The Mekong Delta province of Dong Thap has achieved a significant milestone with its first-ever export of 15 tonnes of lotus root to Japan.

The exported lotus roots underwent a meticulous cultivation process lasting 135 days, followed by slicing and flash-freezing at minus 25 degrees Celsius using IQF technology to ensure freshness and quality for the Japanese market.

Nguyen Minh Thien, Director of the Dai Viet Lotus Food JSC's factory responsible for the export, highlighted the stringent regulations involved, including testing soil, water, and air samples from the cultivation area, along with thorough inspection of the processing facility.

He said the Japanese partner has expressed interest in importing an additional 8 containers of lotus root this year, valued at roughly 7 billion VND (291 million USD).

This success story adds to Dong Thap's already impressive export performance. In the first four months of 2024, its export turnover surpassed 700 million USD, reflecting a remarkable 37.2% growth compared to the same period last year. Processed seafood, rice, shrimp crackers and apparel remain leading export products.

Vo Phuong Thuy, Director of the provincial Department of Industry and Trade, revealed a positive trend in export value for most local products. Rice emerged as the top earner with a value exceeding 300 million USD, showcasing a staggering 149% year-on-year increase and already topping 90% of the 2024 annual target. Processed seafood and apparel followed closely, generating over 185 million USD and 65 million USD, respectively./.

Taiwanese firms highly evaluate Hai Phong’s business environment

The Hai Phong Economic Zone Authority (HEZA) on May 23 organised an investment promotion conference with the Taiwan Electrical and Electronic Manufacturers' Association (TEEMA) with the participation of leaders from nearly 50 businesses operating in the electronic manufacturing, high-tech and semiconductor industries.

As the largest business association of Taiwan (China), the TEEMA brings together more than 3,000 members.

Chairman/CEO at Wieson Technologies Co. Ltd. Chen Hung Chin, head of the Taiwanese delegation, emphasised that TEEMA member enterprises are operating in different spheres, mainly electronics, and their combined revenue makes up about 56% of industrial production value in Taiwan.

This is the third time the association has organised such field trip to the northern port city of Hai Phong to scope out its investment climate, he said, noting that Taiwanese firms highly evaluate the local business environment.

Le Trung Kien, Head of HEZA, said Hai Phong has been an investment destination for many big Taiwanese groups, and expressed his hope that their leaders will step up investment promotion activities in the city, and that TEEMA will coordinate with the authority in organising a large-scale investment promotion conference in Taiwan in September.

Kien briefed the Taiwanese side on Hai Phong’s potential, advantages, and its synchronous, modern seaport, expressway, railway and airport infrastructure that has facilitated its international integration.

Over the past years, Hai Phong has remained on the list of the leading localities in foreign direct investment (FDI) attraction, about 2.5 billion USD each year, he continued.

According to HEZA, Hai Phong has lured more than 960 FDI projects worth over 31 billion USD from 42 countries and territories so far, of them 65 are invested by Taiwanese investors with total registered capital of over 2 billion USD.

Taiwanese enterprises have significantly contributed to the city’s export turnover with nearly 2 billion USD last year, and job generation there./.

Binh Duong hosts warehouse, automation solutions exhibitions

The Vietnam Warehousing & Automation Show 2024 and the Cold Chain & Refrigeration Exhibition (The CO-REF Vietnam) kicked off in the southern province of Binh Duong on May 23.

Organised by the provincial administration in collaboration with the World Trade Centre in Binh Duong New City (WTC), the events bring together over 100 international and Vietnamese brands showcasing advanced technologies, as well as seeking effective solutions for warehouses, automation, and cold supply chains to meet the demand of goods preservation.

The exhibitions also introduce businesses that are comprehensively developing a logistics value chain, particularly in warehouse management, and temperature-controlled logistics supply chain management, especially in the frozen food industry. They also showcase the latest equipment and technologies designed to optimise logistics activities of enterprises.

