Dong hits one and half year high on strong dollar inflows | |||||||
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The dollar was traded on the interbank market at VND15,980, its lowest since June 19, 2006. Commercial banks in Hanoi were also buying dollars from retail consumers at about VND15,980 to VND15,985, down 1.7 percent from a peak of VND16,251 on August 17 last year, bankers said. “Demand for the dong at year-end and the very strong dollar sup-ply from foreign investors are the main factors behind the dollar’s fall,” a banker in Hanoi said. She said clients had started with-drawing dollar deposits to change into dong to avoid foreign exchange losses as they expected the dollar to continue losing value against the dong this year. “It makes sense now to save your money in dong because of the higher interest rates and the falling dollar,” another banker in Hanoi said. Twelve-month dong deposits offer nine percent to 10 percent, twice the interest on dollar deposits of about 4-5 percent, he said. Foreign direct investment, including pledges for new projects, reached around US$20 billion last year while remittances from Vietnamese living overseas were expected at a record $10 billion, state media reported this week. In the interbank market, rates on overnight dong loans from state-run Agribank, Vietcombank and Vietindebank stood at 7.0 percent to 8.0 percent, almost unchanged from last week’s range of 7.0 percent to 8.2 percent. Source: Reuters | |||||||
Wednesday, January 9, 2008
Dong hits one and half year high on strong dollar inflows
STB: Vietnam's Sacombank profit soars, opens China office
Vietnam's Sacombank profit soars, opens China office |
| Sacombank, Vietnam's sixth-largest bank, said it more than doubled its 2007 profit as loans and deposits expanded strongly amid a fast-growing economy and announced it had opened its first office in China. |
Bank loans in Vietnam rose 37 percent last year as the economy grew at nearly 8.5 percent -- its fastest pace in just over a decade, after a boost given by World Trade Organisation membership. Sacombank's 2007 gross profit climbed to 1.45 trillion dong . Sacombank Chairman Dang Van Thanh said last month it aimed to raise gross profit this year to 2.5 trillion dong. Assets of the Ho Chi Minh City-based bank more than doubled to 63.48 trillion dong as deposits increased to 54.04 trillion dong, it said in a statement on Tuesday. But the bank said the unaudited results did not include those of its four subsidiaries dealing with debt management, real estate, stock broking and leasing as well as two joint ventures, SacomInvest and VietFund Management. Sacombank, or Saigon Thuong Tin Commercial Bank, on Tuesday opened an office in Nanning, the capital of China's southern province of Guangxi which borders Vietnam, to profit from fast-growing trade between the two neighbours. Its shares, the first to be listed in communist-ruled Vietnam, gained 0.8 percent to close at 63,000 dong on Tuesday. The bank was valued at $1.74 billion, the second-largest company on the Ho Chi Minh Stock Exchange after Vinamilk . The World Bank's International Finance Corp, Dragon Capital and ANZ Bank together own 30 percent of Sacombank, the ceiling for foreign ownership of listed banks in Vietnam. The Vietnam Association of Financial Investors said on Monday it was seeking approval from Prime Minister Nguyen Tan Dung to raise the foreign ownership cap to up to 37 percent in a bid to boost Vietnam's capital markets. Source: Reuters |
Three foreign banks to open branches in Vietnam
Three foreign banks to open branches in Vietnam |
| Taiwan's Taipei Fubon Bank, Industrial Bank of Korea and Commonwealth Bank of Australia would open branches in Vietnam, one of Asia's fastest growing economies. |
The State Bank of Vietnam said in a statement seen on Wednesday it would soon license the three banks to open branches, joining around 30 foreign banks already operating nearly 40 branches in the country. The statement on the central bank's Web site (www.sbv.gov.vn) did not say when and where the three banks would open branches. The Industrial Bank of Korea has a representative office in Ho Chi Minh City, Vietnam's commercial and financial centre. The central bank also said it had given initial approval for the establishment of five more domestic joint stock banks, which taking to nine the number of such Vietnamese banks awaiting a licence. It said the five were Energy Bank, Asia Foreign Trade Bank, Vietnam Star Bank, Dong Duong Thuong Tin Bank and Bao Tin Bank. Late last year, the Oil and Gas, Lien Viet, Bao Viet and FPT banks also secured initial approval. Apart from six state-run banks and 35 domestic partly private banks, 35 foreign banks which have a combined 14 percent share of the loan market, six venture banks, four financial leasing ventures, two wholly foreign owned financial leasing firms and 50 representative offices of foreign banks also operate in Vietnam. The country has about 4,000 bank branches, half of them run by state-run Agribank, Vietnam's largest enterprise. A Planning and Investment Ministry official has said Vietnam wanted to limit credit growth to 22-25 percent this year after inflation hit 12.63 percent in December, the highest since December 1995, when the CPI spiked 12.7 percent. The central bank said loans jumped 37 percent last year in an economy that grew 8.48 percent. The government aims for 9 percent growth this year. Source: Reuters |
