Financing renewable energy in developing countries

A Samsung manufacturing plant in Bac Ninh Province. — Photo baophapluat.vn The Organisation for Economic Cooperation and Development (OECD) two-pillar solution has introduced a global minimum corporate tax rate (GMCT) of 15 per cent applicable from 2023, but experts have mixed positions on the tax. Nguyen Mai, chairman of the Association of Foreign Investment Enterprises, said that the GMCT would boost Viet Nam’s tax revenues and contain tax avoidance, tax evasion and price transferring in the country. This is because tax rates lower than GMCT have incentivised illegal tax practices without significantly affecting investment attractiveness. In fact, 56 per cent of foreign-invested firms in Viet Nam declared unprofitability in 2020, with a total loss of VND151 trillion (US$6.5 billion), substantially reducing the country’s tax collection. Accordingly, he urged the Government to modify tax regulations in line with the GMCT and re-negotiate with FDI investors on investment terms … [Read more...] about Mixed views on global minimum corporate tax rate

Compal’s executives paid a visit to Nghe An to explore the feasibility of investment in the locality. WHA Industrial Zone 1 - Nghe An, owned by Thailand’s WHA Group, has the potential for developing tech manufacturing activities thanks to its advantages of modern infrastructure, transport connectivity, and environmental care. WHA Industrial Zone 1 is developed with high-quality standard infrastructure and world-class facilities. The 143.5-hectare Phase 1 of WHA Industrial Zone 1 has been completed with a high occupancy rate. Meanwhile, it is on track to complete the second phase with 354.5-hectare in October. Given that Compal is looking for a 50ha manufacturing site, the second phase of WHA Industrial Zone 1 could be ideal for Compal to kickstart its new manufacturing facility in Vietnam. WHA Industrial Zone 1 in Nghe An Ever since its initiation as a PC peripheral supplier in 1984, Compal has grown to its present scale with outstanding management and solid research … [Read more...] about WHA Industrial Zone 1 in Nghe An ready to welcome tech giant Compal

Vietnamese Minister of Education and Training Nguyen Kim Son has proposed that education fees be waived for all public middle schools across the country. The education minister put forward the proposal during an online conference with central- and local-level leaders on Monday morning. Son expects that his proposal will benefit students from grade sixth to ninth starting the 2022-23 school year, which is set to begin in less than two months. He requested the education ministry’s sub-units to work with the Ministry of Finance on evaluating the impacts of the proposed tuition exemption and calculating the state budget needed for this plan. Such tuition exemption is not a new proposition of the Ministry of Education and Training. In 2016, the government assigned the ministry to coordinate with the finance ministry in drawing up a similar scheme with a specific timeline while prioritizing investments for kindergarten and elementary education. Vietnam has made elementary … [Read more...] about Vietnam minister proposes making middle school free next year

Jakarta (VNA) – Indonesia's state-owned electricity company PLN has axed a project to develop a coal-fired power plant as the country chases its long-delayed commitments to cut carbon dioxide emissions . PLN vice president of corporate communications Gregorius Adi Trianto confirmed that the company had canceled its plan to build the 1-gigawatt (GW) plant in Indramayu, West Java. It proactively stopped borrowing funds for the project as part of PLN's efforts to reach the country’s carbon neutral goal by 2060, Gregorius was quoted by local media as saying. The project’s termination came after Japan announced that it had canceled a plan to provide a loan worth 1.7 billion (12.55 million USD) for developing the Indramayu plant amid growing international criticism of coal power plants, a major source of greenhouse gas emissions. According to Indonesia ’s Ministry of Energy and Mineral Resources, total investment in the power sector reached 700 million USD in the first … [Read more...] about Indonesia cancels giant coal-fired power project

The Business Climate Index is the leading indicator of the European business and investment community in Vietnam. European businesses in Vietnam expressed their positiveness about Vietnam’s prospects for green growth, according to the latest Business Climate Index (BCI) released by the European Chamber of Commerce in Vietnam (EuroCham) and YouGov Vietnam. CEOs of European businesses gather an event in Ho Chi Minh City last April. Photo: EuroCham According to the BCI, nearly 80% of participants said their assessment of Vietnam’s green development potential improved from the first quarter of this year. About 44% of the respondents have good and excellent outlook regarding the potential for Vietnam’s green and sustainable development. Regarding the link between green growth and foreign-direct investment (FDI), nearly 90% of the respondents believed Vietnam should accelerate green sector development to attract more foreign investment. EuroCham Chairman Alain … [Read more...] about European businesses positive about Vietnam’s prospects for green growth

Vietnam’s economy has performed well amid a difficult global environment in the first six months of the year. The Vietnamese Government would stay focused on stabilizing macro-economic conditions, containing inflation, and keeping all major balances intact. Overview of the meeting. Source: VGP Prime Minister Pham Minh Chinh gave his conclusion at the monthly Government meeting held today [July 4]. According to Chinh, Vietnam’s economy has performed well amid a difficult global environment in the first six months of the year. Chinh highlighted the GDP growth of 7.72% in the second quarter, the highest second-quarter growth since 2011, and the six-month GDP growth of 6.42%. Such  half-year growth rate is even higher than the pre-pandemic one. (6.38% in the 2016-2019 period). In this context, 44 out of 63 provinces/cities posted economic growth of over 6%, which showed a consistent recovery level among localities, he said. Other positive factors include … [Read more...] about Vietnam to solidify macro-economic stability: PM