Enterprises need to promote brand management for sustainable corporate development, according to experts.

A brand is not simply a name, logo or slogan, but also the entire experience for customers interacting with a product or service, making the enterprises easily recognisable compared to other businesses in the same industry or field. A brand is also the bridge that creates a close relationship between businesses and customers.

According to Associate Professor Dr Duong Thi Lieu, Director of the Institute of Business Culture, not only businesses, but many countries today are marketing themselves and building national brands to achieve various goals like attracting investment, promoting trade and accumulating resources for development.

Vietnamese entrepreneurs have also contributed to protecting and developing Vietnamese brands in the region and in the world, Lieu affirmed.

Amid greater international economic integration, Vietnam's multiple free trade agreements make building and managing its brand play an even more important role.

Vu Dang Vinh, general director of the Vietnam Report JSC, said that brand management is the process of building a strategy to improve the reputation and value of a business brand in the market. Effective brand management ensures that the brand is always consistent and attractive to target consumers.

Pham Thi Thu Phuong, director of AP Branding Services Co. Ltd., said that the goal of brand management is to increase people's awareness of the business' brand.

When consumers appreciate a brand, they tend to choose that brand's products or services, even if there are more convenient or cheaper options available. This demonstrates trust in the brand's value, creating stability and sustainable development for the business, Phuong said.

With sustainability branding, Vinh said that environmental and social issues become a major focus, and many brands have realised the need to integrate sustainability into their core values and business operations.

Building sustainability is not only taking social responsibility into account, but also creating a comprehensive strategy that includes assessing environmental impacts, ensuring sustainable sourcing and supporting the community.

Businesses must take more responsibility, from supply chain transparency to developing environmentally friendly products and applying sustainable business models. The brands that do not prioritise sustainability face a risk of losing market shares.

For efficient brand management, Vinh recommends that enterprises review their entire operations and identify areas for improvement, such as sourcing environmentally friendly materials, optimising production processes to reduce waste or implementing social programmes that align with core values.

Enterprises also need to ensure that environmental and social corporate governance (ESG) assessments and initiatives are applied to every business activity, from supply chain operations to marketing.

Associate Professor Dr Nguyen Hong Quan, director of the Institute for Research and Development of the Circular Economy, believes that developing internal resources for businesses should be linked to solutions for corporate social responsibility (CSR), ESG factors and net zero emissions in the business ecosystem to form a sustainable brand-building process./.

Number of domestic individual securities accounts hits 8.96 million

Individual domestic accounts increased by 156,568 in October this year, marking a steady growth similar to that from September, according to data from the Vietnam Securities Depository and Clearing Corporation (VSDC).

In contrast, in October of last year, VSDC recorded a reduction of around 378,000 accounts due to the closure of inactive accounts.

For the first 10 months of this year, individual domestic accounts grew by a cumulative 1.73 million, averaging an increase of around 173,000 accounts per month.

As of the end of October, the number of securities trading accounts held by individuals in Vietnam reached 8.96 million, equivalent to about 8.9% of the population.

Meanwhile, domestic institutional investors saw an increase of 121 accounts in October, compared to 90 in September. From January to October, domestic institutional investors added 1,257 accounts.

For foreign investors, last month saw an increase of 230 accounts, higher than the 202 added in September. This included 202 new accounts by foreign individual investors and 28 by foreign institutions.

The total number of foreign investor accounts in Vietnam currently stands at 47,436, reflecting international investors' growing diversity and participation in the Vietnamese stock market.

In total, 156,919 new accounts were opened last month. Although slightly lower than in September, this brought the total number of securities trading accounts in the Vietnamese market to 9.02 million by the end of October./.

Vegetable, fruit exports likely to make record high of 7.5 billion USD

Vietnam can earn 7.5 billion USD from vegetable and fruit exports this year – the highest-ever figure recorded, according to the Vietnam Fruit and Vegetable Association (Vinafruit).

Statistics from the Ministry of Agriculture and Rural Development show that the export revenue of these products hit 6.34 billion USD in the first ten months of this year, up 31.5% year on year and exceeding the 5.7 billion USD recorded for the entire 2023.

Durian continues to be the largest contributor, bringing in over 3 billion USD in the reviewed period, accounting for nearly 50% of the total export turnover from vegetables and fruits. Other products such as banana, mango, dragon fruit, and processed products also play an important role.

China remains the largest buyer of Vietnamese vegetables and fruits, with imports reaching 3.8 billion USD in the first 9 months of this year, up 38% year-on-year. Markets such as Thailand, the US, the Republic of Korea, and Japan have also seen strong growth, with double-digit increases.

Vinafruit General Secretary Dang Phuc Nguyen said that durian has made surprising success in terms of export results. Although the main season in the Central Highlands region ended in October, Vietnam still has off-season fruits thanks to the effective cultivation techniques of farmers.

Durian export turnover is likely to hit 3.5 billion USD this year - a milestone that is rare for any fruit to achieve.

While the export value of fresh coconut is not as high as that of durian, the recent approval for coconut exports to China has led to positive signs, with businesses signing cooperation agreements to boost exports of this product.

General Secretary of the Vietnam Coconut Association Cao Ba Dang Khoa stated that the demand for fresh coconut in the Chinese market can be divided into five segments, which means that small- and medium-sized enterprises can also access this market, unlike those such as the US and the EU, where businesses are required to be strong in terms of resources, market access capacity, and logistics to ensure product quality.