Vietnam to limit 2008 loan growth to 30 pct-report
Vietnam to limit 2008 loan growth to 30 pct-report | |||||||
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Bad debt in the banking sector was cut to 2 percent of loans by the end of 2007 from 2.65 percent a year earlier, it said, citing central bank figures released at an industry meeting on Wednesday. The central bank, the State Bank of Vietnam, said it wanted to slow down lending to help ensure a sustainable pace of economic growth and to control inflation, which hit 12.63 percent in December, the highest since December 1995. In a statement issued on Tuesday, the central bank said its monetary policy this year would aim to keep exchange rates stable and help control inflation. The non-convertible Vietnamese dong eased just 0.08 percent last year against the dollar, after a fall of 1.4 percent in 2006. The government aims for 9 percent economic growth this year after an 8.48 percent expansion in 2007, the highest in just over a decade. (Thanh Nien news) | |||||||
Hanoi property market to remain overheated in 2008: experts
Hanoi property market to remain overheated in 2008: experts | |||||||
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Heavy speculation in the last few weeks of last year saw land prices shooting up, even doubling in some areas compared with 2006 prices. Le Xuan Truong of property agency BDS said prices would trend upward for “at least the next two years”. Dang Hung Vo, former deputy minister of natural resources and environment, feared that the speculation in property this year would be much worse than in 2006. He said money supply was increasing and going mainly into real estate. “The high inflation rate will also see investors opt for gold and land,” he added. The price of a square meter at the luxury apartment block The Manor in downtown Hanoi is around US$1,900-2,200, double the price that the builder sold it for last year. Heavy buying near construction projects in residential areas in Ha Tay, Vinh Phuc, and Bac Ninh provinces saw land prices rise sharply in the last two weeks. Analysts said besides the two percent capital gains tax on property that takes effect next year, the Ministry of Finance was not planning to slap any other tax on property transactions despite the prime minister's order. Vo said only taxes could put an end to the speculation and restore calm in the market. Reported by Tuyet Nhung (Thanh Nien News) | |||||||
Local lenders battle to recruit staff
Local lenders battle to recruit staff | |||||||
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“The number of employees in Ho Chi Minh City-based banks was about 14,000 in 2006. Last year’s [2007] figure was 2-3 times higher as around 1,000 bank branches were put into operation,” the State Bank of Vietnam, HCMC branch director Ho Huu Hanh said. At present, there are five state-owned banks, 34 joint-stock, five joint-venture, and 34 branches of foreign lenders. But the central bank has reportedly approved the establishment of four new lenders, FPT, Bao Viet, Lien Viet, and PetroVietnam, some sources said. One of the four was reportedly recruiting a chief executive with a monthly salary of US$15,000. Similarly, despite not being operational, Vietnam Industry Bank was seeking a chief executive with a monthly salary of VND100 million ($6,257), an official of the central bank revealed. Nguyen Quoc Sy, vice chief executive of the newly-founded Western Bank in HCMC, said, “Local lenders have been in a battle for employees since last year. There is a shortage of high-position staff and even regular employees. “Until recently the director of a local bank’s branch was required to be at least 40 years old. But the requirement has been reduced to 30 due to the lack of qualified employees, creating chances for young people.” Sy said salaries and bonuses were crucial factors to keeping staff. “Salaries and bonuses for people working in the banking sector are increasing the fastest compared with other fields,” he added. Reported by Thanh Xuan | |||||||
Cargo challenge: Many obstacles for Vietnam's shipping industry
Cargo challenge: Many obstacles for Vietnam's shipping industry | |||||||
