The banking industry sharply reduced outstanding loans for real estate business in the first half of 2021 and will continue such limits in the second half. Many banks have reduced outstanding loans for real estate business in the first 6 months. (Photo cafef.vn) According to audited half-yearly financial statements, many banks have reduced outstanding loans for real estate business in the first six months. LienVietPostBank's financial statements show that outstanding loans for real estate business fell by 52 percent to 1.67 trillion VND (72.6 million USD), leaving the proportion of real estate loans at the bank at only 0.87 percent. At VPBank, outstanding loans for real estate activities decreased by 12 percent to 32.4 trillion VND. Meanwhile, the cash flow into personal loans to buy houses, and receive land use rights was still strong, with outstanding loans increasing by 26 percent to more than 45.8 trillion VND. Outstanding loans for real estate business … [Read more...] about Banks tighten loans for real estate businesses
Mixed use real estate development
As deposit interest rates fall, cash flow has changed its direction with more people injecting money into real estate as a long-term shelter. Nguyen Bao Nam in Ba Dinh District in Hanoi some months ago bought a two-bedroom apartment I a project in the western part of Hanoi which was under construction at VND2 billion. The building has been opened and the apartment price is VND2.5 billion. Nam said real estate was the most profitable investment channel for people with idle money. Deposits are no longer attractive because banks have continuously cut deposit interest rates. A report says commercial banks continued easing deposit interest rates by 0.2-0.4 percent in late August, causing deposits at banks to fall to a 10-year low. Analysts have estimated that bank deposit interest rates have decreased by 1.5-2.5 percent over the last year. Meanwhile, there are high risks in securities investments, and stock prices have increased too sharply and the margin rate of new players … [Read more...] about Deposit interest rates fall, money flows into real estate
Illustration photo. Photo: freepik.com Vietnam is expected to become a middle-income economy by 2030. Even now, there are 5.3 million emerging affluent individuals in the country today, growing at a rate of up to 15 per cent annually. According to global consultancy Knight Frank, Vietnam already has over 500 ultra-high-net-worth individuals with a net worth of over $30 million. In 2020, Vietnam had nearly 25,000 individuals, defined as those with a net worth of over $1 million. The country’s wealth market is growing and ready to be served, and now is the right time to start. However, for many banks it is not easy to serve the high-end segment here. The current licensing arrangements are that distribution of investment products can only be done by securities and asset management companies. On the flip side, banks with large networks do not have the licences. Thus, banks that own securities companies and asset management firms are best placed to meet these challenges by … [Read more...] about Developing a wealth management answer for affluent clients
Since the launch of the national online services portal, over 3,000 online public services have been available for the public, which helps save VND8 trillion (US$352 million) per year on public spending. Vietnam’s efforts to promote E- and Digital Government are aimed at ensuring better service for the people and businesses, ultimately taking a step towards a digital economy and society. Helping local realize administrative procedures at Soc Son District People's Committee. Photo: Pham Hung Vice Minister of Information and Communications Nguyen Hung Dung gave the remarks at a national conference on E-Government held today [September 9]. Dung mentioned a recent national strategy on digital transformation that was recently signed off by Prime Minister Pham Minh Chinh in June as the compass for Vietnam’s action towards the digital government in the next decade, which has been identified by the UN as the time for action to ensure sustainable development. “The … [Read more...] about Developing digital government in Vietnam to better serve people
While Da Nang, Bac Giang and Quang Ninh have been using It well to fight the pandemic, Hanoi has not deployed technology at the same level, especially for management procedures. Bac Giang province, which earlier was a Covid-19 epicenter, used medical declaration check-in points to identify Industrial Zones and places with high risks. Nguyen Gia Phong, Deputy Director of the Bac Giang Information and Communications Department, said on the first days after the outbreak medical declarations were carried out manually, which caused problems for statistical work. Later, the Ministry of Information and Communications (MIC) suggested intensifying the use of IT in medical declaration to obtain as many declarations as possible. The provincial authorities then asked all offices, hotels, restaurants and workers in vehicles to become medical declaration points. People could also make health declarations at groceries and on buses. There was always a QR code there for people to scan and … [Read more...] about How are localities using high technologies to fight Covid-19?
The HQC Plaza Social Housing Apartment Complex, located in Nguyen Van Linh Boulevard in An Phu Tay Commune of Binh Chanh District. (Photo: SGGP) Supply-demand mismatch According to a report by the Department of Construction of Ho Chi Minh City, in the past five years, the city only had about 20 social housing projects put into use with over 15,000 apartments. This number remains modest compared to the demand for affordable housing. One of the large-scale social housing projects that have been put into use recently is the HQC Plaza Social Housing Apartment Complex, located in Nguyen Van Linh Boulevard in An Phu Tay Commune of Binh Chanh District. The project has 1,735 apartments and utilities, such as a commercial center, school, kindergarten, polyclinic, supermarket, playing ground, and parking area. The area of each apartment here is from 54 square meters to 68 square meters, with the price ranging from VND800 million to VND1 billion per unit. Mr. Truong Anh Tuan, … [Read more...] about HCMC targets to build social housing for low-income people