 per cent and 11 per cent per annum. Banks were the main player in the bond market with total issuance value of VND14.1 trillion in September, accounting for 72.78 per cent of total market value. Real estate companies followed with VND965 billion (4.97 per cent) and securities firm with VND413 billion (2.13 per cent). Bonds issued by banks also had the lowest interest rate, averaging only 6.71 per cent per year. Some companies … [Read more...] about VIETNAM BUSINESS NEWS OCTOBER 18
Outdated database, policies hinder sharing economy development Databases and policies that have failed to keep pace with the market’s development have hindered the development of the sharing economic model. At a workshop themed “Strengthening the implementation of the project to promote the sharing economy model,” held in Hanoi on October 10, Pham Xuan Hoe, deputy director of the Banking Strategy Institute, noted that the project had been approved by the prime minister on August 12. The project is aimed at creating a fair business environment for enterprises applying the sharing economy and traditional models and encouraging innovation and the application of digital technology. Vietnam holds strong potential for developing the sharing economy. Recently, Google, Temasek and Bain & Company released a report on the e-economy in Southeast Asia this year. Accordingly, Vietnam’s digital economy will be worth US$12 billion this year and US$43 billion by 2025 … [Read more...] about VIETNAM BUSINESS NEWS HEADLINES