As Thailand currently holds 60% of the coconut market share in China, he expressed his hope that with the cooperation agreements reached by enterprises, along with efforts to improve domestic production orchards, this fruit will soon secure a significant share of this market./.

Consumer price index up 0.33% in October

Vietnam's Consumer Price Index (CPI) in October increased by 0.33% compared to the previous month and by 2.89% year-on-year, according to the General Statistics Office (GSO).

Ten of the 11 groups of goods and services saw price increases and one group decreased in price, it said.

The CPI growth was driven primarily by higher prices for food, rental housing, and domestic fuel which fluctuated in line with global market trends.

The GSO noted that transportation showed the largest increase among sectors, rising by 0.66%, largely due to a 2.27% increase in diesel prices and a 0.98% rise in domestic petrol prices following multiple price adjustments in October. Additionally, air passenger transport costs surged by 32.75% due to increased consumer demand.

Meanwhile, some items saw price reductions, with new car prices and road passenger transport both decreasing by 0.1%, and used car prices dropping by 0.23%.

In the education sector, prices rose by 0.48%, including a 0.53% increase in educational services due to higher tuition fees at some private kindergartens, colleges, vocational and intermediate schools, universities, and postgraduate institutions.

Other groups also saw price increases, including goods and services (up 0.26%), beverages and tobacco (up 0.11%), and household appliances (up 0.2%).

The CPI rose by 3.78% year-on-year in the first ten months of the year while core inflation was up 2.69% year-on-year. This was primarily because key contributors to CPI growth - such as food, electricity, education and healthcare services, and gasoline - are excluded from core inflation calculations.

Core inflation in October rose by 0.23% month-on-month and by 2.68% compared to the same period last year./.

Thua Thien-Hue: new attractive destination for investors

Nestled in a strategically significant position in the central key economic zone, Thua Thien-Hue serves as a vital gateway to the sea of the East-West Economic Corridor linking northern Thailand, southern Laos and central Vietnam. With concerted efforts to enhance its transportation infrastructure, streamline administrative procedures, and improve workforce training quality in recent years, this province is rapidly emerging as an attractive destination for both domestic and foreign investors.

Aiming for the status of a centrally-run city, Thua Thien-Hue has been launching various key transportation projects that promise to transform its connectivity. In 2023, the T2 passenger terminal at Phu Bai international airport, with a nearly 2.3 trillion VND (92 million USD) investment, officially opened its door, boasting a designed capacity of 5 million passengers per year.

By early 2025, two major projects - a coastal road and the Thuan An sea crossing bridge, spanning nearly 8km and costing 2.4 trillion VND, and the Nguyen Hoang road and Huong river bridge, part of Ring Road 3 with an initial investment of more than 1.855 trillion VND - are set to complete. Additionally, the second phase of a wave-dissipation dyke project at Chan May deep-water port, with a total investment of 757 billion VND, is underway. The province is courting investments in infrastructure for berths 4, 5, and 6 along with storage facilities, to establish a logistics centre that will improve service quality and competitiveness of this seaport.

Tran Cong Thich Vuong, Deputy Director of the provincial Department of Planning and Investment, underlined the province’s commitment to pooling investments in hi-tech industries, electronics, semiconductor, telecommunications equipment, and new material industries. Priority will be given to developing certain sectors such as export-oriented consumer goods, beverages and metallurgy linked to the seaport, electricity production from green energy sources, all aimed at fostering a green urban environment and sustainable industrial zones.

At present, Thua Thien-Hue is home to six industrial parks, hosting 109 active projects and 48 projects under development, along with several small industrial clusters. The Chan May-Lang Co Economic Zone, with a “prime” geographic location connecting to Da Nang via the Hai Van road tunnel, a natural deep-sea port, a system of lagoons and stunning coastal bays renowned worldwide, is a key asset. Covering about 27,108 ha, the economic zone has five main functional areas, including a port area, an industrial zone, a non-tariff area, an urban area, and a tourism zone. To date, it has basically completed primary transportation routes and has a wastewater treatment system with a capacity of 10,000 cb.m per day, along with a solid waste treatment facility.

Nguyen Van Phuong, Chairman of the provincial People's Committee, made it clear that the province will not endorse environmentally polluting industries and projects reliant on unskilled labour. Instead, the focus is on sustainable development scenarios targeting hi-tech manufacturing. By investing in infrastructure and creating a pro-business environment, it aims to draw key players capable of leading and driving the development of supporting industries in designated areas, he said.

A recent highlight in this development plan is the groundbreaking of the Kim Long Hue engine manufacturing and assembling plant at the Chan May-Lang Co Economic Zone. This project, part of the Kim Long Motors Hue Industrial Park, spans 600ha and represents a total investment of 260 million USD. Scheduled to become operational in the second quarter of 2025, the plant will feature an impressive automation level of up to 90%, marking a major leap forward for local industry.

The Kim Long Motor Hue Industrial Park - a key project has basically completed its first phase. Since February this year, the Kim Long Motor Hue JSC has produced sleeper buses, seated buses, city buses, and minibuses. Building on initial successes, the investor is preparing documentation to increase its total investment capital to approximately 21 trillion VND (830.04 million USD).

