Deputy PM updates RoK investors on Vietnam’s policies Business

Deputy PM updates RoK investors on Vietnam’s policies

Deputy Prime Minister Vuong Dinh Hue unveiled advantages in investing in Vietnam during a meeting in Seoul, the Republic of Korea (RoK) with local securities investors at the headquarters of the Korea Financial Investment Association (KOFIA) on June 20.
Association urges real estate firms to list Business

Association urges real estate firms to list

The HCM City Real Estate Association has recommended real estate companies transform themselves into publicly listed joint-stock businesses so they are able to seek greater funding to improve business performances in 2018.
More support for SMEs required Videos

More support for SMEs required

Support for small- and medium-sized enterprises is lacking. This makes it hard for SMEs to compete and makes them vulnerable to market changes.
New study sheds light on bank performance Business

New study sheds light on bank performance

The process of restructuring commercial banks in Vietnam mostly focusses on mitigating negative effects and not on promoting positive factors, one of which is the increase in private ownership.

Caution advised on bank reform

Restructuring the banking sector is drawing special attention from the public as the sector exerts great impact on the economy’s stability and lives of people who consider banks the safest place for their assets.

Up to June, 2011, Vietnam has five state commercial banks, one bank for social policies, one development bank, 37 private joint stock commercial bank, five joint venture banks, five wholly foreign-invested banks, 48 branches of foreign banks, 48 representative offices of foreign banks, 18 financial companies and 12 financial leasing companies. The banking sector’s total credit balance for the economy recorded an average growth of over 29 percent annually and was equivalent to 116 percent of GDP by the end of 2010.

State Bank to focus on security, liquidity

The State Bank of Vietnam will continue to closely monitor the monetary market and the banking sector to discover violations and help banks deal with liquidity-related problems, the bank said.

Banks told to raise foreign currency reserves

The State Bank of Vietnam on August 29 raised the foreign currency compulsory reserves ratio for commercial banks by 1 percentage point to 8 percent of total deposits in a move to limit the growing number of new loans being made in US dollars.

Under a decision effective on Aug. 31, the new ratio applies to non-term deposits and term deposits of less than 12 months at State-owned banks (excluding Agribank), private commercial banks, and foreign-invested banks, joint ventures or branches of foreign banks in Vietnam.

Hanoi bond market enters adolescence

Since separate bond trading systems officially began operations on the Hanoi Stock Exchange in September 2009, the market has grown to a listing of 500 bond codes with a value of 223.3 trillion VND (10.6 billion USD) – equivalent to about 12 percent of the national GDP, according to the exchange.

Foreign banks hold 11.25 percent market share

Foreign banks continue to affirm their important position in Vietnam and now hold assets valued at over 420 trillion VND (20 billion USD), or 11.25 percent of the entire finance sector.

Foreign banks target top-end customers

While domestic banks are occupied trying to find ways of ways increasing their growth with traditional products, foreign banks are focusing on services for their top-end (VIP) customers.

Central bank praises foreign competitors

Foreign banks have done well in their role as a bridge between investors abroad and domestic enterprises while ensuring security ratios and effective performance, State Bank governor Nguyen Van Giau stated in a year end meeting with foreign bankers in Vietnam on December 15.