Vietnam Economy Forum

[Knight of Tang]

Seems like the property bubble has already burst somewhere...

 

[Viet]

Vietnam has already missed the chance to be a industry country.

Noway! It is never too late to become an industrial country

That is a wishful thinking of China, that wants to keep down Vietnam. No surprise.

what are the white cards on the desks?ID card？

not sure, I think yes. I have a german passport, that is larger in size.

 

[Viet]

Seems like the property bubble has already burst somewhere...

That is not necessary bad to let air out of the bubble. Vietnam is poorer than China, but Vietnamese property prises are higher than in China in some areas.

 

[Knight of Tang]

Well then...good for you

That is not necessary bad to let air out of the bubble. Vietnam is poorer than China, but Vietnamese property prises are higher than in China in some areas.

 

[Viet]

Vietnam to reduce its income tax base by 75 percent
Thursday, November 22, 2012 | Thanh Nien

Vietnamese legislators on Thursday passed amendments to the Personal Income Tax Law that will release nearly 75 percent of taxpayers from the obligation, even amid concerns about falling revenues for the state budget.

Under the amendments, the threshold for personal income tax will be raised to VND9 million (US$430) per month from the current level of VND4 million, effective July 1.

Taxpayers will also be allowed to set aside VND3.6 million per month for each dependent compared to the current VND1.6 million.

Deputy Chairwoman Nguyen Thi Kim Ngan of the National Assembly said last week that while some lawmakers demanded the revised law to take effect as soon as January 1, it is necessary to push back the date to July to avoid a sharp decline to the state budget.

She said even a mid-year start date would mean a loss of VND5 trillion ($240 million) in tax revenues for 2013. Legislators are scheduled to wrap up their ongoing twice-yearly meeting in Hanoi on Friday.

According to the Ministry of Finance, there were only 3.87 million personal income taxpayers in Vietnam last year, out of 12.6 million wage earners. New amendments to existing law will reduce the number of taxpayers to just one million.

The ministry originally proposed the law take effect in 2014, but legislators decided to put it into practice next year, saying taxpayers could not wait that long amid the economic downturn.

Do Manh Hung, deputy head of the social affairs committee of the National Assembly, said the government needs to collect taxes reasonably to ensure a sustainable source of income for the state budget.

Hung said even though an early implementation date will lead to huge tax revenue losses, he believed many taxpayers struggling with high consumer prices need the relief as soon as possible.

Legislators earlier this month asked the government to keep its budget deficit at VND162 trillion ($7.84 billion) for 2013, or 4.8 percent of the country’s gross domestic product.

 

[Viet]

Formosa ready to prove doubters wrong
Ngoc Linh | vir.com.vn | Dec 03, 2012 10:17 am

Formosa Plastics Group last week started building the first blast furnace for its $10 billion steel and seaport complex in central Vietnam, dispelling doubts about its commitment.

This is also a new step into steel manufacturing business of Formosa Plastics Group (FPG), Taiwan’s largest conglomerate of biotechnology, petrochemical processing and electronic production.

This blast furnace is one of the three planned to be built at the project in Vung Ang Economic Zone, Ha Tinh province. FPG plans to complete construction of the first within three years and put it into commercial operation at the end of 2015, one year later than the initial schedule because of the delay in master designing work.

“Many people doubt over our ability to develop such a huge project. But we are proving that we are serious with our commitment,” said a Hanoi-based representative of Formosa Ha Tinh Steel Corporation, which FPG established to develop this project.

In 2008, FPG registered to build a 7.5 million-tonne steel factory and a deep-seaport with total investment capital of $7.9 billion. But the source said investment capital was estimated to increase to around $10 billion. The group, at the end of 2010, revealed that it had planned to increase total annual output capacity to 22 million tonnes.

The Taiwanese investor is constructing the first phase of the 250 hectare, 14-berth Son Duong port, a hostel for workers, office buildings and a 427-room guest house. It has also completed leveling 961 hectares out of 1.966 hectares of land, or 48.9 per cent of the site.

FPG reported that it had already arranged $2 billion for constructing this project. FPG’s port and steel manufacturing factory complex is expected to be a driving force for the development of Ha Tinh and the central region. The investor estimated the project, once completed, could create 10,000 direct jobs and about 100,000 indirect jobs.

Vo Kim Cu, chairman of Ha Tinh People’s Committee, said the implementation of Formosa’s project would help attract more investments to Vung Ang economic zone while breathing new life into other projects in the zone.