According to Ly Quoc Viet, permanent deputy general director of the company, the decision to invest in a large-scale automotive manufacturing and assembling project in Thua Thien – Hue reflects Kim Long Motor's aspiration to establish a foundation for local high-tech industrial development. The aim is to bring new industrial vibrancy to the land of the ancient capital, known for its long-standing history and culture. The industrial park is envisioned to become a leading regional centre for vehicle and auto parts production, targeting a localisation rate exceeding 90% by the second quarter of 2026.

Thua Thien Hue is one of Vietnam's major tourism hubs, featuring the ancient capital of Hue, rich traditional cultural identities and six UNESCO-recognised cultural heritage sites. The province boasts stunning natural landscapes, including the Tam Giang - Cau Hai brackish-water lagoon system – the largest of its kind in Southeast Asia with nearly 22,000 ha of water surface, Bach Ma National Park, Lap An Lagoon, and Lang Co Bay – a member of the Club of the Most Beautiful Bays of the World. Each year, millions of travellers, both domestic and international, flock to Thua Thien – Hue for sightseeing and relaxation. As the province actively seeks tourism investments, it stands on the brink of unlocking a wealth of untapped potential. Recently, the 169.67-million-USD Aeon Mall Hue, Japanese giant Aeon Mall’s largest retail and service centre in central Vietnam to date, officially opened, catering to the shopping needs of locals and tourists alike./.

HCM City hosts exhibitions on water, environment technologies

The exhibition on water supply and drainage, sanitation, water resources and purification technology (Vietwater 2024) and the waste and environment technology & transportation Vietnam exhibition (WETV 2024) hosted by Informa Markets Vietnam kicked off in Ho Chi Minh City on November 6.

General Director of Informa Markets Vietnam Ben Wong said the exhibitions brought together over 450 exhibitors, including leading global manufacturers and distributors of equipment, machinery, and technology for water supply, filtration, and wastewater treatment, from 25 countries and territories across the world.

The highlight of the events is the Water Hackathon competition jointly organised by Informa Markets Vietnam, the Vietnam - Netherlands Friendship Association in HCM City, the Saigon Innovation Hub (SIHUB) under the municipal Department of Science and Technology, and the Institute for Circular Economy Development.

The hackathon will honour sustainable initiatives on water resource management, wastewater treatment, clean water supply, and digital technology applications by young talents. The contest also aims to support potential startups to develop into businesses in the future.

Nguyen Hong Hieu, Vice Director of the Department of Water Resources Management under the Ministry of Natural Resources and Environment, hailed the organisers’ efforts to enhance visitors’ experiences through a series of international seminars, saying that these provide solutions that contribute to sustainable development of the water and the environmental sector in Vietnam.

According to Nguyen Van Nga, Chief Representative of the Ministry of Industry and Trade's Southern Office, an exclusive business-matching programme held in the framework of the exhibitions offers a good opportunity for exhibitors to access potential buyers./.

First shipment of Omoda C5 vehicles leaves Indonesia for Vietnam

The first shipment of the Chinese Omoda C5 vehicles has departed from Indonesia and is en route to Vietnam, announced Omoda & Jaecoo Vietnam on November 6.

According to the joint venture between Vietnam’s GELEXIMCO Group and China’s Chery Group, the prices of the vehicles are expected to be revealed later this month, before its domestic assembly.

In addition to importing vehicles from Indonesia and Malaysia, Omoda & Jaecoo Vietnam is developing a production plant in the northern province of Thai Binh, which is designed to have an annual capacity of 200,000 units.

With a total investment of 800 million USD, the facility is anticipated to begin operations by 2026, fostering growth in Vietnam’s automotive industry and generating significant economic benefits and job opportunities for locals.

Insiders noted that the local assembly of the Omoda C5 and other models will help reduce costs, making them more competitively priced and tailored to the needs of Vietnamese consumers.

This marks a significant milestone in the long-term strategy of the Chery-GELEXIMCO joint venture, underscoring its commitment to the Vietnamese market and the broader shift towards sustainability in the automotive industry./.

Hanoi attracts 1.6 billion USD in FDI in ten months

Hanoi attracted 58.4 million USD in foreign direct investment (FDI) in October, bringing the total in the first ten months of this year to 1.6 billion USD.

According to the municipal People’s Committee, over 1.1 billion USD was poured into 233 new projects in the January – October period, while 184 million USD was added to 160 existing projects, and 208 million USD was spent by foreign investors through contributing capital and purchasing shares.

In the reviewed period, Hanoi had 24,900 newly established enterprises with a combined registered capital of 228.3 trillion VND (nearly 9 billion USD), a decrease of 5.7% in the number of companies and 11.8% in capital year-on-year.

Meanwhile, as many as 8,600 businesses resumed their operation, up 15.1% compared to the same period last year, and 21,800 others registered to temporarily suspend operations, 20.1 % higher than that of the same period last year.

A total of 3,900 businesses dissolved, up 28% over the same period last year.

The number of workers working in industrial enterprises in the city in October increased by 0.5% month-on-month and 0.7% year-on-year. However, in the first ten months of 2024, the labour utilisation index of industrial enterprises dropped 0.9% year-on-year. Particularly, the number of workers working in non-state enterprises decreased by 4.3% while the number of workers in the foreign-invested sector exapanded by 0.7%; and that in the state sector grew by by 1.7%./.

