Vietnam visa - vietnam visa online - vietnam visa fee
Vietnam visa - vietnam visa online - vietnam visa fee
Jun 30 2011

Vietnamese face tough times as income growth slows

vietnamese face tough times as income growth slows

Increases in income were unable to catch up with living cost hikes in the 2008-2010 period, a survey by the General Statistics
Office found.

The real per capita income grew 9.3 percent annually over the period while spending surged 14.1 percent a year. The income increase was lower than the 10.7 percent recorded in 2002-2004, the office said.

Rising consumer prices caused many difficulties for Vietnamese families. Inflation hit almost 21 percent in June and the country may end the year with an inflation rate of 17-18 percent, the office said.

The survey also found that the rich and poor gap is widening in Vietnam. A person in the richest households had an income 9.2 times higher than those in the poorest families. Better-off families also spent 7.5 times more on commodities and services.

According to the survey of 69,360 families around the country, each person spent VND1.21 million each month last year, while their income was VND1.38 million.

Unemployment rate stood at 2.58 percent in the first half of this year, compared to 4.1 percent in 2010. The percentage of residents of working age unemployed were 3.96 percent in urban areas and 2.02 percent in rural areas, news website VnEconomy reported, citing the General Statistics Office.

Jun 30 2011

Low-interest loans had limited economic impact: auditors

low interest loans had limited economic impact auditors

State auditors said the government’s interest rate subsidy program in 2009 was not effective, with more than VND258 billion worth of low-interest loans given out to ineligible companies.

While there were positive results, the program did not benefit the economy in a large scale, auditors said Wednesday.

They pointed out that the scheme lacked a focus, spreading its capital resources too thin. As a result, only a limited number of small and medium enterprises had access to cheap loans.

Under the subsidy program, a part of the 2009 economic stimulus package during the financial crisis, the government subsidized four percentage points on the interest rates of medium size and long-term loans taken by local businesses. The interest rate subsidies aimed to help major export manufacturers maintain production amid the global economic downturn.

State auditors said even cash-rich companies were given loans at subsidized rates. Banks also provided the funds to businesses trading imported products or to borrowers that had already taken out low-interest loans at other banks.

Around VND18.2 billion was lent to companies to help them buy products, but no purchase was made later, auditors said.

Government inspectors in March named five partially-private lenders that committed numerous violations in implementing the interest rate subsidy plan. Vietnam International Bank, Military Bank, Techcombank, Sacombank and Asia Commercial Bank were found to have caused a total loss of around VND160 billion to the state budget.

The National Assembly’s Finance and Budgetary Committee said on Wednesday that the government’s economic stimulus package in 2009 had positive impacts on the economy.

However, many investment projects under the package were expanded more than they should, due to poor management of the funds.

The committee noted that VND390 trillion of government bond proceeds were used to finance public projects in 2009, which was three and a half times higher than the target set by the National Assembly.

Jun 30 2011

Bunge starts $100 mln soybean crushing plant in Vietnam

bunge starts 100 mln soybean crushing plant in vietnam

Agricultural processor Bunge Ltd has begun production at its US$100 million soybean crushing plant in southern Vietnam, which would help reduce risk and costs for local feed importers, the company and traders said on Monday.

Production began on May 8 at the plant, which is designed to crush 1 million tons of soybean a year or more than 3,000 tons daily to turn out 600 tons of crude-degummed soybean oil and 2,500 tons of soymeal, Bunge said in a statement.

The plant’s products will be sold in Vietnam and exported to Asian countries, Bunge said, adding that it has been the top supplier of imported feed ingredients to Vietnam’s market since 2002.

“The plant will reduce the financial pressure with exchange rate for Vietnamese buyers, cut the ratio of cargo loss during transportation while the quality of the freshly produced soymeal is higher at delivery,” a soymeal trader in Ho Chi Minh City said.

