|
BUSINESS IN BRIEF 24/10
US$9
billion oil refinery project under construction
Construction
of Nghi Son Refinery and Petrochemical Complex started in Nghi Son Economic
Zone in Thanh Hoa province on October 23.
At the
ground-breaking ceremony, Prime Minister Nguyen Tan Dung said the Nghi Son
complex is of great significance to ensuring national energy security in the
implementation of the socio-economic development strategy.
Built
on 400 hectares at an estimated cost of US$9 billion, it has a design
capacity of 10 million tonnes per year (200,000 barrels per day).
Once
completed, the project together with the Dung Quat Oil Refinery will meet
two-thirds of total requirements for oil refinery products in the national
industrialisation and modernisation process.
The
modern oil refinery complex also includes a 2,400MW thermal power, a cement
plant to produce 9.3 million tonnes per year, and a transport system to link
deep-water ports. It plays an important role in promoting investment in Nghi
Son EZ and surrounding areas.
FPT
opens new office in Nagoya
The
Japan FPT company (FPT Japan) officially opened a new office yesterday in
This
new office will contribute from 10-15 per cent of total revenue of FPT Japan.
XMC
delists amid poor operating results
Vinaconex
Xuan Mai Concrete and Construction (XMC) has announced it will de-list shares
from the Ha Noi Stock Exchange.
To
ensure the interests of small shareholders, the company's largest
shareholder, construction firm Khai Hung Co Ltd pledged to buy shares from
them at negotiated prices no less than XMC's floor price on October 11
(VND5,600, US$0.2) within six months from delisting.
The
stocks closed yesterday's session at VND6,100.
Meanwhile,
Vien Dong Investment Development Trading Corp (VID) faces the threat of
delisting shares from the HCM City Stock Exchange.
The
company posted a loss of VND50.7 billion ($2.3 million) in the first six
months of this year after two years running without profit. VID finished
yesterday at only VND2,500 per share.
Viet
Nam post to collect fees for EVN
Electricity
of Viet Nam (EVN) and the Postal Corporation of
Accordingly,
customers will now be able to pay electricity bills at post offices.
A
signing ceremony was held to affirm the commitment between the two partners,
who pledged to promote the strengths of each other in order to serve
customers better.
Steelmaker
Hoa Sen Group reports Sept profit
Steelmaker
Hoa Sen Group reports Sept profit– Steelmaker Hoa Sen Group (HSG) announced
it achieved a revenue of VND1.07 trillion (US$50.4 million) and a profit of
VND8.6 billion ($405,600) in September.
During
the period between October 2012 and September this year, its total revenue
reached VND11.7 trillion ($551.8 million), 7 per cent higher than the set
target. Profit during the period hit VND580 billion ($27.3 million),
exceeding the target by 45 per cent.
Lotte
increases stake in Bibica to 43.1%
South
Korean firm Lotte announced that it would purchase an additional 686,000
shares in confectionery company Bibica (BBC) from October 18 - 23, increasing
its stake to 43.1 per cent.
The
current foreign ownership in Bibica is 48.69 per cent, almost approaching the
limit of 49 per cent. Therefore, Lotte will have to negotiate to buy the
shares from other foreign investors.
The
second biggest shareholder of Bibica is Saigon Securities Inc (SSI) with a
38.05 per cent stake.
There
has been speculation around a possible takeover of BBC by Lotte, but this has
been denied by the Korean investor.
Financial
woes grip VN-Italy Steel Company
Viet
Nam-Italy Steel Company (VIS) posted a loss of VND36 billion (US$1.7 million)
in the third quarter and an accumulated loss of over VND10 billion ($471,690)
in the first nine months of this year.
During
the first nine months of last year, the steelmaker still make profits of
nearly VND10 billion. The reasons for the losses are the declining
construction steel price and higher inventories.
Ha
Noi growth rate to hit yearly forecast
The Ha
Noi People's Committee has predicted that the city's economy in the fourth
quarter could grow by 8.9-9 per cent and rise to 8.1-8.2 per cent for the
entire year, fulfilling the yearly target.
