Although supply has recently surged, there is not likely to be a real estate bubble in Vietnam, said CBRE’s Operational Director Richard Leech at a press conference in Hanoi on September 29. According to Leech, speculation has been common in recent years but current purchases are being made largely by individuals for their own residential demand and, through support from newly secured legal frameworks, the real estate market is in stable conditions. Investors have thoroughly studied the market’s demand to determine market segments, leading to faster liquidity, he added. The macroeconomy has also stabilised in the last two years and actively contributed to the real estate market, helping it develop…
25 bridges to be built with JICA loans
The Prime Minister has approved the construction of 25 bridges with the second transport sector loan for the national road network improvement project. The bridges’ total investment is about VND1.686 trillion ($75 million), funded by the Japan International Co-operation Agency ODA loans. The PM asked the transport ministry to complete the investment procedures and to submit projects for approval as per legal regulations, and to ensure that the total investment does not exceed the amount of JICA loans. The Nam Dinh People’s Committee has been requested to prepare a local budget for building the approach road from Tan Phong Bridge to National Road 21B, in accordance with the bridge construction process. The new bridges will be built…
68,000 new firms set up in nine months: ministry
As many as 68,000 new enterprises were established in the first nine months of this year with a total capital of 420 trillion VND (18.06 billion USD), a year-on-year rise of 28.5 percent and 31.4 percent, respectively, according to the Ministry of Planning and Investment (MPI). In September alone, 7,042 new firms were set up with 44.51 trillion VND (1.98 billion USD) in total investment. Rises in the number of companies were seen in all sectors compared to 2014. Together with an additional 608 trillion VND injected into existing enterprises, more than 1 quadrillion VND (44.5 billion USD) was invested in business and production from January-September, said the ministry. During…
Japan paper material factory inaugurated in Ha Nam
The Vietnam Nittoku Limited Company of Japan inaugurated a paper material factory at the Thi Son industrial park in Kim Bang district, the northern province of Ha Nam on September 28. The factory covers nearly 40,000 square metres with a total investment of 17 million USD. The factory, specialising in producing materials for napkin and toilet paper production, has a designed capacity of nearly 15,000 tonnes a year. Its products are mainly for export to Asian markets. Ha Nam has recently focused on policies creating favourable conditions for enterprises to attract foreign direct investment (FDI). The province is now in the list of the top 10 provinces attracting the most…
Hanoi: Credit growth picks up
Credit in Hanoi has surged sharply, roughly doubling the average rate of the entire banking system. According to the municipal Statistics Office, total outstanding loans of the capital in the first nine months of the year is estimated to reach 1,195.9 trillion VND (53.15 billion USD), up 18.3 percent against December last year. Short-term loans were estimated to rise 16.8 percent while the increasing rate of medium- and long-term loans was 20.9 percent. Total capital mobilisation in the period rose 11 percent, reaching 1,321.8 trillion VND (58.74 billion USD). As the credit growth rate was much higher than that of capital mobilisation, commercial banks have to continuously increase deposit interest…
Enterprises urged to get creative
Besides the important role of the government in creating a favorable, transparent business environment, local enterprises should become more active and creative in preparing for more intensive global integration. During a recent conference held in Ho Chi Minh City on business competitiveness and free trade agreements, Dr. Vo Tri Thanh, Deputy Head of the Central Institute for Economic Management, said that most small- and medium-sized enterprises in Vietnam had not considered wider global integration in their business strategies. Most foreign-invested companies in Vietnam, however, have developed strategies to prepare for the ASEAN Economic Community which takes effect by year-end. “The benefit of integration is finding out actual success or failure,…
Foreign experience needed to set up national human rights body
Vietnam should learn from other countries’ experience and clarify its specific demand and circumstance to select the most appropriate model for a national human rights body, an expert has said. At a symposium in Hanoi on September 25, Vice Director at the Hanoi Law University Chu Manh Hung continued to say that the model of a national human rights agency varies by political and socio-economic systems and there is no such thing as a common model for all nations. Vietnam needs to ensure representation in its national human rights agency, said Vice Dean of the university’s Faculty of Public International Law Nguyen Thi Hong Yen, adding that will help guarantee…
Tourists say visa waiver too short
The Government’s new visa exemption policy for travellers from five European countries could boost tourism better if it was for longer than 15 days, tour operators and visitors have said. The Government has applied the waiver for visitors from Britain, Italy, Germany, Spain and France for one year period starting from July 1 this year. After the decision became effective, international tourists increased by 12.1 per cent in July and an additional 12 per cent in August, according to statistics from the Viet Nam National Administration of Tourism (VNAT). The decision was seen as a way of improving tourism after 13 consecutive months of decline. In June, visitors from France…