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Vietnam's sea cargo industry is facing a series of challenges ranging from outdated ships to inadequate ports. Ship issues Vietnam's cargo ships are yet to call into the most desirable destinations in sea cargo transport - American ports, said Tran Duc Du, Head of the Oil Tanker Department of the East Sea Transport Company. “Ships carrying cargo to American ports can count on high fees and new cargo for their return trips,” Du said. However, at present Vietnamese exports to the US are mostly carried by foreign ships, with Vietnamese vessels acting mainly as “agents.” Most Vietnamese ships only ply part of the route, unloading their cargo in Hong Kong for foreign ships to pick up and deliver to American ports, according to Du. One of the major problems for Vietnam's cargo fleet, industry experts say, is the small size of the ships. It's unprofitable to ship low volumes of cargo over long distances because the ship-ping fees won't be high enough to offset the cost of fuel, insurance and labor. The age of most Vietnamese ships is another problem for the nation's merchant navy, said Nguyen Vu Hai, head of the Sea-Going Ship Department in the Vietnam Register, the office that checks and certifies ships and cars. “The average age is 14.5 years old, which puts most cargo owners off,” said Hai. One hundred and fifty of the 432 sea-going ships sailing on international routes have been in use for more than 30 years, Ha added. The fleet is aging for two reasons. Firstly, Vietnamese ship owners can't afford new ships and, secondly, Vietnamese ship builders are not yet able to produce models that comply with the increasingly stringent international standards on safety and environment protection. Many vessels in Vietnam's existing cargo fleet also have problems meeting the international standards for security, safety and environment protection. They end up being detained at foreign ports for breaching the standards. In the first eight months of last year 24 Vietnamese ships were detained at foreign ports, putting Vietnam at number 7 on the list of countries with ships held at foreign ports. Port problems The double-handling of Vietnamese cargo is at intermediate ports such as Hong Kong and Singapore because Vietnam lacks deepwater ports that will allow larger vessels to dock. About 80 percent of Vietnam's exports and imports are transported by sea. Cai Lan, the first deepwater port in northern Vietnam, for instance, can only receive container ships of up to 5,000 TEU (twenty-foot equivalent unit) while more and more cargo ship companies are using 15,000 TEU ships for long-distance carriage. And only nine of the country's 266 seaports can be upgraded to handle 50,000 DWT (dead weight ton) cargo ships or 3,000 TEU container ships. However, Deputy Head of the Vietnam Maritime Administration Nguyen Ngoc Hue said within three to five years, Vietnam's sea transport industry will advance rapidly with the development of maritime, shipbuilding and seaport industries. Hue said many domestic sea transport companies had signed contracts to buy big container ships and oil tankers from abroad. Domestic shipbuilding factories will also be delivering on contracts for ships of 54,000 to 58,000 DWT within a few years, he said. And by 2010, a series of new deepwater seaport projects will be completed. These include Van Phong in Khanh Hoa Province, Hiep Phuoc in HCMC and Thi Vai-Cai Mep in Ba Ria-Vung Tau. However, experts say sea trans-port infrastructure development is unlikely to keep pace with the rapid growth in sea trade. Last year, for instance, more than 60,000 ships with 154 million tons of cargo called into to Vietnam's seaports, double the figure six years ago. So even with the new ports and upgrades, the country will only be able to cope with 80 percent of demand, which is estimated to increase to more than 265 million tons by 2010 and 480 million tons by 2020. Source: TBKTSG | |||||||
Laos-Viet Nam insurance JV to set up
Laos-Viet Nam insurance JV to set up
08/01/2008 -- 6:29 PM
Vientiane (VNA) – A principle contract on establishment of Laos-Viet Nam Insurance Joint Venture Company (LVI) was signed in Vientiane , Laos , on January 8.The signatories include the Bank for Investment and Development of Viet Nam (BIDV), the Bank for Foreign Trade of Laos (BCEL), and BIDV Insurance Company (BIC) and the Laos-Viet Nam Joint Venture Bank (LVB).
Lao permanent Prime Minister Somsavad Lengsavat and visiting Vietnamese permanent Prime Minister Nguyen Sinh Hung also attended the event.
LVI, a step following the success of the Laos-Viet Nam Joint Venture Bank, has an initial charter capital of 3 million USD and an operational duration of 50 years. It provides both life and non-life insurance services.
The insurance joint venture company will initially offer insurance products to Vietnamese businesses operating Laos . It will later provide services for Lao businesses and other investors in Laos.-Enditem
(VNAgency)
Viet Nam to facilitate foreign investment, says PM
Viet Nam to facilitate foreign investment, says PM
08/01/2008 -- 6:55 PM
Ha Noi (VNA) – Prime Minister Nguyen Tan Dung has affirmed that the Vietnamese Government would create all favourable conditions for foreign investors to be successful in Viet Nam .The government leader made the statement at a business roundtable which opened in Ha Noi on January 8. The two-day event under the theme “ Viet Nam : Asia’s Rising Star” was held by the UK ’s magazine “The Economist” in collaboration with the Vietnamese Ministry of Foreign Affairs.
