The capital city of Hanoi attracted more than 1.13 billion USD of foreign direct investment (FDI) in the first four months of this year, with 73 new projects worth over 1 billion USD and 47 projects permitted to increase a combined investment capital of 79 million USD.

According to the municipal Statistics Office, during the period, foreign investors spent 45 million USD contributing capital to and buying shares of local firms.

In April alone, 103.9 million USD was registered for 20 new FDI projects, 57.4 million USD was added to 14 existing ones, and 15.5 million USD was spent on 27 capital contributions or share purchases.

During the the month, the city recorded 2,514 newly-established companies with a combined registered capital of 25.6 trillion VND (about 1 billion USD), down 4% compared with the same month last year. A total of 758 firms resumed operations, up 14% year-on-year.

From January-April, 9,400 new enterprises were set up in the capital city with a total registered capital of 97.6 trillion VND, while 4,500 enterprises resumed operations./.

Tax sector sees 10.7% rise in State budget revenue in four months

Total State budget collection in the first four months of this year was estimated at 640.29 trillion VND (25.20 billion USD), equivalent to 43% of the yearly projection, representing a year-on-year rise of 10.7%, according to the General Department of Taxation.

Of the total, collection from crude oil was about 21.23 trillion VND, equal to 46.2% of the projection and equal to that in the same period last year, while domestic collection was estimated at 619.06 trillion VND, 43% of the projection and up 11% over the same period last year, the department reported.

Particularly, domestic tax and fee collection was 478.43 trillion VND, up 7% year on year.

The department said that 25 out of the 63 localities completed over 40% of State budget projection for this year, while 26 others finished 30-40% of the plan and 12 reported under 30%.

In the Jan-April period, the total amount of tax and land rent exempted or reduced was about 25.5 trillion VND.

The department said that policies on exemption and reduction of taxes, fees, charges, and land rental have helped promptly remove difficulties for businesses and people, contributing to ensuring macro-economic stability, controlling inflation, and supporting production and business recovery.

It said that in the rest of the year, the tax sector will keep a close eye on the domestic and world economic developments, analysing impact from fiscal and monetary policies that other countries are applied on the health of domestic enterprises, thus warning the risks and giving advice to the Ministry of Finance and the Government on responding measures so as to ensure the State budget revenue for the whole year.

At the same time, the sector will show stronger performance in implementing support packages to help businesses remove difficulties and create sustainable income sources for the State, while designing new packages./.

Firms urged to co-operate in anti-dumping probe into imported galvanized steel

The Trade Remedies Authority of Vietnam (TRAV) unveiled that it has received dossiers from local companies requesting an investigation into anti-dumping measures placed on imported galvanized steel products originated from China and the Republic of Korea (RoK).

The TRAV confirmed on May 3 that the dossiers were complete and valid whilst being in line with existing regulations relating to the law on trade remedies.

Within 45 days since the date of receiving sufficient dossiers, the investigation authority will fully evaluate and then submit them to the Minister of Industry and Trade for consideration on whether or not to initiate a probe into the case or not.

According to details of the case, the investigation authority will determine the legal representative status of businesses and individuals submitting the dossiers, whilst also clarifying the possibility that imported goods may cause significant damage to the domestic manufacturing industry.

As part of efforts to ensure the legal rights and interests of firms during the appraisal process, the investigation authority has asked concerned domestic firms to provide relevant information such as design capacity and output of coated steel products from 2019 to 2023, as well as their opinion on the case or any related documents.

The deadline for submission of these information is May 20.

Vietnam, Australia strengthen fight against customs violations

The General Department of Vietnam Customs (GDVC) and the Australian Border Force (ABF) took a significant step toward enhanced cooperation by signing a new plan to collaborate on customs investigations and monitoring during talks in Hanoi on May 7.

The plan, signed by GDVC Director General Nguyen Van Can and ABF Commissioner Michael Outram, signified a commitment to sharing expertise and tackling customs violations.

This collaboration comes amid a thriving economic relationship between Vietnam and Australia. Two-way trade has reached nearly 15 billion USD in recent years, solidifying Australia's position as Vietnam's 10th largest trade partner.