Statistics show that Binh Duong’s logistics sector grows by 10% each per year. Its modern logistics system currently serves thousands of domestic and foreign businesses. Binh Duong is said to have the necessary conditions and potential to become a logistics hub in the region.

According to the provincial Department of Industry and Trade, solutions for warehouse management, automation, and the cold storage industry are very necessary as they are fields in great demand in the industrial locality.

The exhibitions offer a good chance for local businesses and enterprises, manufacturers, and investors in Vietnam to seek potential partners and suppliers, thus opening up new trade and investment promotion opportunities in the future./.

Vietnam furniture fair to gather together best Southeast Asian producers

The second Vietnam ASEAN International Furniture & Home Accessories Fair (VIFA ASEAN) will be held in Ho Chi Minh City from August 27 to 30 to showcase the best modern and traditional furniture, furnishing, home décor, and handicrafts from across the Southeast Asian region.

Addressing a press conference in Ho Chi Minh City on May 23, Tran Ngoc Liem, director of the Vietnam Chamber of Commerce and Industry (VCCI)’s Ho Chi Minh City Branch, noted that fair is an important trade promotion event for businesses keen to introduce new products and technologies in wood production and processing.

The fair will also provide an opportunity for business to seek partners, expand export markets, and join global supply chain, he added.

VIFA ASEAN 2024 will have 1,000 booths set up by more than 300 exhibitors from 11 countries and territories worldwide.

Products on display will include indoor and outdoor furniture, home decoration and handicrafts, machinery, equipment, accessories, and tools for the wood processing and handicrafts industries.

The fair was first held in 2023, featuring nearly 200 exhibitors across 600 booths. Thousands of Vietnamese and foreign visitors participated in the event last year, and the figure is expected to double in this year’s fair.

Vietnam and the RoK enhance logistics service linkages

The Ministry of Industry and Trade (MoIT) in collaboration with partners from the Repulic of Korea (RoK) hosted a seminar on May 23 to strengthen connectivity between Vietnamese and Korean logistics enterprises.

Addressing the event, Tran Thanh Hai, deputy director of the Import-Export Department under the MoIT, emphasised that the RoK is currently the largest Vietnamese foreign investor and third largest trading partner behind China and the United States.

The two countries also aim to swiftly achieve the goal of raising bilateral trade turnover to US$150 billion by 2030.

Hai highlighted the logistics service industry’s contributions to the burgeoning trade exchanges between the two countries by over recent years, emphasizing that Vietnam always considers the RoK an important partner in its logistics development strategy.

According to the official, the two countries’ logistics associations have devised solutions to optimise logistics activities in order to save costs and time, maintain stable supply chains, and enhance the overall competitive capability for businesses in each country.

Meanwhile, Ngo Khac Le, deputy general secretary of the Vietnam Logistics Business Association, stressed that improvements made in the overall quality of logistics services has provided the basis for developing trade activities between the two countries.

For his part, Kim Seok Goo, general director of Pyeongteak Port of Gyeonggi province, introduced delegates to the robust growth of the RoK’s logistics industry, adding that Pyeongteak port is one of three major ports in the RoK and also a key maritime trade port connecting with Japan and Southeast Asia, including Vietnam.

At the event, delegates discussed the difficulties, new trends, and solutions for turning logistics services into an industry that can bring highly-added value moving forward.

Opportunities there for businesses embracing strong ESG practices

Investing in Environmental, Social and Governance (ESG) involves effort, but the rewards for businesses which embrace it, make those investments worthwhile, attendees at a conference on ESG in Hà Nội on Thursday were told.

Speaking at the conference, Nguyễn Thị Bích Ngọc, Deputy Minister of Planning and Investment said while economic growth remains a primary objective for every country, prioritising green and sustainable development is increasingly seen as essential for achieving, not just economic prosperity, but also environmental preservation and social justice.