Viet Nam is a dynamic market economy which sees many development prospects and has become an increasingly attractive destination for investors, PM Dung said.
The Southeast Asian country recorded an average annual economic growth of more than 8 percent over the last three years. It has set a target of 8.5-9 percent GDP growth in 2008.
In 2007, the country attracted a record foreign direct investment (FDI) of more than 20.3 billion USD, a year-on-year increase of about 70 percent. Official development assistance (ODA) from foreign donors hit 5.4 billion USD, 20 percent higher than the previous year.
PM Dung said despite remarkable achievements in 2007, Viet Nam remains a developing country where people have low income and the economy sees low efficiency and competitiveness. He also cited high inflation, poor infrastructure and slow administrative reform, as well as corruption as other difficulties facing the country.
To overcome the above-mentioned obstacles, the government leader said, Viet Nam is required to link economic growth with targets on poverty reduction, environmental protection and improvement of living conditions.
Also at the conference, Deputy PM-cum-Foreign Minister Pham Gia Khiem reiterated the Government’s determination to carry out administrative reform, perfect the legal system, make business environment healthier and drive back corruption.
The Government will be streamlined to reduce the overlapped management and poor performance, Khiem said.
According to the deputy PM, Viet Nam appreciates the role of foreign partners, particularly international institutions and foreign businesses and the country would create a fair and equal playing ground for businesses of all sectors.-Enditem
(VNAgency)
More tiger prawns exported to US
More tiger prawns exported to US
08/01/2008 -- 6:59 PM
Ha Noi (VNA) – The Minh Hai Joint Stock Seafood Processing Company (Seaprodex Minh Hai) has exported 16 tonnes of tiger prawn worth 250,000 USD to the US in the early days of 2008.The company also inked a long-term contract with an US partner for the supply of 10 to 15 containers of processed shrimp each month, according to the Vietnam Association of Seafood Exporters and Producers.
Seaprodex Minh Hai earned an export turnover of 58 million USD in 2007, said director Tran Thien Hai.
The company exports mainly tiger prawns to the US , the Republic of Korea and China-Enditem
(VNAgency)
CSR improves Viet Nam enterprises’ competitiveness
CSR improves Viet Nam enterprises’ competitiveness
08/01/2008 -- 6:59 PM
Ha Noi (VNA) – Viet Nam enterprises are tightly holding the best opportunity as they strategically work with CSR matters and thus can creates considerably competitive advantage for Viet Nam’s export markets.Peter Lysholt Hansen, the Viet Nam-based Danish Ambassador, made the remark in his opening address at the Danish-Vietnamese conference entitled “Improving Viet Nam’s Competitiveness through Corporate Social Responsibility” in Ha Noi on January 8.
“ Denmark is one of Viet Nam ’s development partners and we believe that CSR can contribute to further positive development in Viet Nam , to a sustainable development combining economic and social concerns”, said the Ambassador.
Viet Nam has gained considerable economic growth in recent years as a result of the Government’s open economic policy and the country’s efforts in the economic development. The export growth also helps enterprises to better integrate into the global market.
Ole Blondal, Director General of the Danish Commerce and Companies Agency, believed that CSR is a growing demand worldwide and a competitive prerequisite for any enterprises and Viet Nam is a typical example for effective CSR implementation.
“Viet Nam’s government and enterprises know how to share their responsibility in an effort to better working conditions as well as environment for employees”, said Blondal.
Most of the reports delivered at the conference highly appreciated CSR’s role in strengthening competitiveness capacity.
“Now and in the future, CSR can provide competitive edge, making the distinction between weak and strong companies”, said the Ambassador.-Enditem
(VNAgency)
Foreign investors need better infrastructure
Foreign investors need better infrastructure
08/01/2008 -- 7:18 PM
Ha Noi (VNA) – Many foreign investors attending a two-day international conference on Viet Nam’s economic policy in Ha Noi agreed that infrastructure development is an important requirement for further growth of the Southeast Asian country.“Well-developed infrastructure will help Viet Nam make further progress,” Christian Fredrikson, Director of Nokia Siemens Networks in Asia-Pacific, said on the sidelines of the Business Roundtable with Vietnamese Government that opened on January 8.
According to Kamlash Patel, Strategy and Business Development Director of Nokia Siemens Networks, like other foreign businesses, his company expects a better infrastructure in Viet Nam , including telecommunications infrastructure.