Recognising this growth, both sides highlighted the importance of optimising trade facilitation with effective customs control to ensure national security and safety.

The newly signed plan outlines a collaborative approach to combating illegal commercial activities like smuggling, trade fraud, and the movement of prohibited goods, with a particular focus on drugs, tobacco, and controlled substances.

The GDVC expressed its appreciation for the ABF's ongoing support within the framework of the Container Control Programme (CCP) and its active participation in the Mekong Dragon Campaign, a regional initiative co-initiated by Vietnam.

It additionally requested the ABF's support in enhancing the capacity of its dog teachers and trainers.

The ABF side said it had appointed representatives at the Australian Embassy in Vietnam to contribute to further developing the friendly and cooperative relationship between the two sides.

Concluding the talks, both sides agreed to hold talks every two years to review progress and draft future cooperation directions./.

Hanoi welcomes 9,400 new firms in four months

The capital city of Hanoi witnessed 9,400 enterprises enter the market with the total registered capital of 97.6 trillion VND (3.84 billion USD) during January-April, falling 6% in the number of firms and rising 9% in capital as compared to the same time last year, according to the municipal Statistics Office.

The city saw the resurgence of 4,500 companies that had previously ceased operation, a year-on-year increase of 10%.

Meanwhile, more than 14,200 enterprises dropped out of the market, and 1,400 others were dissolved during the period, growing 24% and 12%, respectively, against the same period in 2023, posing great challenges to the labour market.

Director of the department Dau Ngoc Hung said the employment rate at industrial enterprises decreased 2% year on year, adding the number of workers in foreign-invested and non-state sectors fell 2.5%.

The figures in the sectors of processing and manufacturing, and power and gas production and distribution slid 2.5% and 0.4%, and those in water supply and waste treatment and mining rose 1.3% and 45.6%.

However, thanks to the municipal People’s Committee's resolve and rational solutions, the index of industrial production in the four-month period increased 4.5% against the same time last year, with processing and manufacturing up 3.6%, power generation and distribution up 13.6% and water supply and waste treatment up 9%.

As various measures were rolled out to lure more foreign direct investment (FDI) projects, the city attracted more than 1.13 billion USD in FDI capital during January-April.

The local administration also held meetings and dialogues with businesses in an effort to remove bottlenecks and help workers stablise their jobs./.

Vietnam seeks collaboration with Australia on sustainable agriculture

Deputy Minister of Planning and Investment Do Thanh Trung has expressed his wish for the support from the Australian Centre for International Agricultural Research (ACIAR) in optimising investment resources for agriculture and rural development.

During a recent working session with ACIAR CEO Wendy Umberger, Trung emphasised Vietnam's commitment to agriculture, highlighting it as a national advantage and a pillar of the economy.

Vietnam’s vision underlines a multi-pronged approach, promoting efficient, sustainable agriculture with integrated multiple-value approaches, he said, adding that this strategy prioritises increasing product value, competitiveness, and linkages across the entire supply chain, from processing and post-harvest preservation to market expansion. Additionally, it encourages the growth of green, organic and circular agriculture.

Trung further requested the ACIAR's assistance in navigating the challenges and opportunities presented by new-generation free trade agreements (FTAs), revised investment policies, and the global trend toward organic agriculture and minimised emissions in production.

Umberger, for her part, reaffirmed the ACIAR's role as an Australian Government agency dedicated to supporting developing countries in achieving sustainable development goals. She outlined its longstanding partnership with Vietnam, with a cooperation programme active since 1993.

To date, the ACIAR has assisted Vietnam with policy research, particularly in areas related to food security and investment attraction in agriculture and rural development. She also highlighted the ACIAR’s recent focus on climate change and emission reduction initiatives.

The working session aimed to build projects that bring real value to Vietnam’s agriculture sector by integrating environmental and climate-related considerations to ensure farmers' resilience in the face of climate change./.

VNG posts losses for the 10th quarter

Despite improvement in business operations, VNG Corporation still reported losses for the tenth consecutive quarter in the first quarter of the year.