In the
third quarter, Ha Noi's GDP posted a growth rate of 8.35 per cent, higher
than the rates of 7.5 per cent and 7.85 per cent of the first and second
quarters respectively.
The
rise in GDP for the first nine months of this year reached 7.88 per cent,
much higher than the country's average growth of 5.14 per cent, with positive
increases seen in such areas as services (8.9 per cent), industry and
construction (7.42 per cent), and agriculture (2.35 per cent).
Also
during the nine-month period, 11,410 new enterprises were established with a
total capital of VND69.3 trillion (US$3.26 billion), up by 8.2 per cent
year-on-year, while 6,538 enterprises ceased operations, down by 19 percent
year-on-year.
Savings
amongst local credit institutions has been safer and liquidity more secure,
meeting capital demands for trade and investment from local enterprises.
Authorities
said one of its key tasks was to remove difficulties for enterprises to boost
production and business activities. From the beginning of this year, the
municipal Department of Industry and Trade has made efforts to expand the
export market.
Pham
Duc Tien, Deputy Director of the department, last week told Radio the Voice
of Viet Nam that so far, Ha Noi has spent VND50 billion ($2.4 million) on
trade promotion. Apart from such traditional markets as the
The
city's administration also said its key task in the last three months of this
year is to be patient in the adoption of support measures for local
enterprises, helping them boost production and business operations.
Ha Noi
also created favourable conditions for enterprises by improving the
management efficiency of local authorities at different levels, implementing
administrative reforms with a focus on simplifying administrative procedures,
intensifying the fight against corruption and waste, practising thrift and
creating a transparent working environment for local enterprises.
Viet
Nam prepares to make most of FTA
The
theme of increased market opportunities and stiffer challenges was reiterated
by many speakers yesterday at a workshop that dealt with the European Union's
commercial policies relating to Free Trade Agreements.
The
event was organised by the Viet Nam Multilateral Trade Project (MUTRAP). The
project supports the nation's deeper integration into ASEAN and the regional
and global commercial system; increasing investment ties with the EU; and
extraction of maximum economic benefits from multilateral agreements.
"We
are expecting that the Free Trade Agreement (FTA) between the European Union
and
He
said that besides traditional pledges like open market and tax reductions,
the FTA will focus on investment environment, intellectual property, and
sustainable development and will strongly affect many important Vietnamese
industries.
EU now
includes 28 nations but still is one single market, and the bloc is expanding
its policies to admit more countries.
"In
the new generation of FTAs, EU will pay attention to social issues relating
to employees' benefit, environmental protection and other issues," said
Claudio Dordi, team leader of MUTRAP EU –
With a
huge population and great manpower potential,
In
related news, the European Union signed a five-year contract worth 4 million
euros with the French Chamber of Commerce and Industry in
"We
have recognised a strong need of support for European SMEs as the economic
integration in East Asia is very strong and fast, production is moving
quickly to developing nations like
The
centre seeks to assist new SMEs on the cultural, legal and administrative
aspects of setting up shop in
The
centre will have its first opportunity on November 12 as EU vice president
Antonio Tajani pays a working visit to
The
prospect of FTA between
"And
we hope more European companies will come to
Time's
right for Algerian trade
Deputy
Minister of Industry and Trade Tran Tuan Anh has urged Vietnamese and
Algerian enterprises to foster trade and investment co-operation to bring
bilateral relations between the countries to a higher level.
Speaking
to representatives from 100 businesses at a meeting in
He
hoped that businesses from the two countries could find opportunities for
co-operation in the production, processing and export of farm produce and
seafood.
The
head of the Algerian Investment Promotion Agency, Ferrouki Lyes, said that
the forum was organised at the right time, as
Algerian
companies at the forum were provided with useful information about the
prospects of a future partnership between the two countries and copies of the
book
Two-way
trade is increasing significantly.
