23 Jan 2017 Intellasia Finance Vietnam

finance & business news 23 January 2017

FINANCE ...... 1 Positive developments seen in office-for-rent market 21 Bright prospects seen for digital banking 1 Most impressive real estate projects among top three developers 22 Central bank eyes lower bank lending rates 3 BIZ NEWS ...... 23 Safety and security of banks considered as a big challenge Business Briefs January 23, 2017 23 for non-cash payment 4 All indexes back in positive territory 24 GIC determines to become VCB's major shareholder 5 Local shares rise on Q4 expectations 25 Cash payment declines by 2pct in 6 years 6 Stock market calm expected ahead of Tet 25 Vietnam sets ambitious bond target of $11 billion for 2017 7 MSI: VN Index to reach 770 points this year 26 250tr dong worth of government bonds targeted 7 The unlucky investors in the stock market in 2016 27 Dai-ichi Life Vietnam spurs capital to $117m 8 MSI lists sectors with potential in stock market 27 Reference exchange rate goes down 2 dong 9 Vietnam fails to reach rice export target 28 How did money breed money in 2016? 9 Tra fish exports could be hurt by false news: VASEP 28 Vietcombank's after-tax profit rises 28pct 9 VASEP believes in $7.4b of aquatic exports this year 29 Vietnam runs trade deficit again at the beginning of 2017 10 French kiwifruit approved for import into Vietnam 30 Vietnam's trade surplus in 2016 highest in 11 years 11 HCM City keen on responsible tourism development 30 Vietnam reaffirms priorities in Apec Year 2017 11 Vietnam, Swiss Re to discuss insurance for agriculture 31 Deutsche Bank expects Vietnam's GDP to grow 6.4pct 12 Seafood exports predicted at $7.4b this year 31 Investors bemoan multiple barriers to farming 12 Vietjet to open Hanoi-Singapore route 32 Vietnam's SMEs positive about business future 13 Vietnam Airlines pilot salaries revealed 32 Vietnamese PM highlights impacts of Industry 4.0 in Davos 14 Vietnam to seek government feedback on $880mn Vietnam-Japan trade expected to surge in 2017 15 Tan Son Nhat expansion plan 33 FDI to Vietnam to increase, say officials 16 Thai investor to develop solar power project in Quang Ngai 33 Wallonia parliament holds third hearing on EU-Vietnam Power tariff likely to keep unchanged this year 34 Free Trade Agreement 16 Investors turn back on Phuong Nam pulp mill 35 Institutional reforms hastened by EVFTA 17 Petrol prices remain unchanged 35 Conference discusses challenges of Vietnam-EU free trade pact 17 Vietnam to Allow Some Citizens to Gamble During CEOs, managers pocket billions of dong in Tet bonuses 18 Three-Year Trial 36 Online Tet shopping a boon for busy pros 18 Road users can use app to detect congestion hotspots 36 KPMG: Online shopping seen booming in Vietnam 20 Samsung Display ponders $2.5 billion investment in Bac Ninh 36 HCM City set to divest from 40 SOEs by year 2020 21 FINANCE FINANCE Bright prospects seen 23/JAN/2017 INTELLASIA | BIZHUB for digital banking "I have used the service for more than one year. This is a very convenient service and helps me save time from going to electricity bill collection points," she said. In fact, more and more Vietnamese consumers are turning to computers, smartphones and tablets to do business with their banks. They have opted to make deposits online or online payments of electricity and water bills and even buy gold on their smartphones, according to experts. There is huge potential to develop digital banking in Vietnam. According to a report discussed at a workshop held recently in HCM City, Vietnam posts an internet growth rate of 9 per cent a year, ranking 15th in the world. The number of internet users accounts for 52 per cent of the country's population. About 44 per cent of customers at commercial banks have used digital services. The fourth industrial revolution and government policy to encourage credit card payment instead of cash have enlarged digital banking potential in the country. In the past, along with growth in internet and mobile device use, commercial banks in Vi- etnam have been expanding and developing internet banking on mobile devices to offer better services to customers.

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To attract customers to use the Internet and mobile banking services, banks have launched promotions. LienVietPostBank, for instance, discounts 30 per cent of the transaction value to customers who pay bills for TV services or discounts VND20,000 to customers who pay electricity or water bills using Vi Viet app until January 31. Similarity, at Viet Capital Bank, customers using the Payoo app to pay their TV bills of HanoiCab and MyTV Can Tho will be given back 30 per cent of the transaction value until January 31. Many banks, including VietinBank and VPBank, are offering bonus interest rates to customers who make online deposits. Banking finance expert Can Van Luc said technology is the key to shorten the distance between banks and customers as well as help save big costs compared to traditional transaction methods. "Banks themselves also understand that if they do not invest in digital technology, they will be left behind. Customers today can actively perform transactions anytime, any- FINANCE where, via computer or smartphone with all types of products and services that they can conduct at a traditional banking branch," Luc said. A general director of a joint stock bank, who did not want to be named, said: "A digital banking project can cost some millions of US dollars, but in the long-term, this investment is still cheaper than expanding branch networks." Faster, more convenient and more secure electronic payment transactions were the targets that commercial banks were aiming for in the digital banking competition, he said. Luc said digital banking was certainly going to be a new way of banking for all banks. Transactions using digital technology would contribute 40 per cent of banking revenue in 2018, up 32 per cent compared to 2014, he said. "One of the factors in developing digital banking is to build trust and confidence among consumers about the security of online transactions," he added. Online shopping boom Online shopping has been popular worldwide and Vietnam is keeping up with the trend thanks to its active Internet use, according to a recent KPMG International's survey. Chong Kwang Puay, managing partner and consumer markets lead of KPMG in Viet- nam and Cambodia, said with its high Internet penetration rate, Vietnam would see online shopping surge soon. According to the survey, 18 per cent of consumers in Vietnam and Cambodia purchased goods from an online-only retailer, such as Amazon, Lazada and Nhommua. Some 10 per cent purchased from the website of a retail shop, and only 3 per cent purchased directly from a manufacturer or brand's website. The number one reason consumers gave for shopping online is the convenience of shopping. This is followed by having the ability to compare prices, or to find online sales or better deals. To gain consumer trust, companies and brands are recommended to improve online security and privacy protection. Most respondents (26.5 per cent) consider customer data and information protection to be of utmost importance, and 20.4 per cent consider food and product safety as the most important attributes. http://bizhub.vn/news/bright-prospects-seen-for-digital-banking_283786.html

Central bank eyes 23/JAN/2017 INTELLASIA | BIZHUB lower bank lending The State Bank of Vietnam revealed recently that it would continue to keep bank lend- rates ing interest rates unchanged from last year's levels. But analysts think this will be a very difficult task for the central bank since many factors are expected to impact the rates this year. The first reason they mention is the imminent rise in the dollar after the US Federal Re- serve increases interest rates an expected three times this year as economic growth and inflation pick up.

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They say interest rates on the dong always have a close correlation with the value of the greenback. The second reason is that Circular No.06, which caps the ratio of short-term funds that can be used for medium- and long-term loans, will reduce it from 60 per cent to 50 per cent this year. This has forced banks to restructure their finances and increase interest rates on medium- and long-term deposits. The hike in wages this year is likely to bring inflationary pressure on the economy. In the event, some even predict lending interest rates to go up by 1-2 percentage points. One of the measures the central bank is proposing is cutting deposit interest rates. Many state-owned banks such as BIDV and Agribank have started to lower the rates on deposits of one to five months by 0.2-0.3 points. Other lenders have also reduced the deposit interest rates, though by a more modest 0.05-0.1 points. Sacombank has cut the rates on deposits of two and three months by 0.1 point to 4.9 FINANCE per cent and 5.2 per cent. The Ministry of Planning and Investment seeks to push lending interest rates to under 5 per cent by 2020, but many analysts are sceptical about this too. They said the rates cannot be cut any further since current rates are rather low compared with the average deposit interest rates. The interest rates are around 6-7 per cent for priority sectors for short-term loans and 9-10 per cent for medium- and long-term loans. The rates for normal production and business activities are between 6.8 and 9 per cent for short-term loans and 9.3 per cent and 11 per cent for medium- and long-term loans. Banks hike deposit rates for liquidity Recently banks had cut deposit interest rates in response to the State Bank of Vietnam's appeal to support the economy. However, during the run-up to Tet many of them have had to put up their rates again to sustain liquidity. Sacombank has hiked the rates on two- and six-month deposits by 0.1 and 0.2 percentage points to 5 per cent and 5.9 per cent. DongABank hiked the rates on one- and six-month deposits by 0.1 and 0.3 points to 5 per cent and 5.5 per cent. Some other banks have also increased the rates by 0.1-0.3 points. Besides, banks are also scrambling to launch lucrative promotion programmes to attract deposits. Vietinbank is offering bonuses of nearly VND8 billion to depositors, SHB has ear- marked VND7.2 billion. Market observers said many banks face liquidity pressure though the State Bank of Vi- etnam is pumping in a lot of money through open market operations (OMO). A major part of almost VND55 trillion were absorbed by the banks as of January 16. The observers attributed the low liquidity to the fact that banks had to out a lot of money to enterprises and financial institutions, something that often happens a few weeks before Lunar New Year. But other analysts dismiss the claim of low liquidity, pointing to banks' transactions in the last few months of 2016. Most lenders had enough liquidity, with some even having plentiful cash, that they were ready to meet the payment demands of the market. This was also proved by the fact that interest rates kept falling on the inter-bank market. The liquidity helped the government successfully issue bonds totally worth VND281 trillion. Listed enterprises expect high growth in the new year The Tan Binh Import and Export Joint Stock Corporation (Tanimex-code Tix) has recently approved an ambitious plan in 2017 according to which its total turnover is estimated at nearly VND570 billion (US$25.33 million), tripling last year's figure, and its after-tax profit will be around VND87.5 billion (3.89 million), registering a year-on-

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year increase of 31 per cent. Explaining about the above ambitious targets, Tanimex leaders said that the company would sell series of real estate projects in 2017, including Tanibuilding and Tan Binh apartments. In regard to investments, Tanimex has planned to inject between VND300 billion and VND400 billion to develop a project to build for-lease warehouses with a total area of between 50,000 and 70,000 square metres in HCM City, the provinces of Long An, Binh Duong and Dong Nai or in nearby industrial parks. Aiming to take advantages created from positive business results in 2016, the recovery of crude oil in the world and the decision to reduce petroleum production of the Or- ganisation of the Petroleum Exporting Countries (OPEC), PetroVietnam Technical Services Corporation (PTSC) expects to achieve growth equal to beyond last year's. The Ha Do Group has just approved a production and trading plan for 2017 with gross revenue estimated at over VND2,620 billion, a year-on-year increase of 32 per cent. A group leader revealed that the company was preparing a long-term strategy for the FINANCE 2017-2020 period with growth in investment averaging at between 10 and 15 per cent, the majority of which would be used for hydropower to increase its capacity to 200 MW by 2020. Not only enterprises being listed on the official exchange markets like HCM City and Hanoi stock exchanges are self-confident in outline ambitious production and business plans but also those trading their shares on the unlisted public company market (UpcoM) also unveiled their big business prospects in 2017. Vietnam Garment and Textile Group (Vinatex) has just announced that it achieved its total revenue of 41,337 billion in 2016, up per cent in the previous year, and its pre-tax profit of estimated VND1,430 billion, up 9 per cent. In spite that the domestic garment and textile industry is predicted likely to cope with many difficulties due to a strong decrease in consumption demand in big import markets and fierce competition from countries that have policies supporting tax and the exchange rate, Vinatex has still set high growth targets for the new year. In particular, Vinatex has set targets of achieving a 14 per cent growth in the industrial production value and a 11 per cent growth in export value. The company also expected to raise its turnover and pre-tax profits by 12 per cent and 6 per cent respectively. To realise those goals, the company will develop several measures to ensure market shares, one of which is to cooperate with nationwide stores to distribute Vinatex products. By doing this way, the company will cut cost for leasing business space and paying workers. http://bizhub.vn/business-beat/central-bank-eyes-lower-bank-lending- rates_283787.html

Safety and security of 23/JAN/2017 INTELLASIA | SAI GON DAU TU banks considered as a The reality shows that the benefit of using non-cash payment means is quite clear be- big challenge for non- cause of the convenience and low cost to the society. However, the big challenge for cash payment non-cash payment is the safety and security of banks. As per recently updated data by the State Bank of Vietnam (SBV), the proportion of cash/total money supply tends to gradually decrease, from 14.02 percent in 2010 to about 12 percent now. Meanwhile, the proportion of people having bank accounts is rather high, reaching more than 67.4 million individual accounts as of the end of Oc- tober 2016 (compared to 16.8 million accounts at the end of 2010). There are over 254,000 POS and 17,379 ATM being installed nationwide (up 13.77 percent and 5.39 percent respectively compared to the end of 2015). At the same time, the number of issued bank cards, the number and value of card transactions increased rather rapidly. As of the end of October 2016, the number of issued cards reached more than 110.8 million units (up 11.36 percent compared to the end of 2015). Notably, some commercial banks took initiative in investing, applying many new and modern technological solutions in payment such as finger authentica- tion, QR code, and contactless payment, bringing convenience and safety in electronic

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payment transactions. Recently, the scheme on development of non-cash payment in Vietnam in 2016-2020 was approved by the prime minister with the objective that by the end of 2020, the proportion of cash out of the total money supply will be lower than 10 percent; the proportion of people aged 15 or older having bank accounts will reach a least 70 percent. In addition, 100 percent of supermarkets and shopping malls will have equipment accepting non-cash payment; 70 percent of units providing service and telecommunication will carry out non-cash payment; 50 percent of individuals and households in large cities will use non-cash payment means. Not only that, the agencies also consider issuing regulations that transactions of real estate and valuable assets (such as cars, motorcycle, boats) also apply non-cash payment. Besides, all activities such as toll collection, gasoline purchase, bus ticket purchase, taxi, payment of social insurance, tuition fee collection, etc. also encourage the development of multi-purpose cards, non-physical cards and contactless cards. Currently, a number of basic public services such as collection of electricity, water, ca- FINANCE ble TV, internet, etc. have been implemented strongly by banks. Customers only need to have bank accounts to entrust banks to pay for living expenses to promote non-cash payment. However, this activity encountered a barrier that is cash using consumption habit of many people have not changed. Users are still concerned about product quality, safety and security in online payment when shopping and making payment online. This is understandable because in recent time, there appeared some risks in technology and other risks arising during the process of using banking service operations. Though banks are currently focusing their investment on technological system, security as well as applying payment procedures following international standard, risks may still occur. As per Nguyen Hoang Dung, deputy CEO of VietinBank, the issue of high-tech crime is really the leading concern of many bank leaders. On the side of customers, experts also recommend that it is necessary to increase the security in payment. Once customers understand and are fully aware of the use of bank services; procedures and requirements of information security, many arising risks related to card service or online payment, money transfer and withdrawal will be limited. In fact, in recent time, some cases of money loss in the account are somewhat due to the fault of users when disclosing information on their accounts. Therefore, the prop- agandation to raise the awareness and vigilance to limit transaction risks is very essen- tial. Moreover, credit organisations also have to care for suitable development which is proportionate with its scale and ability in the application and development of technology in line with the qualification and management capability of banks.