In its quarterly financial report, the company's net revenue was nearly VNĐ2.3 trillion (US$89 million), up 22 per cent from the same period last year. This is the second-highest revenue quarter of VNG's history, second only to the third quarter of 2023.

The Việt Nam's first tech unicorn said that the significant growth primarily came from online gaming services. While the net revenue saw strong gain, the cost of goods sold increased even more. As a result, VNG's gross profit only increased by 4 per cent to VNĐ884 billion.

Thanks to cost-cutting measures, selling expenses decreased by 11 per cent, equivalent to VNĐ59 billion, and management expenses also dropped by 11 per cent, equal to VNĐ36 billion.

VNG reported a profit before tax of VNĐ65 billion, but after deducting taxes, it ended up with a loss after tax of VNĐ31.4 billion.

It experienced a significant increase of 150 per cent in short-term loans in the first three months of the year to VNĐ1.33 trillion, while long-term loans declined by 7 per cent to VNĐ577 billion. Consequently, VNG's total debt increased by 38 per cent from the start of the year. 

Upcoming Law on industrial park – Vietnam’s passage to attract new foreign investment wave

The Ministry of Planning and Investment (MPI) proposes drafting the Industrial Park and Economic Zone Law, aimed at facilitating Vietnam's establishment of large-scale industrial parks to meet supply chain development requirements and promote green economic development in line with current trends.

A report from the MPI revealed that there are currently 416 industrial parks and over 1,000 industrial clusters nationwide. These industrial parks account for approximately 50% of the country's export turnover and significantly contribute to the state budget revenue.

Le Thanh Quan, Director of the Economic Zone Management Department under the Ministry of Planning and Investment, stated that industrial parks are crucial for attracting domestic and foreign investment projects, particularly leading global corporations.

“The development of industrial parks contributes to promoting the transfer of modern technologies, developing green investment ecosystems, creating a high-quality workforce, and providing various employment opportunities. As a result, it plays a significant role in promoting economic growth and enhancing social welfare,” said Quan during a recent conference discussing the new law.

However, alongside the achievements, Phan Huu Thang, former Director of the Foreign Investment Agency and Chairman of the Vietnam Industrial Parks Association, noted that there are still many existing challenges in the development and management of industrial parks. These include the inadequate development planning of industrial parks in some localities, slow innovation in industrial park development models, and the absence of ecological and urban-service industrial parks.

Regarding the development of green industrial parks without waste and with minimal negative impact on the environment, there are still significant challenges despite the issuance of Decree 35/2022/ND-CP on May 28, 2022, which regulates the management of economic zones and industrial parks, providing clear definitions of various types of industrial parks such as export processing zones, supporting industrial parks, specialized industrial parks, ecological industrial parks, high-tech industrial parks, expanded industrial parks, and industrial subzones.

Not only that, the regulations and development guidelines for industrial parks are scattered among many other legal documents in related areas such as land, construction, environment, and administrative procedures, and need further refinement. This is essential to accelerate the development of various types of industrial parks in line with green and high-tech development directions, Thang noted.

MPI’s report noted that feedback from some localities and enterprises indicates strong support for ecological and circular economy industrial parks, which aim to achieve sustainable development. However, achieving this is challenging due to complex legal regulations and overlapping legislation.

Economic experts believe that it is necessary to upgrade Decree 35/2022/ND-CP into law so that the regulations regarding ecological industrial parks are clearly and specifically defined in the new law to encourage investment in industrial parks. Additionally, it is essential to promote the transformation of traditional industrial parks into ecological industrial parks at the local level.

During a recent Government press briefing, Deputy Minister of Planning and Investment Do Thanh Trung stated that the MPI is proposing key policy groups within the law content to promote the development of industrial parks and economic zones, meeting the requirements of industrialization, modernization, and current trends such as green economy, digital economy, circular economy, and green energy.

First, there is a set of policies to support projects implementing sectoral linkages and cluster linkages within the scope of industrial parks and economic zones. The second policy group is to support specialized, professional, and high-value industrial park models. Therefore, criteria and regulations are needed to select secondary investment into these industrial parks to ensure the development objectives of specialized industrial parks.

