National flag carrier Vietnam Airlines and India's Innovation India on July 31 signed a memorandum of understanding (MoU) on collaboration in enhancing the two countries’ economic, investment, cultural, and tourism connections.

Under the MoU inked in New Delhi as part of a Vietnam-India business forum, the sides are scheduled to co-host the NAMASTE Vietnam Festival in late August in Ho Chi Minh City. This festival will feature trade, culture, and tourism workshops, along with art performances, providing a platform for business and community engagements between the two nations. Additionally, their partnership will support the production of the first joint India-Vietnam film titled "Love in Vietnam."

This cooperation is expected to deepen bilateral cultural understanding and ties as well as tourism and trade exchanges, creating new opportunities for Vietnamese and Indian businesses and investors.

Nguyen Chien Thang, Deputy General Director of Vietnam Airlines, stressed the importance of the Indian market for the airline and expressed his delight to partner with Innovation India to foster exchanges between the countries.

Besides operating direct flights, the carrier has been actively promoting Vietnamese tourism in India, he said, adding that it will expand its flight network, enhance service quality, and explore new cooperation opportunities with Indian partners.

At the event, Vietnam Airlines showcased its brand, service offerings, and networked with Indian firms.

To meet the growing travel demand between the two nations, the airline currently operates four weekly flights between Hanoi and New Delhi, three between Ho Chi Minh City and New Delhi, four between Hanoi and Mumbai, and three between Ho Chi Minh City and Mumbai.

A representative from Vietnam Airlines noted that with nearly 1,900 flights and 280,000 passengers served, the carrier has played a crucial role in promoting exchanges between Vietnam and India. This success is attributed not only to its efforts but also to the strong cooperation between the governments of the two countries, paving the way for future growth and development./.

Southeastern region needs better connectivity to boost foreign trade: workshop

The southeastern region boasts many advantages for developing production and trade, but it still needs to quickly improve trade promotion infrastructure, logistics, and the planning of concentrated material supplying zones to fully tap into local potential to boost import and export, heard a workshop held in Ho Chi Minh City on July 31.

Speaking at the event, Deputy Minister of Industry and Trade Phan Thi Thang said the southeastern region accounts for only more than 7% of Vietnam’s total area and nearly 20% of the country's population. However, it is a dynamic economic region playing an important role in national socio-economic development.

The region's import and export turnover reached 220.5 billion USD in 2023. The figure stood at 115.7 billion USD in the first half of this year, making up 31% of the country's total. Local products are now present in nearly 200 countries and territories, she noted

Thang said local infrastructure has been improved considerably in recent years, as seen in the construction of important projects such as Long Thanh International Airport, Terminal T3 of Tan Son Nhat Airport, Ring Road 3 of Ho Chi Minh City, and expressways.

At the same time, the region is also facing certain issues needing to be addressed such as the slow development of supporting industries, and unreasonable locations of processing and industrial zones. The region has yet to master high technologies, core technologies, or source technologies for key industries. Linkages among localities in the region and with other regions in trade promotion and development have not received due attention.

The Deputy Minister added that to make new and breakthrough progress in the capitalisation of the region's special position and role as well as its development potential and advantages, southeastern localities should step up science - technology application and connections in production chains while teaming up with one another in trade promotion and export - import activities.

Vice Chairman of the Ho Chi Minh City People’s Committee Nguyen Van Dung said that connectivity within the southeastern region is one of the top priorities that shhould be promoted to improve the region's competitiveness.

To effectively boost regional connectivity, the localities need to focus on developing key products, building cooperation mechanisms, upgrading transport infrastructure, developing logistics services, and supporting small- and medium-sized enterprises, he opined.

The official held that once the provinces and cities cooperate with one another, they will create a large domestic market, enabling enterprises to manufacture on a larger scale, reduce production costs, and improve product quality.

He added regional connectivity also helps to make the most of available resources, share experiences, and form efficient supply chains, thereby enhancing the position of local products in the international market./.

PM urges Vietnam, India to raise two-way trade to 20 billion USD

Prime Minister Pham Minh Chinh attended the Vietnam-India Business Forum in New Delhi on July 31, as part of his state visit to India, during which he proposed the two sides work together to raise two-way trade to 20 billion USD in the coming time.

Trade between Vietnam and India expanded from 200 million USD in 2000 to nearly 15 billion USD last year, of which 8.5 billion USD came from Vietnam’s exports.

Indian currently has 410 valid investment projects totaling 1.03 billion USD in Vietnam, ranking 25th out of the 146 nations and territories pouring capital into the Southeast Asian country, while there are 16 Vietnamese-invested projects in India with a total capital of over 14 million USD, excluding Vingroup’s investments.

PM Chinh emphasised that the five basic factors for successful and effective cooperation between the two countries’ businesses are the fine traditional bilateral relations and friendship; high political trust; an open market; similar culture, civilisation, and history, and shared ideas; and mutual aspirations to build a powerful, prosperous nation with rapid and sustainable economic development.

He told the participants that after nearly 40 years of ‘Doi moi’ (Renewal), Vietnam has become one of the 40 largest economies in the world, ranks among the top 20 trading nations, and the 32nd in the global top 100 for national brand value. Additionally, Vietnam has signed 16 free trade agreements (FTAs) with over 60 countries.