Vietfood & Beverage – Propack Vietnam 2024 opens in Hanoi

The 10th International Vietfood & Beverage - Propack Vietnam 2024 exhibition opened in Hanoi on November 6.

Speaking at the event, Dao Thu Ha, Executive Director of Vinexad, highlighted the event’s role as a premier platform for food and beverage (F&B) industry players to showcase products, foster business partnerships, and promote the sector’s development.

With 300 exhibitors from eight countries and territories, the exhibition has grown in size and influence, serving as a key networking hub for industry stakeholders.

Hoang Quang Phong, Vice Chairman of the Vietnam Chamber of Commerce and Industry (VCCI), emphasised that Vietnam’s F&B sector has significantly contributed to the country's strong economic growth in recent years. The International Monetary Fund (IMF) projects Vietnam’s F&B market will reach 655 trillion VND (27 billion USD), reflecting a 10.92% increase from 2023. This growth positions Vietnam as one of the fastest-growing F&B markets globally over the next five years.

The event features one-on-one business matchmaking sessions, offering exhibitors opportunities to directly connect with potential partners. A variety of seminars will also be held, including discussions on sustainable food processing, cost optimisation in F&B, and the latest in eco-friendly packaging innovations by Fuji Seal.

Besides, the exhibition includes interactive sessions like trade forums with representatives from China’s Chengdu Business Promotion Association, hands-on workshops, and prize giveaways for attendees.

The four-day event aims to enhance domestic and international ties in the F&B industry and strengthen Vietnam's position in this growing sector./.

FPT partners with OutSystems to strengthen low-code offerings

Vietnam’s leading IT company FPT has entered into a three-year partnership agreement with OutSystems, a recognised leader in high-performance application development.

Through this collaboration, FPT will become one of OutSystems’s reseller and delivery partners in the Korean market, offering clients accelerated time-to-market and cost-efficient software solutions.

By harnessing OutSystems' industry-leading low-code platform, FPT aims to enrich its portfolio with faster application development, prototyping and deployment services. The partnership also unlocks opportunities to extend market reach through OutSystems' partner ecosystem. Additionally, the two companies will co-host workshops and engage in joint sales and marketing initiatives, fostering knowledge exchange and driving shared success.

By combining OutSystems’ AI-powered low-code platform with FPT's proven delivery capabilities, the collaboration will empower businesses to enhance operational efficiency, extend system functionality and leverage customer experience.

It will prioritise the development of innovative solutions, particularly generative AI-powered low-code technologies, to accelerate the digital transformation of Korean enterprises and enhance their agility and competitiveness in an increasingly dynamic market.

FPT's partnership with OutSystems, established in 2019, has resulted in remarkable joint achievements. The company boasts a team of over 5,000 low-code developers, enabling it to deliver a comprehensive range of services, including the development, operation and maintenance of software applications on low-code platforms./.

Domestic exporters urged to shield against trade remedy threats

Vietnamese exporters are navigating a landscape filled with both promise and peril, and experts urge them to bolster their defence against trade remedy investigations while capitalising on surging global demand.

Le Anh Van, Director of the Legal Support and Human Resource Development Centre under the Vietnam Association of Small and Medium Enterprises, called on domestic exporters to stay ahead of the curve, highlighting the need for regular updates on anti-trade remedy investigations through Vietnam’s trade agencies abroad.

Innovation, product diversification, and quality improvement are key, while a workforce well-versed in trade remedies and relevant management systems is crucial to navigate potential challenges, he said.

The warning comes as Vietnam's exports, renowned for their competitive edge in labour and production costs, increasingly meet international quality standards. This success, however, has raised red flags in importing countries, prompting them to employ trade remedy measures to protect their domestic industries, said Deputy Director of the Trade Remedies Authority under the Ministry of Industry and Trade (MoIT) Truong Thuy Linh.

The final months of this year present a mix of opportunities and challenges, according to Director of the Trade Remedies Authority Trinh Anh Tuan. Year-end consumption demand in major markets like the US and EU is expected to benefit electronics, consumer goods and textile sectors. The textile industry, in particular, stands to gain as export orders shift from Bangladesh. Additionally, Free Trade Agreement (FTA) markets are projected to sustain Vietnam’s competitive edge in trade and investment.

In response, the MoIT is committed to strengthening the legal framework to protect the economy, domestic enterprises, and markets, in line with international commitments.

Efforts will continue to optimise the use of trade remedy tools, ensuring effective support for Vietnam’s export sector against foreign trade remedy cases, Tuan asserted./.

Enterprises urged to further innovation, improve competitiveness to boost exports to Asia

Vietnamese enterprises need to make efforts to innovate, proactively improve competitiveness, and participate in new supply chains to boost exports to Asia, said a trade official.

Speaking at a conference on trade promotion to Asian markets on November 5, Deputy Director of the ASEAN Division, Multilateral Trade Policy Department at the Ministry of Industry and Trade (MoIT) Quyen Anh Ngoc urged enterprises to coordinate with the Government and associations to study and develop appropriate production and business strategies to seize opportunities.

