Also in 2010, many important events were held to strengthen the traditional friendship between Vietnam and Russia.Russian Ambassador to Vietnam, Andrei Grigorievich Kovtun, granted a VOV reporter an interview about the relationship in 2010 and its direction for 2011.VOV: What are the most important achievements in the development of Vietnam-Russia relationship?Mr Andrei G. Kovtun: Russia and Vietnam have been connected together by a multifaceted cooperation and traditional relations in politics, economy, culture, and education.2010 marked a significant development in the Russia-Vietnam strategic partnership with various celebrations and events. The two countries celebrated the 60th anniversary of diplomatic ties, the 65th anniversary of Russia’s Victory, the 65th anniversary of Vietnam’s National Day, and the 35th anniversary of Vietnam’s Liberation Day.Effective political dialogues at different levels laid a firm foundation for the development of the cooperation and … [Read more...] about Vietnam-Russia relationship expected to grow and flourish
How to raise venture capital
Following the success of the Vietnam-Spain Investment and Business Forum in 2008, nearly 180 Vietnamese and Spanish businesses participated in the Business Forum 2010 held recently in Ho Chi Minh City. It was sponsored by the Spanish Foreign Trade Institute, the Economic and Trade Division of the Spanish Embassy in Vietnam and the Trade and Investment Promotion Centre, Ho Chi Minh City to create more opportunities and partnerships for financial, industrial and technology businesses of the two countries. The event was also aimed to increase bilateral cooperation in joint ventures and investment in new areas, technology transfer, franchising and outsourcing. On November 23 and 24, some 200 business meetings and several seminars were held between businesses of the two countries. Though fewer than in the last forum, the 30 Spanish companies participating this time are big companies of famous brands such as Mondragon, Adolfo Dominguez, Befesa, Logisfashion, … [Read more...] about Spanish Investors Shifting to Vietnam
The Vietnamese industry will need some 900,000 billion (US$56.25 billion) for development in the 2006-2010 period, accounting 42 per cent of the total social demand and increasing 83 per cent compared with the 2001-2005 period, according to the Ministry of Industry. This is a huge capital volume and it accounts for 23.2 per cent of the aggregate social investment capital. The question is how to seek sufficient investment capital for the industry? To seek the capital, according to Industry Minister Hoang Trung Hai, the industry is speeding up the creation of a good investment environment as well as the introduction of suitable policies to lure capital from both domestic sources and foreign countries. Domestic sources: Hai said the biggest difficulty is that the State Budget is able to meet utmost 7 per cent of the demand. Ten years ago, enterprises principally relied on State Budget to increase investment capital and ignored to widen capital mobilisation … [Read more...] about Vietnam Seeking Measures to Raise Capital for Industrial Sector
BACKGROUND To curb rising inflation, which tended to continue escalating in Vietnam, the credit crunch policy was officially adopted in February 2011 and the real estate market was a target. According to official data released by the General Statistics Office (GSO), changes in consumer prices, housing and construction material prices, gold prices and US dollar prices are represented in the following table. The breakdown of price fluctuations in December 2010, January 2011 and February 2011 in comparison with those in November 2010 Time Consumer price Housing and construction material price Gold price US dollar price Dec 2010 1.98 2.53 5.43 … [Read more...] about How to Channel Capital into Real Estate Market?