Regarding Vietnam’s socio-economic situation and investment environment, Chinh stated that the country’s investment and business climate is continuously improving. The United Nations Conference on Trade and Development (UNCTAD) has ranked Vietnam among the world’s top 20 host economies for foreign direct investment (FDI). Many reputable international organisations and experts continue to highly assess the results and outlooks of its economy.

Affirming that Vietnam identifies the foreign-invested sector as playing an important role, Chinh said the Government always encourages Indian businesses to expand investment cooperation in areas where India has strengths and Vietnam has high demand and priority, such as high technology, electronics, science and technology, artificial intelligence (AI), infrastructure development, renewable energy, new energies like hydrogen, biotechnology, innovation, high-tech agriculture, and pharmaceuticals.

Noting that the bilateral economic cooperation has yet to match its potential, the Vietnamese Government leader suggested Indian ministries, associations, and organisations support and promote dialogue and investment connections; act as a bridge between the governments and business communities of both countries; support Vietnamese businesses to expand their investment and operate effectively in India; and create favourable conditions for more Vietnamese goods to access the Indian market.

The Prime Minister also requested Vietnamese ministries, sectors, and localities to increase dialogue to address difficulties and obstacles faced by Indian investors in Vietnam; review and reform administrative procedures; reduce and simplify unnecessary ones; increase the use of digital technology; intensify decentralisation; lower compliance and input costs for citizens and businesses; and well prepare conditions and infrastructure to attract investment.

Based on the principles of "harmonious benefits and shared risks" and "what is said must be done, what is committed must be executed, and what is executed must yield measurable results", the Vietnamese Government is committed to listening to, supporting, and creating all favourable conditions for foreign investors in general and Indians in particular, ensuring that their investments and business operations in Vietnam are smooth, effective, and sustainable, affirmed Chinh.

At the forum, in the witness of PM Chinh, the two countries’ enterprises exchanged six cooperation agreements in the fields of aviation, tourism, culture, and pharmaceuticals.

On this occasion, Vietnam’s carrier Vietjet Air announced the launch of its new route from the central city of Da Nang to Ahmedabad (India) and welcomed its 200 millionth passenger.

The new route will start serving passengers from October. With this move, Vietjet now holds the most direct flights between Vietnam and India, with 56 flights per week through seven routes./.

Vietnam, Timor-Leste consolidate, develop trade ties

The state visit to Vietnam by Timor-Leste President José Ramos-Horta from July 31 to August 3 is expected to offer an opportunity for the two countries to discuss measures to boost cooperation, particularly in trade.

Vietnamese Ambassador to Indonesia and Timor-Leste Ta Van Thong said that since the two countries established diplomatic relations on July 28, 2002, the ties have witnessed notable development. In addition to cooperation and mutual support at regional and international forums, the two countries are also eying to promote trade ties.

According to the General Department of Vietnam Customs, in 2023, the bilateral trade turnover reached 15.9 million USD, of which, Vietnam's export turnover to Timor-Leste was 15.5 million USD.

In the first half of this year, the two-way bilateral trade reached 8.1 million USD, an increase of 24.5% over the same period in 2023. Of that, Vietnam's exports to Timor-Leste hit 7.4 million USD, an increase of 20.2% and imports reached 670,700 USD, up 108.4% year on year.

According to the Asia-Africa Market Department under the Ministry of Trade and Industry (MoIT), the bilateral trade in recent years has been mainly one-way, with rice exports from Vietnam to Timor-Leste accounting for more than 90%. However, the import volume of rice from Vietnam is modest, especially from 2021 – 2023 with the volume ranging from 8,000 tonnes to 15,000 tonnes.

In terms of investment, Viettel Telemor, an investment project of Vietnam’s Viettel Group in Timor-Leste, is assessed a successful one. Launched in August 2012, with an initial investment of 500,000 USD, the company has become one of the three largest telecommunications enterprises in Timor-Leste, with an investment of 15 million USD.

According to the ambassador, the Timor-Leste market still has a lot of potential for Vietnam's products such as rice, processed food, milk and dairy products, footwear, beverages, household products, electrical machinery and equipment.

Economic activities in Vietnam in the coming years will need more input products such as fuel, raw wood, raw seafood, minerals, and metals which are Timor-Leste’s potiential export items. The cooperation between Timor Leste and Vietnam will help both nations participate more deeply in regional and global value chains, Thong said.

Sharing the diplomat's opinions, at a meeting with Ambassador of Timor-Leste to Vietnam Maria Olandina Isabel Caeiro Alves, Minister of Trade and Industry Nguyen Hong Dien suggested the two sides study and promote the building of bilateral trade and economic cooperation mechanisms such as a joint committee for economic and trade cooperation or a joint subcommittee for trade.

Besides rice, the minister also asked the Timor-Leste side to introduce import contacts for Vietnam and promote the import of other items such as textiles, footwear, beverages, dairy products, canned foods, processed foods, agricultural products, and seafood.

Dien called on Timor-Leste to create favourable conditions for Vietnamese enterprises to invest and do business in this market.

He noted that the two countries also have huge potential for cooperation in oil and gas exploration and exploitation; forestry and mineral resources exploitation and processing, metal ores and non-ferrous metals, especially cooperation in producing export goods to countries with preferential treatment mechanisms.

For the two countries to have a basis to implement cooperation and investment activities and resolve arising issues in accordance with their laws and good relations, Dien suggested Timor-Leste soon ratify the bilateral trade agreement that the two countries signed in 2013 during the official visit to Vietnam by the President of Timor Leste so that the deal can be enforced.

