Vietnam news in English for foreign firms doing business in Vietnam

This week’s Vietnam news roundup covers consumer bank deposits, an update on the Mercedes-Benz plant in HCMC, Vietnam’s latest GDP forecasts, and more…

EVN Reports 10.9 percent increase in power output from January to September 2024

the-shiv October 8, 2024

The bulk of this power has been produced by burning coal which accounted for 49.6 percent of Vietnam’s electricity supply in the third quarter of the year, though notably this was down from about 57 percent in the first half of the year…

‘Destination Vietnam’ campaign kicks into gear with Directors Guild of America event

the-shiv October 8, 2024

Of note, however, is that the business environment in Vietnam has changed significantly in terms of regulatory oversight and censorship, both of which have proven key obstacles for foreign studios looking to make films in Vietnam…

German fitness chain Fit24 halts operations in Vietnam, reasons unclear

the-shiv October 8, 2024

Of note, Opening a gym in Vietnam for foreign firms or individuals, however, is not always easy. Not only are there several technical and licensing requirements that need to be met, but Vietnam has also developed its own very distinct gym culture. This can take a little getting used to and may make penetrating Vietnam’s gym-going consumer class challenging…

Vietnam’s floriculture market set to reach US$3.4 billion by 2032

the-shiv October 8, 2024

The sector’s growth can be attributed to increasing demand for flowers and ornamental plants, both domestically and internationally. Vietnam’s floriculture industry has gained recognition for its diverse range of high-quality flowers, with expanding export opportunities and rising consumer interest in ornamental plants driving further development.

Paying For Vietnam’s High-Speed Rail: Unpacked

the-shiv October 8, 2024

Vietnam’s Transport Ministry has said that Vietnam’s high-speed railway project connecting Hanoi and Ho Chi Minh City will utilise domestic finances and technology, as opposed to support from abroad. It is, however, expensive and financing it alone will be challenging.

Top 10 Vietnam securities firms gain 2.67 percent market share Q3 2024

the-shiv October 7, 2024

The biggest improvement belonged to Viet Cap Securities which saw a 1.46 percent increase in its market share with the biggest fall belonging to VNDirect which lost .76 percent. However, Vietcombank Securities Company dropped out of the top ten altogether and therefore how much its share changed is unknown. Of note, FPT Securities moved in to take Vietcombank Securities’ place…

Thailand launches anti dumping probe into steel from Vietnam

the-shiv October 7, 2024

This adds to a growing list of investigations into steel import from Vietnam that includes South Korea, India, and the European Union and comes as cheap Chinese steel floods markets around the world. Of note there has been some suspicion that Chinese steel makers may be using Vietnam as an intermediary to circumvent trade tariffs in other countries on their own steel products…

Tien Phong Commercial Bank: Vietnam Stock Overview

the-shiv October 7, 2024

TPBank’s net interest income increased by 14.2 percent, aligning with the broader trend seen across banks like VPBank, HDBank, and VietinBank, which also experienced significant growth in net interest income. This increase was driven by a stable macroeconomic environment and recovering credit demand, contrasting with 2023’s challenges when deposit interest costs exceeded lending income.

Vietnam’s VN-Index loses .67 points, foreign traders net sell US$13.6 million in stocks, Monday

the-shiv October 7, 2024

The Vietnam Stock Market Tracker provides a daily update of the latest developments in the stock market in Vietnam. This includes all of Vietnam’s most important indexes as well as the buying and selling activity of foreign traders, and the biggest gainers and losers for the day.

Vietnam C.Bank raises dong reference rate again, Monday

the-shiv October 7, 2024

This Vietnamese Dong Tracker records the latest news and developments with respect to the local currency. It includes the current prices as well as State Bank of Vietnam monetary policy and open market operations including treasury bill issuances and interbank lending.

Vietnam’s outbound investment still sluggish in September 2024

the-shiv October 7, 2024

Vietnamese investors had launched 105 new projects and adjusted investment capital 18 times for the year to Septemberty. While the mining sector remained dominant, its share of investment dropped from 39.8 percent in August to 33 percent in September. Meanwhile, the electricity production and distribution sector accounted for 13.2 percent of total capital invested.

Vietnam Industrial Production Index Tracker: September Update [data set]

the-shiv October 6, 2024

Vietnam’s industrial production index in September 2024 saw a significant increase of 10.8 percent compared to the same period last year, driven by growth in key sectors like processing and manufacturing. The processing and manufacturing industry experienced a robust increase of 13.1 percent, while electricity production and distribution grew by 6.4 percent. The water supply, waste management, and wastewater treatment sector saw the largest rise, increasing by 15.2 percent.

Vietnam’s GDP growth hits 7.4 percent in Q3 2024 [with table breakdown]

the-shiv October 6, 2024

Vietnam’s GDP grew by 7.4 percent in the third quarter of 2024 compared to 2023, according to data from the General Office of Statistics. A total of 4.08 percent of Vietnam’s GDP this year has come from the forestry and fishery sector; with industry and construction accounting for a further 48.88 percent and the service sector accounting for the remaining 47.04 percent.

Vietnam CPI Tracker: September Update [data set]

the-shiv October 6, 2024

Vietnam’s Consumer Price Index slowed in September over August recording an increase of just 2.63 percent compared to August’s 3.45 percent. Overall CPI remained steady at 4.04 percent safely within the government’s target range for the year of between 4 and 4.5 percent. Core inflation, meanwhile, was hovering at 2.54 percent over September last year…

Vietnam FDI Tracker by Sector: September Update [data set]

the-shiv October 6, 2024

Vietnam added another 245 foreign direct invested projects to its 2024 tally in September, along with just over US$4.25 billion in additional capital commitments, according to data from Vietnam’s Ministry of Planning and Investment. The biggest gains were in manufacturing and processing which added 73 new projects and US$1.47 billion.

Vietnam FDI Source Country Tracker: September Update [data set]

the-shiv October 6, 2024

Singapore is the leading foreign direct investor in Vietnam for this year initiating 339 new projects and registering US$7.35 billion in capital. The tiny island state leads with more than doubly the registered capital of second place China, according to data from the Ministry of Planning and Investment. Foreign direct

Vietnam Prosperity Commercial Bank: Vietnam Stock Overview

the-shiv October 6, 2024

Notably, VPBank’s bad debt ratio is higher than many other banks, largely due to its high-risk business model. Unsecured loans and real estate made up 20 percent and 22 percent of its total credit, respectively…

AMRO lowers ASEAN growth forecast on Vietnam, Indonesia downward revisions

the-shiv October 6, 2024

ASEAN+3 Macroeconomic Research Office–AMRO–has lowered its growth forecast for the ASEAN region from 4.8 percent to 4.7 percent after revising down the GDP growth forecasts of Vietnam and Indonesia by a tenth of a point each, according to the body’s ASEAN+3 Regional Economic Outlook Update, October 2024. “The sharp but

Vietnamese consumer bank deposits continue to climb

the-shiv October 3, 2024

Of note, over the last two years in the wake of a broader economic downturn brought on by higher interest rates in key export markets and the near-collapse of Vietnam’s real estate market, everyday Vietnamese have turned to saving rather than spending their excess income. This is problematic in that local consumption has been an important growth driver over the last decade or so. Retail sales, month on month, however, have been more or less stagnant since the beginning of the year. This latest data from the SBV suggests this could last a while longer…