At the event, Ngoc provided Vietnamese exporters with information about free trade agreements within the ASEAN framework, particularly the Regional Comprehensive Economic Partnership (RCEP).

Some key export products of Vietnam will have their tariffs eliminated by countries immediately after the RCEP agreement comes into effect including seafood, meat, vegetables, fruit, agricultural products, some types of machinery and mechanical equipment; spare parts, machinery, computers, and electronic components, footware, textile materials, textiles, and chemicals.

 
To tap the potential and advantages of Vietnamese exports, Ngoc highlighted the diversification of input material sources, preferential import tax in export markets, and more favourable investment and business environment.

Vietnamese Trade Counsellor in Indonesia Pham The Cuong said that Indonesia which is the world's fourth most populated country is a potential market, especially its working-age population accounts for 60% of the population. Indonesia’s high and stable economic growth pushes demand for consumption and imports. Notably, its middle class is growing rapidly, creating a driving force for consumption and economic growth. Moreover, Indonesia has an increasing demand for imported goods, particularly consumer goods.

Cuong noted that the Indonesian market is not as choosy as the US, the EU and Japan, while Vietna and Indonesia have cultural similarities.

The close geographical distance also helps Vietnamese enterprises reduce transportation costs and increase the competitiveness of goods. In particular, Vietnamese goods are gradually asserting their position in Indonesia with increasing export turnover value; having a comparative advantage over many agricultural and aquatic product groups. In addition, direct flights between the two countries can help for businesses to penetrate deeper into this market.

However, Indonesia is a highly protected market and requires importers to have Halal certification and meet national standards (SNI), regulations on import ports to some groups of goods. Indonesia also regularly applies trade defence measures.

Therefore, to boost exports to Indonesian market, businesses need to proactively apply for Indonesian Halal certificates, and SNI certificates, Cuong said, adding that enterprises need to contact and closely coordinate with Vietnam's relevant agencies in case Indonesia initiates trade defence measures relating to their products./.

Vietnam, RoK talk trade remedies

Vietnam and the Republic of Korea (RoK) looked into measures to reduce trade disputes, tackle emerging issues in this field, and step up cooperation in anti-dumping investigations, at a conference on November 6.

At the eighth conference on cooperation in trade remedies, jointly held by the Korea Trade Commission under the Ministry of Trade, Industry, and Energy, and the Trade Remedies Authority of Vietnam at the Ministry of Industry and Trade, the two sides also sought ways to enhance bilateral trade.

Since the Vietnam-RoK Free Trade Agreement (FTA) took effect in 2015 and the two countries signed a deal on expanding collaboration between their trade remedies agencies in 2018, they have engaged in discussions on each country’s import regulations and established a cooperation channel for sharing views on trade defense matters.

Regarding Vietnam's anti-dumping investigation into galvanised steel from the RoK, initiated in June, the East Asian country said the product’s direct impact on Vietnam’s steel industry is not significant, asking the country to thoroughly consider this issue./.

Binh Duong bolsters export to major markets

The southern industrial hub of Binh Duong is ramping up its export to major markets, particularly the US and the EU.

A report from the provincial Department of Industry and Trade showed that the local index of industrial production (IIP) in January – October rose 6.49%, indicating the locality’s robust production strength.

During the ten-month span, the province’s export revenue expanded 13.25% year-on-year to 28.5 billion USD, while import grew 12.6% to 20.3 billion USD. The figures not only reflect the local exporters’ dynamism but also affirm the province’s sound market expansion strategy, especially towards the US that accounts for a third of its total export turnover.

Director of the department Nguyen Van Toan held that bolstering export to the American market will help enterprises broaden their production scale, generate more jobs, and improve the added value for their products.

Local wooden products, garment and textile, and electronic products have been favoured by US consumers, he said, adding the market, boasting strong a consumption and stringent requirements for product quality, is a strategic destination for the province’s industries.

As part of the efforts to help local firms reach out to more international markets, Binh Duong has invested big in transport infrastructure, sea and river ports, and warehouse while arranging trade promotion activities and encouraging the businesses to attend international fairs.

According to Standing Vice Chairman of the provincial People’s Committee Mai Hung Dung, training programmes and technical support have been given to local firms to improve their production and better product quality to meet rigorous requirements from the US and European markets.

Binh Duong pledges assistance for the enterprises, helping them expand production so as to contribute to the local economic development, he added./.

Krungsri proposes accelerating purchase of 50% of SHBFinance’s charter capital

Ayudhya Public Bank Limited (Krungsri), a member of Japan's MUFG Group, has proposed to the Saigon - Hanoi Commercial Joint Stock Bank (SHB) that it will speed up the acquisition of the remaining 50% of SHBFinance’s charter capital.

This move, ahead of schedule, promises to deliver substantial capital gains to SHB’s shareholders, while further enhancing SHB’s financial strength and market position.

SHB officially announced its approval of the transfer of the remaining stake in SHBFinance to Krungsri on November 5. This decision marks the second phase of the planned transaction, in which SHB will transfer the remaining 50% of its shareholding in SHBFinance, in line with an agreement made between the two parties.

The partnership between SHB and Krungsri dates back to August 2021, when the two banks signed an agreement for a two-phase transfer of SHBFinance's entire charter capital.