For her part, Caeiro Alves said that the two countries are eyeing to promote cooperation in different areas, including agriculture, forestry and fishery, trade, education, tourism and aviation.

She added that the Government of Timor-Leste always creates favourable conditions to support investors in Timor-Leste and welcome Vietnamese enterprises to come and seek investment opportunities in this market.

Regarding bilateral agreements between the two countries' ministries and agencies, both sides hoped that they will soon reach consensus and sign the agreements in a bid to strengthen the bilateral cooperation./.

Dong Nai’s FDI attraction surpasses yearly target by 46%

The Dong Nai Industrial Zones Authority (DIZA) has reported a strong surge in the inflow of foreign direct investment (FDI) into the southern province of Dong Nai in the early months of 2024.

As of July 29, the IZs in the province attracted 55 new investment projects with a total capital of 627 million USD, while 67 projects added a total 392 million USD to their capital, bringing the total FDI in the seven-month period to 1.01 billion USD, surpassing the yearly target by 46%.

According to DIZA, Singapore was the leading foreign investor in Dong Nai's industrial zones over the past seven months, pumping 231.7 million USD into nine projects.

The authority noted that the new FDI projects licensed in the first seven months of 2024 primarily involved semiconductor manufacturing, electronic components, mechanical engineering, textiles, and production of pre-cast metal products.

During the same period, DIZA also granted licences for nine domestic investment expansion projects in industrial zones with an additional capital of nearly 1.4 trillion VND (55.5 million USD) and three new domestic projects with registered capital of over 1.5 trillion VND. The total domestic investment in Dong Nai's IZs in the first seven months of 2024 reached 2.9 trillion VND, also surpassing the annual plan by 46%.

Dong Nai currently has 33 established industrial parks covering a total area of over 10,500 hectares. Of these, 32 are operational, housing nearly 2,100 enterprises.

There are nearly 1,600 valid FDI projects in Dong Nai with total capital exceeding 34 billion USD. The top investing countries and territories are the Republic of Korea, China’s Taiwan, and Japan./.

Ho Chi Minh City’s CPI up 0.23% in July

The consumer price index (CPI) in Ho Chi Minh City in July rose by 0.23% from the previous month, the municipal Statistics Office said on July 31.

Out of 11 groups of products and services, seven experienced increases, with the most notable rise in the other goods and services category, meanwhile beverages and tobacco saw the strongest decline.

The office noted that in the reviewed month, food and dining services rose by 0.11%, contributing 0.03 percentage point to the overall CPI.

The transport group increased by 1.60%, contributing 0.15 percentage point to the overall CPI, primarily due to a 3.81% rise in gasoline prices following three price adjustments in July.

In contrast, the group of housing, electricity, water, fuels and building materials decreased by 0.10%, mainly thanks to a 0.68% drop in water prices and a 1.39% decrease in electricity prices.

Items that experienced price declines include transport vehicles, which fell by 0.44% due to adjustments in car prices, and spare parts. Culture, entertainment, and tourism group saw a 0.06% reduction.

The average CPI in the first seven months of this year rose by 3.29%, with 10 out of the 11 categories seeing price increases. The highest rise was seen in the group of medicines and healthcare services, at 7.78%, followed by education with 7.48%.

Prices of gold in July dropped 5.38% compared to June but escalated 15.1% year on year.

The US dollar fell by 0.01% month-on-month and increased by 7.02% year-on-year against the Vietnamese dong./.

Association urged to help with Vietnam-Cambodia trade, investment promotion

Vietnamese Ambassador in Cambodia Nguyen Huy Tang has urged the Vietnam-Cambodia Bussiness Association (VCBA) to promote its role in connecting and supporting Vietnamese enterprises that are operating in Cambodia or seeking business opportunities in the neighbouring country.

Speaking at a conference held by the VCBA in Phnom Penh on July 30 to review its performance in the fisrt half of this year and work out plans for the coming time, Tang hailed the association for its performance in promoting trade, investment and connection between Vietnamese and Cambodian enterprises.

He urged the association to convene its congress to perfect its organisation and operation, bringing together not only Vietnamese enterprises running business in Cambodia, but also those that want to invest in the country.

VCBA Permanent Vice President and General Secretary Heng LiHong said that the association, officially recognised by the Cambodian Ministry of Interior on January 30, has connected and maintained good relations with Cambodian leaders, while helping to promote the Vietnam-Cambodia trade.

It has also raised funds to repair schools, carried out charity activities, provided free medical examination and treatment for disadvantaged people in Cambodia, supported needy Khmer people in Vietnam, and responded to patriotic movements at home.

He said in the remainder of this year, the association will focus on maintaining the great solidarity among its members, expanding its membership, organising and participating in trade promotion events as well as supporting people of Vietnamese origin in Cambodia.

The association’s senior advisor Ly Thuch, who is also Senior Minister and the First Vice President of the Cambodian Mine Action and Victim Assistance Authority, believed that the association will serve as a forum that connects Vietnamese enterprises and investors in Cambodia and local authorities, as well as the international market./.

Plenty of room for Vietnam, India to boost trade cooperation: Experts

Since Vietnam and India established a comprehensive strategic partnership in 2016, two-way trade has increased 2.5fold to nearly 15 billion USD in 2023, while there remain great potential for investment and trade cooperation between the two countries.

According to experts, trade cooperation is an important pillar in the Vietnam-India relations with impressive achievements.