To
boost exports, the Africa,
Saigon
Hi-Tech Park targets an increase in export turnover by 2015, six times higher
than in 2010.
This
was announced by management officials at a ceremony celebrating the park's
11th anniversary held last Friday in
The
park also aims to raise its localization ratio in high-tech products to 25
per cent by 2015, and 40 per cent by 2020.
To
reach their goals, the park's management board will develop support
industries that will eventually be a key component of the industry.
Over
the years, the park has applied IT to its operation and management
activities, which has contributed to better transparency in administrative
procedures.
Le
Hoai Quoc, head of the park management board, said that the high-tech park
had 58 projects with total registered capital of $2.1 billion, of which there
are 29 domestic projects worth $359 million and 29 foreign-invested projects
worth $1.743 billion.
This
year, most of the projects are in hi-tech development and high-quality
human-resource training by local and foreign technology companies such as Microchip,
Hutech hi-tech Institute, FPT University Research and Training Centre.
Since
the beginning of the year, the park has attracted an additional five
high-tech projects with total investment capital of $120 million. More
projects are in the pipeline.
The
park's Microsoft Innovation Centre opened on May 18, marking an important
milestone in the park's economic restructuring process.
The
centre is responsible for inspiring creative ideas and value-added solutions
based on Microsoft technology platforms.
It
also plays an important role in the network of technology partners,
government organisations and education and training institutions. It supports
technology innovation projects by researching and identifying strategies and
trends.
The
park, in collaboration with the National University of HCM City's Center for
Research and Training in IC Design, has conducted research and developed
pressure sensor chips using micro-electronic technology (MEMS), which are
used in many fields, such as industry, agriculture and defense security.
Local
lending lags behind target
Credit
growth this year could fall short of annual targets, with banks unlikely to
increase lending significantly by the end of the year.
The
remark was made by Nguyen Hong Minh, director of the State Bank of
Speaking
last week, Minh said credit growth would struggle to exceed 10 per cent,
below anticipated rate of 12 per cent.
Banks
present at the meeting expressed reluctance to lend out for fear of
accumulating bad debts, the cost of legal proceedings to recall collateral
and stagnant market conditions.
Spokespersons
also said the legal process of handling mortgaged assets was complex and made
debt recovery difficult task for lenders.
The
deputy general director of ACB, Bui Tan Tai, said it usually took three to
four years to resolve issues pertaining to mortgaged assets. Some banks even
had to spend up to 10 years recovering assets from defaulted loans.
The
process also varied according to different provinces with borrowers also able
to use loopholes to delay the process for banks.
In
northern
The
director of the
Banks
also said the gloomy real estate market had prevented them from liquidating
mortgaged properties.
Heat
goes out of VN solar projects
Solar
panel production projects in
The
general manager of Global Sphere, Nguyen Trong Nguyen, said a partner
withdraw from their solar panel production joint venture one year ago.
The
United Arab Emirates-based firm found out that its Vietnamese partner,
WorldTech Transfer Investment, did not have sufficient financial security.
The
project manufacturing solar panels in central
Construction
of the project started in January 2013 in the Phong Dien Industrial Zone,
However,
since January this year, the project has stalled and the Hue Planning and
Investment Department said they have not received official announcement on
either stopping or continuing the project from the investors.
This
is the third project of its kind that has faced difficulties in investment
and construction. The two other projects included a project in
Last
year, First Solar, the
While
the Indochine Energy Industrial Company located in Chu Lai Open Economic Region,
central
Red
tape holds back investment in Binh Phuoc
The
southern
C&N
Vina Co Ltd, which built the
It
took two years to wrap up administrative procedures for building a dormitory
for workers, it said.
Minh
Hung 3 Industrial Park's developers said the procedures for getting approval
to increase capital and clearing land took too much time, affecting the
progress of work.
In
response, the provincial Department of Planning and Investment has called on
the People's Committee to reform administrative procedures and generally
improve the investment climate.