GIC determines to 23/JAN/2017 INTELLASIA | BAO DAU TU become VCB's major Nghiem Xuan Thanh, Chair of Vietcombank disclosed the price that GIC Private Lim- shareholder ited, formerly known as government of Singapore Investment Corporation, offered to purchase Vietcombank shares and said GIC is still determined to pursue the deal to become the major shareholder of the bank. Thanh said GIC is very interested in VCB shares and has offered to purchase at a quite high price. Specifically, GIC paid 36,000 dong per share (before diluting) and 28,000 dong per share (after diluting). However, due to too high market expectation and trust, VCB's share price over time has constantly soared, making it impossible for the deal to be completed. In 2016, Vietcombank and GIC signed the Memorandum of Understanding. Accord- ingly, GIC will purchase 305,810,895 shares of Vietcombank (7.73 percent). However, until now, the government still has not accepted this as the purchase price of GIC is lower than the market price. Bloomberg's recent source of information said, the government postponed the sale of Vietcombank's shares to GIC. Currently, Vietcombank's share price increased 36 percent within the past one year and doubled from the share price of some banks having the same scale and nature in

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the market. In 2016, Vietcombank had a record profit i.e. 8.5 trillion dong, up 25 percent year-on- year and is leading the entire banking system in term of profit. Especially, Vietcom- bank is also the only bank that acquired the entire bad debts from Vietnam Asset Man- agement Company (VAMC). In 2017, the bank sets an ambitious target that is to achieve individual profit of 9.2 trillion dong and consolidated profit of 9.5 trillion dong. Vietcombank's Chair believes that this goal will be attained as this bank no longer has to try to settle bad debts as in the previous years. As per experts, positive information about Vietcombank will make this bank's stocks to remain high in this year. Therefore, Vietcombank's sale of shares to foreign strategic partner will be increasingly difficult. Though Vietcombank's current CAR is rather high, the capital increase is still the pressure for this bank. The sale of shares to foreign partners is the most effective method. However, if the government does not agree to sell VCB shares lower than the market FINANCE price, the search for strategic foreign partner will still be a big challenge. "The search for foreign investors accepting to purchase a large amount of shares while agreeing to hold that amount of shares in a long period of time is not easy. If the government wants to sell at market price - which is psychological and expectational, the GIC-VCB deal will persist", said an expert. So far, the government has yet announced official information about the postpone- ment of 7.73 stake to GIC. Meanwhile, on January 18, 2017, Nghiem Xuan Thanh, Vietcombank Chair still con- firms that currently, this investor is still avidly pursuing and waiting for opportunities to become Vietcombank's major shareholder.

Cash payment 23/JAN/2017 INTELLASIA | BIZHUB declines by 2pct in 6 Cash as a mode of payment has declined in the country by 2 per cent in the past six years years, from 14.02 per cent in 2010 to the current 12 per cent. As per the State Bank of Vietnam's report released this week, the country currently has around 67.4 million bank accounts compared to 16.8 million accounts in 2010. Modern infrastructure and technology to facilitate non-cash payments, especially online payments, have developed significantly. The number of bank cards has increased by 11.36 per cent against the end of 2015, to around 111 million now. There are around 254,000 points of sales (POS) and 17,380 automatic teller machines (ATMs), up 13.77 per cent and 5.39 per cent, respectively, compared to end of 2015. The central bank has issued many policies relating to modern infrastructure and technology to boost non-cash payments, to protect customer interests, and ensure quality of service. It has instructed commercial banks to quickly carry out a plan to convert all magnetic cards into chip cards to prevent fraud. Under the plan, all ATM cards will become EMV-standard chip cards by 2020, to reduce risks in e-commerce for both buyers and sellers. To protect the interests of customers, in October 2016, the central bank issued Circular 30/2016/TT-NHNN, which requires credit card service providers to compensate card owners for loss not caused by the owners, starting November 28, 2016. The government also recently approved a policy encouraging cashless transactions in Vietnam in order to reduce the number of cash-based deals, improve electronic payment methods and control tax evasion. Under the plan, by 2020, cash transactions in the country will be account for less than 10 per cent of total market transactions. As per the plan, all supermarkets, shopping malls and distributors will accept credit cards; 70 per cent of water, electronics and telecommunication service providers will accept cash-free payments from households and individuals; and 50 per cent of the total urban households will use electronic payment for daily transactions. The policy also proposes the development of new payment methods for rural and re-

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mote areas in order to encourage financial inclusion and increase overall access to services. At least 70 per cent of Vietnamese citizens over the age of 15 will have bank accounts by the end of 2020. Social welfare and pensions will be paid through electronic payment methods. http://bizhub.vn/banking/cash-payment-declines-by-2-in-6-years_283775.html

Vietnam sets 23/JAN/2017 INTELLASIA | VNEXPRESS ambitious bond target The government it looking more to the local debt market to finance its operations. of $11 billion for 2017 The Ministry of Finance has announced a target of raising VND250 trillion ($11 billion) via bond sales this year. Vietnam has classified public debt into three main categories: government, government-guaranteed and local government debt. This year, the country will try to sell as much as VND34.4 trillion in government-guaranteed bonds, VND8 - 10 trillion in debts issued by cities and provinces, and more than

FINANCE VND200 trillion via the State Treasury's government bond auctions on the Hanoi Stock Exchange. Vietnam is increasingly turning to local debt markets to counterweight its heavy de- pendence on external sources. This year, the State Treasury, which holds weekly bond auctions in Hanoi, will offer more long-term bonds and cut the number of short-term bonds so that the proportion of bonds with tenures of between 5 and 10 years will increase to 60 percent of the total debt. Last year, the State Treasury raised VND287.75 trillion ($12.4 billion) via government bond sales, a 26.85 percent jump from the year before, official data showed, marking the strongest demand ever from local investors. According to the finance ministry, last year the government offered dong-denominat- ed bonds with an average maturity of 5.61 years, paying an average yield of 8.72 percent per year. The bond market has grown quickly. As of the end of last year, government bond sales had hit a record high of about 26 percent of GDP, according to the State Treasury. Vietnam's budget deficit remains high at around 6 percent of GDP. As a result, public debt is now close to the warning line set by the parliament of 65 percent of GDP. Although much of this debt is in the form of long-term development assistance loans, Vietnam is gradually shifting towards domestic sources to meet its financing needs, cutting overseas loans as a percentage of total debts significantly to 43 percent in 2015 from 61 percent in 2011. http://e.vnexpress.net/news/business/vietnam-sets-ambitious-bond-target-of-11 billion-for-2017-3531929.html

250tr dong worth of 23/JAN/2017 INTELLASIA | THE SAIGON TIMES DAILY government bonds The Department of Banking and Financial Institutions under the Ministry of Finance targeted has published the goal of mobilising VND250 trillion for the State budget via government bond sales in 2017. Such a large number seems to further show the optimism of those issue government bonds this year, after a record of VND281.75 trillion was set in 2016. The VND250 trillion target comprises nearly VND34.4 trillion worth of bonds guaranteed by the government, VND8-10 trillion of local government bonds and over VND200 trillion of government bonds launched by the State Treasury. The Ministry of Finance informs the State Treasury will issue bonds with a variety of maturities (from less than one year to 30 years). Specifically, those with a term of less than one year to 3 years will account for 20 percent, five years to 10 years some 60 percent, 15 years and above 20 percent. This agency will continue to release three products: bonds with annual interest payment, bonds with the first interest payment period shorter or longer than the standard, and bonds without periodic interest payment (zero coupon bond). As a market organiser and operator, the Hanoi Stock Exchange (HNX) revealed their three major objectives in 2017: diversification of products, market liquidity boost and

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optimisation of market information transparency. The HNX will promote issuing tax- exempt local government bonds based on the needs of the issuer; develop a bond trading system with a floating interest rate, launch two new repurchase agreement products: borrow government bonds to sell or to sell/buy back. The scheme for development of the corporate bond market will be completed, with a guiding circular and a dedicated portal for this market. These are the steps towards building a corporate bond market for Vietnam. The primary government bond market last year grew more than 40 percent compared to 2015, with a total issuance volume of VND281.75 trillion, a rise of 26.85 percent over the preceding year, according to Vietnam State Treasury. The scale of the market keeps expanding. As of December 31, 2016, outstanding government bonds had reached 26 percent of GDP, the highest proportion ever. The market listings totalled more than VND930.52 trillion last year, up 23.5 percent from 2015 and 65.82 percent from 2013. The average listing term has been extending and passed the five-year mark in 2016 (5.21 years). FINANCE Secondary transactions have been increasingly active, especially in 2016, with a surge of 73.84 percent against 2015. The average transaction value sharply increased from 2015 (reaching VND6.35 trillion per session). Last year, the frequency of participation in bidding and the winning value of foreign investors achieved impressive growth in comparison with 2015. http://english.thesaigontimes.vn/52082/VND250 trillion-worth-of-government- bonds-targeted.html

Dai-ichi Life Vietnam 23/JAN/2017 INTELLASIA | THE SAIGON TIMES DAILY spurs capital to $117m Japan's Dai-ichi Life Holdings Inc has decided to raise the chartered capital of Dai-ichi Life Insurance Company of Vietnam Ltd (Dai-ichi Life Vietnam) by $17 million to $117 million. Dai-ichi Life Vietnam marked the 10th anniversary of its establishment on January 19 by announcing that it had got the nod from the Ministry of Finance to increase its chartered capital to $117 million to expand its sales channels. Previously, the company had raised its capital from $25 million to $72 million after one year of operation. Then early last year, the figure was up $100 million in order to enhance its operation scale. Dai-ichi Life Vietnam is currently one of the biggest life insurers by capital in Vietnam. Its total premiums revenues reached VND5.3 trillion last year, up a staggering 51 percent over the previous year. The firm has around 200 offices nationwide and some 1.6 million customers. Its market share was 4.4 percent in 2007, and the figure last year rose to over 10 percent, maintain- ing its position as one of the four leading life insurance companies in Vietnam. Dai-ichi Life Vietnam has inked cooperative agreements with many partners such as HDBank, VNPost, Mocap, LVPBank, ACB, Sacombank, VPBank, VP Securities, OCB and BABank to sell its products and services to potential customers. http://english.thesaigontimes.vn/52079/Dai-ichi-Life-Vietnam-spurs-capital-to- US$117 million.html

Reference exchange 23/JAN/2017 INTELLASIA | VNA rate goes down 2 dong The State Bank of Vietnam set the reference VND/USD exchange rate at 22,191 VND per USD on the morning of January 23, down 2 VND from the end of last week. With the current +/- 3 percent VND/USD trading band, the ceiling exchange rate is 22,856 VND per USD and the floor rate is 21,526 VND per USD. Meanwhile, Vietcombank bought one USD for 22,530 VND, and sold one USD for 22,600 VND, unchanged from the end of last week. BIDV listed the buying rate at 22,520 VND per USD and the selling rate at 22,590 VND per USD, down 10 VND. In Eximbank, the buying rate was 22,510 VND per USD, while the selling rate was set at 22,600 VND per USD, down 10 VND.

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http://en.vietnamplus.vn/reference-exchange-rate-goes-down-2-vnd/106275.vnp

How did money breed 23/JAN/2017 INTELLASIA | VNN money in 2016? The heavy gold price fluctuations in 2016 allowed gold investors to make a profit of 17 percent just within three months, while investments in V-30 securities brought profit of 26 percent. Bank deposits, which brought the most modest profit, were still favoured by many people who have idle money. The current ceiling deposit interest rate is 5.5 percent a month for less than six month terms. Though the lending interest rate is on the decrease, the deposit interest rate keeps relatively stable. By September 30, the average deposit interest rate had increased slightly by 0.4 percent if compared with the end of 2015. Most banks set the deposit interest rates at between 6.5 and 6.9 percent per annum. Only Bac A and PVCombank offer higher interest rates of 7.4-7.5 percent per annum.

FINANCE As the US dollar was stable throughout 2016 and it only appreciated in the last days of 2016, the investment in the dollar did not bring the expected high profit. By the end of 2016, the dollar price quoted by most commercial banks was at VND22,720-22,790 per dollar, up by 1.1-1.2 percent compared with the beginning of the year. Meanwhile, in the two years before, the increases were sharper, at 2.48 percent and 5.34 percent. The strongest gold price in four years appeared in June and July when the gold price reached its peak of VND39.8 million per tael. The record low level was established in February when SJC gold price quoted by Bao Tin Minh Chau was VND32.79 million. If investors bought gold in April, when the price was the lowest, and sold in early July, when the price was the highest, they made a profit of VND5.64 million per tael, a profitability of 17 percent. On December 31, 2016, SJC gold price quoted by Bao Tin Minh Chau at VND36.18 million per tael, up by 10.9 percent over the end of 2015. Investing in securities was a good decision for investors in 2016. The VN Index experienced ups and downs in the year, but the upward trend was the clearest tendency. Thanh Nien quoted a report of Maybank Kim Eng Securities as saying that the profit securities investors in 2016 could be up to 18-20 percent, if counting the 15 percent increase of the VN Index and the dividends paid by listed companies to their shareholders. Nguyen Thi Ngan Tuyen from Maybank Kim Eng Securities said that many investors have excluded gold out of their investment portfolios because of the high risks. It is not easy to make investment in securities, but the report about the attractive profit of securities investors in 2016 will encourage investors to try the investment channel. http://english.vietnamnet.vn/fms/business/171366/how-did-money-breed-money-in- 2016-.html

Vietcombank's after- 23/JAN/2017 INTELLASIA | VN ECONOMIC TIMES tax profit rises 28pct Fourth quarter financials reveal handsome results for 2016 as a whole. Vietcombank, Vietnam's biggest lender by market value, saw its 2016 after-tax profit surge 28 per cent while its bad debt ratio was kept at 1.48 per cent as at December 31, the bank's consolidated financial statement for the fourth quarter of 2016 reveals. Pre-tax profit stood at VND2.2 trillion ($97 million) in the fourth quarter, for VND8.5 trillion ($377.5 million) during the year as a whole, up 24 per cent against 2015. After- tax profit reached VND6.85 trillion ($303.3 million), up 28 per cent. Customer deposits totalled VND590 trillion ($26.14 billion), a 17.7 per cent increase year-on-year, while customer loans stood at VND460 trillion ($20.38 billion), 18.8 per cent higher. Total assets were VND788 trillion ($34.92 billion), up 17 per cent year-on-year, and charter capital rose 35 per cent to VND35.9 trillion ($1.59 billion) as at December 31. In the fourth quarter alone, Vietcombank's interest income rose 10 per cent to VND4.88 trillion ($216.2 million), contributing significantly to the annual figure of VND18.5 tril-

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lion ($819.7 million), which was a 19.8 per cent increase year-on-year. Operating costs during the fourth quarter stood at VND2.48 trillion ($110 million), up 5.2 per cent year-on-year. Risk provision costs surged 40 per cent in the quarter, to nearly VND1.9 trillion ($84.2 million), with full-year risk provision costs standing at VND6.41 trillion ($284 million). Earnings-per-share (EPS) improved, rising 16 per cent to VND1,897 ($0.08). As at the end of 2016, bad debts totalled VND6.84 trillion ($303 million), equal to 1.48 per cent of total outstanding loans and down 0.36 per cent compared to the beginning of the year. Vietcombank was the first lender to buy back all debts it sold to the Vietnam Asset Management Company (VAMC). The initial amount of cumulative debts was VND6.5 trillion ($288 million), while the value of VAMC's bonds in exchange was only VND4 trillion ($177 million). Its share price rose 36 per cent during the year, giving it a market value of $6.2 billion. The lender trades at about three times the book value, compared with an average of 1.1 FINANCE times for listed Vietnamese banks. According to foreign media, Singaporean sovereign fund GIC Pte has hit a snag in seeking government approval for its planned investment in Vietcombank. GIC said in August it had reached preliminary agreement to purchase 305.8 million new Vietcom- bank shares, equal to a 7.7 per cent holding, at a discount to the market price, for less than $400 million. The deal, originally expected to be completed by the end of last year, is yet to be approved by Vietnamese authorities while the government has withheld approval in part because GIC proposed buying the stock at less than the market price, according to Bloomberg. Vietcombank's biggest shareholder, the State Bank of Vietnam, owns 77 per cent, while the Mizuho Financial Group Inc. is its second largest shareholder, with 15 per cent. http://vneconomictimes.com/article/banking-finance/vietcombank-s-after-tax-profit- rises-28

Vietnam runs trade 23/JAN/2017 INTELLASIA | TRI THUC TRE deficit again at the As per the information recently released by the general Administration of Customs, in beginning of 2017 the first half of January, the country's total export turnover reached $7.3 billion, of which the import turnover was $7.383 billion. As such, in the first half of the year, the country ran a trade deficit of $83 million. In the export sector, the first one billion US dollar group of commodity is telephones and components valued at $1.311 billion. Meanwhile, in the field of import, there are two commodity groups worth a billion US dollar including machines, equipment, tools and spare parts with $1.31 billion; computers, electronic product and components with $1.124 billion. Notably, FDI businesses are dominant in both import and export sectors. Of which, exports of FDI businesses reached $5.17 billion, accounting for nearly 71 percent of the total domestic exports. In the field of import, FDI businesses repatriated the amount of goods worth $4.222 billion, accounting for nearly 57.2 percent of the country's total imports.