In May 2023, SHB successfully completed the first stage, transferring 50% of SHBFinance’s capital to Krungsri. At the same time, SHBFinance was restructured from a single-member limited liability finance company into a multi-member company, under a new decision and licence from the State Bank of Vietnam.

According to the original terms, SHB was set to transfer the remaining 50% of SHBFinance's charter capital to Krungsri in three years. However, with the latest resolution, this transfer is now being expedited, which will significantly bolster SHB’s capital position and strengthen its financial foundation.

The full transfer of SHBFinance to Krungsri will provide a considerable capital surplus to SHB’s shareholders, contributing to a stronger capital base and greater financial flexibility. SHB has consistently worked to enhance its financial health and market competitiveness and this deal is expected to support those efforts by accelerating its digital transformation and expanding its retail business offerings.

Beyond the immediate capital benefits, SHB's continued collaboration with strategic partners like Krungsri will enable the bank to invest further in digitalisation, technology platforms and the development of modern financial services. This aligns with SHB's long-term focus on strengthening its core business operations and exploring new growth opportunities in an increasingly tech-driven banking landscape.

In the first nine months of the year, SHB posted robust financial results. The bank’s accumulated pre-tax profit reached 9 trillion VND, achieving 80% of its annual target. Total assets grew by 9.2% to 688.3 trillion VND and outstanding credit balances reached 495.4 trillion VND. Key business indicators, including a Return on Equity (ROE) of 22.8%, continue to position SHB among the top performers in the banking sector.

The bank's Capital Adequacy Ratio (CAR) stands at over 11.8%, exceeding the regulatory requirement set by the central bank, ensuring both operational safety and sustainability.

Looking ahead, SHB is embarking on a comprehensive transformation strategy for the 2024-28 period. At the heart of this strategy is innovation, the adoption of cutting-edge technologies and a relentless drive to enhance customer experience. The bank is focusing on improving operational efficiency through digitalisation, optimising costs and refining its service offerings.

SHB has successfully implemented advanced technologies such as artificial intelligence (AI), machine learning and big data analytics. These innovations have played a crucial role in digitising internal operations, transforming both products and services. As of 2024, 90% of essential banking services can be accessed through digital channels and 92% of customer transactions, both corporate and retail, are completed via mobile and internet banking.

With the acceleration of the SHBFinance transaction, SHB is poised to further cement its position as a forward-thinking, technologically advanced financial institution, well-equipped to thrive in a competitive and rapidly evolving market./.

Hai Phong: Ten-month budget revenue nears 3.8 billion USD

The budget revenue of the northern port city of Hai Phong totaled nearly 96.2 trillion VND (3.8 billion USD) in the first 10 months of 2024, up over 29% year-on-year, equivalent to more than 90% of the target set by the municipal People's Council.

According to the office of the municipal People’s Committee, the locality recorded stable economic growth in October and the last 10 months. Several economic indicators continued to show substantial growth compared to the same period last year.

Of the figure, domestic revenue accounted for nearly 41.5 trillion VND, up 59% compared to the same period last year; and the earnings from import-export activities reached nearly 53.6 trillion VND, representing a year-on-year increase of 14%.

Seaport cargo throughput exceeded 145 million tonnes, up more than 10% from the same period in 2023 and equal to 76% of the plan set for the year.

In the last 10 months, Hai Phong attracted 1.8 billion USD in foreign investment, down 41% year-on-year, equivalent to 94% of the annual target. Its index of industrial production (IIP) increased by over 14% compared to the same period in 2023.

Regarding public investment disbursement, as of October 20, 2024, nearly 9.45 trillion VND had been disbursed, accounting for 56% of the plan assigned by the Prime Minister, and 47.3% of the plan assigned by the city.

According to the municipal Department of Tourism, Hai Phong welcomed over 7.8 million visitors in the reviewed period, up 14.1% year-on-year, including 832,000 foreign arrivals. The city’s tourism revenue is expected to reach 9.4 trillion VND in 2024.

The municipal Department of Industry and Trade reported that the goods market in the city remained stable during the first nine months of 2024, with a plentiful supply of commodities meeting the consumption and production demand.

The retail sales of goods totaled an estimated 154.28 trillion VND, up 14.05% against the same period last year. Meanwhile, revenue from accommodation rose by 13.14% to 21.87 trillion VND, and tourism service hit 254 trillion VND, up 10.43%, in the period.

It is expected that the total retail sales of goods and consumer services revenue for 2024 will exceed the plan.

According to Le Minh Son, Deputy Director of the municipal Department of Industry and Trade, the agency has closely coordinated with the Domestic Market Department under the Ministry of Industry and Trade, as well as other departments, sectors, and localities to proactively monitor the production and business activities of enterprises in the city.

Attention has been paid to regularly tracking and evaluating the supply and demand of goods to take suitable plans and measures to ensure a balance between supply and demand and stabilise the market, he noted.

In its efforts to fight smuggling, trade fraud, and counterfeit goods, the municipal department has coordinated with Coast Guard Region 1 to inspect and detect four cases of illegal transportation of 3,280 cubic metres of sand, and two others of over 30,000 litres of oil in the waters of Hai Phong.

The department has conducted 20 inspections to assess compliance with the law in terms of alcohol, electricity, foreign-related goods trading, supermarket operations, and e-commerce. As a result, 40 entities violating regulations on business activities were discovered, resulting in administrative fines totaling over 1 billion VND./.

