Trade turnover touches US$100 billion in first quarter Vietnam’s total trade turnover amounted to US$100 billion between January and March 19, according to Vietnam Customs. Recently-released statistics from the General Department of Vietnam Customs show that the country raked in US$10.95 billion during the first half of March, with many export staples enjoying a sharp increase in value. The figure helped to lift the country’s total turnover of exports to US$47.05 billion by March 15, an on-year rise of 5.4 per cent. A number of exports recorded a strong rise in value across the reviewed period. They include telephones and components, garments and textiles, computers, electronic items and components, wood and wooden products, and means of transport and spare parts. Meanwhile, imports reached a total of US$21.3 billion during the first half of March, bringing the total import value to US$93.6 billion by March 15. The figure edged up to US$100 billion by March 19, a surge of … [Read more...] about BUSINESS NEWS IN BRIEF 25/3
Small business lending fund
Brazil begins AD sunset review on Vietnam’s rubber tyres for bicycles A rubber tyre for bycicles (Illustrative photo: Ministry of Industry and Trade) The Department of Commercial Defence (Decom) under Brazil’s Ministry of Industry, Foreign Trade and Services has initiated a sunset review of the anti-dumping duty order on new rubber tyres for bicycles classified under NCM 4011.50.00 from Vietnam, India, and China. Decom initiated anti-dumping duties against the product in December 2014, with duties imposed on Vietnam’s rubber bicycle tyres standing at 0.59-2.8 USD per kg. The department required exporters of relevant countries to respond to questionnaires indicating the information necessary to the investigation on Decom’s portal decomdigital.mdic.gov.br. They shall have a 30-day deadline for response, counting from the date of notification. The deadline can be extended up to 30 days based on request of relevant sides, the Brazilian authority added. … [Read more...] about BUSINESS NEWS IN BRIEF 14/3
Congress talks transforming finance in digital age The 48th World Chief Financial Officers (CFO) Congress opened in Ho Chi Minh City on November 15, focusing discussion on transforming finance in the digital age. In his opening speech, Nguyen Ngoc Bach, Chairman of the Vietnam CFO Association and head of the organising board, said the event, held for the first time in Vietnam, is a great opportunity for business leaders to gather, exchange and directly share their knowledge and practices, their intensive financial management skills with experienced finance leaders from other continents. “International financial experts will talk new trends and provide insights into the future of the financial sector and the challenges that business leaders and financial professionals are facing in this technological era,” he said. Nguyen Thien Nhan, member of the Politburo and Secretary of the HCM City Party Committee, said Vietnam and HCM City in particular are focusing on implementing … [Read more...] about BUSINESS NEWS IN BRIEF 17/11
The MoU to jointly launch a digital lending platform to benefit SMEs in Việt Nam was signed in HCM City. -- VNS Photo Viet Nam News HCM City – At the 48th World Chief Financial Officers Congress in HCM City yesterday, the AsiaInvest Group and MoolahSense signed a memorandum of understanding to jointly launch a digital lending platform to benefit small and medium-sized enterprises in Việt Nam. “This is an opportunity for SMEs and start-ups in Việt Nam to have a transparent and effective funding source when loans from local banks are limited and hard to access,” Nguyễn Ngọc Bách, chairman and CEO of AsiaInvest, said. The MOU puts in place a roadmap to establish a joint venture that taps into their respective strengths to provide tech-driven financing solutions to address the financing gap plaguing small business in the country. According to the 2017 economic census by the General Statistics Office of Việt Nam, there were … [Read more...] about New digital lending platform for small businesses
A report from the Ho Chi Minh Securities Company shows that bank interest rates have risen by 0.46 percentage points for short-term loans since the end of last year to 7-9 per cent and to 9-12.5 per cent for medium- and long-term loans. — Photo vietnambiz.vn A report from the Ho Chi Minh Securities Company shows that bank interest rates have risen by 0.46 percentage points for short-term loans since the end of last year to 7-9 per cent and to 9-12.5 per cent for medium- and long-term loans. The report named lenders such as Agribank, Military Bank, Sacombank, VP Bank and ACB as adjusting their rates upwards in the last two months. The interest rate hikes are said to be the first sign of the central bank trying to reduce money supply to fight inflation. According to experts from the Ministry of Planning and Investment’s National Centre for Socio-economic Information and Forecast, inflation and exchange rates remain under control but are under great pressure, and so prudent … [Read more...] about Tight monetary policy: where can businesses find funds?