A representative of the Ministry of Industry and Trade (MoIT) said that India is currently Vietnam's leading economic partner in the South Asian region and the 8th largest trading partner in the world. Notably, trade with India accounts for about 80% of Vietnam's total trade turnover with South Asian countries, which has grown significantly.

The annual growth of Vietnam-India trade turnover expanded 17.3% in the 2011-2016 period and 12% in the 2017-2023 period. In the first half of 2024, the figure rose by 2% year on year to 7.18 billion USD.

Vietnam's main exports to India include computers and electronics, mobile phones and accessories, machinery and equipment, steel and other metals, chemicals, footwear, garments, rubber, and wood products. Meanwhile, Vietnam imports from India technical products, agricultural products, chemicals and pharmaceuticals, electronics, minerals, cotton and textiles, and plastics.

India consumed 50% of Vietnam’s total star anise export volume. In the 2022-2023 fiscal year, Vietnam supplied 32,650 tonnes of cinnamon to India, accounting for 80% of India’s total imports of this product.

India is Vietnam's fourth largest pepper market, consuming 6,813 tonnes worth 28 million USD, up 46.5% in volume and 90.6% in value.

In particular, with a large population, India has a huge market demand for cinnamon, star anise, and medicinal herbs.

According to the MoIT, trade between the two countries has yet to match the potential of the two sides.

The International Monetary Fund (IMF) forecast that Vietnam's GDP will expand nearly 6% in 2024. The good economic growth and macroeconomic stability are extremely important factors in attracting investment, facilitating production and business activities of Vietnamese and Indian enterprises.

In addition, Vietnam and India have launched direct flights between Hanoi, Ho Chi Minh City, Da Nang city and many Indian cities such as New Delhi and Mumbai with a frequency of nearly 50 flights per week, making it easier for people and businesses of Vietnam and India to travel to each other’s country.

However, the exports to India currently account for only 2.1% of Vietnam’s total exports to the world, while imports from India make up only 1.97% of the Southeast Asian country's total.

The MoIT advised businesses to increase the exports of processed fruits, fresh fruits, tea coffee, spices, cereals and nuts, and tra fish to India, and recommended Indian firms to supply more raw materials for textiles, footwear, components and spare parts for the mobile phone, electronics and mechanical manufacturing industries of Vietnam.

Nguyen Thi Thu Hien, Vice Chairwoman of the Indian Importers Chambers of Commerce and Industry (IICCI), held that in order to conquer the giant market of India, businesses should pay more attention to building trust and a long-term positive relationship with Indian partners./.

Huge room remains for stronger Vietnam – Hong Kong trade ties

There remain ample room and opportunities for Vietnamese enterprises to expand business and investment cooperation with partners in Hong Kong (China) which is always considered an extremely potential market for foreign firms, said insiders.

Hong Kong serves as a gateway for investment, trade, finance, and logistics connection between China and the region and the world through initiatives such as the “Belt and Road” and the “Guangdong–Hong Kong–Macau Greater Bay Area” (Greater Bay Area (GBA)). This is an important factor that will help promote economic relations between Vietnam and Hong Kong, as well as between ASEAN countries and East Asian and global economies.

According to Nguyen Van Quan, Chairman of the Institute for Economics and Trade Development (IETD)’s Management Council, Vietnam and Hong Kong have enjoyed a thriving bilateral cooperative relationship for years, with rising two-way trade.

The Ministry of Industry and Trade (MoIT)’s Asia-Africa Market Department cited statistics from the General Department of Vietnam Customs showing that Hong Kong has remained one of Vietnam's important trade and investment partners, with bilateral import-export turnover reaching 11.2 billion USD last year. Notably, Hong Kong is the 11th largest trading partner and the 6th largest importer of Vietnamese goods.

In the first half of 2024, the two-way trade totaled 6.6 billion USD, up 27% year-on-year, with Vietnam earning 6 billion USD from exports to Hong Kong, up 41.7%.

Vietnam's key export staples to this market include computers; electronic products and components; phones and components; other machinery, equipment, tools, and spare parts; cameras, camcorders and components; textiles and garments; precious stones and metals and relevant products; and aquatic products.

Owin Fung, Director of the Hong Kong Economic and Trade Office (HKETO), affirmed that Hong Kong has been a potential and reliable partner for businesses, especially Vietnamese enterprises intending to expand their operations abroad, explaining that Hong Kong not only offers a stable business environment but also helps Vietnamese businesses connect with other potential markets, including the nine cities in the GBA.

Hong Kong has also relaxed its visa policy in employing Vietnamese personnel as well as criteria for Vietnamese applying for multiple-entry visas for business and tourism purposes. This is an opportunity for Vietnamese firms to explore Hong Kong's market potential and utilise its position and advantages as an international hub.

Owin affirmed that Vietnam and Hong Kong can absolutely work together to turn the impossible into the possible, creating a springboard to elevate their cooperation to a new height.

At a meeting on investment promotion in the northern province of Nam Dinh, Harley Lei, Chairman of Kam Kiu Aluminum Group of Hong Kong, said the firm plans to build a factory producing aluminum accessories for electronic and smart devices, and automotive parts, with projected investment amounting to 100 million USD, which is scheduled to be completed in May next year.

To maximise cooperation opportunities and support the business community, experts suggested Vietnam and Hong Kong boost coordination in organising trade and investment promotion activities, introducing policies, and sharing experiences; and intensify cooperation in logistics activities in the region and the world.

The MoIT said Vietnamese businesses can access this market by actively participating in trade fairs and exhibitions in Hong Kong./.