HNX raises nearly 30.6 trillion VND from G-bonds in October

The State Treasury mobilised 30.6 trillion VND (1.2 billion USD) via 22 auctions of G-bonds on the Hanoi Stock Exchange (HNX) in October.

In the month, the State Treasury conducted bidding for bonds across six maturity terms: five years, seven years, 10 years, 15 years, 20 years and 30 years.

The average yield rates of the five-year, 10-year, 15-year and 30-year bonds were 1.89%, 2.66%, 2.86% and 3.1%, respectively.
As of October 31, the State Treasury has mobilised nearly 302.3 trillion VND, accounting for 75.6% of the yearly plan.

In the secondary market, the listed value of G-bonds as of October 31 reached nearly 2.2 quadrillion VND, up 0.99% compared to the previous month.

The total secondary transaction value reached nearly 275 trillion VND, with the average transaction value per session reaching about 12 trillion VND, down 12.03% compared to September. Of that, the total value of G-bonds sold by the outright method accounted for 65.28%, while trading value of repurchase agreement (repos) accounted for 34.72% of the total transaction value of the whole market.

In the month, foreign investors’ trade accounted for 1.67% of the total transaction value of the market./.

Hanoi takes drastic measures to disburse public investment

Hanoi is currently in a crucial phase of public investment disbursement, striving to maximise funding allocation so as to improve the efficiency of capital utilisation, accelerate the development of infrastructure, and enhance the capital city's competitiveness.

According to data from the State Treasury of Hanoi, as of October 31, the city had achieved 40.1% of its disbursement plan for basic construction assigned by the Prime Minister.

In 2024, the total public investment allocated to Hanoi is set to increase by 53% compared to 2023. While these results are commendable, the volume of work required to meet the disbursement deadline remains substantial.

To achieve the goal of over 95% of disbursement, the municipal People's Committee has directed agencies, particularly those with large capital allocations, to take swift actions in project construction, strengthen strict discipline, and prompt settlement of obstacles and difficulties.

Additionally, agencies are urged to expedite payments as soon as work is completed, include public expenditure control in the responsibilities of the leaders of units, and publicly disclose monthly disbursement results.

The municipal Department of Planning and Investment reported on October 25 that there are still 33 agencies that have not met their commitments for public investment disbursement.

The total amount needed to be disbursed in the remaining months of this year is 44.9 trillion VND (1.77 billion USD), or 55.4% of the planned capital.

Chairman of the Hanoi People's Committee Tran Sy Thanh recently issued a directive on accelerating the disbursement of public investment in the last months. Therefore, units that are slow in disbursement are urged to promptly review their processes, rectify existing issues, and implement all necessary measures to expedite the completion of public investment disbursement tasks for 2024./.

Ten-month results fuel confidence in surpassing growth target

Given the 10-month performance, authorities believed Vietnam's economic growth is likely to surpass this year’s target, and more efforts are being taken to tackle bottlenecks to growth.

Bright spot of economic panorama

Reporting to the 15th-tenure National Assembly (NA) at the ongoing eighth session, Prime Minister Pham Minh Chinh said the economy has been rebounding in 2024, and this year’s growth is estimated at 6.8 - 7%, higher than the target set by the NA.

The Ministry of Planning and Investment said the macro-economy remains stable while inflation is under control. The economy has expanded at a pace faster than the set target, major balances been guaranteed, and public debts, Government debts, foreign debts, and state budget overspending controlled properly to stay under the ceiling limit.

In October, the S&P Global Vietnam Manufacturing Purchasing Managers' Index (PMI) posted 51.2 points, up from 47.3 points in September and back above the 50.0 no-change mark following the disruption caused to the sector by Typhoon Yagi in the previous month. This is considered one of the growth drivers in the year-end months.

S&P Global said the Vietnamese manufacturing sector in October started to recover from the effects of September's super typhoon, recording renewed increases in both output and new orders.

The Earning Insight 2024, recently published by the Vietnam Report JSC, shows clear improvements in businesses’ confidence in economic growth this year. The rate of companies believing in growth paces of 6 - 6.5% and over 6.5% rises sharply, even higher than the rate of 17.6% of firms expecting that in the year’s beginning.

Vietnam Report General Director Vu Dang Vinh said the Asian Development Bank (ADB) recently forecasted the country’s GDP growth at 6% in 2024 and 6.2% in 2025. The World Bank also perceived that the rate will stand at 6.1% this year and 6.5% in the following year.

Meanwhile, the United Overseas Bank (UOB) upgraded its growth prediction for Vietnam this year to 6.4%, much higher than the previously forecast rate of 5.9%.

The new predictions are closer to the NA’s target of 6 - 6.5%.

Nguyen Thi Thuy, an NA deputy of Bac Kan province, held that the Vietnamese economy is likely to reach and surpass all the 15 targets for this year, with a breakthrough seen in infrastructure development and progress recorded in the promotion of digital transformation, digital government, and digital economy.

However, certain concerns remain due to uneven recovery among economic sectors.

In September, 4,233 companies suspended their operations for certain periods of time, 7,410 others halted activities to wait for dissolution, and 1,605 completed dissolution procedures, increasing 2.6%, 40.5%, and 26.8% year on year, respectively. That indicates pressure on businesses is still substantial.