The third policy group focuses on the development of modern, smart industrial parks that attract new investment fields such as digital economy, green economy, semiconductor, industrial materials, innovation, and creativity. At the same time, it is associated with the trend of using new energy, especially green and renewable energy in this area.

In addition, there is a group focused on the development of urban-complex industrial parks. These are industrial parks associated with urban and service development, where industry is the main target, creating employment and promoting industrialization, modernization, and economic restructuring.

Moreover, the MPI also proposes additional policies and regulations related to incentives for taxes, fees, financial policies, and capital particularly for enterprises operating in the ecosystem within specialized industrial parks. This ensures that enterprises are encouraged to invest in and develop these industrial parks.

Former Director of the Foreign Investment Agency Phan Huu Thang suggested promoting new types of industrial parks, and green industrial parks to attract high-quality investment, the financial capacity and implementation capacity of enterprises is crucial. There are many large domestic enterprises with sufficient capacity and infrastructure construction capacity for modern and green industrial parks, meeting the high standards of large corporations.

Deputy Minister Trung believes that with the six proposed policy groups in the content of the law, the MPI aims to amend regulations related to administrative procedures.

"This is one of the pilot measures that will entail new regulations to create more favorable conditions for investors in this area and draw lessons in improving the investment and business environment nationwide," Trung affirmed.

​​​​​​​Italy’s SACE announces a US$1.3b capital package to support enterprises in VN

Italian insurance – financial company SACE has announced a capital package worth US$1.3 billion to support Italian enterprises in Việt Nam alongside Vietnamese companies using Italian technology, machinery and components imported from Italy.

The funding is expected to promote the bilateral trade and investment cooperation between the two countries, focusing on the fields of food, renewable energy, automobile manufacturing and agriculture.

The Italian Ambassador to Việt Nam Marco Della Seta said Italy intends to become a strategic trade and industrial partner of Việt Nam.

He emphasised that bilateral trade will continue to increase, which in 2023 stood at 6.1 billion euro (US$6.56  billion) of which Việt Nam’s exports contributed more than 72 per cent.

Michal Ron, chief international business officer of SACE, said Việt Nam has a rapidly growing economy coupled with the deep international integration and is becoming an attractive destination for Italian companies looking for investment opportunities.

She added that negotiations are being conducted with several Vietnamese companies, such as Nutifood and PVPower, to deliver on the investment.

The financing will be implemented through international and domestic banks.

Over 160 Vietnamese businesses to attend Thaifex food fair

More than 160 local firms are expected to introduce their food and beverage products at the Thaifex-Aguna Asia 2024 slated for May 28 to June 1 in Bangkok, Thailand.

Furthermore, this year's event will see the participation of businesses from Canada, the Czech Republic, Egypt, Monaco, Romania, Uruguay, and Yemen for the first time, which will offer a wealth of opportunities for enterprises to come together in order to enhance co-operation and trade connectivity.

A number of seminars, competitions, and programmes will be held during the event, including Future Food Experience+, the Thailand Ultimate Chef Challenge, the Alternative Protein Flavor and Taste Contest, and the Hosted Buyer Program.

These events will serve to help businesses gain greater insights into the latest market trends and customer tastes.

The Thaifex - Anuga Asia 2024, Asia's leading food and beverage trade show promises to help both Vietnamese and international businesses to explore opportunities in new markets, establish international co-operation relationships, and introduce more food and beverage products to the Asia-Pacific region.

This year’s event is anticipated to attract more than 3,200 companies from 45 countries and territories worldwide.

PM approves development plan for northcentral and central coastal region

According to the plan, the northcentral and central coastal region will develop at least two urban areas by 2050, as well as a number of large industrial and service hubs which are on a par with the Asian region whilst developing civilized rural areas imbued with national cultural identity.

As a means of achieving these goals, priorities will be given to accelerate the region’s economic restructuring in association with innovating the growth model towards developing marine economic sectors, improving the investment environment, and devising specific policies for regional development.

Furthermore, the plan is also aimed at developing economic corridors along the north– south and east- west axes in a bid to effectively connect seaports, economic zones, airports, international border gates, coastal urban areas, and economic centres.