"ESG is also becoming a prerequisite for investors when funding any project or business in Việt Nam," Ngọc said.

The MPI, coordinating with USAID, recently announced the '2024 ESG Initiative' for a second year to help the Vietnamese business community seize new opportunities in the green transformation.

“Under this initiative, we aim to promote sustainable practices in the private sector to conduct business sustainably and work within an ESG assessment framework to measure factors related to sustainable development and the impacts of business activities on the community.

"We look forward to receiving the support and participation of the Vietnamese business community for the implementation of ESG,” she said.

Lê Trọng Minh,VIR's editor-in-chief said: “Achieving growth is in itself a big challenge, but many believe doing it while complying with ESG directives is even more difficult due to the perceived cost increase and strict requirements affecting profits and competitiveness.

“In fact, applying ESG criteria doesn't have to be a costly affair. Numerous firms have realised that this is an opportunity to deploy a sustainable business model. Expansion opportunities for businesses that are successful in applying ESG standards are becoming more frequent. ESG itself has become a new growth driver for those who quickly understand and comply with the new rules.”

A recent study found that businesses with higher ESG ratings achieve better financial results, along with 35 per cent higher profit-to-equity ratios and 20 per cent higher business valuations than those with lower ratings. That means ESG can turn compliance responsibilities into greater value while helping realise the sustainable development goals of the Vietnamese Government.

The 2022 ESG report for Việt Nam, published by PwC, reveals that 80 per cent of companies who took part in the survey, plan to embrace ESG practices within the next two to four years. Economic experts emphasised that adopting ESG, alongside sustainable business models and green growth, is not just a trend but a mandatory requirement. Many of Việt Nam's key trade and investment partners already impose strict criteria in this regard.

Matthew Smith, Research Director at Yuanta Vietnam Securities Company said that in the current investment landscape, ESG factors are no longer optional, but essential. Companies upholding higher ESG standards are perceived more favourably, as investors consider them to be better managed and more attuned to potential risks and opportunities. Such companies find it easier to attract investment, as capital markets tend to offer them better terms and greater growth prospects.

He added that companies with robust ESG practices often command higher value due to reduced risk and enhanced access to capital. Investors are willing to pay a premium for the perceived stability and sustainability of these companies. In summary, ESG factors significantly influence financial decisions and company valuations. By embracing strong governance, companies not only improve their ESG performance but also position themselves as being appealing investment opportunities. Consequently, investors can anticipate stable, sustainable and more lucrative investments.

Patrick Haverman, UNDP Deputy Resident Representative said: “There are different challenges and barriers to advancing ESG practices in Việt Nam, including lack of knowledge, human resources and government regulation. We see the need for a comprehensive programme to work on capacity building for businesses, to support their access to the ESG and Impact investors, to develop clear regulatory frameworks for businesses and financial institutions and to raise awareness about the importance of doing ESG the right way, with focus on scientific validity and real-world impact.”

At the conference, leading companies such as Green and Smart Mobility Joint Stock Company (GSM), BCG Energy, Yuanta Vietnam, UOB Vietnam, TÜV Rheinland Vietnam, Đông Dương Import-Export Industry Investment Joint Stock Company (DDG) and Lam Trần Plastic Recycling Joint Stock Company shared their success stories and ESG insights.

Nguyễn Thị Quỳnh Như, CEO of WBS Systems and Solutions Company Limited (WBS), the event’s co-organiser said that RIS.ER24 aims to establish a regular dialogue forum among policymakers, leading economic experts and pioneering businesses to promote responsibility in implementing sustainable growth strategies. WBS's goal is to foster sustainable economic connections and long-term co-operation to support businesses in achieving the Government's net zero commitment.

RIS.ER is an annual series of events on ESG and sustainable development which aims to enable investors and leaders to seize opportunities for accessing green capital, supporting business recovery and facilitating international trade by committing to sustainable growth, environmental protection and fairer trade standards. 