Purchases made in the Vietnamese dong will help reduce the risk of exchange rate fluctuation, which happened in the latest case in February this year when Vietnam devalued its domestic currency by 8.5 percent against the dollar.

Construction of Bunge Vietnam plant started in December 2009 in Ba Ria-Vung Tau province, 70 km (43 miles) southeast of Ho Chi Minh City, Vietnam’s commercial centre.

The trader said supply from Bunge Vietnam would also help save time for importers, instead of waiting for a longer shipment time from India or South American nations such as Argentina.

Vietnam spent $1.18 billion to import feed and ingredients for feed production, such as soybean, soymeal, corn and wheat meal, in the first six months of this year, 1 percent up from the same period in 2010, the Agriculture Ministry said.

India, Argentina, the United States, Thailand and China top the list of feed and feed ingredient exporters to Vietnam so far this year.

India exports around 300,000 tons of corn and 700,000-800,000 tons of soymeal each year to Vietnam, traders said.

Vietnam is forecast to import between 8.5 million and 9 million tons of feed and raw material for feed production this year, up at least 10.4 percent from 7.7 million tons imported in 2010, an industry official said in March.

The import, mainly of soybean, soymeal, corn and wheat, was to ensure the feed industry reaches an annual target output of 12 million tons of feed for livestock and poultry and another 2.5 million tons of feed for fish, he said.

Jun 30 2011

Vietnam VIB plans gross profit up 76 pct y/y in 2011

vietnam vib plans gross profit up 76 pct yy in 2011

Vietnam International Bank (VIB), 15 percent owned by Commonwealth Bank of Australia , expects its gross profit to jump 76 percent this year to nearly VND1.85 trillion (US$90 million).

VIB, the ninth-largest partly private bank by assets, also planned to raise its total assets this year by 38 percent to VND129.5 trillion, it said in a statement on Wednesday after a shareholder meeting on Tuesday approved the bank’s targets for 2011.

Last year, its total assets rose 65.7 percent from 2009 to VND93.83 trillion, and loans increased 52.6 percent, well above the 27.65 percent expansion in the whole banking system, VIB said in an undated report released to shareholders before Tuesday’s meeting.

VIB has projected lending growth to slow to 20 percent this year, on par with the government’s target for the whole banking sector as it aimed to curb inflation.

Commonwealth Bank of Australia will raise its stake in VIB to 20 percent early this year, the ceiling for a foreign strategic investor in a domestic bank, pending government approval, VIB has said.

Jun 30 2011

China increases import of Vietnam’s agro-products

china increases import of vietnams agro products

China has stepped up buying farm products from Vietnam, including coffee, rice and rubber as it grapples with harsh crop weather, but higher prices could stoke inflation in the Southeast Asian nation, government data and local media said.

Rising Chinese imports of Vietnamese agricultural produce, which has seen robust growth in the past decade, will continue at least through the rest of this year, the trade ministry forecasts.

Trade between the two countries has jumped so far this year. Exports to China extended strong growth into June, which would push up prices of Vietnamese commodities, Vietnam’s trade ministry officials were quoted by the Saigon Economic Times newspaper as saying in an online report.

Vietnam’s inflation topped 20 percent in June, its highest annual rate since November 2008, the government said.

China’s economic growth, which is expected to hit 9.5 percent in the world’s second-largest economy for the first half, is stirring demand for agricultural products, while a drought followed by recent heavy rains hit grains output in key growing regions, Beijing has played down its impact.

China imported more than 100,000 tons of white sugar from Vietnam between Jan. 1 and June 15, or around 10 percent of the exporter’s total output this year, the report released late on Wednesday said.

Vietnam’s exports to China between January and June soared 56.6 percent from a year ago to $4.5 billion, the government’s General Statistics Office said in its monthly report.

Exports from Vietnam to China last year jumped 49 percent to $7.3 billion, far beyond average annual growth of 16.5 percent in the 2005-2010 period, and revenues are forecast to rise another 27 percent to $9.3 billion this year, Hanoi’s trade ministry has said.