Under the scheme’s development orientations, the northcentral and central coast regions will develop highly competitive industries, become deeply involved in the global value chain, and focus on developing a number of green and processing industries and some emerging sectors with the aim of raising the proportion of contribution of the industrial sector to the region's Gross regional domestic product (GRDP) to between 25% and 35%.

Moreover, the plan focuses on developing the refining and petrochemical industry, as well as producing refined petroleum products in such localities as Thanh Hoa, Quang Ngai, Khanh Hoa, and Phu Yen, while simultaneously prioritising renewable energy production in Quang Binh, Quang Tri, Quang Nam, Quang Ngai, Binh Dinh, Ninh Thuan, and Binh Thuan.

Regarding the service sector, the region aims to turn tourism into a key economic industry and become the country’s key tourism area moving forward.

Firms get updates on EU regulations on imported agricultural products, foods

The European Commission’s Directorate-General for Health and Food Safety (DG-SANTE), in collaboration with the Vietnam Sanitary and Phytosanitary Notification Authority and Enquiry Point (Vietnam SPS), held a conference disseminating regulations on imports of agricultural products and foods of plant and animal origin into the EU market on May 7.

Recently, the EU has introduced a number of separate requirements for imported composite products. According to Sylvie Coulon, senior expert at DG-SANTE, with this move, the regulation on the percentage of processed products of animal origin will no longer be valid. And the new one is stricter to better protect consumers.

To comply well with new requirements, Sylvie Coulon advised businesses to understand correctly what composite products are, adding they are foods that contain products of plant origin and processed products of animal origin.

At the conference, the DG-SANTE introduced in detail relevant regulations on hygiene and food safety for composite products and products of non-animal origin; rules of origin, as well as a residue monitoring plan on these products, along with quarantine measures based on international practices issued by the World Trade Organisation (WTO).

Le Thanh Hoa, Director of Vietnam SPS Office, said that although the EU-Vietnam Free Trade Agreement (EVFTA) has been in effect for nearly four years, there remain shortcomings and difficulties, especially those related to food safety regulations as well as others on the environment and sustainable development.

Hoa showed his hope that the EU will continue to support the Vietnam SPS Office to update information and regulations related to food safety to businesses when exporting products to the EU; and help strengthen the capacity of Vietnam's food safety control system as well as animal and plant quarantine network.

In 2023, Vietnam's agricultural, forestry and fishery export turnover to the European market reached about 5.3 billion USD, making it Vietnam's third largest market, after the US and China./.

Domestic firms advised to track Singapore’s new appliance energy regulations

The Vietnam Trade Office in Singapore has advised Vietnamese manufacturers, exporters, and distributors of household water heaters and commercial refrigerators to take note of the island nation’s new energy-saving regulations for these products, which will be effective next year.

The Singaporean National Environment Agency (NEA) recently announced the expansion of the Mandatory Energy Labelling Scheme and Minimum Energy Performance Standards targeting the two types of goods, starting from April 1, 2025.

These regulations enable consumers and businesses to choose more energy-efficient products, reduce energy usage costs, and contribute to the country’s carbon neutrality efforts. Businesses failing to comply could face fines of up to 10,000 SGD (approximately 7,393 USD).

In Singapore, consumers are only permitted to purchase items listed in the NEA’s registered goods database. The MELS is applied to goods managed by the agency to help the group compare energy usage efficiency and make more informed purchasing decisions.

Importers and manufacturers intending to supply goods to the market must submit applications to the NEA to become registered suppliers and then register their products for further management./.

Viettel products attract attention at Malaysia's defence service exhibition

High-tech defence industry products and comprehensive R&D (Research and Development) solutions of the Military Industry and Telecoms Group (Viettel) attracted considerable attention at the 18th Defence Service Asia Exhibition and Conference (DSA18) and the 3rd National Security Asia (NATSEC) exhibition in Malaysia.

Viettel High Tech (VHT), which represents the Viettel Group at the events from May 6-9, said it is willing to collaborate with global partners, becoming a co-developer of products and customising products in accordance with specific customer requirements.

The customisation capability is an advantage of VHT compared to other large defence industry corporations worldwide.

Besides advanced military products, VHT also showcases component modules, reflecting its capability of research and mastery of core technologies and design of each product component.