Vu
Thanh
The
province plans to improve infrastructure and urge investors to speed up
installation of infrastructure at industrial parks, he said.
It is
considering changes to its incentive policies, like those related to labour
training, subsidising investors' advertisement costs, and providing more
land-rental incentives, he said.
Authorities
plan to organise a promotional trip to
The
province is preparing to zone off an eco-tourism area in the districts of Bu
Gia Map and Bu Dop and build an industrial park-trade and service areas
cluster in Dong Phu District.
Electronics,
phones top domestic exports
Exports
of electronics, spare parts and phones saw the highest growth rate among 10
items with high turnover, according to the Ministry of Industry and Trade
(MoIT).
In the
first nine months, exports of phones and parts reached US$15.5 billion, an
increase of 75 per cent compared to the same period last year.
In
2009, export turnover of phones and parts ranked ninth, and climbed to fourth
in 2010 after textiles and garments, crude oil and footwear.
In
2011 and 2012, phones and parts jumped to second and then topped the list
during the first nine months of this year.
Products
assembled in
Le
Ngoc Son, chairman of the Viet Nam Electronic Industries Association, said
that exports of electronics, phones and parts are forecast to hit $20 billion
by the end of this year.
However,
according to MoIT, the export growth of items comes mostly from foreign
invested companies.
These
include multinational corporations such as Samsung, Intel, Canon, Nidec,
Fujitsu, Brother, Panasonic, Renesas, Foxconn, and Bosch.
They
all have built factories in
The
multinationals have strengthened their market share by taking advantage of
preferential policies and cheap labour costs in
Economists
said that while export turnover of phones, electronics and parts was high, the
real gained value was still low compared to other countries in the region.
They
said that the electronics industry still must import a large volume of raw
materials.
Local
electronic enterprises make a small part of export turnover since they mostly
do outsourcing and assembling for foreign firms.
Few
local Vietnamese firms are capable of supplying parts for foreign companies.
For example, Nokia has used raw materials from 10 local suppliers.
Son
said the Vietnamese electronics businesses should become part of supply
chains of global big corporations to improve production levels and upgrade
technology.
The
aim is to make finished products with high localisation ratio.
HCMC
Power Corporation promises to complete power projects before schedule
At a
meeting on October 21, leaders and contractors of the Ho Chi Minh City Power
Corporation have promised to complete three power transmission projects ahead
of schedule.
The
corporation will strive to complete the three power transmission projects
including 220-kV Cau Bong-Cu Chi transmission line, the 220-kV Cu Chi
substation and the 110-kV Cau Bong substation before March 30, 2014 -- one
month earlier than schedule.
The
three projects have investments of VND1.7 trillion, and will transmit power
from the 220-kV Cau Bong substation to the 110-kV Cu Chi substation and other
substations in the Northwest of Ho Chi Minh City.
Le
Viet Toan, Director of the Project Management Board, said the 500-kV
Pleiku-My Phuoc-Cau Bong transmission line will be complete by April 2014 and
will boost power supply to HCMC and supply electricity to Cu Chi District and
part of Hoc Mon District.
Local
businesses get updated on EU’s policies toward FTAs
The
EU’s policies towards Free Trade Agreements (FTAs) were the highlights of an
October 21 conference in
Organised
with the support of the European Trade Policy and Investment Support Project
(MUTRAP EU-Vietnam), the conference aimed to assist
According
to Brynari Fornari, Deputy Head of the Cooperation and Development Section of
the EU Delegation to Vietnam said Vietnam and the EU have conducted four
negotiation rounds on their FTA and expect to sign it in mid- 2014.
Apart
from traditional commitments on market opening and tariff cut, the agreement
also covers a number of new issues impacting many sectors of
Experts
from the MUTRAP EU-Vietnam said EU is an open economic community comprising
of 28 countries and a single market that possesses the largest investment
source in the world.
Currently,
EU tends to expand and accept new members, thus being more open to new
markets, they said.