Coffee export nearly doubles

Vietnamese coffee export to China nearly doubled to 16,800 tons in the first five months of this year from 9,900 tons in the same period last year, data from Vietnam’s Agriculture Ministry showed.

China and Russia, where coffee consumption has been rising, have been identified as potential growth drivers for the export business of Vietnam, the world’s second-largest coffee producer after Brazil.

Students returning from abroad and frequent international travelers will keep China’s coffee consumption at 15-20 percent annual growth by patronizing new domestic outlets selling high-priced versions of the brew, industry watchers said.

China is the top buyer of Vietnam’s rubber, having imported 144,000 tons of the commodity between January and May, up 23 percent from a year ago and representing 60 percent of Vietnam’s total rubber export in the period, the Agriculture Ministry said in its six-month report.

“Many rice cargoes have gone from here to the north in recent weeks, probably to China via land border trade,” said a rice trader in Ho Chi Minh City, lying next to the Mekong Delta food basket.

He said data of land border trade — using cash payment and via small lots of delivery — were not available, so while sales believed to be bound for China have been strong, there were no official records.                  In official trading, involving payment via banks and deliveries by ships, Vietnam sold 191,000 tons of rice from January to May this year, the agriculture ministry said, compared with no official import by China in the same period of 2010.

China is also listed among the 10 biggest importers of Vietnam’s tea, timber and furniture, vegetable, shrimp and fish, cashew nuts as well as cassava and cassava chips, the agriculture ministry’s report showed.

Vietnam’s export of cassava and cassava products to China is forecast to rise to $800 million for the whole of 2011, after $509 million has been generated in the first five months and more than $440 million in the whole of last year, forecasts by a trade ministry official and farm ministry data showed.

Jun 30 2011

Vietnam to delay full market-based power price to 2013

vietnam to delay full market based power price to 2013

Vietnam, struggling with severe power shortages, may delay a plan to have full market-based electric prices by a year to 2013 on fears that power price hikes would deepen inflation, the finance minister said on Thursday.

State utility Vietnam Electricity (EVN) group has been facing serious losses and if there is no power price adjustment, it will face difficulties attracting investments, Finance Minister Vu Van Ninh was quoted by the online VnExpress newspaper ( as saying.

But power prices will rise sharply if the market-based mechanism is applied, and it would greatly affect inflation, Ninh was quoted as telling a session of the National Assembly’s Standing Committee.

Vietnam said on Thursday it will strive to contain inflation this year to between 15 and 17 percent, raising its target for the second time in June, during which the annual rate reached 20.82 percent, the highest since November 2008.

In April an EVN official said power prices would jump 62 percent if they were adjusted under the new mechanism, which will set the electricity price based on market supply and demand without government intervention.

“That’s why the power price adjustment needs a roadmap,” he said. “A full market-based price mechanism would be delayed until 2013.”

Earlier this year, Ninh’s ministry said it expected electricity prices to be fully market-based next year.

EVN expects to make no profit this year with government-mandated power prices on par with production cost, after running into losses of 15 trillion dong ($731 million) in 2010, an EVN official said.

In March Prime Minister Nguyen Tan Dung approved a plan that would allow EVN to adjust power prices once a quarter, instead of once a year as has been the practice.

Vietnam raised average prices of electricity by more than 15 percent at the beginning of March in a step that industry officials said was necessary to help trim EVN losses.

The manufacturing sector is facing power shortages in 2011, coming as the economy is expected to grow at a slower pace of 6 percent this year and next.

The country has not been able to meet demand for electricity by about 3 percent in the past five years and EVN has said it will need to invest $3 billion a year for infrastructure between 2011 and 2015, during which 38 projects would come online.

Electricity consumption would nearly double to 175 gigawatt-hours in 2015 from 98 gigawatt-hours this year while supply will increase to 196 gigawatt-hours from the current 110.8 gigawatt-hours.

