Vietnam industrial real estate has many growth advantages

Low labor costs, reasonable land rent, tax incentives … are the factors attracting many foreign corporations to locate factories in Vietnam. Destination of global brands At the end of April 2019, Yonhap news agency reported that LG will close the Pyeongtaek factory in southern Seoul later this year to shift production lines to Hai Phong to reduce costs. This is also where many other parts of LG are located. With the relocation plan, LG estimates that the second half of 2019 smartphones [...]

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Why is it difficult for Vietnamese enterprises to participate in global value chains?

It is difficult to join the global supply chain Ministry of Industry and Trade data at the conference “Opportunities for global value chain participation” show that, in 2018, processing and manufacturing industries are the sectors attracting the largest foreign direct investment. The registered capital of licensed projects is about USD 9.067 billion, accounting for 50.5% of the total newly registered capital. Vietnam has become a production site for a number of high-value industrial goods such as mobile phones and tablets … [...]

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PVN must divest from sensitive sectors according to the roadmap

Vietnam Oil and Gas Group made many difficulties in implementing the roadmap to divest capital in areas such as real estate, securities and insurance. The Ministry of Finance has just issued a written response to the petition of Vietnam Oil and Gas Group (PVN) on the restructuring, divestment and equitization. Previously, PVN said that it is difficult to implement divestments in the period of 2017 – 2020 when it must ensure optimal benefits for the State. In the feedback document, the [...]

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Investment risks, seen from YEG shock

9 months since listing, YEG stock price (of JSC Yeah1 Group) is following the scenario of no shareholders and investors want. From the unexpected stock price story of YEG, or before that TCM, INN … when businesses face business risks, it is necessary to diversify the investment portfolio to disperse risk. YEG and unexpected shocks on the stock market At the end of the trading session on March 19, 2019, YEG stock of CTG Yeah1 Group continued to decrease the amplitude. [...]

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What motivation determines economic growth 2019

Where to rely on? Economic growth is showing signs of slowing down in the first quarter of 2019. This can be judged when looking at the forecast of GDP growth in the first quarter of 2019 only 6.58% over the same period that the Ministry of Planning and Investment recently released. This figure is even lower than the first quarter growth rate of 6.76%, which was developed by the Ministry of Planning and Investment at the beginning of the year. There are [...]

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Electricity prices increase, electricity production enterprises do not benefit correspondingly

In March, the electricity price will increase by more than 8% but in the short term, power producers will hardly benefit, partly because of increased input costs but the fixed output is based on the electricity sale contract with EVN ( Qc) In 3 – 5 years time, the output of electricity sold in the competitive market often accounts for a small proportion. In early 2019, when the supply of coal for power plants was stressed because some northern coal [...]

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Nearly 345 billion USD of foreign capital flows into Vietnam

Statistics of the Foreign Investment Agency (Ministry of Planning and Investment) show that, as of February 20, 2019, there were 27,900 valid projects with a total registered capital of US $ 344.9 billion. The accumulated capital of foreign direct investment projects is estimated at nearly 194 billion USD, equaling 56.2% of the total registered capital. By sector, foreign investors have invested in 19/21 sectors in the national economic classification system, in which the processing and manufacturing industry accounted for the [...]

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Why is capital mobilization through the stock market still lower than banks?

The medium and long-term capital mobilization of enterprises still “weighs heavily” on the shoulders of the banking system. Therefore, it is necessary to promote the stock market to become the main capital channel for the economy. In 2018, Vietnam’s stock market is an effective capital mobilization channel for the economy, which is considered to be the most successful market in Southeast Asia in terms of capital mobilization. Accordingly, the total value of capital mobilization through the stock market reached more [...]

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Solution to restructure Vietnam’s stock market

The Prime Minister has approved the Project “Restructuring the securities market and insurance market to 2020 and orientation to 2025”. For the stock market, the overall goal of the Scheme is to continue to comprehensively restructure the stock market to become an important medium and long-term capital channel for the economy; building a reasonable and balanced structure between the money market and the capital market, between the stock and bond markets, between government bonds and corporate bonds; actively supporting the [...]

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Foreign capital accelerated acquiring pharmaceutical enterprises

After Domesco, Hau Giang Pharmacy became the next target for foreign companies in the race to acquire pharmaceutical enterprises. Hau Giang Pharmaceutical – the highest revenue pharmaceutical product company on the stock market, is in the sights of Japanese pharmaceutical giant Taisho Pharmaceutical. According to newly announced information, Taisho expects to spend about 3,400 billion dong to control Hau Giang Pharmaceutical with a controlling interest rate of nearly 57%. If this deal is successful, Hau Giang Pharmaceutical will be the next [...]

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