Meanwhile,
Claudio Dordi, MUTRAP EU-Vietnam technical assistance team leader said that
in its more recent FTAs, the EU focused more on social issues relating to
human right protection, employees’ interest and environment preservation.
Former
EU Deputy Director General for Trade Pierre Defraigne said new generations of
FTA will not be limited at bringing trade and investment benefits to
involving economies, but also help improve their competitiveness through
measures to promote training and better workers’ skills, while ensuring fine
business and investment environment.
With a
large population and strong human potential and advantages in production and
consumption,
Defraigne
added that the country should design proper policies and combine economic
development with ensuring social goals basing on the real situation of the
economy and international integration to make full use of the benefits.
FDI
projects in
Nearly
300 industrial parks and economic zones, 15 coastal economic areas and 28
border gate economic areas in Vietnam have attracted around 5,000 Foreign
Direct Investment projects worth US$110 billion, while 6,000 domestic invested
projects are valued at VND970,000 billion.
In
addition, more than 100 industrial zones and seven coastal economic areas
have been planned and built in northern cities and provinces with total
infrastructure investment of US$10 billion.
Infrastructure
investment of US$5 billion has gone into 180 industrial zones in operation in
these cities and provinces. Among them, 120 industrial zones have wastewater
treatment plants.
Project
helps EU businesses seek opportunities in Vietnam
A
4-million-EUR project was signed in
The
project is seen as a joint effort by the EU Delegation to
It is
expected to benefit both European and Vietnamese businesses as well as boost
their economic-trade relations in the time to come, said Ambassador Franz
Jessen, head of the EU Delegation to
Under
the project, a SME supporting centre is scheduled to be set up in
According
to Chairman of the chamber Pierre-Jean Malgouyres, one of the priorities of
the project is to create all favourable conditions for both sides’ businesses
to promote their cooperation with specific support programmes and practical
services.
As
European
businesses hope to study the investment climate in such potential market as
Talk
highlights EU trade policy on FTA
The
European Union’s trade policy on Free Trade Agreements (FTAs) was the major
topic of a talk held in HCM city on October 21.
Under
the auspices of the European Trade Policy and Investment Support Project
(EU-MUTRAP), the talk aims to help
Issued
tabled for discussion included strengthening capability to access information
and regulations, market approach opportunities related to Vietnam’s trade
commitments and international investment.
Bryan
Fornari, Deputy Head of Cooperation and Development Section of the EU
Delegation to Vietnam said the EU and Vietnam, has finalized four rounds of
talks on the EU-Vietnam FTA (EVFTA) and they are expected to reach the
agreementinmid2014.
Apart
from commitments on market opening, tariffs reduction, the EVFTA also covers
issues on investment environment, intellectual property and sustainable
development which have strong impacts on
Claudio
Dordi, Technical Assistance Team Leader, EU-MUTRAP Project, said that among
new generation FTAs, the EU also put forth social issues related to respect
for human rights, worker interests and environmental protection.
For
any country which fails to comply with the regulations will find it difficult
to get approval from the EU Commission in the FTA negotiation and signing
with the EU.
Pierre
Defraigne, Former Deputy Director General of the Directorate General for
Trade at the European Commission (EC) said that new generation FTAs has
delivered trade and investment benefits to economies, sharpened
competitive edge, been subject to labour conditions to ensure a
good investment environment.
He
emphasized that high population density and abundant labour force will
provide a springboard for
However,
the country needs to devise proper policies in line with socio economic
development and international integration process, he noted.
Since
early this year, Saigon Hi-tech Park (SHTP) has attracted US$120 million in
five new projects, bringing the total number of high-tech projects to 58
worth more than US$2 billion.
According
to the SHTP managing board, there are 29 domestic invested and 29 foreign
invested mainly in hi-tech development research and human resource training,
such as Microchip, Hutech hi-tech and FPT.
Le
Manh Ha, Vice chairman of the municipal People’s Committee, said the city
will encourage further investment in SHTP to make it become a key scientific
and technological centre in the country.