Talking to Vietnam News Agency correspondents on the sidelines of the events, Senior Lieutenant General Phung Si Tan, Deputy Chief of the General Staff of the Vietnam People's Army (VPA) and head of the organising committee of the Vietnam International Defence Expo 2024 said Viettel's presence at the exhibitions opens up many prospects for defence industry cooperation with partners in many countries, including Malaysia.

Based on this collaboration foundation, the Vietnam – Malaysia defence cooperation is expected to be strengthened, commensurate with the strategic partnership between the two countries, the officer said.

According to VHT General Director Nguyen Vu Ha, through the exhibition, Viettel has inked memoranda of understanding (MoUs) with Malaysian partners and those from other countries.

The events offer a good chance for Viettel to learn and understand more about the trend of new-generation weapon technology, thereby refining its research and development goals for its products, he added.

Visiting Viettel's booth at DSA18, Lieutenant General Ith Sarath, Deputy Commander-in-Chief of the Royal Cambodian Armed Forces (RCAF) said Viettel is a major partner of the Cambodian army and has provided significant support to his country.

DSA and NATSEC 2024 are among the top five largest defence and security exhibitions in the world. This year's events attract the participation of 1,200 businesses from 60 countries, and nearly 400 delegations from 45 countries. They are expected to lure over 50,000 visitors.

Viettel has so far invested in 10 markets in Asia, America and Africa. The brand value of Viettel, as determined by Brand Finance, is 4.3 billion USD, ranking among the top 500 largest brands in the world and the most valuable brand in Vietnam./.

Đồng Tháp Province exports lotus to Japan for 1st time

Đồng Tháp Province has exported to Japan its first ever batch of frozen lotus roots, a key crop of the province.

Đại Việt Lotus Foods JSC and the Đồng Tháp Lotus Industry Association held a ceremony to mark the shipment in Tháp Mười District on May 7.

Around 15 tonnes sourced from Đồng Tháp and other provinces in the Mekong Delta worth VNĐ980 million were shipped.

Nguyễn Xuân Thắng, deputy chairman of the association and general director of the company, said lotuses grow all year round in the delta.

Japan consumes around 100,000 tonnes of the root a year, while China requires two million tonnes.

Thắng said that Japan is a demanding market with strict requirements, and his company had negotiated with the importer numerous times before being able to export lotus roots frozen using individual quick freezing technology.

This year it plans to export another eight containers worth nearly VNĐ7 billion, he said.

The company is also working with Korean businesses to export its lotus products there as well.

Đoàn Thanh Bình, chairman of Tháp Mười District People's Committee, said the exports are due to the efforts of authorities and businesses in Đồng Tháp, which have helped the province’s lotus enter demanding markets around the world.

Farmers need to maintain the quality of lotus and connect with exporters so that their lotus and other products could continue to be exported to Japan, he said.

The event is part of the upcoming Đồng Tháp Lotus Festival on May 16, which aims to highlight the province’s lotus products.

It was successfully organised two years ago, attracting around 20,000 visitors.

Đồng Tháp has around 1,800ha of lotus farms, and produces a variety of products such as tea, dried seeds and cosmetic items from the flower.

The lotus industry is identified as a key one, with the flower being incorporated into its cultural and tourism branding.

2024 Land Law to draw real estate investment, increase social housing supply

Expediting the enforcement of the 2024 Land Law would stimulate the supply of social housing and encourage enterprises to be more assertive in participating in the development of this segment, experts predict.

The law is due to take effect on January 1, 2025. However, the Prime Minister Phạm Minh Chính has instructed ministries and agencies to complete assigned tasks to propose the National Assembly for permission to enforce it from July 1 this year.

According to experts, the law coming into effect will have a significant impact, with the two groups benefiting the most being overseas Vietnamese and resettled individuals who are compensated. The supply of social housing is also expected to shoot up due to preferential policies and new support packages.

According to Associate Professor Dr. Nguyễn Lư Phương, from Ho Chi Minh City University of Natural Resources and Environment, foreigners or overseas Vietnamese were previously not eligible to purchase houses attached to land use rights in Việt Nam. However, the 2024 Land Law stipulates that Vietnamese expatriates are allowed to enter Việt Nam, purchase or lease-purchase houses attached to land use rights and receive land use rights in housing development projects.