Businesses pointed out that there remain many risks and challenges that may affect efforts to reach the growth target, so it is necessary to take strategic steps and suitable solutions to grasp opportunities and weather difficulties.

Minister of Planning and Investment Nguyen Chi Dung also acknowledged shortcomings, problems, difficulties, and challenges related to macro-economic stability, production and business activities, public investment disbursement, and power decentralisation, among others.

To secure this year’s growth target, Dung said his ministry has proposed the Government focus on six solutions. The first and most important one is to push forward with institutional perfection, which should be considered a breakthrough solution for making breakthroughs.

Other solutions include removing hindrances to land-related projects, facilitating the real estate market, unleashing investment resources for the economy by using public investment to attract private investment and selectively attracting foreign direct investment (FDI), and boosting new growth drivers such as innovation, digital economy, green economy, and new industries.

In October, PM Chinh signed an official dispatch on supporting enterprises to address difficulties and promote production and business activities in the remaining months of 2024 and beyond.

The same month, he issued another dispatch urging faster public investment disbursement in the remaining months of the year.

In another dispatch last month, the Government leader demanded accelerating the recovery of agricultural production in the wake of Typhoon Yagi.

With such directions and strong determination of the entire policy system, many NA deputies have expressed their belief that the country will reach and surpass this year’s GDP growth target.

Tran Anh Tuan, a NA deputy of Ho Chi Minh City, said in the current context, Vietnam is greatly affected by external factors such as geopolitical conflicts and a slowdown in global consumption demand. However, thanks to the strong political resolve of all-level administrations and sectors, all the 15 targets for this year are within reach, including the GDP growth target of 7% highly feasible.

This reflects the economy’s fast recovery and good resilience. In particular, facing the Yagi aftermath, Vietnam has moved to settle consequences well and positive signs are being recorded in the year’s last quarter, he added./.

Gold demand slumps as sharp price rises deter fresh buying in Q3: report

The gold demand in Vietnam slumped significantly in the third quarter of this year as the sharp price rises deterred fresh buying, while the world’s total gold demand touched record high, according to the Q3 gold demand trends research recently published by the World Gold Council.

The demand for jewellery in Vietnam was at 2.6 tonnes, a year-on-year drop of 13%, while demand for bar and coin fell 33% to 7.9 tonnes.

The record gold price environment resulted in weaker gold jewellery demand in ASEAN markets. For Vietnam, currently depreciation exacerbated the rise in international gold prices, helping to explain the larger decline in demand.

According to the report: "Global geopolitical tensions, local political and economic concerns and bullish price expectations buoyed ASEAN investor’s appetite for gold in Q3. Thailand, Indonesia and Malaysia all recorded double-digit year-on-year growth. Contrastingly, Vietnam was the outlier: demand slumped as the sharp price rise deterred fresh buying.”

Meanwhile, the total gold demand gained 5% year-on-year to 1,313 tonnes – a record for a third quarter.

“This strength was reflected in the gold price, which reached a series of new record highs during the quarter. The value of demand jumped 35% year on year to exceed 100 billion USD for the first time ever.”

The average price for the quarter was 28% higher year-on-year at a record of 2,474 USD per ounce.

In the last quarter, the World Gold Council predicted that gold prices would continue to climb due to increasing media attention on the stellar year-to-date returns.

Geopolitical uncertainty, stemming from both an escalation in Middle East tensions and the highly polarised US presidential election, is supporting increased investment interest and lower-than-predicted recycling.

Besides, the shift that is underway in global interest rate policy should promote further interest in gold investment as the opportunity cost of owning gold drops./.

HCM City, northeastern provinces boost tourism links

Ho Chi Minh City and eight northeastern provinces have defined developing typical creative tours, routes and destinations as a key activity to boost their tourism links in the coming time.

Speaking at a meeting to review their tourism cooperation in the 2024-2025 period in Lang Son province on November 3, Director of the Lang Son provincial Department of Culture, Sports and Tourism Nguyen Dang An said that in 2024, HCM City and the eight provinces of Bac Kan, Bac Giang, Cao Bang, Lang Son, Thai Nguyen, Tuyen Quang, Quang Ninh, and Vinh Phuc defined to promote local tourism products, as well as diverse and unique natural tourism resources of the region, which contributed to the tourism sector's recovery and development, and the country's socio-economic development.

With the support of HCM City, the tourism promotion of the northeastern provinces saw positive changes with more tourism services and products launched to attract visitors.

However, the linkages among the provinces are still loose and the service quality is uneven, affecting tourists’ experiences, and reducing the region’s tourism attraction, An said.

He held that in 2025, HCM City and the northeastern provinces will study, develop and renew unique and typical tourism products of the region; expand the tourist market and develop separate promotion strategies for each product, tour and connecting route.

The provinces and HCM City will coordinate to implement tourism promotion programmes in key international tourism markets such as China, the Republic of Korea, Japan, India and Europe, and participate in international tourism promotion events.

Director of the HCM City Department of Tourism Nguyen Thi Anh Hoa said that the northeastern provinces need to soon develop smart tourism interactive maps at tourist sites to help tourists easily access information and tours in the region./.

VNA/VNN/VNS/VOV