Vietnam's trade 23/JAN/2017 INTELLASIA | NHIP CAU DAU TU surplus in 2016 As per the preliminary statistics of the general Administration of Customs, the coun- highest in 11 years try's total import-export turnover in 2016 reached more than $350.74 billion, up 7.1 percent, corresponding to a year-on-year increase of nearly $23.16 billion. Of which, exports were more than $176.63 billion, an increase of nine percent, higher than the increase of 8.1 percent in the same period last year. Meanwhile, imports were more than $174.11 billion, up 5.2 percent. In December alone, exports touched more than $16.58 billion, up 2.8 percent; imports hit nearly $17.08 billion, up 4.3 percent. The trade balance of goods in December ran a deficit of $494 million, bringing the trade surplus of 2016 to more than $2.52 billion.

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However, this was the highest trade surplus within the past 11 years, according to statistics of the general Department of Customs. By the end of 2016, export and import of FDI businesses reached more than $226.21 billion, up 8.9 percent and accounting for 64.5 percent of the country's total trade turnover. Of which, exports were nearly $123.93 billion, up 12.1 percent; imports were more than $102.28 billion, up 5.2 percent, a surplus of more than $21.64 billion. Vietnam's export market in 2016 mainly concentrated in the Asian region when accounting for 48.3 percent of the country's total exports. Of which, the Chinese market's turnover was over $21.97 billion, up 28.4 percent year-on-year, reckoning for 12.4 percent of the country's total exports; Japanese market was nearly $14.68 billion, up 3.9 percent, representing 8.3 percent; Korea hit nearly $11.42 billion, up 28 percent, making up 6.5 percent. The US is Vietnam's largest export market with a turnover of more than $38.46 billion; up 14.9 percent, accounting for 21.78 percent; followed by the European market with FINANCE a turnover of nearly $37.84 billion, reckoning for 21.4 percent. Though Vietnam's import market in 2016 mainly concentrated in Asia region with a turnover of more than $140.76 billion, up 4.5 percent year-on-year and accounted for 80.8 percent of the country's total imports. Of which, China is Vietnam's largest import market with a turnover of nearly $49.93 billion, up 0.9 percent and accounting for 28.7 percent; South Korea ranks the second with the turnover of $32.03 billion, up 19.9 percent and reckoning for 18.4 percent.

Vietnam reaffirms 23/JAN/2017 INTELLASIA | VNA priorities in Apec Year Vietnam, as the host of Apec 2017, will maintain the consistence of priorities in the 2017 year, said Chair of the Vietnam Chamber of Commerce and Industry Vu Tien Loc. Delivering a speech at a workshop held by the Asia Society Policy Institute in New York, the US on January 20 (Vietnam time), Loc said that Vietnam's priorities during the year include supporting trade liberalisation and opposing protectionism; enhanc- ing regional connectivity in both basic infrastructure and institution; promoting sustainable and inclusive growth; and assisting small and medium enterprises and women's involvement in economic development. The country will foster agricultural development, climate change adaptation, natural resources management and sustainable development in urban areas as well as ensure energy security and effective labour force. Vietnam will work with financial ministers from Apec member economies to develop markets and provide financial assistance for private enterprises, Loc said. Speeches delivered at the forum focused on analysing benefits brought by trade liberalisation, and risks from the new US administration's application of trade protection policy. They also predicted the future of Trans-Pacific Partnership (TPP) agreement. Anyway, Vietnam will still pursue trade liberalisation, Loc affirmed. According to Monica Hardy Whaley, Executive director of the National Centre of Asia-Pacific Economic Cooperation (NCAPEC), Apec 2017 will bring many opportunities to Vietnamese enterprises to promote investment and trade links. The event will also offer a good chance for other Apec economies to learn from development experience of Vietnam - one of economies boasting the highest growth in the region. http://en.vietnamplus.vn/vietnam-reaffirms-priorities-in-apec-year-2017/106194.vnp

Deutsche Bank 23/JAN/2017 INTELLASIA | THE SAIGON TIMES DAILY expects Vietnam's Thanks to the sustainable recovery of agriculture and export, Vietnam is expected to GDP to grow 6.4pct achieve GDP growth of 6.4 percent this year, up from 6.2 percent in 2016, said Juliana Lee, senior economist at Deutsche Bank, at a meeting with the media on January 19. The economist said this forecast was carefully made, taking into account risks Vietnam might face given global economic uncertainties. However, this is less significant than the government's commitments to further reforms to tap growth potentials in the long

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term. Deutsche Bank anticipates the boom of Vietnam's economy based on export growth and steadily rising foreign investment, as well as the government's promises on further restructuring. With considerable progress in economic reforms, supported by foreign capital inflows, the dong might strengthen, in contrast to the predictions of its steady devaluation against the US dollar, said Lee. This would also entail risks affecting Deutsche Bank's forecast for a growth rate of more than 6 percent, she added. Vietnam can achieve progress in bank restructuring and bad debt resolution. Earlier, a detailed guidance on State ownership has been released, signaling an acceleration of State-owned enterprise (SOE) restructuring this year. SOE restructuring is vital to the financial situation of Vietnam since it not only assists long-term growth but also improves the financial situation in the near future, Lee said. For example, the proceeds from the sale of SOEs may be used to partly settle public debt. FINANCE Lee stressed the importance of tackling bad debt and boosting credit risk management to ensure the stability of the banking system, in case interest rates went up in the medium term. In fact, Vietnam is looking for greater foreign investments. Recently, prime minister Nguyen Xuan Phuc has unveiled the intention to raise the limit on foreign ownership in banks and make it easier for foreign investors to gain access to the domestic stock market, as early as at the beginning of this year. As a result, foreign investors may be given full control of struggling banks in Vietnam. Overall, the senior economist at Deutsche Bank said conditions would remain favourable for business and investment in Vietnam. And the country is carrying out significant improvements in their business climate. In the ease of doing business index of the World Bank, Vietnam has moved to 82nd in 2017 from 91st in 2016. Despite its relatively good performance in terms of getting credit, registering property and dealing with construction permits, Vietnam still needs to make more efforts in terms of paying tax, starting a business and resolving insolvency. The State Bank of Vi- etnam is developing related laws to facilitate the settlement of bad debts. The forecast of Deutsche Bank for Vietnam's GDP growth in 2017 is a little lower than that given by Standard Chartered Bank five days before. Jens Ruebbert, chief country officer of Deutsche Bank Vietnam, said his bank last year had struck a number of deals in the market of Vietnam, including the initial public offering of Vietjet Air, Thailand's Central Group's acquisition of Big C Vietnam and Sing- ha Asia's investment in Masan Consumer. http://english.thesaigontimes.vn/52101/Deutsche-Bank-expects-Vietnam percentE2 percent80 percent99s-GDP-to-grow-64.html

Investors bemoan 23/JAN/2017 INTELLASIA | THE SAIGON TIMES DAILY multiple barriers to Businesses have complained that they have to deal with a host of barriers and risks in farming agricultural projects though they are encouraged to invest in the sector. A survey conducted by the Vietnam Chamber of Commerce and Industry (VCCI) in 2015 indicated that firms were required to inject capital in farming projects but they had to face multiple risks and profit was not as high as expected. According to the survey, 26 percent of respondents said they incurred losses and only 13 percent broke even. A mere 9 percent obtained profit targets and more than 50 percent reported very low profit. Speaking at a recent seminar on hindrances to the agricultural sector, Dau Anh Tuan, head of VCCI's Legal Department, warned it was tough to invest in the sector due to huge investment needs but low profit margins and high risks. Firms must secure long-term capital for agricultural projects but they can take out short-term loans with floating interest rates, Tuan said. The survey found 80 percent of agricultural firms had to count on officials to get infor-

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mation they need, higher than the country's average of 75 percent. About 68 percent of businesses in the sector said they had to pay informal fees, three percentage points higher than the nation's average. Many companies in the sector have not been well aware of opportunities and challenges arising from Vietnam's international integration process. The survey showed nearly 60 percent of agricultural businesses had little or no knowledge of the Vietnam-EU Free Trade Agreement while over 50 percent knew little about the FTA between Vietnam and the Eurasian Economic Union. Many areas in the agricultural sector are still constrained by planning. Reality showed that as there have not been detailed regulations governing contracts signed between investors and farmers, the latter often sells their farm products to other buyers who offer higher prices than contract partners. A recent survey of the Institute for Policy and Strategy of Agriculture and Rural De- velopment (IPSARD) revealed many problems investors of agricultural projects have to grapple with. The processes of producing seedlings and breeder animals are com- FINANCE plicated and time-consuming. Regulations on the area used for trial production have sparked concerns and cost firms dearly. It costs VND1-6 billion for the pilot farming of 10-40 tonnes of hybrid corn and 15-60 tonnes of hybrid rice. Firms are encouraged to use machines for farming but supporting policies are unclear and criteria are too stringent. The survey of IPSARD named land, taxes and fees, capital, infrastructure and services, market access and transparency, goods distribution, access to supporting policies and technology, and labour as the major problems faced by producers of seeds, breeder animals and machines for the agricultural sector. Nearly 69 percent pointed out capital as the biggest problem they face while 35 percent bemoaned taxes and fees, infrastructure and services. "Taxes and fees are pressing issues, and certain fees are high. For instance, a chicken or an egg is subject to various fees and taxes, including import tariffs for animal feed and veterinary medicine, value-added tax, and fees for quarantine checks," a report of IPSARD said. http://english.thesaigontimes.vn/52089/Investors-bemoan-multiple-barriers-to-farming.html

Vietnam's SMEs 23/JAN/2017 INTELLASIA | BIZHUB positive about Some 48 per cent of 501 Vietnamese small and medium-sized enterprises (SMEs), business future which participated in The Future of Business survey, have positive views about the current situation. This was revealed in findings unveiled by Facebook last week. The survey, developed by the Organisation for Economic Cooperation and Develop- ment (OECD), World Bank and Facebook, is a source of information on SMEs looking to learn from other businesses. This includes insights on how businesses are more confident if they trade internationally and how those that trade internationally are using digital tools at a higher rate. The percentage is not so high but still higher than the global average of 42 per cent, according to the survey, which was conducted last December, a month that was significant since it ended one year of the country's economic development. The December survey revealed some 69 per cent SMEs were hopeful of a positive future, nine per cent higher than the global average rate. Thirty-eight per cent of SMEs said they created jobs in the past six months and 66 per cent said they want to create jobs in the next six months. Among the key findings for Vietnam, the survey revealed the most common challenges for business, which included attracting customers, increasing revenue and main- taining profitability. "Some 78 per cent of Vietnamese small businesses said they used online tools to advertise to potential new customer products and services," according to the survey.

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Facebook said 21 per cent of small businesses surveyed engaged in international trade. This was high considering 70 per cent of these businesses have fewer than 10 employ- ees and are not large multinationals. The most commonly reported challenges for small businesses engaging in international trade are finding business partners, market access limitations and different regulations in other countries, which comprised 82 per cent, 64 per cent and 54 per cent of the participants, respectively. Nearly 6,100 Vietnamese businesses took part in the monthly surveys in 2016, according to reports. http://bizhub.vn/news/viet-nams-smes-positive-about-business-future_283785.html

Vietnamese PM 23/JAN/2017 INTELLASIA | VNA highlights impacts of Impacts of the fourth industrial revolution on governments, businesses and people Industry 4.0 in Davos were highlighted by prime minister Nguyen Xuan Phuc when he attended a session as

FINANCE part of the World Economic Forum Annual Meeting in Davos, Switzerland. The session on January 20 morning (local time) focused on the governance in the fourth industrial revolution. PM Phuc said governments should fine-tune institutions, regulations and policies to meet the development requirements brought about by the fourth industrial revolution. They also need to make use of the revolution's opportunities to solve global issues such as developing new energy sources, water resources security, sustainable organic agriculture, and responding to natural disasters, epidemics and climate change. Vietnam is pushing forward with start-up and innovation facilitation policies, obstacle removal, IT application and e-Government building, he noted. At a meeting with Ukrainian President Petro Poroshenko, PM Phuc said the two countries should enhance cooperation in economics, trade, education-training, science- technology and culture. He asked Ukraine to continue providing favourable conditions for Vietnamese people in the country who in turn will help to reinforce bilateral ties. President Poroshenko said the countries' time-honoured relations need to be strength- ened, adding that there remain huge cooperation potential and Ukraine is willing to boost partnership in such spheres as economics, trade, tourism and defence. Meanwhile, the Vietnamese leader spoke highly of Standard Chartered's operations in Vietnam while meeting with the bank's Chair Jose Vinals. He asked the firm to share experience with and assist commercial banks of Vietnam to expand operations in global markets. Vinals said Standard Chartered pledges long-term presence in the Southeast Asian nation and will help the country develop financial and banking systems, attract investment and access international sources of capital. At another meeting with Facebook COO Sheryl Sandberg, PM Phuc called on Face- book to foster cooperation in IT development in Vietnam, particularly in promoting start-ups and assisting small and medium enterprises (SMEs) to access information and expand operations via social networks. He also invited Facebook representatives to attend the Apec CEO Summit, slated for this November in Vietnam. For her part, Sandberg noted Facebook is working closely with Vietnam in image promotion projects to ensure the success of Apec Vietnam 2017. She also underlined her wish to help SMEs to do business via Facebook, adding that the social network is co- ordinating with the Vietnam Chamber of Commerce and Industry to carry out assistance. About 78 percent of Vietnam's SMEs are using Facebook's services for business activities. Also on January 20, the government leader of Vietnam met President of CNN Interna- tional Commercial Rani R. Raad, welcoming CNN as well as other foreign media out- lets coming to Vietnam to report on the country's situation and popularise image of its land and people. The country is also open to CNN and international media to report on important Apec activities in 2017.

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Raad said CNN attaches importance to relations with Vietnam, noting that its cooperation with Vietnamese ministries, sectors and localities is growing. He affirmed more and more information about the country will be presented on the channels, websites and fan pages of CNN, which also wants to update Apec activities in Vietnam this year. http://en.vietnamplus.vn/vietnamese-pm-highlights-impacts-of-industry-40-in-davos/106236.vnp

Vietnam-Japan trade 23/JAN/2017 INTELLASIA | VNN expected to surge in The Vietnam-Japan trade is expected to reach a new height in 2017 as the two countries 2017 have agreed on many measures to boost the trade exchange, it was agreed at a recent seminar on promoting trade with Japan held by the Ministry of Industry and Trade (MoIT). Vu Cuong, deputy head of East Asia division of the Asia Pacific Market Department

FINANCE under the MoIT, said a series of visits made by leaders of the two countries in early 2017 reflected the two sides' resolve to boost ties. Japanese prime minister Shinzo Abe visited Vietnam in mid-January and Japanese Emperor is expected to travel to Vietnam in mid-February, while Vietnamese leaders also have plans to visit Japan in March. Besides good diplomatic relationship, trade experts urged the business community to seize opportunities brought about by the Vietnam-Japan Economic Partnership Agree- ment (VJEPA). Cuong underlined the tax reduction roadmap stipulated in the VJEPA, under which import tax will be cut to 2.8 percent in 2018 and at least 86 percent of agri-forestry-seafood products and 97 percent of Vietnamese industrial products will enjoy preferential tax rates in the Japanese market. Meanwhile, average taxes on Japan's goods imported into Vietnam will be reduced to seven percent in 2018. Within 10 years, the two countries will complete the roadmap for tax reduction to form a bilateral free trade zone in which 94.53 percent of Vietnam's export turnover and 87.6 percent of Japan's will be exempted from import tax. However, according to Le An Hai, deputy head of the MoIT's Asia Pacific Market De- partment, Vietnamese enterprises have taken advantage of just 40 percent of opportunities offered by the VJEPA. Hai advised enterprises to invest in quality of goods and boost promotion activities to tap the Japanese market. Nguyen Trung Dung, Vietnam's commercial counsellor in Japan, said the structure of Vietnamese and Japanese goods are complementary and not competitive against each other. Japan mainly imports seafood, garments, footwear, and processed food while Vietnam imports machineries, equipment, technology and materials for production from Japan. According to data from the Ministry of Industry and Trade (MoIT), Vietnam's export to Japan in the first 11 months of 2016 was 13.3 billion USD, up 3.1 percent on a yearly basis, making Japan Vietnam's second largest export market behind the United States. http://english.vietnamnet.vn/fms/business/171577/vietnam-japan-trade-expected-to- surge-in-2017.html

FDI to Vietnam to 23/JAN/2017 INTELLASIA | BIZHUB increase, say officials Foreign direct investment (FDI) inflow to Vietnam is expected to increase in 2017, said Do Nhat Hoang, director of the Foreign Investment Agency under the Ministry of Planning and Investment. The most important task for Vietnam was to select projects proper for the country's development plans, such as those in hi-tech industries and others using environment- friendly and energy-efficient technologies and equipment, Hoang said. Chair of the Vietnam Association of Foreign Investment Enterprises Nguyen Mai agreed that an improvement would be seen in the FDI inflow to Vietnam this year.