Small businesses show confidence as VN expects strong economic growth

Small businesses are confident that 2024 will be positive, with 86 per cent projecting they will grow on the back of robust economic growth, improving results from the past two years, CPA Australia’s annual survey shows.

Seventy-seven per cent of local small businesses grew in 2023, well above the survey average of 60 per cent, and outperforming all but two of the 11 markets included in the Asia-Pacific Small Business Survey.

Chair of CPA Australia’s South Vietnam Advisory Committee, Nguyễn Nam said: “With small business confidence in Việt Nam’s economy the highest of the markets surveyed, it’s not surprising that almost nine in ten local small businesses expect to grow this year.

"It's not only a robust economy that’s supporting local small businesses to be successful. Many Vietnamese small businesses have characteristics strongly associated with high-growth businesses, including high levels of technology uptake, a focus on improving business management and strategy, and innovation."

"Given this, we may see some Vietnamese small businesses evolve into large global entities in the next few years, if provided access to funding to support such growth.”

Another factor that is contributing to the success of Việt Nam’s small businesses is that they have on average the youngest business owners or CEOs, with 65 per cent under 40 compared to the survey average of 43 per cent. The data reveals that younger business owners or CEOs are more likely to be running businesses that are growing, investing in technology and innovating.

According to the survey, Việt Nam’s small businesses are the second most likely to innovate this year, with 44 per cent stating they will introduce a new product, process or service to markets in 2024. However, access to finance is less easy, with 27 per cent finding access to finance easy in 2023, down from 50 per cent in 2022.

“The focus on innovation should support long-term growth and improve the competitiveness of Việt Nam’s small businesses but there must be a concerted effort to improve access to finance, with a significant drop in the number of businesses that found sourcing funding easy in 2023,” Nam said.

Meanwhile, Việt Nam’s small businesses lead the region in generating a quick return on their technology investments, with 76 per cent saying their technology investments in 2023 improved their profitability, up significantly from 51 per cent in 2022, per the survey.

This is reflected in strong returns from online sales, with 77 per cent of small businesses receiving more than 10 per cent of their revenue from e-commerce in 2023, the highest on record for Việt Nam. Social media usage has also seen a marked improvement, with only six per cent not using such platforms for business purposes, compared to 26 per cent in 2022.

While most local small businesses reviewed their cybersecurity in the past six months, there is scope for an even greater focus on cybersecurity. Sixty-four per cent of Việt Nam’s small businesses lost time and/or money due to a cyber incident in 2023, and 70 per cent anticipate further cyberattacks this year.

“Small businesses must take proactive measures to safeguard against major damage from cyber threats, as it can seriously affect the bottom line, customer trust and staff morale.

“The Government has announced its national cybersecurity strategy. This strategy includes several major measures that are designed to keep Việt Nam in the top 30 global cybersecurity rankings. For small businesses, they should focus on steps the Government is taking to create a safe and trustworthy cyberspace and combatting cybercrime,” said Nam.

CPA Australia is one of the largest professional accounting bodies in the world, with more than 173,000 members in over 100 countries and regions. It has two offices in Hà Nội and HCM City.

MoF proposes extending the special tax payment deadline for domestic cars

The Ministry of Finance (MoF) is asking the Ministry of Justice to comment on a draft decree that would extend the special consumption tax payment deadline for domestically produced or assembled cars.

According to the MoF, continuing to support domestic automobile manufacturing and assembling enterprises is necessary.

The Ministry proposed postponing the special consumption tax payment deadline for the June, July, August and September tax period of to November 20 this year at the latest.

The MoF said that the proposed November 20 extension would avoid accumulating amounts payable to businesses at the end of the year and would not affect the completion of State budget revenue estimates if the business encounters financial difficulties.

It also emphasised that this is an urgent solution that needs to be issued immediately, and allowed for the decree to take effect from the date of signing until December 31.