Vietjet reports stronger-than-expected performance in H1

Vietjet Aviation Joint Stock Company (HOSE: VJC) has released its financial statement for the first half of 2024 (H1/2024), reporting record revenue growth.

In the first six months of 2024, Vietjet’s performance surpassed that of pre-pandemic 2019. The airline transported a total of 13.1 million passengers on 70,154 safe flights.

For the second quarter of 2024 (Q2/2024), Vietjet reported air transport revenue of 15.128 trillion VND (approx. 601 million USD) and a pre-tax profit of 517 billion VND (approx. 20.57 million USD), marking year-over-year growth of 23% and 683%, respectively.

Over the six-month period, cumulative air transport revenue reached 32.893 trillion VND (approx. 1.3 billion USD), up 31% year-over-year. Pre-tax profit for this period was 1.174 trillion VND (approx. 46.77 million USD), surging by 690% compared to the previous year.

Vietjet’s consolidated revenue for H1/2024 totaled 34.016 trillion VND (approx. 1.35 billion USD), with a consolidated pre-tax profit of 1.311 trillion VND (approx. 52million USD), representing increases of 15% and 433% year-over-year, respectively. The profit has even exceeded the H1/2024 target by 21%.

As of June 30, 2024, Vietjet's total assets amounted to over 91.755 trillion VND (approx. 3.65 billion USD). The airline’s debt-to-equity ratio remained at around 2, well below the global average of 5. Cash and cash equivalents by the end of Q2/2024 were reported at 4.1 trillion VND (approx. 163.18 million USD).

According to Saigon Ratings, an independent credit rating organisation, Vietjet has maintained a long-term credit rating of vnBBB- with a "stable outlook”. Given the airline’s remarkable recovery and proactive planning for the past two years, Vietjet is expected to make breakthrough developments faster and more sustainably in the medium to long term.

In H1/2024, Vietjet paid a total of nearly 3.69 trillion VND (approx. 146.78 million USD) in direct and indirect taxes and fees.

Vietjet operates more than 149 routes across Vietnam and internationally, including 38 domestic routes and 111 international routes.

Vietjet has launched new routes connecting Ho Chi Minh City with Xi'an (China), Phu Quoc with Taichung and Kaohsiung (Taiwan), and Ho Chi Minh City with Vientiane (Laos).

The airline has also announced the Nha Trang - Daegu route, which will commence operation in October 2024. It solidifies Vietjet’s position as the largest airline in terms of routes connecting Vietnam and the Republic of Korea after a decade of serving nearly 10 million passengers across more than 37 routes between the two countries.

Regarding the Asia-Australia transcontinental route, Vietjet has added two new routes from Hanoi to Melbourne and Sydney, bringing the total number of services between Vietnam and Australia to seven. This expansion enhances connectivity for travel, tourism, investment, trade, overseas study, and family visits. Together with the five routes from Ho Chi Minh City to the five largest cities in Australia, Vietjet now operates the most routes between Vietnam and Australia, with 58 flights per week.

Operating a fleet of more than 105 aircraft (including those of Vietjet Thailand) with the number of passengers growing annually, Vietjet is actively expanding its flight network intercontinentally, developing a new, modern, and environmentally friendly fleet.

Embracing a strategy and vision of building and developing aviation human resources of international standards, Vietjet Aviation Academy (VJAA) has become a training partner of the International Air Transport Association (IATA). In H1/2024, VJAA trained more than 43,000 students in 3,898 courses, including pilots and aircraft engineers (CRS). The academy also commissioned the third simulation cockpit, reinforcing its status as a leading international pilot training center in the region.

Vietjet has welcomed many trainees to study in a multinational working environment, providing them with knowledge and practical experience. The airline also accompanied universities in career orientation for students, introducing work opportunities at Vietjet.

Vietjet has pioneered research into the development and use of sustainable aviation fuel, eyeing to become a green airline that leads in technology and activities associated with sustainable development.

To support its expanding global flight network, Vietjet signed with Airbus an order for 20 new- generation wide body A330neo aircraft worth 7.4 billion USD at the Farnborough International Airshow in July 2024.

Vietjet was honored by the world's leading financial magazine International Finance as "Best Low-cost Airline in Southeast Asia" and "Best Finance-Management-Aviation-Vietnam"; "Best Ultra Low-cost Airline" and "Best Low-cost Airline Onboard Hospitality” by AirlineRatings; and was in Forbes’ top 50 best-listed companies in Vietnam in 2024.

2024 also marks the airline’s new milestone of comprehensive development with its expansive mid-range international network, being ready to meet domestic transport demand while further preparing for additional international routes./.

Viettel Global reports profit of 1.2 trillion VND in Q2 2024

Viettel Global (UPCoM: VGI) reported a net profit of over 1.2 trillion VND (47.5 million USD) for the second quarter of 2024, with net revenue increasing by 27%.

This marks the tenth consecutive quarter of growth compared to the same period in 2023 and is the highest quarterly revenue ever recorded by the corporation.

The figures were derived from Viettel Global's consolidated financial report for Q2 2024. Specifically, revenue from sales and service provision reached nearly 8.7 trillion VND, a 27% increase compared to Q2 2023 and nearly five times the global telecommunications growth rate of 6% (according to GSMA).