Viet Nam had 33 million telephone subscribers in 2007 and the number of Internet users currently stands at more than 18 million. The impressed growth proves Viet Nam ’s progress in narrowing down the digital gap with other countries.
“However, infrastructure in both urban and rural areas need to improve as the economy now develops strongly,” said Patel.
Stuart Dean, President of General Electric, agreed that infrastructure development is an urgent need in Viet Nam and he would want to know how far the country will go in this area.
Meanwhile, Charles Goddard, Asia-Pacific Editorial Director of Economist Intelligence Unit – a global information supplier, warned that insufficient and slow infrastructure investment may hinder the country’s economic development.
As part of concerted efforts to boost socio-economic development, the Vietnamese government is focusing on luring foreign investment into transport infrastructure and power projects.
Deputy General Director of KPMG Viet Nam Tim Aman praised Viet Nam ’s new approach, saying it helped bringing more foreign investors.
Senior government officials and representatives from 500 foreign companies are attending the roundtable “ Viet Nam : Asia’s Rising Star,” held by The Economist and Vietnamese Foreign Ministry.-Enditem
(VNAgency)
Eighty FDI businesses awarded for good performance
Eighty FDI businesses awarded for good performance
08/01/2008 -- 6:55 PM
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STB: Sacombank records 2007 profits jump
Sacombank records 2007 profits jump
08/01/2008 -- 7:26 PM
HCM City (VNA) – Sacombank on Jan. 7 reported that its 2007 pre-tax profits had totalled 1.45 trillion VND (90.7 million USD), an increase of 167 percent over the same period in 2006.
Sacombank also reported asset growth of 156 percent, reaching 63.48 trillion VND (3.97 billion USD), with total mobilised capital topping 54.04 trillion VND (3.4 billion USD), up 151 percent against 2006.
The bank’s outstanding loans reached 34.31 trillion VND (2.1 billion USD).-Enditem
(VNagency)
Quang Ninh reports high economic growth
Quang Ninh reports high economic growth
08/01/2008 -- 7:26 PM
Quang Ninh (VNA) – The northeastern province of Quang Ninh last year gained good economic achievements in terms of quality and quantity, reported the provincial Planning and Investment Department.The province’s gross domestic product (GDP), from 2001 to 2005, has retained an average growth rate of 12.5 percent per year.
The provincial GDP increased by 13 percent in 2006, and by 13.2 percent in 2007, said Nhu Thi Hong Lien, deputy chairwoman of the provincial People’s Committee.
Last year was considered the most successful year for attracting foreign investment. Currently, the province has 91 foreign investment projects. About 10 branches and three representative offices of foreign companies have also been installed in the province.
In 2007, Quang Ninh issued investment licenses to 19 projects with a total capital of more than 493 million USD, 20 times more than 2006.
Viet Nam ’s entry in the World Trade Organisation (WTO) and its improved, safer investment environment were the reasons for this successful attraction, Lien said.
Also, simpler administrative procedures for establishing enterprises helped the province to attract more foreign investors, Lien said.
Although tax from the coal industry, the key industry in the province, was reduced by 300 billion VND (18.7 million USD) due to changes in the State’s policy, Quang Ninh last year still received nearly 9.4 trillion VND (588 million USD) from tax paid by other industries, an increase of 42 percent compared with 2006.
Strong development in the fields of trade investment, tourism and service has helped the province achieve high results in economic development.
Tourism in the province last year developed strongly. Nearly 3.7 million visitors, including 1.5 million foreigners, came to Quang Ninh.
Many exhibitions and trade fairs have been organised to promote trade and to advertise provincial tourism.
Thanks to trade promotion activities, the provincial export turnover last year was nearly 1.3 billion USD.
The industry growth rate in 2007 stood at 17.5 percent. This number is expected to increase more over the next few years since the province has recently invested in many projects to develop industries in thermo-electronic, cement production, shipping and engineering.-Enditem
(VNAgency)
Plastics rake in 700 million USD in revenues
Plastics rake in 700 million USD in revenues
08/01/2008 -- 7:26 PM
Ha Noi (VNA) – Viet Nam’s plastics export turnover struck 700 million USD, a year-on-year increase of 46 percent, according to the Ministry of Industry and Trade.In the first 11 months of the year, the country’s plastics export earned 641 million USD, surpassing this year’s target of 600 million USD.
To reach the target, the sector focused on investment in developing plastic materials, high quality production and waste plastic processing, said Le Duong Quang, deputy minister of Industry and Trade.