Exchanges crack down on non-compliant listed firms

The two main stock exchanges, the Hồ Chí Minh Stock Exchange (HoSE) and the Hà Nội Stock Exchange (HNX), have taken regulatory action against several listed companies due to their failure to submit financial reports on time.

HoSE said that status of certain stocks have been transferred from controlled to restricted trading. They are shares of DRH Holdings JSC, Central Power Real Estate, VAI Cat Tuong Auditing Co., Ltd and Searefico Corporation.

The decision is typically due to the listed companies failing to submit their audited financial statements for 2023 within the required 45-day deadline.

As a consequence, starting May 27, these shares will only be allowed to trade in the afternoon trading session, using the centralised order matching and negotiated trading methods, which will limit trading activity and any volatility.

The companies have acknowledged that they did not file on time but as of now, they have still not yet published the overdue audited financial reports.

The situation is not unheard of, as the HoSE has previously taken similar action, transferring over 60 million shares of Đông Á Plastic JSC into restricted trading from May 24 due to disclosure lapses.

The southern exchange also decided to move over 49.2 million shares of Thiên Nam Trading Import Export JSC to limited trading from controlled status due to the same reason. As a result, trading in Thiên Nam shares can now only happen in the afternoon sessions from May 24.

Meanwhile, HNX has restricted the trading of select stocks to Friday sessions from May 22. The companies are KTT Group, HTINVEST JSC, Đại Việt Group, VNDIVNEST JSC, Vinam JSC, Tùng Khánh Tramaco and Sông Đà JSC.

Within 15 days of the decision, companies are obliged to submit their remedial plans to the exchanges and make public disclosures about which specific measures they will take to address the issues that led to the trading restrictions, as well as provide a clear timeline for resolving the non-compliance.

Beyond the trading limitations, some of the above stocks, including KTT Group, HTINVEST, Vinam and Sông Đà 6, have also been placed under warning status by the exchanges.

This typically occurs when companies exhibit financial distress or persistent delays in meeting reporting obligations. 

PVCFC acquires South Korean company

Petrovietnam Cà Mau Fertiliser JSC (PVCFC) has revealed that it has successfully completed the acquisition of the Korea - Vietnam Fertiliser Co., Ltd (KVF).

The deal was done on May 17, followed by the issuance of the business registration certificate by the Department of Planning and Investment of HCM City, making PVCFC the new owner.

Their acquisition aims to penetrate the NPK market in the southeast, Central Highlands and central regions, while PVCFC's current NPK plant serves demand in the southwest region and Cambodia. KVF's NPK factory area will also be used as a raw material warehouse.

Vietcap Securities JSC expects profits from the traditional NPK segment of PVCFC to double in 2024, offsetting losses from the newly acquired NPK subsidiary.

KVF was founded on May 21, 2015, with a registered capital of VNĐ212.5 billion (US$8.3 million), fully comprised of foreign investment. The company primarily operates in the production of NPK fertilisers.

KVF has undergone multiple capital raises, the first in 2016, when the company raised the registered capital to nearly VNĐ434 billion.

In 2019, the company underwent two additional capital mobilisations. The first increase occurred in October, bringing the capital to over VNĐ1.1 trillion, with 100 per cent of the investment coming from foreign sources: Huchems Fine Chemical Corporation (49 per cent) and Taekwang Industry Co., Ltd (51 per cent).

KVF again raised its capital to nearly VNĐ2.1 trillion at the end of 2019.

According to its website, KVF currently owns the Korea - Việt NPK plant in HCM City. The plant has a capacity of 360,000 tonnes per year and has been operational since December 2017.

The acquisition of 100 per cent of KVF's capital by PVCFC was approved in 2023, with an estimated cost of $25 million.

After reporting a significant decline in profit last year due to lower fertiliser prices, the company posted a recovery in the first quarter of 2024.

Its quarterly report showed that the company's revenue increased to VNĐ2.7 trillion, with an increase of 52.2 per cent year-on-year in net profit to VNĐ346 billion.