Heritage preservation key to sustainable tourism
Heritage preservation was singled out as a key measure to develop sustainable tourism in central Quang Nam province at a conference on cultural preservation and tourism development. At the event, held in Hanoi on September 24 by the Quang Nam People’s Committee and the Ministry of Culture, Sports and Tourism, local and international delegates shared experience and put forward suggestions to help Quang Nam preserve and promote its heritage values for sustainable tourism. Quang Nam, located in the south central coastal region , of Vietnam, has two out of 21 world heritage – Hoi An ancient town and My Son Hindu temples – recognised by the United Nations Educational, Scientific…
Drink industry told to lift distribution for domestic market shares
Domestic beverage companies were urged to improve their distribution system to protect their domestic market shares amid anticipated rising competition pressure associated with intensive international integration. As a part of their efforts to implement the task of strengthening connections in the supply chain of Vietnamese products for sustainability, the Ministry of Industry and Trade on September 23 held a conference to connect producers and trading companies in the beverage industry in Hanoi. According to Le Thi Viet Nga, deputy director of the ministry’s Domestic Market Department, the domestic beverage industry was facing with the risk of narrowing production scales due to the rising competition from foreign rivals. Nga said the…
Trans-Asian railway project needs over 3 bln USD for two sections
The construction of two sections of the trans-Asian railway, Sai Gon-Loc Ninh and Bien Hoa-Vung Tau, is estimated to cost 77.8 trillion VND (3.46 billion USD), reported the Nhan Dan newspaper. The Public-Private Partnership projects’ management board proposed to use official development assistance (ODA) sources for the two sections at a meeting between the Ministry of Transportation and the Japan International Cooperation Agency (JICA) on September 17. An investor has paid attention to the Bien Hoa-Vung Tau section and the company is studying the project’s size and measures on connectivity to get higher effectiveness and faster payback. During the meeting, the plan for the Dau Giay-Lien Khuong expressway was under discussion.…
Rising exports hold Vietnam’s stocks steady
Despite recent losses driven by the Chinese stock rout, Vietnam’s stock market is one of the few bright spots among emerging markets tracked by US investment bank Goldman Sachs. The main support was attributed to rising exports and the Vietnamese government’s push to become an Asian manufacturing hub. The country’s economic growth perked up to 6.4 percent in the second quarter from 6.1 percent during the previous three months. Vietnam’s benchmark VN-Index has gained 4.9 percent this year while US-based MSCI Inc’s Next 11 equity gauge – which includes the Republic of Korea, Indonesia, the Philippines, Nigeria, Bangladesh, Egypt, Pakistan, Turkey, Mexico, Iran and Vietnam – has tumbled 19 percent…
Ministry seeks debts to boost tax collection
The Ministry of Finance would speed up the collection of tax arrears in September as a part of the efforts to fulfil the budget collection goal amid plunging oil prices. The ministry said that this month tax departments planned to collect more than 50 percent of the total tax arrears from 600 companies whose names had been publicised under Document 9901/BTC-TCT on July 20. Checks would be conducted to continue to make public the names of companies with tax arrears, but this must be implemented with accuracy, the ministry said. Publicising the names of firms was considered a solution to increase tax collection. In Hanoi alone, the latest updates from…
Subways become a joy for pedestrians
The capital city’s 23 pedestrian tunnels or subways, once often filled with rubbish, described as unclean, unsanitary and even sleazy, have been upgraded and fully utilised. Deputy director of the upgrade project, Nguyen Duc Giang, said the average commuter flow through each tunnel was 500 to 5,000 people a day. The most used tunnel, near My Dinh parking place in Tu Liem district, is used by up to 5,000 pedestrians a day. Nguyen Thu Huong, a student at the Finance College, said the tunnels were now clean and popular. She said that before they were built a few years ago, people had to cross roads packed with vehicles. Early this…
Vietnam optimistic about economic growth
The Vietnamese economy is projected to continue recovery in the four remaining months of the year, bolstered by Government efforts to maintain macro-economic stability against fluctuations in the world markets. According to the Ministry of Planning and Investment, the yuan depreciation and the plunging oil prices would not have an impact on the country’s growth which was now on track to finish at 6.4 percent this year, 0.2 percentage point higher than the Government’s target. The plunging oil prices would even help boost growth if Vietnam knew how to grasp the opportunities, the ministry said, and added that the country had solutions against the low oil prices to ensure budget…
Ho Chi Minh City’s September CPI drops 0.47 percent