Dramatic
rise in CBU vehicle imports to Vietnam
Imported
CBU cars totalled25,000 worth US$494 million after nine months, up 27.1% in
quantity and 10.1% in value compared to last year’s same period.
Imported
cars saw a sharp increase in trucks (1,950 units, up 59.7%), nine-seat cars
(1,200 units, up 78.4%) and other types (217 units, up 52.8%).
Meanwhile,
imports of over nine-seat vehicles were only 29 units, down 47.3% from the
previous month.
The
General Department of Custom said over the past nine months, the Republic of
Korea has been the leading supplier for CBU with 10,880 units, up 39.3% and
accounting for 43,2% of total imported CBU cars, followed by Thailand (5,700
units, up 51.2%), China (2,770 units, down 13.4%) and Japan (1,540 units, up
67.5%).
The
Ministry of Science and Technology has launched a project geared to
commercialise new inventions and scientific research in
The
project, launched on October 18, is based on methods used in the Silicon
Valley in the
Firms
will receive training on how to improve products as part of an
entrepreneurship promotion programme, which will offer them marketing tips
and free consultancy on how to attract venture capital.
The
programme is intended to help build up the nation's tech firms to cater to
market demand, incorporate feasible business strategy and employ qualified
staff.
The
project will seek help from successful entrepreneurs, venture capitalists,
lawyers and technology experts from the
It is
also expected to create a favourable investment environment and attract more
private venture capital from domestic and international investors.
Under
the project,
Firms
will receive support for products currently being developed, while scientists
will be equipped with the commercial acumen necessary to commercialise new
inventions.
Skills
taught will include basic management and business planning in line with
international standards.
Minister
of Science and Technology Nguyen Quan, said thousands of research programmes
and inventions were registered in
However,
the commercialisation of these advancements remain a challenge, he said.
During
the 2013-14 period, promising start-ups will take training courses offered by
Once
graduated, they will be invited to attend a Demo Day, similar to an event
held annually in the
A
social investment fund named "Start-up Vietnam Foundation" will be
set up to call for domestic and foreign investment while introducing new
Vietnamese business players to various venture funds and start-up training
networks across the
Silicon
Valley is the southern region of the San Francisco Bay Area in Northern California
of the
An
inter-governmental committee between
Minister
of Industry and Trade Vu Huy Hoang was speaking while receiving Adil Ibrahim
Mustafa Ahmed in
However,
two-way trade between
Last
year bilateral trade reached more than US$29.2 million, including US$28.9
million worth of Vietnamese exports.
Both
sides should increase economic cooperation, and the establishment of the
inter-governmental committee will support this process, said Hoang.
For
his part, ambassador Adil Ibrahim Mustafa Ahmed said
A
Ministry of Industry and Trade delegation made a fact-finding tour of Sudan
in July 2013 to study its market and the possibility of trade promotions in
mineral ore exploitation, oil and gas exploration, rice and farm product
trading, garment manufacturing and seafood processing.
Vietnam-Algeria
business forum in Algiers
A
Vietnam-Algeria business forum was held in
Deputy
Minister of Industry and Trade Tran Tuan Anh introduced
Anh
hopes that businesses of the two countries will seize these opportunities for
mutually-benefited cooperation.
The
head of the Algerian Investment Promotion Agency, Ferrouki Lyes, briefed
participants on his country’s investment, market and business situation. He
said
He
said the forum took place at the right time when
Participants
were provided with useful information about the prospect of future
partnership between the two countries and copies of the book titled “
During
their stay in
Since
early this year, Saigon Hi-tech Park (SHTP) has attracted US$120 million in
five new projects, bringing the total number of high-tech projects to 58
worth more than US$2 billion.
According
to the SHTP managing board, there are 29 domestic invested and 29 foreign
invested mainly in hi-tech development research and human resource training,
such as Microchip, Hutech hi-tech and FPT.