According to the 2024 Annual General Meeting documents, PVCFC has a prudent growth plan with revenue projected at around VNĐ11.9 trillion this year, down 5 per cent from 2023 and profit after tax is expected to be down 28 per cent to 795 billion.

As a result, the company has already achieved 23 per cent of its revenue target and nearly 44 per cent of its profit target for the year. 

Furniture fair seeks to help firms link up with new international buyers

The second Vietnam ASEAN International Furniture & Home Accessories Fair to be held in HCM City from August 27 to 30 will provide a platform for Southeast Asian manufacturers to display their best products and connect with global buyers.

VIFA ASEAN 2024 is expected to attract more than 300 exhibitors from the region and other parts of the world with 1,000 booths.

It will showcase indoor and outdoor furniture, home decor, handicrafts, machinery, hardware, tools, and supporting services.

Speaking at a press conference held on May 23 to introduce the fair, Đặng Quốc Hùng, general director of the Alliance Handicraft Wooden Fine Art Corporation (Liên Minh Company), one of the organisers, said the event aims to gather leading Southeast Asian furniture suppliers and develop the city into an interior and exterior furniture trading hub.

Last year it attracted more than 9,430 visitors, including over 3,700 foreign visitors, and 76 per cent of exhibitors signed deals worth $84 million right at the fair, he said.

Trần Ngọc Liêm, director of the Việt Nam Chamber of Commerce and Industry’s HCM City branch, said exports of timber and wooden products declined for the first time in 2023 after two decades of impressive growth.

But there have been positive signs this year, with exports in the first four months rising by 25 per cent year-on-year to US$4.89 billion, he said.

While optimistic about a recovery, he also cautioned about challenges due to prolonged geopolitical conflicts, rising logistic costs and shipping times due to the Red Sea tensions and stringent requirements in terms of origin, environmental and social responsibility in import markets.

He said businesses should adopt flexible strategies, make an effort to capitalise on the recovery in demand and free trade agreements the country has signed to boost exports, and diversify export markets.

He said exhibitions are effective promotion channels for businesses to showcase their products, link up with potential partners and keep abreast of market trends and innovations.

In addition to international buyers, VIFA ASEAN 2024 is also an event that would attract thousands of Vietnamese furniture buyers, he said.

Huỳnh Thị Phương Vi, Deputy General Director of Hiệp Long Fine Furniture Company, said her company has got many new customers through VIFA Expo and VIFA ASEAN.

It would join the fair this year too, and hopes to find more new customers, she said.

Its exports have increased significantly this year thanks to new orders and are expected to remain very positive, she added.

Jointly organised by the Việt Nam Chamber of Commerce and Industry, Liên Minh Company, the HCM City Union of Business Associations and Việt Nam Association for Building Materials, the fair will be held at the Saigon Exhibition and Convention Centre. 

Global shipping agent to operate at Chân Mây Port

A container ship, CNC Bangkok of France's CMA-CGM Group, will make its maiden voyage on June 3, departing from Chân Mây Port, the first time a global logistics firm has linked to the port.

Manager of the port’s container division Võ Đại Phong said the shipping group will begin carrying commodities and exports from local businesses at the provincial industries parks and the Chân Mây-Lăng Cô Economic Zone to global ports and importers.

He said the tanker with 21,000DWT (deadweight tonnage) plans to ship to ports of Laem Chabang in Thailand, to Tokyo, Yokohama, Nagoya and Kobe in Japan, and Busan and Kwangyang in Korea before returning to Chân Mây Port.

“It is the first international ocean shipment from Thừa Thiên-Huế provincial main port to worldwide ports, promoting co-operation opportunities and shipment links among world ports and the province’s logistics industry,” Phong said.

“The co-operation between the Chân Mây Port management board and CMA-CGM Group shipping group aims to boost operation of cargo ship fleets and supporting businesses and producers in central Việt Nam in approaching to global market via worldwide logistics chain service.”