 

[Viet]

P&G plans to Pamper the world
Hai Long | vir.com.vn | Dec 03, 2012 10:49 am

Procter & Gamble Vietnam (P&G Vietnam) commenced the construction to expand its Pampers diaper manufacturing plant in Ben Cat district, southern Binh Duong province last week.

With the expansion, P&G Vietnam adds more $80 million to increase the production capacity of its Pampers brand, a global leading diaper brand that serves Vietnam’s market and is exporting to Asia and other parts of the world.

“Achieving the highest growth rate among P&G group in three years consecutively, Vietnam becomes one of the markets in P&G’s list of prioritised investing expansion,” said Emre Olcer, general director of P&G Vietnam. “P&G has tripled its investment in Vietnam up to over $200 million so far in 2012 and will increase its investment continuously in the coming years.”

“Since P&G’s Pampers diaper started its operation in November 2010, the trademark has gained Vietnamese consumers’ interest and a very good growth rate. We’re happy that there are more and more Vietnamese babies served by Pampers and we hope to serve better and more. That is the goal of Pampers plant expansion,” said Manuel Roman, P&G Vietnam’s plant manager.

Pampers is the diaper trade mark recording highest sales revenue in the world currently, according to P&G.

 

[Viet]

Rice output estimated at 43.7 mln tones in 2012
Dec 01, 2012 09:06 am | Voice of Vietnam

Vietnam’s rice output for 2012 is expected to increase by 1.45 million tonnes over the last year’s figure, to reach 43.7 million tonnes, according to the Ministry of Agriculture and Rural Development.




UK donates US$10 million to business fund
11/28/2012 6:07:35 PM | Voice of Veitnam

(VOV) -The UK Government has invested US$10 million in the Vietnam Business Challenge Fund (VBCF), which debuted in Hanoi on November 28.

According to Vietnamese Deputy Minister of Planning and Investment Dang Huy Dong, the VBCF is the continuation of the Vietnam Challenge Fund (VCF), which received several non-refundable grants from the UK government through their Department for International Development (DFID).

The fund aims to provide support to private businesses with community-based ideas that help low-income people escape poverty and to establish closer links with the economy.

 

[Viet]

Fuji Xerox invests US$110 mil to build a factory in Vietnam
12/5/2012 12:16:33 PM | Voice of Vietnam

(VOV) - Fuji Xerox Co, Ltd has decided to invest US$110 million to build a factory at Vietnam-Singapore Industrial park in Hai Phong city.

At a press conference on December 4, Executive Vice President and Director of Fuji Xerox Co, Ltd, Hitoshi Fujiwara, said that the construction of this factory is part of the company’s plan to increase productivity and expand business around the globe. Construction work on an area of 176,700 square metres will start in January, it scheduled for completion in December next year.

The factory will provide 500 jobs for local labourers in the initial stage and around 3,000 jobs when it goes into stable operation.

 

[Viet]

Rare earth processing plant built in Quang Ninh
Wed, December 5, 2012,9:42 AM | Tuoi Tre News

A hi-tech rare earth processing will be built in Ha Long city, the northern province of Quang Ninh.

An agreement to this effect was signed in Quang Ninh by Global Rare Earth, an affiliate of Vietnam ’s Tuan Chau Group and the Winglee Resources PTE Company of Singapore on December 4.

Accordingly, the 35.5 million USD plant, Vietnam – Singapore International Rare Earth Ltd, will sit on a 50,000 square metre site in the region’s Viet Hung industrial zone.

Construction is expected to finish in the next 8 months since the plant gets the government’s permission. In the second phase, additional mining surveys will be conducted to provide materials for the plant.

Rare earth elements are important materials in the production of components used in mobile phones, solar batteries, high-efficiency electric motors, flat-screen televisions, military equipment and other clean energy technologies.

 

[Viet]

New international airport opens Phu Quoc to the world
Tuoitrenews | Updated : Mon, December 3, 2012,11:52 AM (GMT+0700)

With its new international airport officially becoming operational Sunday, the southern island of Phu Quoc is now able to connect with domestic and regional destinations, opening the door wide for tourism and eco-social development.

The VND16.2 trillion (US$771 million) Phu Quoc International Airport received its first flight, an ATR 72 aircraft of national carrier Vietnam Airlines (VNA), early on Sunday, marking the beginning of its official operation.

The 900-ha terminal, with 3,000 meter-long and 45 meter-wide runway, is capable of receiving Boeing 777s, Boeing 747- 400s, and similar aircraft, and some 2.6 million passengers a year.