Nguyen Hoang Ngan, Binh Minh Co director said: “Right now, domestic producers like us are building modern factories and using alternative channels to source raw materials for plastic goods production.”
According to the ministry, 90 percent of plastic materials for production are imported, particularly from Asian countries such as Thailand , China and Singapore .
To reduce dependency on imported materials, the industry plans to produce 800,000 tonnes, or 30 percent of the total material needed for plastic production by 2010.
By 2010, the industry hopes to earn 1 billion USD through the export of 4 million tonnes of plastics.
However, it’s difficult to reach the target due to the nation’s lack of petrochemical industry – the main supplier of material for plastic production. While, the sector is yet to fully exploit waste plastic materials, said Quang.
The Viet Nam Plastics Association said the US , Japan , Switzerland , Norway , the UK , Germany and Cambodia were the biggest importers of the country’s plastic products including packaging, canvas and gloves.-Enditem
(VnAgency)
VinaCapital fund invests in advertising company
VinaCapital fund invests in advertising company
08/01/2008 -- 9:00 PM
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Viet Nam, Laos ink deal on oil exploration
Viet Nam, Laos ink deal on oil exploration
08/01/2008 -- 8:07 PM
Vientiane (VNA) – Viet Nam and Laos have signed a contract on oil exploration in Lao southern provinces of Champasak and Salavan.Vietnamese Permanent Deputy Prime Minister Nguyen Sinh Hung and his Lao counterpart Somsavad Lengsavat witnessed the signing ceremony held in Vientiane on January 8.
The PetroVietnam Oil Exploration and Production Corporation (PVEP) will be responsible for the exploration work, which covers 14,140sq.km of the two provinces.
PetroVietnam’s Chairman of Management Board Dinh La Thang pledged to cooperate closely with Lao relevant agencies and authorities to successfully implement the contract.-Enditem
(Agency)
India grants loans to build power plant in Viet Nam
India grants loans to build power plant in Viet Nam
08/01/2008 -- 9:42 PM
New Delhi (VNA) – The Indian Government will grant Viet Nam a loan of 45 million USD at an interest rate of 1.75 percent, for the building of the Nam Chien hydropower plant in northern Son La province.An agreement to this effect was signed in New Delhi on January 8 by Deputy Director of the Vietnamese Finance Ministry’s Department of External Finance Vu Xuan Hieu and Chief General Manager of the Export-Import Bank of India Prabhakar Dalal.
Under the agreement, the BHEL (Bharat Heavy Electricals Limited) of India will provide equipment including turbines, transformers and controls to the hydropower plant.
The agreement was in implementation of the results of Vietnamese Prime Minister Nguyen Tan Dung’s visit to India in July 2007.-Enditem
(VNAgency)
Communication ports to WTO launched in Ha Noi
08/01/2008 -- 10:12 PM
Ha Noi (VNA) – Three communication ports, which are expected to help Vietnamese agencies in making policies inline with WTO commitments, were launched in Ha Noi on January 8.The TBT port will provide information relating to technical barriers to trade, the SPS port (Sanitary and Phytosanitary) will deal with food safety and hygiene and animal quarantine, and the WTO port will give information on WTO activities and related issues.
In his inauguration speech, Deputy Prime Minister Pham Gia Khiem, who is President of the National Committee on International Economic Cooperation, stated that those ports will also supply information on Viet Nam’s implementation of WTO agreements.
The Deputy PM also said that those ports will also help enterprises to overcome trade and technical barriers in their business and production, especially in goods exports to regional and world markets.
“The ports will help improve the country’s competitive capacity and sustainable growth in the current trend of international integration,” the Deputy PM said.
The three communication ports were built with the support of the Multilateral Trade Assistance Project Viet Nam II (MUTRAP II), which was sponsored by the European Union.-Enditem
(VNAgency)
PM Dung assures UK businesses of market economy
PM Dung assures UK businesses of market economy
08/01/2008 -- 10:04 PM
Ha Noi (VNA) – Prime Minister Nguyen Tan Dung affirmed that Viet Nam is a market economy in which the State management and investors’ interests are in harmony.The PM made the affirmation at his reception for representatives of 14 leading groups of the UK , including BP, Dragon Capital, Rolls-Royce, Prudential and HSBC and UK Ambassador to Viet Nam Mark Kent in Ha Noi on January 8.
“The Vietnamese government will do its best to help British businesspeople to reap sweet fruits from their investment,” PM Dung emphasised.