In recent years, Phu Tho has issued many policies and adopted many incentives to timely support local businesses, and continued to attract investment, especially foreign direct investment (FDI). Regarding this topic, Vietnam Business Forum made an interview with Thieu Quang Hanh, Deputy Director of Department of Planning and Investment of Phu Tho. How do you evaluate the role of FDI in economic development and the process of industrialisation and modernisation of Phu Tho province? In face with limited state and local budgets, FDI is identified as the optimal solution to offset the lack of investment for socio-economic development. To accomplish the objective of being the industrial province by 2020, FDI plays a really important role in solving problems and exploiting the potential resources of the province. First of all, the foreign investors help create more jobs for the local residents in in the field of light industry, which requires a large amount of labour, such … [Read more...] about Phu Tho Aggressively Attracting Investment to Bolster Economy
Although he is very busy and unfamiliar with the press, when we mentioned the business relating to the 20-year celebration of Binh Duong re-establishment, Mr Ho Minh Quang, President of Nam Kim Group, is very excited. With his dedication to Binh Duong, we have the opportunity to know more about the success story of Nam Kim Group. Quoc Hung reports.Though Nam Kim Group is now a very famous brand in the market, can you tell us about its very humble start? With the right orientation, Nam Kim has achieved a rapid growth rate. The production capacity rose from only 50,000 tonnes in 2002 to 800,000 tonnes at present and to 1.2 million tonnes by the end of 2017. The company’s registered capital also climbed from VND20 billion to more than VND500 billion now, and to approximately VND1,000 billion in 2017. The workforce was also expanded from only 100 employees at first to nearly 1,500 employees now. After 14 years of development, Nam Kim Group is presently ranked second in the country in … [Read more...] about Nam Kim Group President Ho Minh Quang: Devoted to Binh Duong Province’s Growth
Vietnam Electricity Construction Joint-Stock Corporation is struggling with large debts to collect and high expenses of constructions in progress, experts warned.The total asset of the Da Nang City-based construction firm, also known as VNECO, slightly decreased to VND1.7 trillion (US$85 million) at the end of 2010.Statistics show the total short-term debt to collect of VNECO’s subsidiaries reached VND147 billion on December 31st, 2010, making nearly 10 percent of its total asset.The Ho Chi Minh City-listed company has nine subsidiaries and six joint ventures, according to its financial reports. Experts noticed that VNECO’s debts to collect from individuals were large, with three persons identified only as L.P.L., L.T.T.V. and N.K.H. owing more than VND380 billion ($19 million).“If the company deposited that amount to banks with a saving rate of 16 percent per annum, it would earn over VND5 billion monthly, which is larger than the entire profit of 2010,” said … [Read more...] about VNECO and large debts to collect
Here's the beef: Kobe cows are being raised for the first time in Viet Nam. — Photo courtesy Kobe Beef Corporation by Hong ThuyThe cows are made to drink beer, receive a massage with rice wine and listen to the classical music of Mozart and Chopin.This, in a nutshell, is how the world-famous Kobe beef of Japan is produced. Renowned among meat lovers for its flavour, tenderness, and fatty but well-marbled texture, Kobe beef is considered to be the epitome of fine dining, and it is no wonder that it costs a few hundred US dollars per kilo.The good news is that Kobe beef, processed from the meat of the Tajima-gyu breed of cattle found in Japan's Hyogo Prefecture, will soon be produced in Viet Nam.Named after Kobe, the capital city of Hyogo Prefecture, the beef will be processed from cattle now being raised in Viet Nam's first ever Kobe beef farm in Tan Lac Commune, Lam Dong Province.Nguyen Tri Duc Vu, director of Kobe Beef Corporation, the company that owns the farm, said … [Read more...] about Viet Nam farm to produce Kobe beef
The State Bank of Viet Nam has said no to the Viet Nam Gold Trading Association (VGTA)'s proposal to mobilise privately owned gold.An anonymous SBV official told Saigon Times Daily that it would be very risky in terms of the price movements it might cause, claiming there has been no precedent by any government in the world in this regard.One of the VGTA's most important suggestions was that the central bank and Ministry of Finance should soon set up a national transaction floor for physical gold.Since the Government issued Decree 24 on management of gold trading in 2012, which enables the central bank to directly intervene in the local gold market, the market has become very stable while the number of gold traders decreased sharply from 12,000 units then to 38 now.Under the decree, bullion trading is only permitted by gold firms and credit institutions licensed by the central bank.To be licensed, however, a firm must have chartered capital of at least VND100 billion (US$4.8 million), … [Read more...] about How to mobilise public gold for development?
HA NOI (VNS) — Masan Group (MSN) will spend about VND3-3.5 trillion (US$142-166 million) on fixed assets this year. This money will not include funds for potential merger and acquisition (M&A) deals. This decision was approved at a shareholders' meeting on Friday in HCM City.MSN chairman Nguyen Dang Quang said M&A was the engine for the group's growth. It had raised $1.5 billion long-term capital from partners, including International Finance Corporation, KKR, JPMorgan and TPG to fund its business and investments."The group's core of success is how to allocate capital, not in raising capital," said Quang.Of the amount, Masan spent $964 million on business, $174 million in M&A and about $350 million stored in cash.Quang listed the four outstanding achievements of the group last year. Masan Consumer (MSF) acquired Vinh Hao Mineral Water; KKR continued to pour another $200 million into MSF, raising its total investment to $359 million; TPG Capital invested $50 million in … [Read more...] about Masan plans to invest in fixed assets