 

[Viet]

Vietnam becomes 26th GPA observer
| VIR/VNA | Dec 06, 2012 14:33 pm

Hanoi City


Vietnam has become the 26th observer of the Government Procurement Agreement (GPA), one of the most important documents of the World Trade Organisation, which is the first step towards official membership in the 42-party agreement.

The approval for the country’s observer status was made by the WTO’s Committee on Government Procurement, at its meeting on December 5 in Geneva , Switzerland.

As a non-biding agreement for WTO member economies, GPA opens up a series of opportunities to get access to the government procurement markets of 42 GPA parties, especially in infrastructure, transportation.

The GPA was negotiated in parallel with the Uruguay Round in 1994 and put into force in 1996. The multilateral agreement reinforces rules guaranteeing fair and non-discriminatory conditions, ensuring openness and transparency in tendering procedures, special treatment and differences for developing countries in practices of government purchase.

Vietnam has always pursued an open and transparent trade mechanism in compliance with WTO’s regulations since it became a WTO membership in 2007, Ambassador Nguyen Trung Thanh, Head of the Vietnamese diplomatic mission at the United Nations, WTO and other international organisations in Geneva, said on the occasion.

 

[Viet]

Donors focus on sustainable growth of Vietnam: World Bank
English.news.cn 2012-12-06 15:01:52

HANOI, Dec. 6 (Xinhua) -- This year's meeting of donors' consultative group (CG) for Vietnam will focus on the elements laying the foundation for Vietnam's sustainable growth, reported state-run Vietnam News on Thursday, citing World Bank (WB)'s Country director in Vietnam, Victoria Kwakwa.

At the press briefing held prior to the bi-annual CG meeting for Vietnam, which will be held in capital Hanoi on Dec. 10, the WB official noted that donors would talk about making changes to the CG's platform as Vietnam entered a new stage of development.

Next year, the CG meeting will be called "Forum on Vietnam's Development", said the WB official, adding that in the future the meeting would move away from resources mobilization to candid conversation on all solutions.

At the upcoming meeting, donors will also discuss on the country's land law and education reforms, as they considered land- law reform as the critical element for Vietnam's inclusive and sustainable growth, said the report.

However, at the CG's year-end meeting, donors are expected to release a new funding commitment for Vietnam in 2013.

Last year, donors pledged nearly 7.4 billion U.S. dollars in Official Development Assistance (ODA) for the country, lower than 7.9 billion dollars in 2011.

Currently, Vietnam has 51 foreign donors, including 28 bilateral donors and 23 multi-lateral donors working in the country.

 

[Viet]

Vietnam Airlines receives loan to buy Airbus A321 aircraft
Hai Long | vir.com.vn | Dec 08, 2012 13:54 pm

Taiwan based Cathay United Bank (CUB) and other five banks have successfully arrange a 100 per cent funded loan valued at $60 million for Vietnam’s state-owned Vietnam Airlines Corporation to buy one Airbus A321 from France aircraft manufacturer Airbus.

CUB and Vietnam Airlines signed the contract with 10 year syndicated term loan on December 7 2012. This is the first syndicated and big loan arranged by Taiwanese bank for Vietnam’s state-owned enterprises, according to CUB.

This Airbus A321 aircraft is delivered in this month. Vietnam Airlines signed the purchasing agreement of 26 Airbus A321 aircrafts with the delivery time from 2011 to 2015. Vietnam Airlines’s fleet currently includes 75 aircrafts. It aims to expanse its fleet to 115 and 170 aircrafts by 2015 and 2020 respectively, according to Vietnam Airlines.


Vietnam, Mongolia recognise market economy status
12/7/2012 3:09:23 PM VOV Online

(VOV) - Vietnam and Mongolia have exchanged diplomatic notes on mutual recognition of their full market economy status.

Mongolian ambassador to Vietnam Dorji Enkhbat presented the note to Deputy Foreign Minister Bui Thanh Son in Hanoi on December 7. The same day, the Vietnamese ambassador to Mongolia handed over a similar document to the State Minister of Mongolia in Ulan Bator.

 

[Viet]

Key power plant construction starts in Tra Vinh
VOV Online 12/8/2012 5:59:35 PM

(VOV) - A ground-breaking ceremony for Duyen Hai 3 Terminal Power Plant, a key project of the National Power Development Master Plan VII, was held in Tra Vinh province on December 8.

The coal-fired power plant, to be built on an area of 879ha, has two turbine generators with a total design capacity of 1,244MW. Once completed, it is expected to generate 7.8 billion kWh annually.

The project has total investment of VND28.5 trillion, of which 85 percent comes from loans and the remainder is sourced from EVN. The first generator is scheduled to operate commercially in 46 months, and the second generator in 50 months.