(VEN) - Things are looking up for foreign-owned investment funds in Vietnam, reflecting the attractiveness of the domestic investment environment and opening up opportunities for Vietnamese businesses to integrate more deeply into the world economy. Tima has raised US$3 million in Series B funding from BRCM Potential Vietnam’s financial marketplace and peer-to-peer (P2P) lending platform Tima raised US$3 million in Series B funding in early October from the Belt Road Capital Management (BRCM), a Greater Mekong-focused private equity fund. As part of the investment, Senior Investment Manager at BRCM Witt Gatchell will join Tima’s board of directors. This is the first investment by BRCM in the Vietnamese market. Prior to investment in Tima, the fund also invested US$1.8 million in Australia’s Digital Classifieds Group (DCG) and US$7 million in Myanmar’s Oway. Gatchell said BRCM decided to invest in Tima as Vietnam is a potential market with a … [Read more...] about Foreign funding fever in Vietnam
According to a 2018 report by the World Bank, Vietnam's credit access index ranks 29th out of 190 economies surveyed, higher than the average of the Organization for Economic Co-operation and Development (OECD) and East Asia & Pacific. But Vietnamese small and medium-sized enterprises (SMEs) said it is a big challenge for them to access credit. According to the Vietnam Chamber of Commerce and Industry (VCCI), only 30 percent of SMEs in Vietnam have access to loans from the formal sector, with the rest having to use their own funds or depend on unregulated loans. This makes it hard for them to find business opportunities and solve other problems with respect to cash flow, working capital, and debts. The VCCI has drawn up a list of loans types and the challenges each segment faces. Bank loans Many banks have made it possible for SMEs to get access to credit. In the past few years most joint stock banks have earmarked tens of trillions of dong ($1=VND23,381) for priority sectors. … [Read more...] about Who do Vietnam’s small and medium-sized enterprises turn to for funds?
(VEN) - Lack of mortgage assets and financial transparency make it hard for small and medium-sized enterprises (SMEs) to get loans and develop. Speaking at a recent seminar entitled “Where can small firms find capital?”, Nguyen Hoang Minh, deputy director of the State Bank of Vietnam’s Ho Chi Minh City Office, said the SBV and commercial banks have made efforts to help small and medium-sized enterprises (SMEs) get loans. Since 2012, more than 50,000 SMEs have borrowed more than VND900 trillion (US$38.7 billion), he said. However, he conceded that SMEs lack assets to pledge, among other hurdles they face in getting credit. To resolve this problem, the SBV has worked with banks to allow small firms without assets to use their cash flow as collateral, Minh said. He also pointed out that one of the main obstacles to SMEs getting loans is the lack of transparency in their financial statements. “Many small firms are usually household businesses and do not have a … [Read more...] about Banks reach out to small firms, but encounter lack of transparency
PNJ targets opening at least 40 stores this yearPhu Nhuan Jewelry (PNJ) plans to open at least 40 new stores this year and have 300 by the end of April. The 40 new stores include gold stores or stores combining gold and silver retail.It has also set a net revenue target of VND14.1 trillion ($619.6 million) for the parent company this year, up 30 per cent, with after-tax profit increasing 22 per cent to VND882 billion ($38.7 million).PNJ is in the process of preparing for upgrading and modernizing its ERP system, through which it can study customer behavior at outlets and better understand customer choice.The company also plans to use big data to develop new products aimed at more specific customer groups and at the same time use digital marketing strategies to expand market share.As noted by HSC, PNJ’s sales in FY2017 increased 28 per cent year-on-year to VND10.97 trillion ($482.1 million) thanks to most segments growing strongly. Gold bar revenue increased 20 per cent, to … [Read more...] about BUSINESS IN BRIEF 1/2
Vingroup, T&T to develop urban railway projects in HanoiThe government of Hanoi City has proposed the Prime Minister allow Vingroup and T&T Group to develop three urban railway projects which the city plans to complete by 2025, Tuoi Tre newspaper reports.The two domestic investors will use their capital to make pre-feasibility studies for these projects.When the projects were announced, many investors expressed interest in Hanoi. However, only Vingroup and T&T Group have registered to take part.Both of them proposed implementing the projects in the build-transfer (BT) format. Particularly, Vingroup registered to build the 38.4-kilometer metro line No. 5 which connects Van Cao and Hoa Lac and metro line No. 2 from Tran Hung Dao to Thuong Dinh with a length of 5.9 kilometers. Meanwhile, T&T Group is keen on metro line No. 4 connecting Me Linh, Sai Dong and Lien Ha, and measuring 54 kilometers in length.The two investors said they would use their own finances to study the … [Read more...] about BUSINESS IN BRIEF 9/1