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He cited the agency's statistics as saying that FDI disbursement in 2016 was estimated at $15.8 billion, a record high and up 9 per cent year-on-year. Newly-licensed projects and those raising levels of capital also increased by 27 per cent and 51 per cent, respectively, he said. The association's vice chair Nguyen Van Toan emphasized the importance of break- through policies that could help the country attract more FDI in hi-tech industries. Investment promotion activities should be targeted at countries and territories experienced in developing hi-tech industries, he said. The agency's report revealed that up to 64 per cent of FDI registered in the country in 2016 was pumped into manufacturing and processing while automobile and motor- bike wholesale, retail and repair and real estate industries accounted for 8 per cent and 7 per cent of the nation's total FDI, respectively. South Korea remained Vietnam's leading source of foreign investment with $7 billion (28.8 per cent of the total). Japan came second with $2.58 billion (10.62 per cent), and Singapore was third with $2.41 billion (9.9 per cent). FINANCE HCM City led cities and provinces nationwide in attracting FDI, luring $3.42 billion (14 per cent of the total). The northern port city of Hai Phong came next with $2.98 billion (12.26 per cent). Hanoi, Binh Duong and Dong Nai followed with $2.79 billion, $2.36 billion and $2.23 billion, respectively. http://bizhub.vn/news/fdi-to-viet-nam-to-increase-say-officials_283779.html

Wallonia parliament 23/JAN/2017 INTELLASIA | VNA holds third hearing on The parliament of Belgium's Wallonia region held the third hearing on the European EU-Vietnam Free Union-Vietnam Free Trade Agreement (EVFTA) on January 19. Trade Agreement Mauro Petriccione, head of the EU negotiation delegation for the EVFTA, gave a presentation before the parliament on Vietnam's social-economic development and assess- ment of the country's advantages as well as the benefits that the EU can gain when the agreement is signed. He noted that Vietnam has a potential market and is located in one of the world's most dynamic regions. The country has made many efforts in reforming administrative procedures and social policies. On the trade relationship between Vietnam and Belgium, Petriccione said the annual two-way trade value reached two billion euro (2.1 billion USD) and Belgium is Viet- nam's sixth largest trade partner in the EU. He highlighted the fact that the EVFTA is the first agreement the EU negotiated and signed with a developing country and is a comprehensive, balanced and win-win deal. After the presentation of Mauro Petriccione, lawmakers raised many questions, focusing on Vietnam's social-economic situation and added values that the EVFTA can bring to the EU and the business community. Two more hearings on the EVFTA will be held on January 26 and 30. http://en.vietnamplus.vn/wallonia-parliament-holds-third-hearing-on-euvietnam- free-trade-agreement/106212.vnp

Institutional reforms 23/JAN/2017 INTELLASIA | VNA hastened by EVFTA Hastening institutional reform and improving competitiveness has become more pressing than ever for Vietnam to help firms grab opportunities from several new-generation free trade agreements (FTAs). Since entering the World Trade Organisation, reforms have been a focus but results remain disappointing, reported the Central Institute for Economic Management (CIEM) at a conference in Hanoi on January 20. With new-generation FTAs like the European Union - Vietnam FTA (EVFTA) which went beyond tax liberalisation and facilitation, the pressure for institutional reform in- tensified in the Southeast Asian nation. According to Tran Toan Thang from CIEM, the EVFTA did not directly require Viet- nam to revise its legal documents and policies but doing this would be vital to limit negative impacts and take advantage of opportunities.

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Hoang Van Phuong, director of the Asean Department under the Department for Mul- tilateral Trade, said at the conference that the EVFTA would come into force in 2018 and its commitments were under legal review. Phuong said that the Ministry of Industry and Trade estimated 44 Vietnamese legal documents must be amended and five new ones issued. CIEM director Nguyen Dinh Cung stressed the importance of the trade deal to the Vi- etnamese economy despite Brexit. "Vietnam must carry out the EVFTA with seriousness," Cung said. "Opportunities are there. But the government must speed up reforms to enable firms to grab opportunities." Improve awareness Improving businesses' understanding of the EVFTA is also vital. A survey carried out by CIEM on 120 firms that import and export to and from Euro- pean markets showed that 69 percent of respondents had heard about the EVFTA but did not know anything about it. FINANCE Only 5 percent of them said they had deep knowledge while the rest had basic knowledge about the trade deal. Another survey by the Vietnam Chamber of Commerce and Industry found that 63 percent of businesses had not taken any steps to get ready for the EVFTA or other trade deals. The EVFTA would open opportunities for Vietnamese products such as garments, seafood, fruits and footwear with the removal of most of tariff lines, experts said. Nguyen Minh Thao, head of the CIEM's Business Environment Department, said that Vietnamese businesses must improve product quality and competitiveness to expand in the European market where there were strict quality requirements. The EVFTA is expected to boost Vietnam's export revenue to the EU by 4.6 percent. http://en.vietnamplus.vn/institutional-reforms-hastened-by-evfta/106225.vnp

Conference discusses 23/JAN/2017 INTELLASIA | VOV challenges of A business conference on new opportunities in trade with the EU for Vietnamese local Vietnam-EU free trade companies, organised in Hanoi this week and funded by the EU, discussed the major pact challenges of provisions of the agreement. The conference provided a useful platform for Vietnamese companies and potential investors to gain insight on the business and investment climate in the EU, at a time when the Vietnam government is harmonising its legislation affecting business and services. Dozens of large, medium and small sized Vietnamese and EU businesses in agribusi- ness, construction, financial services, textile, tourism and other segments of the economy took part. http://english.vov.vn/economy/conference-discusses-challenges-of-vietnameu-free- trade-pact-342054.vov

CEOs, managers 23/JAN/2017 INTELLASIA | VNN pocket billions of Reports about ESOP (employee stock ownership plan) and Tet bonus programmes dong in Tet bonuses from businesses show that those who have received the biggest bonuses were mid- and high-ranking managers. The Hoa Sen annual shareholders' meeting approved a plan to issue 3.5 million ESOP shares on the occasion of the 15th anniversary of the group's establishment at the price of VND10,000 per share, much lower than the market price of VND50,000. This means that Hoa Sen's workers will have to pay VND35 billion to get shares worth VND180 billion. Prior to that, Vinamilk, the nation's leading dairy producer, issued 9 million ESOP shares worth trillions of dong to its staff at a price just equal to one-quarter of the market price. The Gioi Di Dong, the leading mobile phone distribution chain, has issued 7.3 million ESOP shares worth VND1.1 trillion.

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Masan Group caused a surprise when it, for the first time, decided to pay dividends of 30 percent in cash and pay the bonus in shares with the ratio of 2:1. Bankers were the most generous in rewarding their staff. A source said Techcombank's excellent officers can expect a bonus equal to 7 months' salary. Meanwhile, Vietcombank is said to offer the Tet bonus of VND170 million to every officer. Real estate developers, which have experienced good years in 2015 and 2016 thanks to the warming of the market, will also offer big Tet bonuses. Businesses also reward their staff in shares through ESOP programmes. Some dollar millionaires have appeared thanks to their great contribution to enterprises for which they received bonus shares. In 2013, the public was stirred up by information that Madhur Maini, CEO of Masan Group, unexpectedly listed his name in the list of top 30 richest stock millionaires thanks to 6 million ESOP with the market price of VND500 billion. In 2014, a large amount of ESOP shares issued by The Gioi Di Dong helped nearly 10 FINANCE of managers of the business become millionaires as soon as The Gioi Di Dong listed shares on the bourse. The rapid development of The Gioi Di Dong in recent years with the sharp share price increases have helped many The Gioi Di Dong shareholders enter the list of the top 50 stock millionaires. Nguyen Duc Tai, chair and CEO of The Gioi Di Dong, now ranks sixth on the list with VND3.6 trillion worth of stock assets. Mai Kieu Lien, who was CEO and chair of Vinamilk, also pocketed tens of billions of dong with 350,000 VNM shares which she bought in the ESOP programme with the price equal to 1/10 of the market price. http://english.vov.vn/economy/ceos-managers-pocket billions-of-dong-in-tet-bonuses-342177.vov

Online Tet shopping a 23/JAN/2017 INTELLASIA | BIZHUB boon for busy pros Lan Anh, an accountant living in District 3, HCM City, is over-worked as the Lunar Year draws to a close. She has plenty of reports to finish and very little time to spare for shopping, even for the most traditional, must-have food items for Tet (Lunar New Year), the most important festival celebrated in the country. For professionals like her, online shopping is a boon. Ordering and paying have become easy and convenient, although problems of quality and authenticity have also surfaced. Many consumers have said that the hectic end of the year schedule keeps them so busy that they can't go shopping, but the development of e-commerce and e-payment is helping them avoid going to stores or supermarkets by themselves. Now, without leaving their office or home, they can place orders online and wait for goods to be delivered at home. "To prepare for the New Year, I have ordered some traditional dishes from the central region, like pickled scallion, salted figs and papaya shrimp sauce," Lan Anh said. With Vit Nam boasting a large Internet community and a young, digital-savvy population, the domestic e-commerce market is buzzing with activity ahead of the upcoming festival. Xuan Hoa, a resident in HCM City's Binh Thanh District, said he had purchased some products via Facebook after seeing many sellers advertise their goods on the social network. "I bought green grapefruit and banh chung cake for the upcoming holiday. Thanks to Facebook, I can shop and complete my work at the same time as all the transactions are conducted online. I just wait for the bills and goods brought to my house," Hoa said. As the nation pushes its way to modernisation and deeper international integration, online shopping is set to become a habit for many. This is facilitated by several factors

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including diversified services and products, fast transaction speeds, quick payment and attractive promotions. Many large e-supermarkets and social networking sites have announced that they have carefully prepared to ship a large quantity of goods to serve a huge, growing demand, apart from launching various promotions to attract more buyers. Hotdeal.vn, one of Vietnam's largest e-commerce sites, has launched special shopping programmes for the holiday, providing customers with a wide range of selection of tasty and delicious Tet dishes from common foods to specialities like natural dried dates, pasteurised pennywort powder and hand-made meat pies. At e-commerce site adayroi.vn, customers can choose diverse food products, from con- fectionery, snacks, dried food, beverage and soft drinks to vegetables, fruits as well as provisions like rice, sugar and groceries. A representative of an e-commerce business said that with much lower overheads than traditional shopping channels, online shopping centres are able to offer multiple promotions and discounts. FINANCE Some popular sites like sendo.vn, lazada.vn, chodientu.vn, hotdeal.vn, tiki.vn and za- lora.vn are offering discounts up to 50 per cent on all types of products, especially those related to fashion and beauty, like shoes, handbags, watches and eyeglasses. With foodstuff is most in demand for this holiday, these items are advertised widely on the Internet with many discount programmes. Although the percentage discounts are not high compared to other consumer goods, people can still buy some items like confectionary, soft drinks and noodles for discounts of up to 39 per cent. Meanwhile, big supermarket chains in the country, are only accepting delivery orders by phone, while a prominent wholesaler allows only registered business owners to make online purchases. Quality question While online buying has grown significantly, consumers aren't completely convinced of the benefits because the platform presents a number of risks and problems for users. Many e-commerce businesses have exploited legal loopholes in e-commerce transactions to swindle customers. Thanh Ha, a resident of HCM City's Tan Phu District, said a very attractive spicy dried chicken has appeared on the e-market this year. After researching social networks, she chose a seller who seemed trustworthy and ordered a small amount to taste the product first. After checking and liking the dish, she ordered a larger amount to present to her relatives as Tet gifts. However, the second order turned out to be of bad quality. Ha still had to pay for the goods as it was the very last days of the year and the return process required many complicated steps, she said. Several websites are selling Nike and Adidas brand sports shoes for around VND350,000, much lower than the official prices listed on the brands' original websites. A pair Converse brand shoes are being advertised online for just VND100,000- 200,000, while the price of an authentic pair on the official website is between VND1 and 2 million. Lawyer Nguyen Van Vien, Chair of the Intellectual Property Association of HCM City, said punishing violations relating to counterfeit goods would be easier if the affected brand belongs to Vietnamese firms as they can confirm whether the goods are authentic or not. It is difficult to get confirmation of pirated products from overseas brand owners, Vien said, adding that the government and relevant agencies have to tighten management of online goods. The unprofessional and disreputable behaviour of some e-commerce businesses have badly affected the reputation of authentic companies, he said. Nguyen Thanh Hung, chair of Vit Nam E-commerce Association (VECOM), also said that as the country's e-commerce sector developed rapidly, legal issues were posing a big challenge. He said Vietnam still i not have specific guidelines on the operation of the e-commerce market, thus there is no basis to determine the operational model and management di-

Intellasia 23 January 2017 19 / 37 Vietnam finance & business 23 January 2017

rection for this potential growing market. http://bizhub.vn/news/online-tet-shopping-a-boon-for-busy-pros_283795.html

KPMG: Online 23/JAN/2017 INTELLASIA | THE SAIGON TIMES DAILY shopping seen Online shopping has been popular worldwide and Vietnam will keep up with the booming in Vietnam trend quickly thanks to its active Internet use, said a report by KPMG International launched early this week. Chong Kwang Puay, managing partner and consumer markets lead of KPMG in Viet- nam and Cambodia, said online shopping is becoming prevalent in developed economies. With its high Internet penetration rate, Vietnam will see online shopping surging soon. Supply chain, distribution and retail channels, marketing channels, performance measurement and store turnover will all need to be re-assessed in this new reality, the expert said in the KPMG International survey titled "The truth about online consum-

FINANCE ers." According to the report, 18 percent of consumers in Vietnam and Cambodia purchase goods from an online-only retailer such as Amazon, Lazada and Nhommua. Some 10 percent purchased from the website of a retail shop, and only 3 percent purchased directly from a manufacturer or brand's website. The number one reason consumers gave for shopping online is the convenience of shopping. This is followed by having the ability to compare prices, or to find online sales or better deals. Overall, consumers tend to trust online information and reviews. When asked about what is considered when deciding on a purchase, 9.9 percent of respondents went for online reviews, 9.8 percent for brands and only 0.2 percent for promotional and com- plimentary benefits. The report also reveals that recommendations from friends and relatives are the most important channel (11.5 percent) when consumers seek information about a product before purchase. Other channels for information that organisations and brands should consider include social media (8.3 percent), online shops (8.2 percent) and online reviews (8 percent). To gain consumer trust, companies and brands are recommended to improve online security and privacy protection. Most respondents (26.5 percent) consider customer data and information protection to be of utmost importance, and 20.4 percent consider food and product safety as the most important attributes. KPMG International commissioned Intuit Research to conduct the survey of global online shoppers about their purchase behavior, purchase drivers, and perceptions and at- titudes towards online shopping. The sample consisted of consumers aged 15 to 70 years old that made at least one online purchase in the past 12 months and who were within the top 65 percent of income earners in their country. http://english.thesaigontimes.vn/52086/KPMG-Online-shopping-seen-booming-in- Vietnam.html

HCM City set to divest 23/JAN/2017 INTELLASIA | BIZHUB from 40 SOEs by year HCM City will have to divest from 40 State-owned enterprises (SOEs) between 2016 2020 and 2020, reported cafef.vn. The 40 SOEs are now being directly managed by the HCM City People's Committee. They are also among 240 State-funded companies that were enlisted early this month by prime minister Nguyen Xuan Phuc, in which the government needs to make divest- ments between 2016 and 2020. Among those 40 firms, the southern economic hub is allowed to maintain its total control of HCM City Finance and Investment State-owned Company (HFIC). The HFIC may be considered a "minor State Capital Investment Corporation" in HCM City, which holds State capital in several large-cap companies such as HCM City House Trade Management Co Ltd, Gia Dinh Textile and Garment Company, and Cho Lon Investment and Import Export Corporation.