He said he was pleased with the cooperation between Viet Nam and the UK with two-way trade reaching approximately 2 billion USD and the UK ranking third among European Union investors in Viet Nam .
“Your presence in Viet Nam is a specific demonstration of the potential for cooperation between the two countries,” PM Dung told the business representatives.
The British businesses highly valued the strong growth of Viet Nam ’s economy and committed themselves to making a long term investment in the country.
They said they hoped to continue getting strong backing from the Vietnamese government to facilitate the deployment of their investment projects in the country.
UK Ambassador to Viet Nam Mark Kent also said Viet Nam is one of the 16 markets of particular interests of the UK and expressed hopes that the PM would visit his country soon.-Enditem
(VNAgency)
SeABank becomes one of top three banks in capital
SeABank becomes one of top three banks in capital
09/01/2008 -- 11:49 AM
Ha Noi (VNA) – SeABank has received approval from the central bank to raise its charter capital to 3 trillion VND, becoming one of the top three joint stock banks in Ha Noi in terms of charter capital.
This year, the bank is expected to continue raising its charter capital to 5 trillion VND (312 million USD) . In addition, SeABank also successfully issued 2 trillion VND (125 million USD) of convertible bonds with a face value of 10 million VND (600 USD) per bond.
The bank plans to further expand 35 branches and transaction bureaus bringing the total number to 85 nationwide.-Enditem
(VNAgency)
Int’l port planned for Hai Phong in May
Int’l port planned for Hai Phong in May
08/01/2008 -- 9:00 PM
Hai Phong (VNA) – The Viet Nam Shipping Lines Corporation (Vinalines) will start work on the construction of an international port in Lach Huyen, Cat Hai district, the northern port city of Hai Phong in May this year.This is one of the two national projects scheduled to start in Hai Phong city in 2008.
The 28 trillion VND (1.75 billion USD) port, to be completed in 2020, will be the country’s largest deep water port, capable of accommodating ships of up to 6,000 TEU and 50,000 DWT and handling 100 millions of goods a year.
In the first step, Vinalines will build two harbours with 600m of quays to receive 50,000 tonne ships and a logistics service centre.
As part of its strategy to become a strong economic group in the region, Vinalines plans to build five more ports in Hai Phong city which can receive up to 20,000 tonne ships, a logistics service centre in Dinh Vu port, a training centre in Do Son town and invest in industrial parks, properties and urban areas in Hai Phong.-Enditem
(VNAgency)
All imported breeding shrimp quarantined
All imported breeding shrimp quarantined
09/01/2008 -- 11:49 AM
Ha Noi (VNA) – Management agencies under the National Fisheries Quality Assurance Veterinary Directorate (Nafiqaved) have quarantined all breeding shrimp imported through border gates last year.
The total included 4.7 million breeding black shrimp, 124,000 mother black shrimp and 8,589 mother white-legged shrimp.
Natiqaved also tightened hygiene and veterinary inspections in all breeding and aquaculture farms.-Enditem
(VNagency)
EVN to buy power from Petro Vietnam’s Ca Mau plant
EVN to buy power from Petro Vietnam’s Ca Mau plant
09/01/2008 -- 11:49 AM
Ha Noi (VNA) – Electricity of Viet Nam (EVN) will buy electricity from Ca Mau Power Plant, under a deal inked on Jan. 8 between EVN and Ca Mau Power’s main investor Petro Vietnam .
Under the deal, Ca Mau power plant will provide 1,500MW of power to EVN each year, becoming EVN’s biggest independent supplier – although the price of the purchase was not released.
EVN General Director Pham Le Thanh said the deal would help the group meet rising power demand during 2008.
Thanh added that through the deal, the electricity group also supports Petro Viet Nam in completing Ca Mau Plant No 2, a part of the main plant, which would raise capacity substantially.
“Through the deal on Jan. 8, our group expects to end shortages of power needed for daily activities, which have occurred during previous years,” Thanh said.
Bui Xuan Khu, deputy Minister of Industry and Trade, said the deal reflected the comprehensive co-operation between two giants in Viet Nam , while also promoting competition from local enterprises aimed at further integration into the World Trade Organisation.
Ca Mau Power Plant includes Ca Mau No. 1 and No.2, with a total investment of 12.6 trillion VND (787.5 million USD). It is located in U Minh district of the outhernmost province of Ca Mau .