The central province has given support to help local businesses and shipping agents to boost production and exports.

Each shipping agent will be given VNĐ210 million (US$8,400) in assistance for each sea trip, while each 20-feet container will receive VNĐ800,000 ($32) and VNĐ1.1 million ($44) for a 40-feet container.

The province said the operation of the new international cargo route would also help local businesses in the neighbouring provinces of Quảng Bình and Quảng Trị, connecting them with the world market via Chân Mây Port and the East-West Economic Corridor (EWEC) that links Thailand, Cambodia, Laos and Việt Nam.

It said the Chân Mây – Lăng Cô Economic Zone, located about 6-7km from National Highway No 1 and the North-South railway with two airports of Phú Bài and Đà Nẵng, is home to 47 projects with a total registered investment of VNĐ79.3 trillion ($3.4 billion) for tourism, urban, logistics and high-tech.

Thừa Thiên–Huế has been accelerating the infrastructure construction to lure strategic investors and environmentally friendly projects, while the Chân Mây Port has been upgraded to be able to handle up to six million tonnes of cargo per year.

In 2022, the first domestic container route – which was jointly developed by Chân Mây Port and Hải An transport companies – was launched from the port linking it to Hải Phòng and HCM City, operating twice a week.

Port authorities say they can handle 70,000DWT (deadweight tonnage) cargo ships, 4,000TEU (twenty-foot equivalent units) container ships and 225,000GT (gross tonnage) cruise ships, along with having a 200,000DWT trans-shipment area.

It plans on improving this capacity with bonded warehouses and a depot container freight station.

It currently handles between 4 million to 4.5 million tonnes of cargo annually, but it wants to increase its capacity to 5 million or 6 million tonnes by 2025. 

Top 50 public companies ranking released

Vietnam Report JSC has announced its ranking for the top 50 most prestigious and effective public companies in 2024 (VIX50), which has undergone some significant changes compared to 2023.

The Joint Stock Commercial Bank for Foreign Trade of Việt Nam (Vietcombank) still hold the top spot in the ranking. Banking companies took seven out of the top 10 places on the list and 13 out of the top 50 rankings overall.

Three well-known enterprises, Đức Giang Chemicals Group JSC, Vietnam International Commercial Joint Stock Bank (VIB) and Petrovietnam Fertiliser and Chemicals Corporation (DPM) fell out of the Top 10, making room for Việt Nam Joint Stock Commercial Bank for Industry and Trade (Vietinbank); Bank for Investment and Development of Việt Nam (BIDV); and Gemadept Corporation. Both Vietinbank and BIDV are in the big four along with Vietcombank, meaning that three of the big four banks are ranked in the top 10.

Việt Nam's stock market fluctuated in 2023, but began to recover in the last two months of the year and continued on an upward trend at the start of 2024. After five consecutive months of growth, the VN-Index peaked at 1,290 points at the end of March and established a liquidity level exceeding VNĐ30 trillion. By the end of April, the market recovered after a strong correction in the first half of the month.

According to Vietnam Report's survey of public enterprises, 2024 will be a 'battle zone' between market adjustments and recovery. The stock market still depends on many variables such as the Fed's monetary policy, system liquidity and the corporate bond market, foreign investment flows, exchange rate fluctuations and gold prices.

The State Securities Commission has implemented solutions to upgrade the securities market, including improving the legal system, transparency and market professionalisation, helping to attract more foreign investment capital and enhancing the position of Việt Nam's stock market. Securities market upgrades could have the most positive impact on the country's economic development.

The VIX50 ranking is the result of objective scientific research by Vietnam Report, based on the media coding method — analysing press data in the media combined with market research.

According to Vietnam Report's media coding analysis, from April 2023 to March 2024, the five topics appearing most often in the media relating to public enterprises remain the same as last year. These include stocks, financial/business results, image/PR/scandals, product and administration.