Jun 30 2011

Vietnam targets 15-17 pct inflation by year-end

vietnam targets 15 17 pct inflation by year end

The Vietnamese government is targeting year-end inflation of between 15 percent 17 percent, according to a news item posted on its website Thursday, signaling the country may not meet a target set earlier this month.

Vietnam raised its inflation target to 15 percent from 11.75 percent on June 3. Consumer prices climbed 20.82 percent this month from a year earlier, according to data released by the General Statistics Office in Hanoi on June 24.

The government “pointed out shortcomings and weaknesses that need to be overcome,” including the persistently high level of inflation, stock market declines, and low growth in the manufacturing sector, according to the news item.

Vietnam’s inflation rate is “intolerable,” the World Bank said this month in a report that called for the continuation of tough monetary policy measures until the figure is sustainably less than 10 percent.

Policy makers have raised interest rates every month this year through May and cut the national target for credit growth.

Jun 30 2011

Urban project to bring more Asian investors to southern Vietnam

urban project to bring more asian investors to southern vietnam

A plan targeting businesses in Asia worth nearly US$315 million has been approved for a large commercial urban project in the southern industrial province Binh Duong.


The investor, Becamex IJC, said during a meeting with 500 businesses on Sunday that the urban center will create a community for Asian businesses in Binh Duong.


It will provide services to help foreign professionals feel like they are at home, creating niche community services like Japan Town, South Korea Town and China Town.


The 26-hectare project, named Dong Do Dai Pho (Great Town in Eastern City), will be centered by a three-story commercial center on more than 8,000 square meters, providing high-level business services.


Statistics showed that Binh Duong has attracted foreign investment worth $13.7 billion for more than 2,000 projects, with 70 percent of investors coming from other Asian countries and half from Chinese speaking countries.


Binh Duong government expected that the new center would create a comfort zone for Asian investors and attract more foreign investment.

Jun 30 2011

Vietnam products get promotion boost from ministry

vietnam products get promotion boost from ministry

Firms and organizations will get a sponsorship of between 70-100 percent for activities promoting Vietnamese products and destinations, according to a statement by the Ministry of Finance.

As part of the national commercial promotion program, any firms and organizations promoting Vietnam’s products, industries and tourism spots to foreign markets can be supported 70 percent on the advertisement cost, in accordance with overseas prices.


The same support will be given to finished media products stimulating Vietnam’s export, conducted by foreign media agencies that a firm or organization invited to Vietnam.


Firms or organizations that consult local and foreign experts on developing a domestic product, or help the firm go deeper into foreign markets will also get sponsored for consultation fees.


Meanwhile, businesses attending exhibitions overseas will be sponsored the entire cost, but not more than VND200 million (US$9,700).


The funds can be used on site rent, design, decoration, invitation cards and reception, according to the government announcement. The ministry plans to enact such sponsorships starting in August.

Jun 30 2011

Citibank Vietnam joins local ATM network

citibank vietnam joins local atm network

Citibank Vietnam announced Monday that it has become a member of the Vietnam Bank Card ATM network, allowing its clients to access banking services at over 1,800 ATMs nationwide.

The services are available immediately and include cash withdrawals and balance inquiries, the bank said in a statement.

The Vietnam Bank Card ATM network, also known as VNBC, connects 11 banks including ANZ Bank, Commonwealth Bank and Dong A Bank.

“Citibank’s ATMs will further strengthen the availability and connectivity to all of our member banks’ customers. As we look to enhance our products and services, VNBC and its member banks will launch new ATM functionalities to bring convenient banking services to our member banks’ customers nationwide,” said Ly Thi Ngoc, general director of VNBC.

Citibank has retail branch operations in Hanoi and Ho Chi Minh City.

Vietnam visa - vietnam visa online - vietnam visa fee

Powered by Yahoo! Answers

Vietnam visa - vietnam visa online - vietnam visa fee