With this provision, Troy Griffiths, Deputy Managing Director of Savills Vietnam, expressed his belief that the new land law will bring about more investment opportunities for the real estate buyer group of overseas Vietnamese. This change also creates significant potential for the market thanks to direct investment capital from the group.

In addition, the new law stipulates that resettlement areas must complete conditions regarding technical and social infrastructure, while ensuring the livelihoods of residents.

Experts believe that from the time of adoption until July 1, there is enough time to bring the law's provisions to people, businesses and state agencies. If the new enforcement date is passed, it will help the supply of social housing "boom" in the coming time, particularly in major cities like Hà Nội and HCM City.

According to Lê Bảo Long, the strategy director of the site Batdongsan.com.vn, the supply of social housing is expected to improve with preferential policies, new support packages, and regulations stipulating that provincial people's committees must allocate sufficient land funds for social housing.

The 2024 Land Law and the 2023 Housing Law add more forms of social housing development, including foreign capital, foreign organisations and union financial resources for workers renting social housing.

Long forecasts that the quality of real estate projects will also improve due to stricter regulations on handover standards and progress.

With these adjustments, in Resolution No. 01/NQ-CP dated January 5, 2024 regarding key solutions for implementing the socioeconomic development plan and state budget estimate this year, the Prime Minister set a target of completing about 130,000 units of social housing.

Currently, the Ministry of Construction, the Ministry of Natural Resources and Environment, and the Ministry of Finance are focusing on studying draft decrees guiding the 2023 Housing Law and the 2023 Real Estate Business Law, the 2024 Land Law, and the 2024 Law on Credit Institutions. They will then submit to the Government for consideration and issuance in May. The work serves as a basis for the Government to seek the National Assembly’s permission for the 2024 Land Law to take effect earlier. 

Merger of two railways to be completed by the end of this year

The merger of two railway transport companies, Hà Nội and Sài Gòn, will be completed by the end of this year to form Railway Transport Joint Stock Company (VRT) with a charter capital of more than VNĐ1.3 trillion (US$51.2 million), according to the Việt Nam Railway Corporation (VNR)

This is a part of the VNR’s restructuring plan, under which the company had completed the mergers of five locomotive factory branches into three branches and three railway project management boards into one.

A representative from VNR said that the mergers helped improve the efficiency in the use of facilities, improve operation and incomes.  

At the annual shareholders’ meetings of Hà Nội and Sài Gòn railways in April, the two companies agreed on the merger implementation plan, the business operation plan and the charter of VRT.

VRT will operate in 74 business lines, among which two major lines are passengers and goods railway transportation.

Hà Nội Railway reported a total revenue of nearly VNĐ2.5 trillion in 2023, an increase of 5.67 per cent against 2022 and a profit of more than VNĐ14 billion, up 143 per cent. The company earned a revenue of more than VNĐ710 billion in the first quarter of this year.  

Sài Gòn Railway earned revenue of more than VNĐ1.7 trillion and a profit of VNĐ10.7 billion, rising by 8.4 per cent and 13.4 per cent against 2022, respectively. In the first quarter of this year, the company reported a revenue of VNĐ563 billion, up 13.4 per cent. 

Hanoi and Russia’s Far East region enhances tourism connectivity

Representatives of the Hanoi Department of Tourism held a working session alongside travel firms from Russia’s Far East region on May 6 with a view to increasing the exchange of visitors between the two sides.

At the function, Malinovskii Roman, vice president of the Asia-Europe Business Association, revealed that the city of Irkutsk was located in Southeast Russia and is home to many relics which have been recognised by UNESCO as world heritage sites.

As part of efforts to attract Vietnamese tourists to the region, Russian airline IrAero has opened a direct air route from Irkutsk to the Vietnamese capital with a frequency of two flights per week.

For their part, representatives from Hanoi’s tourism firms introduced their strengths in designing tours and ways to intensify the exchange of visitors between the two sides.