The plant is expected to provide about 6.6 billion kWh to the nation’s power grid this year, representing 8 percent of total power capacity nationwide.-Enditem
(VNagency)
New steel plant opens in Dong Nai
New steel plant opens in Dong Nai
09/01/2008 -- 11:49 AM
Dong Nai (VNA) – BlueScope Buildings Viet Nam announced the opening of a steel fabrication facility in Bien Hoa Industrial Zone in the southern province of Dong Nai in order to meet the growing demand for pre-engineered steel.
The plant, which will have an initial capacity of approximately 12,000 tonnes per year, brings the company’s total number of factories in Viet Nam to three.
The Australian-invested firm said the new plant employs an integration of AutoCAD drawings and High Definition Plasma steel cutting systems to ensure top quality.-Enditem
(VNAgency)
Five more joint stock banks to be set up
Five more joint stock banks to be set up
09/01/2008 -- 11:49 AM
Ha Noi (VNA) – Five more commercial joint stock banks will be established, the State Bank of Viet Nam (SBV) Deputy Governor Nguyen Dong Tien said on January 8.
Tien told a press briefing in Ha Noi that the SBV has approved in principle the applications for setting up the Energy, the Asian Foreign Trade, the Star, the Bao Tin and the Indochina Thuong Tin banks. These banks will operate on a minimum chartered capital of 1 trillion VND each.
The SBV had earlier approved the establishment of four commercial banks, namely Bao Viet, PetroVietnam, FPT and Lien Viet, and has planned to license six wholly foreign-owned bank subsidiaries soon, Tien said.
According to him, the SBV will continue to restructure the system of credit organisations and promote non-cash payment and retail banking service this year alongside completing draft laws on credit organisations, the state bank, the supervision of banking operation safety and savings deposits insurance.-Enditem
(VNAgency)
Viet Nam, Israel seek mutual investment protection
Viet Nam, Israel seek mutual investment protection
09/01/2008 -- 11:49 AM
Ha Noi (VNA) – Viet Nam and Israel have conducted the first round of negotiations on an investment protection agreement between the two countries, according to the Ministry of Planning and Investment.
A delegation from the Israeli ministries of Finance and Foreign Affairs has been visiting Viet Nam from January 6-10 for the negotiation.
The agreement aims to ensure the safety of Israeli enterprises’ business and investment in Viet Nam and vice versa, and is expected to foster Viet Nam-Israel investment.
Israel had, by the end of last year, carried out seven projects in Viet Nam , capitalised at nearly 8.7 million USD.
In regard to economic cooperation between Viet Nam and Israel , the deputy head of the Vietnamese Taxation Department, Le Hong Hai, will lead a Vietnamese delegation to visit Israel in mid-January to negotiate the second round of the Israel-Viet Nam Double Taxation Avoidance agreement.
The department said Viet Nam and Israel have signed a financial protocol and a bilateral economic-commercial agreement.-Enditem
(VNAgency)
BIDV to list bonds on HCM City exchange
BIDV to list bonds on HCM City exchange
09/01/2008 -- 10:37 AM
Ha Noi (VNA) – The Bank for Investment and Development of Viet Nam (BIDV) will release about 30 million long-term bonds for official trade at the HCM City Stock Exchange (HOSE) on January 17.The bonds were issued on July 23 last year and have a five-year duration with an annual interest rate of 8.15 percent.
The total value of the bonds is 3 trillion VND (187 million USD). The interest rate from the bonds will be paid on July 23 each year.-Enditem
(VNAgency)
Infrastructure, finance investment corp. makes debut
Infrastructure, finance investment corp. makes debut
08/01/2008 -- 10:16 PM
Ha Noi (VNA) – The Viet Nam Infrastructure Development and Finance Investment Corporation (Vidifi) made its debut in Ha Noi on January 8 with the main task of mobilising capital for infrastructure projects.The corporation has a charter capital of 5 trillion VND (312.5 million USD), to which the Viet Nam Development Bank contributes 51 percent, the Viet Nam Bank for Foreign Trade (Vietcombank), 29 percent, and the Viet Nam Import-Export Construction Corp. (Vinaconex) and Saigon Invest Group, 10 percent each.
Vidifi will start off with the 105.5 km Ha Noi-Hai Phong highway running through northern Hung Yen and Hai Duong province which costs an estimated 24 trillion VND.
The corporation will also operate in finance and securities investment.
According to Minister of Transport and Communication Ho Nghia Dung, the launch of Vidifi will pave the way for more enterprises to get involved in the costly construction of express ways as well as the road system in the country.-Enditem
(VNAgency)