Intellasia 23 January 2017 20 / 37 Vietnam finance & business 23 January 2017

Among the other 39 SOEs that will be equitised, HCM City will hold the controlling stake in three firms with the ownership of between 50 per cent and 65 per cent of the company's chartered capital. The three companies are Sai Gon Industry Corporation (CNS), 27-7 HCM City Co Ltd, and HCM City Greenery Parks Co Ltd The southern city will hold less than 50 per cent of chartered capital in the rest of the targeted SOEs, including 24 community services providers and other key corporations. Among those companies, Saigontourist Holding Company (Saigontourist), Sai Gon Trading Group (Satra), Sai Gon Transportation Mechanical Corporation (Samco), and Sai Gon Water Corporation (Sawaco), in addition to Sai Gon Jewellery Company (SJC) are expected to draw the attention of many investors for their equitisation as they have a good reputation, business scales and influence in the city and across the country. Satra is one of the largest food trading corporations in Vietnam whose total revenue each year could reach trillions of dong. The company is developing its food retail chain, having established more than 100 Satrafood stores, and the company will ex- FINANCE pand the chain in 2017. Satra also possesses stakes in some big food and beverage companies, including Vis- san - the leading company in raw and frozen meat production and trading - and Heineken Vietnam - the second largest brewer in the country, which contributes a yearly income of VND2 trillion for Satra. Saigontourist is one of the leading groups in the tourism sector, operating hotel, res- taurant and travel businesses. The group also owns many hotels in HCM City. Samco is an SOE that operates in various fields with the core businesses being production of transport mechanic outputs, transportation and supply of transport services. The corporation also distributes automobiles, provides branded auto parts and main- tenance services for auto users. SJC is among the leading jewellery traders in Vit Nam, along with Phu Nhuan Jewel- lery Joint Stock Company and Doji Gold and Gem Group. The corporation owns 23 branch companies, six subsidiaries, six affiliates and invests in 13 other businesses. SJC has a distribution network made of 200 stores and more than 3,000 affiliate stores in the country. Sawaco mainly operates in production and selling of clean water in HCM City. The company has the monopoly over the distribution and management of clean water in the city's region. http://bizhub.vn/markets/hcm-city-set-to-divest-from-40-soes-by-year- 2020_283778.html

Positive developments 23/JAN/2017 INTELLASIA | BIZLIVE seen in office-for-rent In the recently released report on Hanoi's real estate market by Savills Vietnam, this market unit assesses that the office-for-rent market is having positive developments, especially for Grade A office buildings. According to Savills, in 2016, the owners of Grade A office buildings in the downtown area continuously offered incentive programmes which made the occupancy rate in Grade A buildings in downtown area to continuously shrunk. Because there is not much supply in Grade A office buildings in the downtown area plus relatively high unit price, many customers turned to Grade A office buildings outside the central area to rent, leading to improved occupancy for offices outside the centre, especially in the Western area. Specifically, according to Savills, as of the end of Q4/2016, in the Western area, there was only about six percent of unused area in Grade A buildings. The report about real estate market in Q4/2016 announced recently by CBRE Vietnam also shows that the high occupancy rate of office buildings in downtown area has led to the expansion outside the central area. While Grade A office rentals were improving, the Grade B office faced many difficulties and the occupancy rate remained high. CBRE's recent market report showed that by the end of 2016, the total office supply in

Intellasia 23 January 2017 21 / 37 Vietnam finance & business 23 January 2017

Hanoi amounted to 1.2 million square meters. Of which, Grade B office accounted for 65 percent. Especially, the Western area of Hanoi was leading Grade B supply with 546,000m2, reckoning for 44 percent of the total market supply. With a large supply, the occupancy rate of Grade B segment is assessed to continue rising. Accordingly, the occupancy rate of Grade B offices by the end of 2016 reached 16.5 percent. In Q4/2015 alone, the occupancy rate of Grade B offices increased 5.6 percent year-on-year. Because of the large supply of Grade B office building, in Grade B segment, the market will see the intense competition among projects. Accordingly, the projects whose loca- tions were not very convenient had to offer much lower price to attract tenants. BizLIVE's survey in Hanoi showed that not only the Grade B office building projects are having difficulties because of the large supply, but a large office space in the podi- um of many apartment buildings (under Grade B and C segments) is also struggling to attract tenants. Especially, the office area in condominium podiums is increasing when more and FINANCE more apartment projects are being completed and put into operation. The attraction of office tenants in the podiums of apartment buildings faces greater challenge because as per a study recently published by CBRE, office tenants now are increasingly concerned about the quality of service in office buildings. Therefore, there appeared the phenomenon that customers moved from Grade B and Grade C office buildings to Grade A office buildings. Therefore, to attract new customers and retain existing ones, CBRE said, office for rent projects need to continue improving service quality further. However, the improvement of service quality for office podiums is very difficult because the operation and exploitation of office podiums now are often implemented by a unit of the investor but not a professional unit specialised in office renting.

Most impressive real 23/JAN/2017 INTELLASIA | VNN estate projects among Pham Nhat Vuong, president of Vingroup, Trinh Van Quyet, president of FLC and Bui top three developers Van Nhon, president of Novaland are developers of the most luxurious projects in Vi- etnam. They have now jumped into the low-cost apartment market segment. The list of the richest stock billionaires released by Vietnamese press agencies has shown a big change: Trinh Van Quyet, 42, has replaced Pham Nhat Vuong at the top of the list. However, Vuong still is the richest Vietnamese person on Forbes' list with assets worth $2.2 billion. Forbes not only considers stock assets of billionaires, but also unlisted assets. Quyet is the richest billionaire who owns FLC, one of the largest real estate firms, and Faros, one of the fastest growing firms in Vietnam. Just within two years, Faros' charter capital has increased to VND4.3 trillion. FLC has been developing a lot of large-scale high-end real estate projects throughout the country. These include FLC Samson beach & Golf Resort in Thanh Hoa province (VND5.5 trillion), FLC Quy Nhon Beach & Golf Resort (Binh Dinh) VND7.5 trillion, FLC Vinh Phuc Resort, FLC Ha Long in Quang Ninh, FLC Vinh Thinh Resort, FLC Quang Binh and FLC Do Son. Most recently, in late December 2016, with the witness of PM Nguyen Xuan Phuc, FLC committed to invest $1.1 billion to carry out the second phase of FLC Vinh Thinh. The group owned by the young businessperson also possesses a series of other projects, including FLC 36 Pham Hung, FLC Star Tower and FLC Twin Towers in Ha- noi. In Thanh Hoa, it has FLC Hoang Long IZ, while in Quy Nhon, it has Tam Duong II IZ, FLC Landmar Tower. Following success in the high-end market, the big players have jumped into the low- cost market segment, previously dominated by less powerful conglomerates. The presence of VIngroup, which owns a huge number of apartments, in the low-cost market is believed to remap the market.