In the second quarter, all nine markets exhibited high growth, with Lumitel in Burundi increasing by 32%, Unitel in Laos by 30%, Movitel in Mozambique by 23%, Mytel in Myanmar by 21%, Natcom in Haiti by 18% and Telemor in East Timor by 15%.

The electronic wallet companies also showed impressive growth, with M_mola (Mozambique) increasing by 136%, U-money (Laos) by 53%, Halopesa (Tanzania) by 35% and Lumicash (Burundi) by 25%.

In May 2024, Movitel (Viettel in Mozambique) rose to the number one market share position, marking the seventh market where Viettel Global holds the leading position. In 2024, the corporation aims to maintain a double-digit growth rate, with traditional telecommunications growing by over 10% and non-telecommunications services growing between 20-30%.

Viettel Global is pursuing a strategy of expanding its business both in depth and breadth. In depth, to ensure sustainable and effective development, Viettel Global maintains its number one position and continues to expand new services in markets such as data centres, cloud services, electronic wallets and digital services for governments and citizens. In breadth, at the invitation of various countries, Viettel Global continues to survey new markets to seek investment and business opportunities./.

Inventory reduction sending out recovery signs for industrial production

Vietnam’s industrial production is seeing positive signs for recovery as the consumption index of the entire processing and manufacturing sector increased and the inventory index reduced in the first half of this year.

According to the Ministry of Trade and Industry (MoIT), the consumption index grew by 10.8% year-over-year, and the inventory one in the six months was 76.9%, as compared with the 83.1% recorded in the same period last year.

In the northern province of Nam Dinh, although the consumption index of the processing and manufacturing industry dropped by 3.19% year-on-year, some industries experienced increases, including textile (16.44%), and garment (18.66%). Meanwhile, its inventory index had contracted by 6.52% as of June 30.

Vinh Phuc also saw its inventory index decline by 11.79% year-on-year. Industries with decreased inventory indexes included textile (10.31%), unclassified machinery and equipment manufacturing (15.67%), the production of leather and related products (1.22%), and rubber and plastics production (4.64%).

Economists believed those signs, together with the recovery momentum and stable macroeconomic situation, will create growth momentum for the remainder of the year.

To further remove difficulties for industrial production, experts said it is necessary to maintain macro-economic stability, control inflation, consolidate confidence among people and businesses in production and business activities, prioritise credit management in production and business sectors that would create growth motives, control forex rates appropriately, and enhance the adaptability, resilience and safety of the financial and banking system.

Production and business facilities need to keep tabs on market developments to expand operations and find new customers, strengthen production - consumption chains, and ensure the inventory-consumption balance.

Pham Tuan Anh, Deputy Director of the Department of Industry under the MoIT, said it is important for associations and industries to strengthen connectivity between enterprises and promote the consumption of each other's products.

He also urged enterprises to keep restructuring themselves and reducing production costs to enhance their competitiveness, and flexibly adapt to market developments./.

Seven-month retail sales of consumer goods, services up 8.7%

Vietnam’s total retail sales of consumer goods and services saw a year-on-year increase of 8.7% to 3.6 trillion VND (143.3 million USD) during January – July, the General Statistics Office (GSO) said.

Revenue from retail sales of goods was estimated at 2.8 trillion VND, accounting for 77.3% of the total and up 7.4% year-on-year. Sales of food and foodstuffs rose by 10.7%, household appliances and tools 11.1%, garment 9.1%, vehicles (except cars) 3.4%, and cultural and educational products 11.2%.

In July alone, the total retail sales of consumer goods and services reached 528.3 trillion VND, surging 9.4% compared to the same period last year.

Localities posting an increase in the retail sales of goods in January-July included Quang Ninh (10.2%), Da Nang (7.8%), Can Tho (7.6%), Hanoi (6.6 %), and Ho Chi Minh City (6.3%).

Revenue from accommodation and catering services totaled 419.2 trillion VND, up 15.2% year-on-year, while tourism and travel services earned 35.2 trillion VND, rising 31.8%.

The GSO said favourable visa policies and tourism stimulus programmes have proven effective, helping lure nearly 1.15 million international visitors in July, up 10.9% year-on-year, and nearly 10 million in the seven months, up 51%.

Strong rise in tourism revenue was seen in several localities during January-July, including HCM City (42.2%), Da Nang (38.6%), Can Tho (33.7%), Hanoi (29.7%), Quang Ninh (21%) and Binh Duong (18.5 %). Meanwhile, revenue from other services stood at 370.2 trillion VND, a year-on-year rise of 9.4%.

To stimulate consumption, localities are stepping up the implementation of trade promotion solutions. The Hanoi Department of Industry and Trade has organised the July Sale Promotion Fair from July 26-30 with discounts of up to 100%. Visitors to the event can sample goods and take part in various gameshows and lucky draw activities, which aimed at stimulating demand and offering opportunities for them to experience and purchase quality products at preferential prices.

In HCM City, from the beginning of August, the municipal Department of Industry and Trade will organise mobile sales trips to serve low-income workers in industrial parks and export processing zones - the group of customers who have little opportunity to regularly access shopping in supermarkets, where major promotional programmes take place.

To ensure the supply of essential goods and boost the domestic market in the remaining months, the GSO suggested the Ministry of Industry and Trade (MoIT) further review, amend and perfect legal documents regarding state management of the domestic market.

The MoIT should continue its coordination with other ministries, agencies and localities in monitoring market developments, and providing consultations in price management, it said./.