Ho Chi Minh City’s consumer price index (CPI) in September decreased slightly by 0.47 percent from August and 0.99 percent against the same month last year, the municipal Statistics Office announced on September 22. Among the 11 main goods and service categories, six reported price falls with the sharpest decrease seen in the transport sector (3.48 percent), attributed to a drop in petrol prices during the month. The others included housing, electricity, water, fuel and construction materials (0.83 percent); restaurant and catering services (0.25 percent); post and telecommunications (0.25 percent); culture and entertainment (0.07 percent); and garments, footwear and hats (0.01 percent). On the contrary, the prices of other commodities…
Vietnamese rice to have a national trademark
An established national trademark is needed for Vietnamese rice products to build their image and gain shares on the global market. Deputy Minister of Science and Technology Tran Viet Thanh made the statement during a workshop held in Hanoi on September 22, saying the trademark will reflect State policies devised based on comprehensive approaches to rice production and processing. Currently, Vietnam boasts 4.1 million hectares of rice paddies, 53 percent of which are concentrated across the Mekong Delta. In 2014, the country exported 6.3 million tonnes of the 45 million tonnes of rice yields, becoming the world’s third largest rice exporter after India and Thailand. However, according to the Department…
Binh Duong: industrial production rises 13.8 percent
The value of industrial production in the southern province of Binh Duong has hit over 152 trillion VND (6.68 billion USD) for the first nine months of the year, up 13.8 percent on a yearly basis. According to the provincial Department of Industry and Trade, the domestic sector accounted for 50 trillion VND of the figure, a rise of 12.3 percent, while the foreign-invested sector posted 103 trillion VND, up 14.6 percent. Two-digit growth of 12 out of 27 groups of key products of the locality contributed to the high increase of total industrial production. Semiconductors, refrigerating equipment, footwear, wooden furniture, steel, garment-textiles and bags saw increases between 10-31 percent.…
Vietnamese agricultural export to China faces challenges: official
As Vietnamese agricultural export is facing challenges in Chinese market, businesses should focus on technological innovation, product quality improvement and price reductions in order to raise their competitive edge, said an official from the Vietnam Ministry of Agriculture and Rural Development (MARD). Hoang Van Du, Deputy Director of the MARD Centre for Agricultural Trade Promotion, told a Vietnam News Agency correspondent on the fringes of the Vietnam-China trade conference in China’s Guangxi province that it is necessary for Vietnamese firms to pay more heed to studying the market and promoting trade. He made the suggestion given agricultural exports to the neighbouring country are encountering a range of difficulties due to…
Vietnam, Spain ink legal assistance treaty in criminal matters
A treaty on mutual legal assistance in criminal matters between Vietnam and Spain was signed in the latter’s capital city of Madrid on September 18. The deal, inked by Prosecutor General of the Supreme People’s Procuracy Nguyen Hoa Binh and Spanish Minister of Justice Rafael Catala Polo, is intended to better mutual legal assistance activities relating to criminal issues between the two countries’ relevant agencies. The Spanish minister said the treaty is an important legal framework and basis for the two sides to cooperate more effectively in preventing and fighting crimes, especially trans-national organised ones. It also concretises both sides’ international commitments to combating crimes as well as their responsibility…
National employment programme reviewed
About 800 job fairs have been organised nationwide since 2011, through which approximately 8 million job seekers were provided with consultation and job vacancies and 3 million of them actually found employment as a result. The information was revealed at a conference to review the National Target Programme on Employment and Vocational Training in the 2012-2015 period held in the central province of Binh Thuan on September 18 with the participation of representatives from job placement centres and labour departments of 32 provinces in the southern region. As of 2015, the programme has accomplished the goal of raising the ratio of workers recruited via job placement centres to 37.89 percent,…
Judicial reform committee looks towards better activities
The Central Steering Committee for Judicial Reform convened its 22nd session in Hanoi on September 18 to scrutinise projects on combating negative phenomena in judicial activities. At the working session, representatives of the Supreme People’s Court (SPC) and the Supreme People’s Procuracy (SPP) presented reports on the projects, which feature the situation and solutions to the negative phenomena in their own field. In its project, the court pointed to a range of shortcomings remained in the sector such as the low quality of judgment and violations of regulations committed by court officials. To overcome such limitations, the project mapped out a package of solutions, including building and finalising legal documents…
HCM City moves polluting factories