Le
Manh Ha, Vice chairman of the municipal People’s Committee said the city will
encourage further investment in SHTP to make it become a key scientific and
technology centre in the country.
Foreign
firms set high pay standards
The
difference in base salaries paid by multinational and Vietnamese companies is
widening from 26% last year to 29% now, according to a survey by human
resources providers Mercer and Talentnet.
While
the salaries for staff and professionals are comparable, the difference in
the salaries of managers and executives is quite high, Hoa Nguyen, Director
of Mercer Remuneration Surveys and Human Resource Consulting Services said at
the Post Total Remuneration Survey seminar in Ho Chi Minh City on October 18.
But
she said with local companies often paying much larger bonuses, the gap
narrows a bit.
To
compete with multinationals in attracting talent, Vietnamese companies are
now willing to pay outside their salary range, she said.
The
survey points out that like last year, salary increases this year have been
higher than the inflation forecast — of 7.5% — noting that multinational
companies (MNCs) give employees an average 11.1% salary rise and local companies,
11.3 %.
The
raise is forecast at 11.1% next year at both MNCs and domestic firms.
Godelieve
Kroonenberg, Mercer's Market Business Leader, ASEAN Information Solutions,
said
The
trend would continue next year, she said.
With
the starting salary in
Hoa
said the pharmaceuticals, manufacturing, and consumer-goods industries offer
the highest rise of 12%.
Those
in banking, financial services, and real estate are at the other end of the
spectrum due to difficult business conditions, she said.
The
survey said oil and mining and banking continue to top in terms of salaries,
while manufacturing remains the lowest-paying industry.
The
employee turnover rate fell 2-3% from last year because of the current
economic condition, making employers and employees wary of new recruitment
and moving, Hoa said.
The
technology sector, which faces a talent shortage, had the highest staff
turnover rate, and oil and mining and chemicals, the lowest.
According
to the survey, despite the difficult times, 60% of companies plan to increase
their payroll, 8% less than last year and 3% plan to cut their headcount, the
same as last year.
Survey
respondents said the most challenging to recruit and retain were sales
managers, marketing managers, and sales executives.
Kroonenberg
told Vietnam News that local companies may not have big budgets like MNCs, so
to attract and retain talents they "have to find your own strengths,
that means what makes you different as a local company, maybe you have better
facilities at the workplace or maybe you offer bigger benefits or maybe just
a working culture that is more healthy."
Promotion
and opportunities to grow are also very important, she said.
The
survey shows that improvements in benefits are almost the same as last year,
and mainly focus on insurance, medical treatment, cars, and loans, with local
companies providing more car and loan benefits than MNCs.
A
total of 418 companies with 142,587 employees in 13 industries took part in
the survey.
Last
year's survey polled 371 companies.
Leading
economist Tran Du Lich warns the Vietnamese economy has yet to bottom out,
saying alleviating the banking system’s non-performing loan burden—and thus
facilitating capital circulation—is now the primary concern.
Its
economy grew by an approximate 5% in the first nine months of this year and
is forecast to rise to 5.3% by year’s end.
The
nine-month consumer price index (CPI) was kept at 4.63% and the annual
reading is expected to hover around 6–7% .
National
Assembly Economic Committee member Dr Tran Du Lich says
He
believes the threats of high inflation and market stagnation are preventing
the economy from prospering, cautioning the CPI could surge next year unless
bold measures are taken to improve the situation.
Commercial
banks’ non-performing loans are another economic bottleneck. Banks now have
sufficient available capital but businesses—especially those classified as
small and medium-sized—still struggle to access it.
Although
banks lowered lending rates several times this year, businesses are unwilling
to take on debt when the shadow of market stagnation looms. Many banks fear
increases in unsecured non-performing loans will affect their operations.
Dr
Lich thinks it is unlikely banks will lower lending rates any further. Both
business and bank inefficiency are to blame.
The
government’s VND30,000 billion real estate stimulus package has yet to
deliver practical results, and improving the market’s liquidity in the short
term is proving very difficult.