Vietnam Report's survey also pointed out five industries with many potential stocks based on four main criteria: business results, reasonable valuation, ability to attract cash flow and advantages from macro factors like banking, information technology, retail, real estate, oil and gas.

Enterprises are rated as 'safe' in terms of information quality in communications by comparing the ratio of positive to negative information compared to the total amount of encrypted information. A 'safe' rating starts at 10 per cent, while the 'best' threshold is over 20 per cent. This year, Vietnam Report's research reported that 62.7 per cent of enterprises reached the 'safe' threshold and 48.2 per cent of enterprises reached the 'best' threshold.

Dalat golf club project to face demolition

Dalat City People's Committee has just asked the investor in a golf club project on Cu Hill to remove their illegal construction.

The DL Royal JSC was fined VND240 million for their illegal construction and was asked to get a licence for their building work within 90 days from January 11.

However, the investor failed to follow the request by local authorities.

According to the committee, DL Royal JSC was licensed to build a 2,639-square-metre basement. However, when a government inspection team visited last April, the investor expanded it to 3,294 square metres.

DL Royal JSC also built over 20,400 square metres of two other facilities without a construction permit.

The investor, DL Royal JSC, was requested to cease construction following the inspection last April, but they continued the project until January of this year.

The project sparked public outcry because it obstructed the view from Xuan Huong Lake to Langbiang Mountain, negatively impacting the city's natural beauty.

Stretching over 62 hectares next to Xuan Huong Lake, Cu Hill hosted a golf course built by the French in 1920.

Thai Binh seeks Belgian investment, partnerships

A conference promoting the trade and investment climate of the northern province of Thai Binh, one of Vietnam's major hubs for ago-fishery exports, took place at the Vietnamese Embassy in Brussels, Belgium, on May 23.

Speaking at the event, Vietnamese Ambassador Nguyen Van Thao, who is also the head of the Vietnamese delegation to the European Union (EU), talked about significant opportunities for Thai Binh to collaborate with Belgian partners in green energy – one of the province’s priority areas for investment attraction.

He noted that in December 2022, Vietnam became the third country in the world to endorse the Just Energy Transition Partnership (JETP) with G7 countries and the EU, Denmark, and Norway.

Permanent Vice Chairman of the provincial People's Council Dang Thanh Giang said that last year the province achieved an annual GDP growth rate of 7.37%, attracting over 3 billion USD in foreign investment and posting 2.6 billion USD in export turnover.

The leader affirmed that Thai Binh looks for comprehensive and multisectoral cooperation with Belgian partners, highlighting trade, high-tech agriculture, new energy, renewable energy, climate change response, services, logistics, manufacturing industries, education, human resources, healthcare, and cultural exchange.

Chairman of the provincial People's Council Nguyen Tien Thanh pledged to accompany and create the most favourable conditions for the investment and operation of foreign investors, including those from Belgium, in the locality.

Secretary-General of the Belgian Vietnamese Alliance (BVA) Duong Minh Tri stated that the BVA is ready to act as a bridge connecting Belgian enterprises with their partners in Thai Binh for the development of effective investment projects conducive to the local economic growth.

At the conference, businessmen of both sides exchanged information about their potential and cooperation needs, sought partnerships, and shared experiences for operating in the two markets.

Talking to the Vietnam News Agency, Chrysoline Monnier from Hub.Brussels affirmed the Brussels investment and export promotion agency’s commitment to supporting Belgian enterprises in seeking investment and cooperation chances in Thai Binh. A delegation of Belgian enterprises will soon make a business trip to Vietnam to explore the market, with Thai Binh a likely destination.

While in Belgium, Thai Binh leaders also held working sessions with investment and trade agencies from three regions of Brussels, Wallonia, and Flanders./.

Source: VNA/SGT/VNS/VOV/Dtinews/SGGP/VGP/Hanoitimes