Ho Chi Minh City authorities are speeding up the relocation of polluting factories from the downtown area and stepping up efforts to protect canals – many of which have been cleaned — to improve the living environment. Tat Thanh Cang, Deputy Chairman of the municipal People’s Committee, also recently called on the Department of Natural Resources and Environment to work with the police and local authorities in Districts 8, 9, Thu Duc, Tan Phu, and Binh Thanh to closely monitor factories for pollution. The city is determined to move the remaining six seriously polluting companies from the downtown area, a task it has been trying to accomplish for several years.…
Japanese-invested projects benefit Binh Duong
Japanese-invested projects have proved effective and significantly contributed to economic development in the southern province of Binh Duong, said Chairman of the provincial People’s Committee Tran Van Nam. Japanese investors have to date run 232 projects totalling approximately 5 billion USD in the locality, with a focus on electronic components, pharmaceuticals and high-quality products. Locals are most excited about the Aeon Binh Duong Canary shopping centre, which is operating effectively. Most recently, a series of projects to develop the property market, transport infrastructure and smart buses are underway in the province. Japanese-invested projects have also generated jobs for tens of thousands of local labourers. Binh Duong is currently ranked second…
Instant noodle market’s golden days are over
Analysts noted that the market’s heyday, when the growth rate was high at over 20 percent per annum, is over. Since 2013, the growth has slowed down to 5 percent. Manufacturers now compete fiercely with each other to obtain larger market shares. The ad pieces about instant noodle products rarely appear on TV and mass media these days. Some manufacturers advertised that their products are safer than others because their noodles are made of potato and green beans. Others say they do not use toxic colorings for their products. More recently, manufacturers rushed to market new products – noodles with eggs. Meanwhile, a new war of products with spicy and…
Can Tho to focus more on services sector
CAN THO – Can Tho City will attend more to the quality of economic growth and development of the services sector in the restructuring of its economy with services, industry and agriculture on focus. The economic structure of Can Tho was unveiled by Tran Quoc Trung, deputy secretary of Can Tho City’s Party Committee, when he replied to the Daily’s relevant question at a press conference in the Mekong Delta city on Monday. Trung said in the past years, the city’s economy has grown on an industry-service-agriculture structure but it is very difficult for the city to attract investments in industrial projects while infrastructure and services cannot meet the demand…
Vietnam, Japan issue joint vision on relations, ink six deals
Vietnam and Japan on September 15 issued a statement on a join vision for their relations on the occasion of Vietnamese Party General Secretary Nguyen Phu Trong’s official visit to Japan from September 15-18. Vietnam affirmed that Japan continues to be its leading and long-term partner while Japan said it treasures Vietnam’s position in its foreign policy in Asia-Pacific. The two countries asserted their determination to promote their all-round relationship across the board in the interests of their people to contribute to peace, stability, cooperation and prosperity in the Asia-Pacific region and the world. Earlier, Party General Secretary Nguyen Phu Trong and Japanese Prime Minister Shinzo Abe witnessed the signing…
VN airline signs strategic agreement with Japanese finance corporations
VietNamNet Bridge – Private airline Vietjet and Mitsubishi UFJ Lease & Finance Company Limited (MUL), a member of Japan’s leading finance group Mitsubishi UFJ Financial Group (MUFG), signed a memorandum of understanding (MOU) yesterday in Tokyo on the sidelines of the official visit of Party Chief Nguyen Phu Trong to Japan. Japan’s Prime Minister Shinzo Abe and General Secretary Nguyen Phu Trong witnessed the signing of the MOU, which will pave the way for MUL to finance Vietjet’s leasing and acquisition of three brand new A321 aircraft, worth US$347.2 million, according to the manufacturer’s listed price. These three aircraft are part of a contract signed earlier between Vietjet and European…
2016-20 State budget released for 20 fields
HA NOI (VNS) — The Prime Minister has signed a decision on the criteria and distribution of the Stage budget for the 2016-20 period. According to the decision, the State budget’s development and investment fund will be distributed to socio-economic infrastructure projects in 20 fields. These include agriculture-forestry-irrigation and aqua-culture, industry, trading and traffic, as well as waste treatment, museums, culture and sports. Also on the list are tourism, science, information services and technology, as well as communications, education, health and food hygiene and society. Rounding up the list are the environment and natural resources, State management, national defence and the national reserve. The State budget’s distribution must serve the…
Foreigners can’t buy, sell houses with cash
Foreigners buying or selling houses in Vietnam are required to carry out transactions through banks in the country and not in cash, the central bank has decreed. They can get mortgages if they meet banks’ requirements, the State Bank of Vietnam (SBV) said further in a document it has issued to guide the buying and selling of houses by foreign individuals and organisations. The tenor of the loans cannot exceed the time they live and work in Vietnam , while for organisations and other legal entities, it will not exceed their licence period. Amendments to the Housing Law that took effect on July 1 permit foreigners and overseas Vietnamese to…