Tax
collection failures mean the possibility of budget deficits is also
endangering the macroeconomy. Third quarter statistics show up to 70% of
Public
investments keep rising, planting the seeds for budget headaches in
2014–2015. This thorny problem will be tabled for discussion at the National
Assembly’s upcoming session opening in
The
crux of the matter, according to Lich, is reforming budget allocation,
increasing fund transparency, and efficiently mobilising all State resources.
A partial solution could be found in State divestment from non-core
businesses, freeing up time and resources for more essential economic areas.
Dr
Lich cites the State’s difficulties in his weak recovery forecasts for the
2014 Vietnamese economy. The foreign direct investment (FDI) sector will
remain the country’s largest contributor. The agricultural sector will find
it hard to accelerate growth, and despite comparatively positive signs, the
service sector cannot fuel the entire economy.
Dr
Lich concedes 2014’s economic outlook is “brighter” than 2012–13, with GDP
growth estimated at 5.5% and CPI at 7%.
Maintaining
macroeconomic stability will be the most pressing mission over 2014–2015,
along with expanding economic restructuring across the banking and State
sectors, and restoring faith in the domestic market.
The
government has foreshadowed increasing expenditure to stimulate demand and
cutting public investments to control inflation.
More
Malaysian investment encouraged
Deputy
Prime Minister Hoang Trung Hai made the commitment at a Vietnam-Malaysia
business meeting in
Hai
emphasised the future potential for Vietnam-Malaysia cooperation, especially
considering
He
said bilateral economic and investment ties have developed substantially over
the years, affirming
The
forum marks the 40th anniversary of bilateral diplomatic ties. Vietnam
considers it a valuable opportunity to promote recent investment environment
improvements to interested foreign parties.
Malaysian
Deputy Prime Minister Tan Sri stressed the importance Malaysia attaches much
to its relationship with Vietnam, especially in economics.
He
said Malaysian businesses accompanying him on his visit are eager to explore
investment projects in Vietnam, describing it as one of the Malaysian
business community’s prioritised destinations for expansion.
Both
countries’ business representatives seized the chance to meet with the two
Government leaders and discuss trade and investment policies, set targets and
development goals, and specific projects.
Malaysian
businesses were particularly enthusiastic regarding Vietnamese oil and gas,
information technology, energy, construction, agriculture, and banking.
The
two Deputy PMs and other managers answered queries concerning bilateral
commitments and agreements, administrative procedures, investment licenses,
and land policies.
Vietnam-Malaysia
two-way trade turnover is approaching US$8 billion with an average annual
growth of 15–17 percent. Vietnam’s 2012 exports to Malaysia rose 54% to US$5.2
billion.
Vietnam
reveals US$2.13 billion ASEAN trade deficit
Vietnam
ran up a trade deficit of 2.13 billion with other members of the Association
of Southeast Asian Nations (ASEAN) in the first nine months of this year, or
15.5% of its export total to the bloc.
Vietnam
Customs statistics show nine-month trade turnover between Vietnam and ASEAN
reached US$29.57 billion, accounting for 15.4% of the country’s total
import-export revenue.
Vietnamese
businesses earned nearly US$1.53 billion from exports to ASEAN in September
alone, falling 4.3% from the previous month.
But
their nine-month exports to ASEAN markets rose 11.1% to US$13.72 billion
compared to the same period last year.
Its
ASEAN imports were worth US$1.8 billion in September and a cumulative
US$15.85 billion in 2013 so far, a slight 2.6% increase on the first three
quarters of 2012.
Malaysia
was Vietnam’s largest ASEAN trade partner during the reviewed period,
followed by Thailand, Singapore, and Indonesia.
Source:
VEF/VNA/VNS/VOV/SGT/SGGP/Dantri/VIR
|
Thứ Tư, 23 tháng 10, 2013
Đăng ký:
Đăng Nhận xét (Atom)
Không có nhận xét nào:
Đăng nhận xét