Intellasia 23 January 2017 22 / 37 BUSINESS BUSINESS BIZ NEWS Vietnam finance& business Vietnam positive territory All indexes backin January 23, 2017 Business Briefs Intellasia On HSX the VN Index increased 3.95points VN (0 Index On HSX the 20. percent20. startingone month over to7.58 fromJanuary percent PGT 61,839 acquire to has registered (PGT), Yoshinori,aboardmember of * Shimabukuro transport firmPGTHoldingsCompany 19. December 6. on shares willbe 25but January tradable volu sending itstotaloutstanding vestors, * Vietnam Investment Securities Company(IVS each. of VND22,000 Post and Telecommunication Equipment Fact * GPBank said it would sell its entire stake shares willbe on 25. tradable January shareholders, raisingitstotaloutstanding for adividend to shares pay million 89.6 issued has (ACB) Bank Commercial * Asia 17.' 1~andFebruary uary percent) Investmentan (18.4 in Khanh Hoi * Toan VietInvestment Company has registered ble in one year startingfromJanuary9. th from billion VND359 'nearly collected FIT and DevelopmentJSC,HungYenInvest three investors - VP Agriculture Developm * each EI.T GroupCompany(FIT)hassoldover to million 31 shares atVND11,500 rise 3-fold a billion, 2015, 12percentversus up trillion in2016, * Phu NhuanJewellery Company (PNJ) said month startingfromJanuary 20. holdin upits revise to (VNF) Company freight wi Company Investment & Trading Hai * Thien 21. to February Dairy inVietnam shares stake of100,000 InvestmentSE Asia Holdings * CH (Singapore Securities CommissionofVietnam toraise * Ninh VanBay RealEstateCompan Travel 23/JAN/2017 INTELLASIA three-developers-342084.vov http://english.vov.vn/econom It nowowns40realestateprojec even better known onDecember 28, 2016 when itbegan listing shares on the bourse. land plots in the inner cityofHCMCityan Novaland isawellknownnameamongreal Long. Vinhom began sellingVinhomesMetropolis, Vinhomes RoyalCity and VInhomes Nguyen Ch VND20 trillion and VinhomesTi Vinhomes CentralParkalone 2014. higher than recordhightransactions With All main indexes on Vietnam's main as better also Liquidity 23/JAN/2017 INTELLASIA |VNECONOMIC TIMES froma year earlier. indexes close higher on January 20. y/most-impressive-real-est in 2016, Vingroup earned VND70 Vingroupearned trillion, orfourtimes in2016, VND70 brought VND30trillion, the stock market returned topo ts, including 30 under construction. mes CityVND15trillion.mes The remaining came from Products Company (VNM) from January 23 23 from January Company(VNM) Products and its pre-tax profit stood-at some VND608 someVND608 pre-taxprofitstood-at and its d Services Corporation (KHA) between Jan- Corporation (KHA)between d Services me rising to34millionshares. The new volume to 896.27 millionshares.Thenew to896.27 volume of over 1.7 million shares (8.8percent) in the foreignownership capto100 percent. d central business districts. But it became ent & Trading JSC, Nghe ent &TradingJSC, An Investment 9 sharesare million not y (NVT) has got approval from the State fromtheState gotapproval has (NVT) y shares to increase his ownership from 6.9 its revenue reached an estimated VND8.7 VND8.7 reached anestimated its revenue ment andAgricultural DevelopmentJSC. e share sale. The shares are nottransfera- estate developers with acquiring golden withacquiring developers estate es Golden River and Vinhomes Thang .58 per cent), theVN-30Index points 3.28 ory Company (POT) ataminimumprice g tol35,000 shares(2.4 percent) over one ) Pte Ltd has registered) PteLtdto sell itsentire ) has issued 17.9 million shares shares for in- million 17.9 issued ) has to sell all its stake of 2.6 millionshares to sellallitsstakeof ll be buying 100,000 shares of Vina- of shares 100,000 be buying ll i Thanh.Alsoin2016, the giant also ate-projects-among-top- beachfront villas complex sitive territory on January 23 January 2017 23 January 23 January 2017 23 / 37 23 / 2017 January 23 transferable until until transferable BUSINESS Vietnam finance& business Vietnam expectations Local sharesrise onQ4 Intellasia ritory http://vneconomictimes.com/article/banking- BIDV Securities above thesupportrange of680 points come, however. The VNIndexstillfaces a chal consid performance. Investorsshould good forinvestor good time a This is and 2015. week.pared tolast A similar situationoccu stable, in the vicinity of 690 points. Liquidity improved greatly but is still down com- was Themarket liquidity. bylow were marked which sessions, previous pared with Although theTetholidays are approaching, cash flows showed positive signs com- up0.58per points, cent, whileli increasing Index theVN in resulted and ity liquid- market improve helped which demand, returnin a saw today liquidity, on low banking. Aftermajor stocksin anumber of Today's increasecamefromblue-chipssuch billion($318,960). VND7.2 where netboughtbyVND102 VNM, they Foreign investors net boughton HSX by VN cent. 0.4 percent.PHPlost and ACB cent, per 1.2 onHNX,VCGandSHBgain Among largecaps price. In energy, GAS rose 1.2 per cent, PGD lost and MBB closed attheiropening price and STB lost0.9percent. In banking,CTGclosed1.4per cent higher creased 0.8percentinprice. liquidity, thehighest recorded ROS again lost0.8per andSBTrose MSN cent. BVH 3 lion ($9.03million);second the 0.8 increased VNM beverages, and food In points. mid-session points day of688.4 peak ofthe and closing the morningsession at 686points points andro Indexopenedat682.31 The VN day. billion($9. was terday, andonHNX VND221 Liquidity on HSXwas VND1.77 trillion($78.41 decrease. increaseand111 119 saw whileHNX increaseand103decrease shares saw 140 HSX points (0.51percent). percent),the UPCoM-Inde (0.84 points 1.24 the HNX30-Index percent)onHNX, points(0.43 rose 0.36 The HNX-Index cent). per (0.3 points points percent),theVNMid-Index 4.69 (0.52 started their bets onendofth started theirbets Shares rebounded on January 20on the two national stock exchanges asinvestors 23/JAN/2017 INTELLASIA |VNA Fifteen oftotal 20sectors trackedbyViet mained flat. Overall, the market as condition improved points, narrowing theloss of 1.3 pe On the Hanoi Stock Exchange, the HNX-Index regained 0.4 percent toend at83.2 The northern market index dropped 0.34percent in the last two trades. On the HCMStockExchange, the VN Index added 0.6 percent to close at 686.3 points. e year earnings ofcompanies. e yearearnings highest ofclosed theday.SAB atitsopeningpriceand highest quidity was 14.8percenthigher. was quidity x 0.06 points (0.12 per cent), and theVNAll-Index4.82 rcent in the two previous sessions. , and liquidity risks may may continue. risks liquidity , and stock Finance gained va s to hold on to fundamental stocksto fundamentalrecording hold on s to , BID 1.2 andEIB0.4percent.VCB cent, per of VND219 billion of VND219 ($9.7 billion),and in- 1.3 per cent, and CNG closedatits opening billion ($4.51 million), billion ($4.51 and on by HNX before losing ground and closing at686.26 per cent on liquidity of some VND204 bil- VND204 ofsome cent on liquidity per 223 stocks stocks rose, 190 declined and281 re- 223 as VNM, GAS, and BHN andthe andBHN VNM, recovery as GAS, rred justpriortothe Tet holidaysin2014 of sessions tradingwithinanarrow range of per cent and 1.2per per cent cent, respectively. and 3 per cent, NTP and 3 percent, 1 percent, NTP 0.4 per PVI er opportunity cost before the holidays theholidays cost before er opportunity (0.58 per cent), and the VNSml-Index percent),andtheVNSml-Index 2.22 (0.58 by 3.95 points. The index closed at 686.26 at 686.26 closed Theindex points. by 3.95 se quickly to 685 points before fluctuating beforefluctuating 685points to se quickly D211 billion D211 ($9.34 finance/all-indexes-ba 88 million),roughly the same as yester- . In the afternoon session it reachedits In theafternoonsession . lenge in reaching 690 points and staying million), 15 per cent ed 2.2 per cent, PVS 1.8 per cent, VCS million), primarily primarily million), lue and only five tum- five only lue and 23 January 2017 23 January 23 January 2017 24 / 37 24 / 2017 January 23 ck-in-positive-ter- higher thanyes- BUSINESS Vietnam finance& business Vietnam expectedTet ahead of Stock market calm Intellasia http://en.vietnamplus.vn/local-share buy value. VND on thetwo exchanges, soaring147 percent compared to the previousday's net Facing thecurrent marketstat last the in happened Hung dices toincrease, Phu what to similar also was days And inactive the Tetholiday. near two years these during trading market Lower "clearer shot" to make their investments. oftheyearconsumpti inend tors indulge holiday effectsuffering thewere oftheTet Ba quiet, be will market the that Agreeing market the of out pull will investors "In thenextthreetradingsessions,al which are Securities Company(S the week was result of low in a after liquidity trading low Index with of HNX fall inVNIndex and gain The slight per cent. ly tradingvolumedropped4.9per cent w wo session, each in exchanged was shares week the previous from fell liquidity Trading points. level of83.34 83.24 points. Thenorthern market index ended slightly lower than the previous week's The HNXIndex onthe HanoiStockExchangeed benchmark points. week at686.26 Vietnam's The VNIndex onthe HCM Stock Exchange on Fr say. brokerage companies liquidity, trading lowering purchases, further ing mak- from back hold investors as week this quiet remain likely will market stock The 23/JAN/2017 INTELLASIA |BIZHUB Foreign investors were netbuyerson Januar USD). 4 decreased trades of value but markets two increasedslightlyover Trading volume Janu areforecast Those companies to repo Hoamakers PhatGroup(HPG steel- (FPT), Corp FPT (BVH), Holdings Viet Bao insurer (GAS), Gas PV (CTG), inbank Leading gainers included dairy giant Vinamilk (VNM), lenders BIDV (BID) and Viet- falling. six and only climbing est shares bymarketcapita Many large-cap stocks led the drawsnear. the Tet(LunarNewYear)holiday be withdrawn to continue likely will cash However, some other securities firmsmain market upturn, VDS's analysts wrote inamarket report. if showed impressive performance, coul Some companies started to disclose their preliminary business results for 2016, which ofthela 20days within all 155, list Following Circular promisepositive2016 earnings that analystsat tostock According These stockswere alsoamongthetopmost advanced between0.6percent and 7percent each. Bridges CII Development(KBC), Bac City on the sectors inthese companies Leading tor were the biggest gainers withaverage gains of1.44 percent and 1.28 percent. bled. Of which, theconstruction sector HS) said in a note. st day ofeveryquarter. st lisation and liquidity on the main bourse in HCM City SecuritiesCompany said. vestor confidence as the Tet vestor confidenceas us, most securities firms are firms securities most us, Viet Dragon Securities Co ed companies have to releas ed companieshave market's recovery yesterday, market's recovery ) and Hoa Sen Group (HSG). be could on investors' radars. s-rise-on-q4-expectations/106224.vnp and the two indices will movesideways." rt high earnings prospects for2016. high earningsprospects rt and construction materialand sec- manufacturing d provide driving momentum forthenext d providedriving rth VND2.49 trillion (US$110.7 million).Dai- trillion (US$110.7 rth VND2.49 on," while some of them are waiting for a o Viet Securities Comp o eek on week anddailytradingvalueslid1 from themarket to meet shopping needs as & Roads Investment and Vinaconex (VCG) two exchanges like FLC Group (FLC), Kinh like FLCGroup(FLC),two exchanges as "money tendstoflowout so that inves- tain a neutral view view neutral a tain heavily-traded shares on thetwomarkets. ary 19 to reach 112.5 million shares on the million shares 112.5 reach to ary 19 y 20, collecting shar collecting y 20, percent to 2.4 trillion VND (106.2 million million (106.2 VND trillion 2.4 to percent investors could not motivate thestock in- investors couldnotmotivate index aweeklygainof0.2per had cent. . An average of more than 120.8 million 120.8 ofmorethan average . An so the last three days of this lunar year, lunar threedaysofthis so thelast ged up 0.4 per cent to close Friday at at ged up0.4percenttocloseFriday iday rose0.6percenttofinish iday last holiday nears, Sai Gon-Hanoi (VDS), stocks of companies e their financiale statements advising clients to hold on to hold advising clients with 22 with 22 of the top30larg- on marketoutlook as es worth 219 billion es worth any said local stocks stocks local said any 23 January 2017 23 January 23 January 2017 25 / 37 25 / 2017 January 23 BUSINESS Vietnam finance& business Vietnam 2016 in thestock market in The unluckyinvestors year reach 770 pointsthis MSI:VN Index to Intellasia points-this-year http://vneconomictimes.com/article/bank points. Ithas been on a relativelyst adifficult periodwas time, The 2009-2011 enterp only 150 small, with The VNIndexstood 1,170points at in Marc the Indexrecovered In 2016 VN from to680 points points. 515 the year. pointsinthe reaching 770-790 andadjusttobetween points to750 from 680 from AugusttoDecember. In thefirst peri may havetwoperiodsofsignif The VNIndex to vice President ofResearch at MSI, Bui DucHoan. is expectedtobe 2017 in "The stockmarket market. will 2017 that believes MSI in 2016, quidity Based on forecasts forVietnam's economy in20 January 19. report releasedon Incorporation (MSI) ties reach 770 points is expectedto The VNIndex in2016 market liquidity Maritime SecuritiesIncorpor 23/JAN/2017 INTELLASIA |VNECONOMIC TIMES interestedInvestors in"surfing"could take to theirmoneyandavoidunnecessary and insecure purchases. An experienced broker saidthe unluckiest downhill. continued profits and marketprices modest low shares with Meanwhile, compared 2016 with 2015. VCB, SLS, BMP, NNC and PTB saw share prices increasingby50percent by the end of Only companies which gained impressive business results such as CTD, RAL, TV2, sation value. Except in some special cases, most of theshares saw prices decreasing. profits or even lostbigmoneywhen disbur Analysts commented thatahighproportion deposits. bank higher than times ble trend. upward Those, who injected mone wasa prosperousyearfor2016 securities investorskeepingIndex VN itssta- with the with nothing. up Thanh sharesendedheldinvestors Truong who in2016.Those the unluckiest were whobought The securities in2016 investors 23/JAN/2017 INTELLASIA |VNN http://bizhub.vn/markets/s (BVH). Holdings Viet Bao (PVD) andinsurance-financeServices Corp group PetroVietnamWell Drillingand Some of these stocks are: Phuoc Hoa Rubber JSC (PHR), Vietnam-Italy Steel JSC (VIS), Maritime cording to steel and construction materials, insurance, Listed companies thatcouldpost high earn high." remains risk liquidity trading and "However, investorsshould consider their o that to buystocks market According toBIDV Securities Company, in "mar investors, but tool forthose ful be a would use- firms securities provided by lending margin the To expand portfolios, panies are preparing torelease, SHSsaid. week toexpand their portfolios andcatch Securities Inc (MSI). Securities Inc as basisforforecast. as areexpected to providepositive earnings reports. tock-market-calm-expecte rises listed on HSXandHNX. ation uses economic situation, cashflowanalysis, and third quarter andadjustingto third quarter eady upwards trajectoryever since. gin lending should not beoverused...." ing-finance/msi-vn-i up onthe earnings reports that listedcom- od, MSIbelievesthe VN Index willmove with the VN Index bottoming out at 235 at235 with the Indexbottoming out VN investors were those who heldTruong be a successful year for the country's stock for thecountry's a successfulyear be more favourable than last year," according year," according last than favourable more ings in 2016 include those operating in the in the includethose operating 2016 ings in vestors may find opportunities in a quiet inaquiet opportunities find may vestors constructionandenergy industries, ac- sing money for shares with small capitali- small with moneyforshares sing advantage ofslightly-f h 2007. The size of the stock market was stock market The sizeofthe h 2007. shares with sharescapitalisation small value pportunity cost as the Tet holiday is nearTet holidayis pportunity costasthe 730 and points andJulybefore 730 760 in June of securities investorscould not make icant increases, from January to May and and to May January from increases, icant y into expect could 2.5 y into stocks, the profit in 2017, according to a Maritime Securi- Maritime to a according in2017, 17, cash flow analysis, andmarket li- d-ahead-of-tet_283783.html 770 (+/- 10 in (+/-10 points) late 770 ndex-to-reach-770- alling sessions this alling sessions 23 January 2017 23 January 23 January 2017 26 / 37 26 / 2017 January 23 BUSINESS Vietnam finance& business Vietnam rice exporttarget Vietnamto reach fails market potential in stock MSI listssectorswith Intellasia stock-market-in-2016.html http://english.vietnamnet.vn/fms/busine market price, at over VND200,000 per share. Regarding themarket prices, Sabeco,thenation'sleadingbrewer, nowhasthehighest ties investors. Pouringexcept moneybank shares, fo into befo share per VND4,930 to falling losses.sellHAG tostop And theymadea to accepted investors many share, per VND8,000 to fall to continued prices the When price wouldgo up in the world market soon. VND10,000 per share, investors decided tocollect HAG as theybelieved therubber many investor of assets stock saw also made alotofinvestors penniless TTF While shipping firms' shares some years before. The broker commented thatTTFwasabitte foundmissing. tobe The construction andindustrial and building materials, beverages,indu construction insurance, and mark tors andonecompanyinVietnam'sstock A Securitiesreport fromMaritime Incorporat corporation. Construction andindustrialproductionleads 23/JAN/2017 INTELLASIA |VNECONOMIC TIMES lion) toVND1.2 trillion ($53.8 lossesas TTF's cumulative at June 30incr appropriate evidence todetermine the amountofstockon hand. TTF's inventory as atDecember31and inspec consolidatedfinancialst im Times Vietnam Economic reported that EY ties under a resolution fromthe Board on November 28. an founder company's the including Furniture Three deputy CEOsandtwomembers of th lems for the corporation, including unpaid VND1.2trillion. Thanh Furniture Corporation (TTF - HOSE). According to the latest report tothe According report from latest the against 2015, failingtomeetthe an Vietnam exported 4.8million 23/JAN/2017 INTELLASIA |DTINEWS http://vneconomictimes.com/article/banking- while realestatese per cent), production (83percent), growth thehighest The threesectorswith ports. Fisheries and textiles haveapoor outlook ments isincreasingsignificantly. to credit be riskybecause estatemay Real ar, are expected togrow stronglyin2017. Food & beverage enterprises, includingSa to improve their businesses performance. Crude oilpricesmaybouncebackto $60pe ea cent per 17 with retail and tomobiles growth, of24per cent, followed by food and in-stock-market as well as subsidiaries belonging to Vinachem. to belonging subsidiaries well as as building materials (82percent), building atements since December 31, 2015, was unable to confirm to was unable 2015, since December31, atements ctor increased just 1 per cent. ctor increased just1per tonnes ofrice in 2016, down nearly 2million tonnes million) dueto VND127 bill production sector is expect production sectoris nual target of 5.4 million tonnes. re going upagain to VND7,000. s shrink. When HAG pricefelltobelow general Department of Customs, Vietnam ofCustoms,general Department ch, and building materials 10 per cent. per 10 materials and building ch, ss/171292/the-unlucky-investors-in-the- eased by billion a further VND130 ($5.8 mil- correct decision, as the HAG latercontinued correct decision,asthe the sector islimitedand thesupplyof apart- beco, Habeco, Vissan, and QuangNgai Sug- in 2016 were