Business guide launched to support Mexican investors in Vietnam

The Western Mexican Business Council for Foreign Trade (COMCE Occidente), the Vietnamese Embassy in Mexico and the Mexico's National Bank of Foreign Trade (Bancomext) on July 29 launched a business guide to support Mexican enterprises interested in the Vietnamese market.

The 13-chapter document consists of information on Vietnam's economy and foreign trade, updates on bilateral trade, potential sectors and products, useful tools related to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), as well as contacts in Vietnam.

Speaking at the event, President of COMCE Occidente Miguel Ángel Landeros emphasised that the document provides valuable and practical information related to the business environment in Vietnam, while highlighting opportunities, challenges, and the most suitable methods to enter and expand business activities in the country.

He said that the relations between Mexico and Vietnam are being strengthened in all areas, and their trade ties will continue to grow strongly as both countries are members of the CPTPP.

Mexican Ambassador to Vietnam Alejandro Negrín said that as the CPTPP has come into effect, the business guide will further support Mexican businesses in exporting or expanding operations in the Vietnamese market.

For his part, Vietnamese Ambassador to Mexico Nguyen Van Hai affirmed that bilateral trade still has a lot of room for further development, especially as the two are large markets and have many similarities, with many products and industries complementing each other.

According to the Vietnam Trade Office in Mexico, bilateral trade turnover reached 3.1 billion USD in the first half of this year, up 22% over the same period last year, of which Vietnam’s exports to Mexico was worth 2.64 billion USD./.

Electricity, renewable energy - a spearhead sector of Petrovietnam

The Vietnam Oil and Gas Group (Petrovietnam) is striving to raise its total installed power capacity to 8,000-14,000 MW by 2030, which is projected to account for 8-10% of the country’s combined capacity by 2045, under its revised strategy.

Meanwhile, renewable energy is expected to make up 5-10% of the group’s accumulative electricity capacity by 2030 and 10-20% by 2045.

The group has identified power industry as a key sector in national industrialisation and modernisation, and one of its main five business fields. Therefore, in 2001, it began to invest in Ca Mau Thermal Power Plants 1 and 2. In 2007, it established PetroVietnam Power Corporation (PV Power) and management boards tasked with monitoring the investment and operation of power projects as assigned by the Government.

The operation and maintenance work for the group's gas, hydroelectric and coal-fired power plants has been running smoothly, while due attention has been paid to management over investment and construction of power plants.

Petrovietnam is proud to be the second largest electricity producer, and the biggest gas-fired electricity producer nationwide, with four plants in gas power, three in coal power and two in hydro power, with a combined installed capacity at about 6,605 MW, equivalent to 8% of the national capacity. The group accounts for 10-12% of national electricity output, contributing to ensuring national energy security, especially during dry seasons.

To fulfill its mission of becoming a leading energy group of the country and the region as well, which catches up with new development trends, Petrovietnam has been working to improve efficiency and professionalism in the operation, production and business of its power plants.

In 2020, the group completed a project on the establishment of a unit - the Petrovietnam Power Generation Branch (PVPGB), in charge of managing power plants invested by Petrovietnam in order to maximise resources in terms of personnel, experience and materials.

Currently, the PVPGB is performing the tasks assigned and authorised by Petrovietnam. Besides, with the huge assets under its management, and a contingent of more than 1,000 officials, engineers and skilled labourers, PVPGB is expected to play a crucial role in the group’s ecosystem.

Petrovietnam's electricity and renewable energy industry has enough and highly qualified human resources who can ensure safe operation of plants as well as the maintenance work.

The group is promoting the research and development of gas power projects, prioritising the use of domestic gas and imported liquefied natural gas. In addition, it aims to optimise existing infrastructure to boost renewable energy development, especially offshore wind and solar energy for electricity generation.

The Petrovietnam Technical Services Corporation (PTSC), a member of Petrovietnam, and its Singaporean partner Sembcorp Utilities Pte Ltd in August 2023 were granted a survey licence and a letter of intent to carry out the steps related to a project on developing offshore renewable energy in Vietnam and exporting clean electricity to Singapore.

The granting took place in the presence of Prime Ministers Pham Minh Chinh and Lee Hsien Loong as part of a conference to promote investment cooperation projects between the two countries.

The Vietnamese Ministry of Natural Resources and Environment (MoNRE) handed over a decision approving the monitoring, investigation, surveying, and assessment of marine resources to PTSC. Meanwhile, the Singaporean Ministry of Trade and Industry presented a letter of intent approving this project to Sembcorp.

The moves enabled the two enterprises to take the next steps in their offshore renewable energy project in Vietnam to export clean electricity to Singapore.

With this licence, PTSC is currently the first and only investor in Vietnam to have been permitted by the MoNRE to monitor, investigate, survey, and assess marine resources to develop offshore wind power.

Petrovietnam has also seen energy transition as a target and a compulsory task on the path towards the key energy group of the national economy that guides enterprises in other economic sectors.

Therefore, in 2019, it began building relevant plans and roadmaps, and working together with its member units to make thorough preparations for the energy transition process by producing and using alternative renewable energy sources./.

ASEAN Online Sale Day 2024 to open in August

The ASEAN Online Sale Day 2024, the largest shopping festival in the region, will official kick off on August 8, the Vietnam E-commerce and Digital Economy Agency (iDEA) under the Ministry of Industry and Trade (MOIT) has announced.

The 3-day event will be held at http://onlineasean.com, providing a unique platform for businesses and consumers across ASEAN to access special offers and unique products from all the 10 member countries.