Simultaneously, they also dealt with the difficulties faced in service quality and immigration procedures bringing Vietnamese tourists to Irkutsk.

According to information given by the Hanoi Department of Tourism, the Vietnamese capital recently signed a co-operation agreement with Moscow. In addition, the Moscow Day event will be held in Hanoi this September, with the occasion opening up a wealth of opportunities for tourism businesses in the Far East as they strive to promote linkages with Vietnamese partners.

Dang Huong Giang, director of the Hanoi Department of Tourism, said that in order to facilitate two-way tourist exchanges, the Russian airline IrAero is recommended to launch two flights per week, whilst not increasing ticket prices from now until the end of 2025.

Vinfast, On Energy partner to promote use of battery energy storage for rooftop solar

Automotive manufacturer VinFast of Vietnam and ON Energy Green Energy Joint Stock Company of KTG Group announced the signing of a strategic partnership on May 6 as part of efforts to promote the application of battery energy storage systems (BESS) for rooftop solar power in Vietnam.

Under the terms of the agreement, ON Energy will be made the official authorised distributor of VinFast's BESS products under the brand of VinFast Energy.

These products have been researched, developed, and manufactured by VinES Energy Solutions Joint Stock Company, (a member of VinFast), with the goal of providing customers with BESS solutions from lithium-ion batteries.

Running in parallel with product distribution, ON Energy will also provide and deploy a range of VinFast Energy’s BESS solutions specifically for rooftop solar power systems for industrial parks, offices, and residential areas nationwide.

Upon addressing the signing ceremony, Vo Le Duy Duc, director of Investment and Energy Development of VinFast, emphasised that the partnership will help VinFast's BESS products be widely applied and deployed in the daily lives and businesses’ production activities.

This affirms the automotive company’s ability to master battery technology and its commitment to promoting the transition process to clean energy in the country, Duc said, noting that it has also marked an important step in introducing BESS technologies into people's daily lives, thereby creating a greener future for Vietnam.

Tran Ngoc Tuan Khanh, general director of ON Energy Company, said the company is honoured to co-operate alongside VinFast, which is both a reputable and experienced partner in the field of BESS production.

He expressed his belief that the partnership will provide customers with the most optimal and efficient energy solutions, thereby promoting further economic development and developing renewable energy locally.

Vietnam attends int'l denim expo in Bangladesh

Vietnamese companies attended the 16th Bangladesh Denim Expo, an international exhibition of ready-made garments which opened on May 6 in Dhaka.

The two-day expo, themed “Reimagine”, year attracted more than 60 companies from Bangladesh, India, China, Pakistan, Turkey, Italy, France, Spain, Switzerland, Vietnam, and Japan.

This year's Denim Expo exhibition featured panel discussions and trend seminars. In addition, innovative denim products were displayed in a trend zone at the exhibition ground./.

Vietnam, Australia eye to step up trade, investment cooperation

Vietnamese Ambassador to Australia Pham Hung Tam has had a meeting with Australian Minister for Trade and Tourism Don Farrell to discuss opportunities for promoting trade and investment cooperation between the two countries.

Farrell valued the positive developments in bilateral relations, especially the upgrade of relations to a comprehensive strategic partnership during Prime Minister Pham Minh Chinh’s official visit to Australia in March. He expressed his delight at the achievements in economic, trade, investment, and tourism cooperation between the two countries.

The host welcomed the enhancement of people-to-people exchanges between the two countries and pledged to engage with relevant authorities to create favourable conditions for Vietnamese students to study in South Australia.

Ambassador Tam mentioned the potential for economic, trade, investment, and tourism cooperation between the two countries, saying that in 2024 many delegations of localities and enterprises will visit Australia to seek opportunities for trade and investment promotion.

According to the diplomat, as many as 97,500 Australian tourists visited Vietnam in the first two months of 2024, equal to 25% of the total in 2023. The two countries have operated additional direct flights, thus further boosting the number of two-way tourists.

He proposed specific initiatives to promote economic, trade, and tourism cooperation between the two countries, including opening up markets for Vietnamese agricultural products, enhancing cooperation between retail associations, and intensifying collaboration in developing green economy and renewable energy./.

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