construction and industrial industrial in wereconstruction and 2016 due torising labour costs and falling ex- r VCBm,wasnotawise decision by securi- r barrel,which willsupportgasenterprises , Hoang Anh Gia Lai shares (HAG - HOSE) -HOSE) GiaLaishares(HAG Anh Hoang , Vietnam, appointed Vietnam, to review TTF'sinter- e Board of Management atTruongThanh r lesson for investors in 2016 similar to to similar in2016 for r investors lesson beverages with 18 per cent, insurance, au- strial production, au Audited finance reports discovered prob- Audited financereports finance/msi-li ion releasedon January 19 listed six sec- tions have alsonot themwith provided way on list from Maritime Securities In- Securities Maritime from onlist way d fromtheirdu- his son, were dismissed et with potential in 2017: gas,foodand et withpotentialin2017: and automobile and retail (82 (82 andretail andautomobile ion ($5.7 million)instock sts-sectors-with-potential- ed to achieve thehighest tomobile and retail, and tomobile retail, 23 January 2017 23 January 23 January 2017 27 / 37 27 / 2017 January 23 BUSINESS Vietnam finance& business Vietnam ASEP VA by falsenews: be hurt Tracould fishexports Intellasia of quality,of origin traceabilityand socialresponsibility. have farms thefish theserecognitions, tain practices includingBestAqua In addition,manyfishfarms have acquired markets. ported tointernational are stored inmo products final tories. The chainsupply comprising breed suppliers, feed factories, fish farms andprocessingfac- as ensuringclearor as well mental impacts al management. Ithas and quality process indust fish thetra the VASEP, to According in spreading the news," he added. the age ofinternbecause "wearelivingin im anegative have likely would factors Such crease theirselling prices, Hoe said. mixe sellers ofEuropean a lot In somecases, the of that previous year. th value, despite tra fishexport Vietnam's In 2016, the priceoftrafishinEuro media reports. fi tra Vietnamese for demand that said Hoe gienic andsafe to consume. media, rejecting it in its entirety, stressing Cuatro about the information receiving After said. the country,VASEP the station continued to broadcast wrong info forlowprices thereason thiswas charge that and defamatory information ontrafishbred televi commercial ago,Spanish Three weeks 23/JAN/2017 INTELLASIA |BIZHUB get.html http://www.dtinews.vn/en/news/018/49147/v States after aseries of pesticide residue scandals. Vietnamese riceexporters are alsofaced with back actually has which quality, rather than Experts said that another keyfactoristhat ports. Asian countriessuchasCambodia,Laosand the Philippines as well as India alsowonmany big rice rice less in competitive state stockpiles, at around9 estimated mill and India,the world's largest rice exporter alsoaddedth The association 1.1 million tonnes for2016 figure to Meanwhile, the tonnes in2015. at rice exportswereestimated Vietnam's billion from2014. and 2015 USD2.9 earned onlyUSD2.1billion fr non-industrialised feed like non-industrialised feed trafish is report, tothe According Cuatro VASEP general Secretary Truong DinhHoe. In 2016, Vietnam exported 1.7 country's key import markets such as China,the Philippines, Malaysia andIndonesia. The VietnamFoodAssoci in 2014,the general Department ofCustomssaid. major markets acrossAsia. ation attributed the lower rice exports to the drastic fall the in fall exportstothedrastic thelowerrice attributed ation those from Africa and theMi and 2015respectively. deadfish andother foodwa om riceexports in2016,down fromUSD2.8billion in at Vietnam had faced strong at Vietnamhadfaced export contractsfrommany culture Practices (BAP) and GlobalGap. In order to ob- to order (BAP) andGlobalGap. In culture Practices million tonnesofriceto Ch pean Union market kept falling and damaged and damaged keptfalling pean Union market the Philippinesreac 6.6 tonnesin million e country's export volume almost matching Vietnam haslongbeen focusedonquantity et and social networks, whicharepowerful networks, social et and that Vietnam's trafish production washy- dern freezing warehousesbeforebeing ex- ion tonnes last August being raised in unclean cages and fed with with fed cages and inunclean raised being sh had declined earlier following damaging damaging following earlier declined had sh so improved itsmanagement of environ- s. Thailandannouncedplanstoclearits ry inVietnam hasimproveditsproduction igins ofseafood materi to be built and operate strictly on criteria raising good for certification international fired in terms of the country's rice exports.fired intermsofthecountry'srice sion channel Cuatro broadcast incorrect sion channelbroadcast Cuatro pact onVietnam's tra fishexportsin2017 d trafishfillet with other products toin- intheCuu Long (M the risk of being banned from the United banned fromthe risk ofbeing the Myanmar havealsoboosted their rice ex- report, VASEP sentlocal alettertotheVASEP report, of Vietnamese tra fish. Fivedayslater, ietnam-fails-to-reach-rice-export-tar- rmation about the breeding of trafishin the breeding rmation about ddle East. ManySouth-east ste. The report went onto ina, downfrom2.1million countries, includingChina, competition from Thailand hed 395,000tonnesand 2015; 6.3 million tonnes 2015; 6.3 million , makingVietnamese ekong) River,said al, especially inthe al, 23 January 2017 23 January 23 January 2017 28 / 37 28 / 2017 January 23 BUSINESS Vietnam finance& business Vietnam exports this year exports this $7.4baquatic of VASEP believesin Intellasia vasep_283784.html http://bizhub.vn/news/tra-fish-exp many and France, he added. tra fish products hadhappened inabout10 food safety and breedingmethod fish tra Vietnamese of image the However, inmany markets. received was well and reduce production costs. reduce production domesticthe supplymaterials, ofrawim enterprisesthe meeting, the alsoaskedAt said. turned, he Businesses shouldkeepupda hamper imports. production through technical barriers or food Agreeing, Tamwarned of an emerging challe remain challenges forseafood businesses. cost of rawmaterials, strong VASEP Secretary general Truong DinhHoesa ance Department. Na agriculture ministry's director ofthe enhanced examinationsoffi central coastinearly2016affectedthe pres While the quality of aquatic products improv much astheycould. developmen friendly to environmentally shifted situati unfavourable an facing said He tonnes wereexported 190,000 since only half oftheyear, and few believed shrimp year's aquatic exports as impressive as the agricultural sector contracted in the first last Tamdescribed Vu Van Development Rural and ofAgriculture minister Deputy cent. of shrimp and 1.67 billion US to161mark products Vietnam shippedaquatic to totalagro-forestry-fishery exports. contributed some22percentthe previousyearand from percent 7.4 rose by Revenue for2016. USD for therestof grew and the Q2 rebound in the fi exportsencounteredproblemsin aquatic January 19, inHCMCityon a meeting At and1. 1.2billion to some USD billion USD, those totheEUand Japan are kets. Whiletheshipmentsofaq It forecasts growth in shipments to the US tion of Seafood Exporters and Producers (VASEP)said. despite difficulties inoverseas marketsan exports areAquatic likelytoincrease 5 percen 23/JAN/2017 INTELLASIA |VNA fish exporters inVietnam,said Vietnamese Nguyen NgoViTam,directorgeneralof etnamese tra fish. spond immediately to the spread of wrong in the governmentre-agencies andconcernedthat needto have said Several enterprises fish production,Hoesaid. tra These factsare strong, reliable evidence of competition and technical barriers in import markets will will importmarkets barriers in technical and competition sheries products from Vietnam, saidNguyen Nhu Tiep- D worth of tra fish, both of which went up about 7 per- 7 about up fish, both ofwhichwent worth oftra D ted on exportmarkets toav 1 billion1 USD,respectively. uatic productstotheUScouldexpand5percent1.5 s. It is not just in Spain, the smearing of Vietnamese of the smearingis notjustinSpain, It s. orts-could-be-hurt on, manyseafood processors andexporters tional Agro-Forestry-Fi in the first six months of2016. prove farming-processing-export links, and export volume would reach 652,000 tonnes d fiercer competition, theVietnam Associa- VASEP ChairNgoVan , the EUandJapan-the three biggestmar- tige of Vietnameseseafood.tigeSome countries government forsupportpolicies to ensure the year, reaching mo the safetyandsustaina nh HoanCorporation, oneofthe largesttra trahad fish become likely toriseonly1percentand2 was notgoodinsomeplaces intermsof countries, including Australia, Italy, Ger- Italy, Australia, including countries, formation that is hurting the imageof Vi- ishurtingthe that formation nge with some countries protecting local local protecting nge somecountries with t from last year to 7.4 billion USD in to7.4billion t fromlastyear 2017, USD ed last year,marinepollution along the safety and quarantine regulations to to regulations quarantine safetyand id saltwater intrusion, highproduction startedto they of 2016, months three rst ets in 2016 with 3.13 billion USD billionUSD worth ets in2016 with 3.13 t models insteadracing of toas export -by-false-news- oid havingtheirgoods re- sheries Quality Assur- popular in the world popular in re than7.05billion bility of Vietnamese Ich saidalthough 23 January 2017 23 January 23 January 2017 29 / 37 29 / 2017 January 23 BUSINESS into Vietnam approved for import French kiwifruit finance& business Vietnam development responsible tourism HCM City keen on Intellasia 342105.vov http://english.vov.vn/trade/french-kiwif BigasC, Coopmart and MMMega Market. etnam. Presently, French applesare sold France to from the secondfruit are Kiwifruit testing have undergone thorough kiwifruit French Consulategeneralfrom the officials The Associationmade theannou across thecountry. ucts and that andthat isapotential ucts Asean tourism productsassociated with She said such places. merely staying inacity. Travel firms appl and wantto communicate ternational tourists In Singapore, travel businesses have sent tour ences fortourists. ism has become aglobal trend. Relevant ag at Speaking the conference, Barkathunnisha, tour unique tocreate locals train must living people's raising besides said Experts among others. cals, buy food, drinks andsouvenirs madeby locals, andminimise plastic waste, ellers. Responsible tourists use public transit, stay at small lodging facilities run by lo- wa best is the tourism responsible They said Many expertsshared differentexperiences standards andapplythem," he said. focus toomuch ontourists but on localresident "Citieshigh living with standardsoffe will residents.ards oflocal He said to become aresponsible tourist venu systemstreets.pedestrian andtransport veloping inasmart thepubl attracting quality, service improving nam. The tourism sector should do aw croachment on sidewalks and Semone added foreign visitors usually co environmental protection willsendthe best "If youwant (the city)tobecome a responsible obtained sustaina there have to75percent carbon emissionsby2025. Up first cityin Copenhagen looks tobecomethe hotels and tourism services. trolling gasemissions and developing envir from Copenhagen, the capital ofDenmark. responsible tourism isenvironmentalprotec Peter Semone, CEO of Destination HumanCapita officials, State business The conference held on January 19 bytheHCMCitygovernmentattracted some 300 conference onresponsible tourism. forpeopletolive andthen abetterplace into France havebeen approved forimportan To make HCM City a responsible tourist destin tourist To make City a responsible HCM 23/JAN/2017 INTELLASIA |THE SAIGON TIMES DAILY The Vietnam Fruit and Vegetabl 23/JAN/2017 INTELLASIA |VOV leaders, and local and international experts. international and local leaders, and ble development certification. dishonest taxi driversamong es Associationhas ncement at a joint news conference in HCM Citywith ncement atajointnewsconference inHCM market for Vietnam's tourismsector. ism products and services for visitors. for services and products ism ay withsuchbad things, and focus on ruit-approved-for-import-into-vietnam- at supermarkets throughout the country such country throughout the supermarkets at mplain about trafficchaos,rampant en- d willsoonbe hitting y advanced technologyto r travellerswith a good experience. Donot of hotelsand 100 percent ofmeeting rooms experiencesprod-higher thannormal cost Copenhagen madeachievements in con- standards, authorities andtravel firms at whichtheystated theorganically grown on responsible tourism atthe conference. encies should create high-quality experi- create high-quality should encies and pose no pest or health safety risk. health safety pest or and poseno message to the outside world," he said. receive approval for market entry into Vi- receivemarket entry approvalfor onmentally friendly means of transport, of onmentally friendlymeans tion. The city should draw onexperience the of world neutralises100 percent that y to become a destination for global trav- forglobal y tobecome a destination CEO of Elevated, said responsible tour- responsible said Elevated, of CEO abetterplaceforpeopletovisit,heard a e, the city must improve the living stand- living the improve must the city e, ic to join in tourism development and de- and development in tourism tojoin ic experience the livesoflocalsrather than ists to farms to meet local residents. In- tourist destination, things like that and that like things destination, tourist ation, the city will s, learn things that that create high things living s, learn l, told the conference that the root of unveiled that fresh kiwifruit from other problemsinViet- supermarket shelves have to turn itself have toturnitself 23 January 2017 23 January 23 January 2017 30 / 37 30 / 2017 January 23 bring tourists to BUSINESS agriculture insurancefor discuss Vietnam,Re to Swiss finance& business Vietnam year predicted at$7.4bthis Seafood exports Intellasia tuna, squid and octopus. tuna, squid rankedsecond the total. $1.67 bi Tra fish with thebiggestShrimp was exportearner with$3. 2015. against percent 7.4 billi obtaining $7.05 Last yearsawVietnam revenue estimated$1.08 at billion,percent a30pickup. export with year this seafood Vietnam's of buyer major a become will China Notably, VASEP said. lion in2017,whileseafood exportstoJapanco Meanwhile, sales to theEU are projected to in to this market. pose anti-dumpingtari market.US American exportersinthe South The association said Vietnam would face cent versus2016. Last year's 1per- rise of year, a mild billion this $1.48 reach likely toAmerica will exports Seafood the European Union (EU), Japan and theUSare expected to rise slightly. on assessmentswas basedVietnam'smajo by in conference a 2016review VASEP told yearchallenges. despite earlier, many from $7.4 couldearn the seaf billion country The Vietnam Association of SeafoodExport 23/JAN/2017 INTELLASIA |THE SAIGON TIMES DAILY agriculture.html http://english.thesaigontimes.vn/52081/Vi mate change on thelocal agricultural sector. managing irriga technology todesigningand technical assistance in supervision of rese Switzerland over cooperation ininfrastructure development forthe irrigation area, inSwitzerland,theagriculturemini While Re todiscussSwissministry met insurance forthesector. er, thenew package has notbeen passed an ment approve an insurancepackagefor farm The ministriesofag payo compensation lion. Total tril- VND7.75 of roughly insured payments and million) $17.5 (around billion VND394 organisations participated in the pilotin Figures oftheMinistry of Financeshowed on atrialVietnam basis. in sugarcane,provided for were livestock and minister's Decision315/QD-TTgissu prime b for theagriculturalsectorhas Insurance credit institutions and Stateagencies. eign and domestic insurance firms, produc deploy insurance products fortheagro-aqua- policies for the implementati The ministry andSwiss Re will work over in Davos. to theevent high-ranking officialsare acco Cuong at the ongoing WorldEconomic Forum activities ofminist nounce The ministrymentioned the programme in a future. near the in sector agricultural the for programme insurance an discuss will The MinistryofAgricultur 23/JAN/2017 INTELLASIA |THE SAIGON TIMES DAILY riculture-rural development andfinance proposed thegovern- ffs on products, Vietnamese whic er ofAgricultureRural Developmentand Nguyen Xuan e and Rural Development and global reinsurer Swiss Re reinsurer global and Swiss Development Rural e and growth rate stood at11percent. on oftheprogramme. The twosides willdiscusshow to mpanying prime minister Nguyen Xuan Phucinhistrip mpanying primeministerNguyen uts neared VND713 billion. nearedVND713 uts surance scheme, with premiums totalling totalling premiums scheme,with surance HCM City on January 19 that its prediction its 19 that onJanuary City HCM preparations foraclearlegal preparations framework and tough competition from rvoir rvoir safety ofmodern and theapplication een pilotedinVietnam. According tothe etnam-Swiss-Re-to-discuss-insurance-for- more than 304,000 farmersandproduction 304,000 morethan stry also worked with Gruner Groupof on from seafood exports to 161 markets, up seafoodexportsto161markets, on from tion and trading businesses in the sector,trading businessesinthe and tion ed on March 1, 2011, insurancepackages on March1, ed seafood farming in 21 cities and provinces andprovinces cities in21 seafood farming ers and Producers (VASEP) has predicted haspredicted (VASEP) Producers ers and d this is the reasonwhytheagriculture ood exports this year, up 6 percent from a percent 6 ood exportsthisyear,up The US will use technicalbarriersandim- ers after the pilot scheme ended. Howev- llion, making up24 percent, followed by tion worksgiventhe ri statement released on January 19 to an- 19 January releasedon statement r seafoodimporters. Outbound sales to forestry sector with forestry sector uld climb 2 percentclimbuldto 2 some$1.1 billion, ch up 1 percent year-on-yearch up to$1.2bil- (WEF) in Switzerland. Cuong andother(WEF) inSwitzerland. 