It is set to feature major e-commerce platforms such as Lazada and Shopee, with TikTok and Amazon making their debut and being expected to enhance the event's appeal and reach.

According to the department, this year’s event will focus on two main activities: domestic shopping and cross-border shopping. This dual approach aims to offer consumers a diverse shopping experience while opening up new export opportunities for ASEAN businesses through e-commerce platforms.

The event is designed not only to boost sales and enhance brand visibility for participating companies but also to play a crucial role in connecting and developing ASEAN economies through digital platforms.

With strong participation from both businesses and consumers, ASEAN Online Sale Day 2024 is anticipated to drive significant growth in regional e-commerce, contributing to economic growth and fostering sustainable cooperation among the ASEAN member states./.

Seventh-month state budget revenue nears 70% of yearly projection

The state budget revenue in the first seven months of this year was estimated at 1.18 quadrillion VND (46.69 billion USD), equivalent to 68.9% of the yearly projection and up 14.6% year-on-year.

In July alone, the value stood at 150 trillion VND, the General Statistics Office said on July 29.

Meanwhile, the state budget spending was 152.6 trillion VND in the month, and 948.3 trillion VND in the January-July period, equivalent to 44.7% of the yearly projection, and a year-on-year rise of 0.6%.

Hanoi’s seven-month state budget revenue reached 337.2 trillion VND, up 24.7% from the corresponding period last year, with state-owned enterprises contributing 54.2 trillion VND, and non-state firms, 70.2 trillion VND./.

Vietnam Airlines receives Boeing 787-10 dreamliner

National flag carrier Vietnam Airlines took delivery of its fifth Boeing 787-10 on July 31, making it a total of 30 wide-body aircraft in its fleet.

The move aims to help the airline to better meet passengers’ increasing demand during the peak summer travel season.

As the largest member of the 787 family, the Boeing 787-10 is the most modern and largest aircraft used in Vietnam at present. With a length of more than 68m, including 24 business-class seats and 343 economy-class seats, the Boeing 787-10 carries 15% more passengers and cargo compared to the Boeing 787-9.

According to the airline, its wide-body aircraft mainly operate on international routes, connecting Vietnam to Northeast Asia, Europe, Australia, the United States, as well as on domestic routes between Hanoi and Ho Chi Minh City.

Vietnam Airlines now has nearly 100 aircraft, including five Boeing 787-10, 11 Boeing 787-9, and 14 Airbus A350.

As of July, the total number of aircraft of Vietnamese airlines with an air operator certificate (AOC) stood at 195, marking a drop of 36 compared to the same period last year, according to statistics from the Civil Aviation Authority of Vietnam.

Of the total, the number of commercial aircraft utilised by the airlines was 167, an annual decline of 51.

Last year witnessed the ratio of operating aircraft among those with AOC reach 94.4%. However, this rate has dropped to 85.6% this year due to the recall of engines.

Specifically, as of July Vietnam Airlines had 96 aircraft, a drop of six compared to last year’s corresponding period. Of those, the carrier is utilising 82.

Vietjet Air is currently operating 73 out of its 85 aircraft, Bamboo Airways is operating eight out of its nine aircraft, while Vietravel Airlines is operating its three aircraft.

Top three importers of Vietnamese agro-forestry-fishery products

The United States, China, and Japan continued to make up the three largest importers of Vietnamese agro-forestry-fishery products in the first seven months of the year, according to the Ministry of Agriculture and Rural Development (MARD).

Statistics show shipments to the US accounted for 21.1% of the total and grew by 21.6% year on year, whilst those to China made up 20.5% of the total and secured 11.3% growth. Shipments to Japan represented 6.6% of the total with growth of 4% year on year.

Between January and July, Vietnam racked up a trade surplus of US$9.42 billion from agro-forestry-aquatic exports, marking an annual increase of 60%.

The country earned US$34.27 billion from agro-forestry-aquatic exports throughout the reviewed period, up 18.8% year on year.

The initial seven months of the year saw businesses ship abroad US$18.21 billion worth of agricultural products, up 23.4%; US$9.41 billion of forestry products, up 21.1%; and US$5.29 billion of aquatic products, up 7.3%.

Almost all key export items enjoyed high growth, including timber and wood products (US$8.7 billion, 21.9%); coffee (US$3.5 billion, 30.9%); rice (US$3.2 billion, 25.1%); cashew nuts (US$2.3 billion, 22.1%); fruits and vegetables (US$3.8 billion, 24.3%); and shrimp (US$1.02 billion, 7.1%).

Most notably, several items witnessed a significant increase in the average export price, including rice (US$632 per tonne, up 18.2%); coffee (US$3,669 per tonne, up 51.7%); and pepper (US$4,665 per tonne, up 45%).

Exports to the Asian market were up 16.9% to US$16.3 billion. Elsewhere, exports to the Americas increased by 20.5% to US$7.9 billion, whilst exports to the European market saw a rise of 29.6% to US$4.2 billion.

Vietnamese fruit and vegetable exports are on the rise and are anticipated to bring in more than US$7 billion this year.

Dang Phuc Nguyen, general secretary of the Vietnam Fruit and Vegetable Association, says that Vietnamese farm produce boasts a good food quality which is favoured by many markets.

In addition, local businesses have shown a trend of taking full advantage of opportunities from signed free trade agreements and other legal documents in a bid to further penetrate more markets in the coming time.

Source: VNA//VNS/VOV/SGGP/VGP