Business

Ministry clears up questions about pending Vietstar Airlines

TMoT held a press briefing on April 6 to clear up some questions around the granting of an aviation transport business licence for Vietstar Airlines Multirole Corporation (Vietstar Airlines).
Ministry clears up questions about pending Vietstar Airlines ảnh 1Illustrative image (Source :internet)

Hanoi (VNA) – The Ministry of Transport (MoT) held a press briefing on April 6 to clear up some questions around the granting of an aviation transport business licence for Vietstar Airlines Multirole Corporation (Vietstar Airlines) to operate as a passenger carrier.

Regarding reports that the company is said to lacks an additional 47.3 billion VND ( 2.1 million USD) to reach the minimum capitalization of 700 billion VND required for an airline, as per government Decree 30 issued in 2013, the ministry said the company’s audited financial report to December 31, 2015 showed owner’s capital has reached 700 billion VND. However, as all the capital has been invested in the company’s operation and it has yet to earn any revenue, it is running a profit deficit of 47.3 billion VND. 

The ministry added that if the Prime Minister approves the licensing of Vietstar, the company will have six months to complete its papers. 

Vietstar has committed to adding capital to meet the requirement if it receives the PM’s approval, the ministry said, stressing that the licence is only issued when the business fulfills all requirements stipulated in Decree 30. 

Founded in 2010, Vietstar Airlines is owned by the Vietnam Air Defence and Airforce, under the Ministry of National Defence. The carrier was granted a general commercial aviation business licence in June 2011, providing air services for economic, social and tourism purposes, aircraft repair and maintenance and airport service. 

The MoT highlighted that a new airline will contribute to competitiveness in the sector, providing more air transport choices for passengers, as well as bolstering socio-economic and tourism development in localities around the country. 

Vietnam’s air market is forecast to see a rise of 19 percent, to 45 million passengers this year, with the domestic sector accounting for more than 58 percent.

Statistics of the Civil Aviation Authority of Vietnam (CAAV) show that the country currently has eight airlines, including Vietnam Airlines, Jetstar Pacific Airlines, Vietnam Air Services Company (VASCO), VietJet Air, Blue Sky Travel, Event Company Ltd, Hai Au Airline JSC, and Green Planet Technology JSC.-VNA

VNA
#Vietstar Airlines #ministry #civil aviation #air market #transport
Follow VietnamPlus

Related News

Vietstar Airlines gets licence

Vietstar Airlines gets licence

Vietnam 's Civil Aviation Administration has granted a license to Vietstar Airlines which will be operating tourist and private flights along domestic and international routes.

See more

Deputy Prime Minister Nguyen Chi Dung speaks at the Vietnam Innovation and Private Capital Investment Forum 2025 (VIPC Summit 2025) in Hanoi on April 22. (Photo: VNA)

Deputy PM commits to innovation-driven growth at VIPC Summit 2025

Vietnam identifies sci-tech, innovation, and digital transformation as key economic drivers over the next decade, Deputy PM Dung said, noting that Vietnam’s strategic appeal to global tech giants is bolstered by a major shift in global supply chains, allowing the country to expand its manufacturing footprint in electronics, semiconductors, and AI.

A customer buys gold at a Bao Tin Minh Chau store in Hanoi (Photo: VNA)

Gold price hits new record

At 10am on April 22, Saigon Jewelry Company (SJC) listed gold bar prices at 120.5-122.5 million VND per tael.

A shopping centre in HCM City. The affordable and mid-range segments will remain pivotal in the city's retail property. (Photo: VNA)

HCM City retail property market faces challenges

New retail malls are consistently being introduced in districts outside the central areas, offering a wide array of business models. This trend is gradually transforming traditional street-front retail, which is under significant pressure from the growing e-commerce sector.

The event "The Essences of Vietnam Fruits" promotes typical fruits of localities across Vietnam. (Photo: congthuong.vn)

High-quality Vietnamese fruits to be showcased in Hanoi

Each displayed product will have a QR code which helps visitors easily access detailed relevant information, such as product origin, growing area, production and preservation processes, and official sales addresses.

A worker checks information on product origin at Dong A steel factory (Photo: www.sggp.org.vn)

Vietnam tightens product origin rules to boost global trade edge

As Vietnam deepens its integration into the global economy through more than 15 free trade agreements (FTAs), including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the EU-Vietnam Free Trade Agreement (EVFTA), origin transparency has become a non-negotiable requirement to access tariff preferences and avoid trade defence measures.

Production at a small enterprise in Thanh Hoa province. Linkages will help small and medium sized enterprises diversify markets. (Photo: VNA)

Local businesses should strengthen links to overcome global challenges: Experts

Tran Thi Hong Minh, Director of the Institute for Policy and Strategy Studies under the Party Central Committee’s Commission for Policies and Strategies, said: "In a world of rapid and complex changes, linkages help businesses diversify markets, connect with new models and better use resources. They are also critical in mitigating risks and enhancing overall competitiveness.”

Nestlé Vietnam announces investment expansion in Vietnam operations (Photo: thanhnien.vn)

Nestlé announces investment expansion in Vietnam operations

Since 2011, Nestlé’s NESCAFÉ Plan has supported over 21,000 coffee farming households in adopting internationally recognised sustainable farming practices. These efforts have helped reduce water use by 40–60%, cut chemical fertiliser use by 20%, and increase farmers' incomes by 30–150% through crop diversification

Vietnam to diversify markets for agricultural products amid global trade shifts. (Photo: VNA)

Vietnam to diversify markets for agricultural products amid global trade shifts

According to the Ministry of Agriculture and Environment (MAE), Vietnam’s agricultural product exports are inevitably affected by disruptions in global supply chains and the imposition of unilateral, stringent tariff policies by major economies. Nonetheless, these challenges also present an opportunity for Vietnam to adjust its export strategy and focus more intently on emerging and high-potential markets.