13 billion, accounting 13 billion, h willhurtVietnam's exports other regional and participation offor- 23 January 2017 23 January 23 January 2017 31 / 37 31 / 2017 January 23 for 44 for44 percent of sing impactofcli- BUSINESS Singapore route Vietjet toopen Hanoi- finance& business Vietnam Nhat expansion plan $880mn Tanon Son government feedback Vietnamseek to salaries revealed Vietnampilot Airlines Intellasia http://bizhub.vn/corporate-news/vietjet- also plans routes airline The City. after HCM The unselected proposals for feedback by February25. pare acompleteproposition officially to submitprime to minister Nguyen Xuan Phuc Deputy PMDung has decided on this propos passengers ayear, compared tothe current 25 million. Once finished, the planwillexpand Son Tan years forcompletion. three more than This proposedplancosts VND19.7 about has promised totransfer the using on amilitary-o built be These facilitieswill passenge a year,and passengers a million The plan also includes constr in thenorthern side of the airport. ar runways andconnectthemwiththeapron The selectedproposition sugg airdrome. City the HCM the aviation watchdog had repeatedly been ur Tan SonNhatiscurrentlythecountry's busi of thethree optionshasbeen chosen. announced afterthefifth Trinh DinhDung, ter The team, led by the Ministry of Transpor debate. upfor meetings threeoptions with port hasmadeupitsmindon formedtoseek forthe A solutions panel 23/JAN/2017 INTELLASIA |TUOI TRE NEWS theMinistry Earlier inearly2015, of Transp The salary increase atVietnam Airlinesis lion, while thefigure forstaff in Meanwhile, the average salary of Vietnam Airlines flight attendants is VND25.5 mil- the incomeof rema firm's staff salary Vietnam Airlineshas afourth approved month, equal to that ofpilotsinSoutheast Asia. a (USD5,220) million is VND115.3 pilots Airlines' ofVietnam The averagesalary 23/JAN/2017 INTELLASIA |NLD Hanoi isthe second Vietnamese departs The flight time). (local return flight fromHanoiwilltake flight willoperateThe Hanoi-Singapore dail businesspeople between thetwo well April 27 onwill startThe newroute operating (US$20). pricedfromVND500,000 tickets with Vietjet lastweek announced a new internat 23/JAN/2017 INTELLASIA |BIZHUB VND76 trillionbillion) VND76 (USD3.34 Vietnam Airlines and its subsid better pay. the citing policy, salary its vealed.html http://www.dtinews.vn/en/news/018/49139 oper is carrier flag national The plan. and 7percenthigher annual the than VND2.5 almost at profitsstood Pre-tax 2015. high number of pilots who wanted to leave the company for wanted toleavethecompany pilots who number of high off at (local off at 10am time) and uctions ofamixed-use terminal ests building more taxiways more ests building a finalproposaltosubmit iaries earned combined revenue lastyear ofmore than ating 85 planes and has 7,100 and 7,100 staff. has 85planes ating citythatwillbe connected other positions is VND17.4 million. in 2016, an increase ofmo in anincrease 2016, ins amongtheregion's top airlines. right to its transport right toitstransport counterpart. -known cities,th at 2.55pm and lands in Hanoi at 4.50pm. to-open-ha-noi-singa overloaded TanSonNhat International Air- based on staffcapaci trillion (US$879.46 million)andtakesno trillion (US$879.46 r terminal T4 with the same capacity. t under supervision ofdeputy prime minis- wned land plot, which the defensewned land ministry which plot, ional route between Hanoi and Singapore, ional routebetweenHanoiand /vietnam-airlines-pilot-salaries-re- est airport, and the transport ministry and ministry airport,and thetransport est ort instructed Vietnam Vietnam ort instructed y and last two hours and 55 minutes. The minutes. hours and55 y andlasttwo trillion (USD110 million), up 140 percent percent million),up140 (USD110 trillion Nhat capacity to 43 million or45million to 43 Nhat capacity from Da Lat and Da Nang to Singapore.fromto DaLatandNang eas, and improving the existing runway improving and eas, al, requestingrelevant agenciestopre- to meet travel demands of tourists and tourists and demandsof meettravel to round ofmeetingon Friday that the last ged tofind feasible expansionplan for rise for its staff sinc staff rise forits e airlinesaid. arrive in Singapore at 1.55pm arrive inSingaporeat1.55pm , which will link the two , whichwilllink the government, afterfive by VietjetSingapore by with re thanpercent 10against ofserving T3, capable 10 pore-route_283788.html ty and productivity. e 2008 to ensure that that e toensure 2008 23 January 2017 23 January 23 January 2017 32 / 37 32 / 2017 January 23 Airlines to review Airlines to BUSINESS Vietnam finance& business Vietnam year keep unchanged this tariffPower likelyto in QuangNgai project powerdevelop solar Thai investorto Intellasia retail price of 1,630 VND kWh. retail priceof 1,630VND per trilli 234.3 more than reached Concerning thoseElectricity of numbers, and of2015 estimates on calculation of 2016. to bu required is that EVN said The ministry production cost conference inHanoi onJanuary20. this year and has been calcul When finished,the power station, whichcove investmentofne total district with In 2015, the provincebegan construction on grid. to thenational power sourceconnected 'green' and provide a forts The departmentsaidthesolarpowerprojectwi Pho An commune, 40kmsouth ofQuangNgai city. stud apre-feasibility paring The provincialDepartmentofIndustryand district inthecentrallater provinceofQuangNgai thisyear. Win Corpor Thailand's Triple 23/JAN/2017 INTELLASIA |VNA fa otherauxiliary and terminals The firstproposalsuggests ones. two othermoney-consuming thanthe is lesstime-and it The thirdoptionisselected as The MinistryofIndustry and 23/JAN/2017 INTELLASIA |VNA ngai/106269.vnp http://en.vietnamplus.vn/thai-investor-t phase, andis expected tobecome oper investme has thermal powerplant The 2,100MW the Dung Quat EconomicZone Singapore's Sembcorphasbeenpreparingto ment projects, worth 4 billionUSD. According to latest reports, the central prov in DungQuat Economic Zoneand other industrialparks. fore and for domestic called The provincehas national grid attheend of2014. 30km off the coast ofQuangNgai, however in asolarpowerproject was developed In 2005, an hourtothe national grid. son-nhat-expansion-plan http://tuoitrenews.vn/business/39204/vietn kieu, or overseasVietnamese, home. with packed also is hall arrival the and tion extremelyoverloadedThe airportis whenthese days, Tet people celebra- flyhomefor year. last million passen 25million of capacity adesign Despite ten years. ger, VND61 trillion ($2.72 bill to buildone more taxiway and airport apron. The secondproposal, in the meantime, issimi ($9 billion), given there takes between ten 15 years tocomplete andamassive trillion and cost ofVND201.35 This option expand helps the airport capacity cated,project. toservethe north ofthe airport. nearbyneighbour The location of140,000houses. building brandnew runways, taxiways,airport aprons, y on developingy on a150megawatt project (MW) incoastal ating basic prices, the ministry on VND (10.32 billion USD)or (10.32 on VND Trade (MoIT)hasnotyetdeci ion), and construction alsota ation plans to develop a solar power project ation planstodevelopasolar in power Duc Pho cilities onalandplot now arly 900 billion VND (41 million USD). million (41 billion VND arly 900 ational by the third quarter thirdquarter ational by of the 2020. o-develop-solar-powe Vietnam's (EVN) 2015 power turnover Vietnam's(EVN)2015power hood has tobecleared, and residents relo- am-to-seek-govt-feed people waiting to see their beloved Viet Viet beloved their see to peoplewaiting ince has 36foreign attracted direct invest- Trade said the Thai investor has been pre- hasbeen investor Thai Trade saidthe ild a basic price for the year of 2017 ild abasicpricefortheyear of based 2017 construct a 141ha thermal powerplantin thermal a141ha construct the district startedusing the district fromthe power a 19.2 MW solar MW power plant in Duc a 19.2 Mo lar tothe third one exceptforsuggestions ign investment ininfrastructure projects gers, TanSonNhatservedasmany32 Consequently, the es rs 24ha,willsupply to 60 million passengers a year, but it ayear, it but passengers to60 million ll help theprovince'sll 'green' growthef- AnBinhisletofLySonislanddistrict, nt capital of 2 billion USD for the first announcedat anelectricity functioning as golf course kes muchlonger, eightto ded to adjust power tariffs tariffs to adjust power ded equivalent toelectricity r-project-in-quang- back-on-880mn-tan- 28 million kilowatts 23 January 2017 23 January 23 January 2017 33 / 37 33 / 2017 January 23 timated cost is big- BUSINESS Vietnam finance& business Vietnam mill Phuong Nam pulp Investors turn backon Intellasia 106226.vnp http://en.vietnamplus.vn/power-tariff- er tariff would be adjusted," he added. as fuel, foreign exchange ofpowe and rates "The ministry would review thebasicprices. or powertariff intoaccount of taken If loss accounted allatonce,power the was ministryto gradually ha mechanism. However, ing tothe accounting foreign exchangedifference lo "Normally, the for. Therema profit. and increasing costs imising inforeign VND trillion 3.5 roughly avoided EVN deputy general director tariffs. into power He said the losses from the foreign exchan Turnover fromdividend and was around1.01trillionVNDandthose from come fromtheEVN'swelfare fund, ofwhich, courts havenot calculatedinto been po regulati according tocurrent added that He affected gas-power plants.This power plants was reduced and EVNhadtomobilise electricity from coal-fired and ductivity due tounfavourable hydrological "The important factor in2015wasthathydropower plants did notreach the set pro- stable. coal prices to elec decision toincrease gaspricessold production. TheMinistryofScience andTe prices in2015 the of mainfuels includ that Nguyen AnhTuan, director of lower thanproduction cost. theelectricity EVN in 2015 therefore posted a slight loss nies which EVN hold shares wasover 1.3trillion VND. Its companies. invested wholly group's the trillion VND. The losses camefrom the fore prod electricity intoEVN's been calculated According to Deloitte Vietnam's independen lion VND. Turnover fromactivities relatingtopowe could not be commissioned. Theprime minister Investment Development and Communication of donghasbeenpouredinto this Trillions Hong, deputy director ofthe provinci many investorshaveturned their back on The ministry is seeking toequitise the p investorsshown interest. have authorities haveintroducedLocal project the in theMekongDelta province. structure theproject after huge amounts of nam Paper Corporation and that the Ministry He saidtheState-owned Phu Long An Province, at a review meetingon Wednesday. multi million-dollar pulpmill but to no avai The MinistryofIndustry and 23/JAN/2017 INTELLASIA |THE SAIGON TIMES DAILY ndle the losses over five years du years overfive losses the ndle ong Nam plant is the ong under plant Nam profit was 60.95 billion VND. Dinh Quang Tri said thegrouphasitself Dinh QuangTrisaid in 2015 that Trade has been calling for investors to participate in a in participate to investors for been calling has Trade the ministry's Electricity Regulatory Authority, said to production costs,"Tuanadded. reducing production costs," Trisaid. al Department of likely-to-keep-unchanged-this-year/ wer production cost. The construction has oor-performing pulp mill project. However, project.However, mill pulp oor-performing tricity productionby 2percent while keeping r production and trading in 2015 was2.5tril- in2015 trading and r production ge difference would begradually accounted paper pulp project owned by the Transport owned bytheTransport paper pulpproject the project, according to Nguyen Xuan Nguyen Xuan to the project,according in power production and continued to sell ing coal, oil and gas affected the electricity affected the and gas ing coal,oil uction wereupto8.5 in2015 and trading conditions.Thepower output fromhydro- rresourcespercent, higher the pow- than7 foreign exchange rate differenceatcompa- ons, constructioncostsofvillasandtennis chnology inthesame year promulgated a capital havebeen poured intotheproject ign exchangeratedifferences throughout tariffssurge. would exchange difference losses thanks tomax- l, according to Le Ta the EVN asked the ministry andfinance t auditreport, the losses which have not turnoverfromEVN'sfinancialactivities ining lossesgradually will be accounted to manypotentialinvestorssofar but no If thereis achangeofinputpricessuch itscorporations wa sses mustbe accounted ina year accord- of Industry and Trade is trying tore- Company (Tradico), but the plant still the still plant but (Tradico), Company has decided totransferTradicofrom it Industry andTrade. e to its special characteristics. characteristics. special its e to administration oftheViet- The losses would be n Dung, vice chairof s 194.3 billion VND. 23 January 2017 23 January 23 January 2017 34 / 37 34 / 2017 January 23 BUSINESS Vietnam finance& business Vietnam congestion hotspots detect app to Road userscanuse Three-Year Trial Gamble During Some Citizensto VietnamAllow to unchanged remain Petrol prices Intellasia As the upcoming Lunar New Year, or Tet, is is Tet, or Year, New Lunar upcoming As the ber. remained sincea unchanged sharp riseby The oilpricehasretailyear whilethe hasbeenadjusted petrolprice uptwicesofarthis kilo. per VND11,260 to byVND340 toVND14,040; by VND290 up In particular,therespective prices ofdies the levels, forcing new base their than However, oil. fuel ofheavy for akilo VND550 Meanwhile, VND250 goes to a litre of diesel litre. a VND17,590 port priceplustaxes and fees. Therefore, andthe price the current new base retail of industry-trade and finance. Thefundis gasoline, andA95 of A92 a litre for VND503 wholesale firmsareallowe Fuel diesel oil inched upby VND290 to VND14,000 per litre. pric thefuel tap to further ers http://english.thesaigontimes.vn/52100/ prices. pendent on supplyanddemand, andtransport cost, whichisclosely relatedtothefuel available for smartphones runningon availableiOS andAndroid. forsmartphones hong.hochiminhcity.gov.vnon theplatform of The HCM DepartmentCity ofTransport on a mobile phone appontheir smartphones. zens-to-gamble-during-three-year-trial https://www.bloomberg.com/n tothe ends, government posting. according The governmentwill re-assess thelocal gamb dong fora million nos. Theywillalso be required topay 1 mi have amonthlyincome milli of atleast 10 minimum of $2 billion toits a commit must togamble locals allowing alicense for considered be will that Casinos issued. be will licenses local notspecify gambling when The does night. last posting the government'swebsite Vietnamese who trial licenseand for the March 15, effect goes se into which The law, three-year trial period, according to anew decree. Vietnam's government willallowsome citizens 23/JAN/2017 INTELLASIA |BLOOMBERG The retailpetrolunchanged after pricewas 23/JAN/2017 INTELLASIA |THE SAIGON TIMES DAILY mill.html http://english.thesaigontimes.vn/52088/ the fix problem. Even thoughforeignexperts havebeeninvitedto inspect theplant, they stillcouldnot inlong delays. resulting the period, pilot during by the government. However, thewhole pr so The newinvestorhasupgradedthemilland to theVietnam Paper Corporation. Residents in HCM City will be able to de to able be will City HCM in Residents 23/JAN/2017 INTELLASIA |THE SAIGON TIMES DAILY month-long pass. complex. Vietnamese that that are atleast 21 complex. Vietnamese years old and e stabilisation fund to offset the import price rise, while while price rise, import the tooffset fund e stabilisation ews/articles/2017-01-21/vie d to tap the national fuel price stabilisation fund with ministries to allow their pricespike. their allow to ministries Petrol-prices-remain-unchanged.html Investors-turn-back-on-Phuong-Nam-pulp- tect congestionhotspots want to gamble. The law was announced on want togamble. lawwasannounced The price constituted by the15-day average im- el, kerosene andheavy fuel oilwere revised the retail price of A92 is unchanged at unchanged at is ofA92 price retail the on dong ($443) will be allowed to willbeallowedto enter casi- on dong($443) VND920 to VND17,590 a to litre in VND920 VND17,590 late Decem- designed tocover the llion dong for a 24-hour casino ticket or 25 a 24-hour casinoticketor for dong llion ts stringent guidelines ts stringent oduction chain failedtoworkproperly authorities onJanuary accordingdecision bytheministries tothe sold, VND450 toa litre ofkerosene, and January 19 launched awebsiteatgiaot- launched January 19 just a week away,pric their current retail prices are still higher higher prices still are theircurrent retail VND12,600 to litre;andby per VND12,600 VND490 ling licenses after the three-year trial ught to start operation againasdirected to startoperation ught a digital map, and its mobile app is mobile app its and adigitalmap, to gamble at select casinos duringa tnam-to-allow-some-citi- differential between forcasinos applying in advance by using 23 January 2017 23 January 19 allowedoiltrad- 19 23 January 2017 35 / 37 35 / 2017 January 23 es of goods are de- BUSINESS Vietnam finance& business Vietnam Ninh investment inBac ponders $2.5billion Samsung Display Intellasia tion-hotspots.html http://english.thesaigontimes.vn/52098/Ro completed. is clearance site after en OanhStreet, whichis280meters longan meters longand six meters wide. Another br The branch in the direction from NguyenOa tion there. overpass that costs over billion VND400 at In related news, the Departmentye Transport Khoa added. city, congestion traffic in ing withsevere the technology is highlyappreciated.The launch information of sotheapplication asmartcity, tobuild making greatefforts is The city quarter of 2016. quarter capaci boost itsproduction to $4.9 billion than moreinvested panels, themanufacturer OLEDthe growingdemandfor To meet of Korea into OLED production line. (LCD) productionline L7-1inTangjeong, display crystal liquid seventh-generation its totransform plans also Display Samsung priation. Vi in a investment billion $2.5 templated had beenexpended $8.4 billion the US all Not production. up end of2016tothrough theramp budget Industry watchersobservethatSamsungDisp attheearliest. 2017 of SamsungDisplaywouldcome tosomeform Industry insiders havespeculated that Nguyen. manufacturin sung Electronics' The OLED display modules produced inBac Ninh Province are used tosupplySam- 2015. production inMarch Electronics land at Samsung on unused 2014 Display startedconstructionSamsung ofdisp in BacNinh Province innorthern Vietnam. sions in return for theRepublicofKore are reportedlycentredarou negotiations The 2016. in facility the in $4 billion roughly invested had already the representatives, say Display, Samsung some time. government over expanding itscurrentfa a series engaged in has been Electronics Co ofSamsung subsidiary the sources, display-making industry tomultiple According phone segment. play panels, thebiggest growth segment in thedisplay business, especially the smart- dis- forsmartphone demand growing to inresponse is insiders industry The movesay province ofBacNinh. tional $2.5billiontoexpanditsdisplaymo Samsung Display Co hasannounced that it is 23/JAN/2017 INTELLASIA |VOV Le Van Khoa,vicechairof the city, said redu The appalsoprovidesinformation about pa Thanks to peoplecanavoidcong thisapp, Data fortheappcollected will be from acrossth updates road get traffic to users The appwill provide the latest information g plants located inthe provinces ofBac Ninh and Thai the Vietnam government and themanagement alongthecity'sstreets. 300 cameras a based manufacturers additionalinvestment etnam factorywouldbe an additional appro- ty of OLEDs for smartphones in the fourth ty ofOLEDsforsmartphones inthe e city, including traffic densityand speed. South ChungcheongProvince, theRepublic ctory inthe Southeast Asian countryfor dule assemblylineinthe northernVietnam ested streets and find analternativeroute. ested streetsand ad-users-can-use-app-to-detect-conges- organic light-emitting diode (OLED) panel diode (OLED)panel light-emitting organic of ongoingnegotiati Go Vap Roundabout to Go VapRoundabout ease traffic conges- d six meters wide, will get off theground will get off meterswide, d six on traffic conditionsin rking lots and public restrooms for users. for restrooms public and lots rking anch from Pham Ngu Lao Street to Nguy- to Lao Street Ngu anch fromPham ' plantinBacNinhProvince and began cing trafficcongestion nh StreettoNguyen nd potential taxbreaksor other conces- as of the start of 2017, however. asofthe The however. start of2017, con- ofthetraffic website contributes to cop- contemplatingaplan to invest anaddi- lay panel production facilities in late sterday opened to traffic a branch a openedto of an branch sterday traffic lay had appropriated$8.4billion inthe lay al agreement during the firstquarter of ons withtheVietnam Kiem Street is240 23 January 2017 23 January 23 January 2017 36 / 37 36 / 2017 January 23 the city, allowing thecity, allowing is a daunting task. daunting a is BUSINESS Vietnam finance& business Vietnam Intellasia End bac-ninh-341963.vov http://english.vov.vn/economy/samsung-disp iPhone seri Apple upcoming with the sung Electronics' GalaxyS7 seri onSam- featured was which Display,' Edge 'Quad so-called the as such displays OLED added inhigh-value upinvestment sharply will Display theSamsung In particular, es. The curved OLED panelisalsoexpected to be fitted es in the second half of 2017. half of second es inthe lay-ponders-us25 billion-investment-in- 23 January 2017 23 January 23 January 2017 37 / 37 37 / 2017 January 23