Finance & Business News 31 August 2017

finance & business news 31 August 2017

FINANCE...... 1 Tra Vinh approves VND850 billion for Cau Quan IP project 28 Reference exchange rate up 5 dong 1 CII to spend VND3.4 trillion on infrastructure projects 29 Worries still remain as SBV is likely to pour to the market Vung Ang attracts investments after Formosa incident 29 nearly 700tr dong 2 BIZ NEWS ...... 30 Is credit growth worth worrying? 3 Business Briefs August 31, 2017 30 Which banks benefit when the ratio of short-term funds Markets fall on ETF withdrawal 31 for long-term loans is not yet tightened? 4 VN Index rebounds, boosted by VIC and MSN 31 FE credit launches Fast Cash, Simply Text – Get Cash 5 HSX up while HNX down 32 BC Card Signs MOU with Vietnam's NAPAS 5 Derivatives trading: Individual investors must pay 0.1% tax 32 Growing interest in transaction banking 6 Cash flows will rotate faster 33 Minister optimistic about achieving economic growth target 8 LHG issues 1.3mln shares to invest in Long Hau 3 industrial park 34 Set targets might be unachievable without drastic efforts: PM 8 New buildings in Hanoi must have underground parking lots 34 Cutting regular spending, not raising taxes, will reduce public debt 9 Real estate inventory falls sharply 34 Standing witness to Vietnam’s rise 10 Ha Noi taxis to use common operating software 35 IIP up 6.7 per cent in eight months 13 Huge steel projects in Ha Tinh are scrapped 35 August CPI edges up on food, fuel price hikes 13 Quang Binh gets green light for cable car project 36 Strong exports in Jul-Aug help narrow trade deficit 14 Loss-making PVTex may have way out 36 Asia seen as key buyer of Vietnam shrimp 15 VNITO to open ‘bridge’ engineer training center this year 37 Large-scale investments promise FDI breakthrough 16 Vinalines, Belgium’s Rent-A-Port N.V ink cooperation deal 38 Health insurance fund may grapple with overspending 16 RoK group invests in renewable energy power in Quang Binh 38 PM orders prompt settlement of admin procedures in September 17 Mobile World and Tran Anh confirm acquisition 39 HCMC demands more for regular spending 18 BKAV puts faith in tapping high-end phone market 39 HoREA proposes not classifying tourism land as farmland 18 Vinpearl Land launches giant Sky Wheel 41 Insufficient land use affects Can Tho’s economy 19 Mövenpick’s Asian hospitality expansion to ramp Finance Ministry wants 1% tax on transfer price in M&A deals 19 up presence in Vietnam 41 New circular delays modern slaughterhouses 20 $9 billion Nghi Son refinery and petrochemical complex Taxman will closely supervise casino operations 21 about to start operating 42 Vietnam Customs holds dialogue with European businesses 22 Ho Tram Strip moves ahead: Kahuna unveiled 43 SOEs divest 163.4 million USD in 8 months 22 Investor accused of lying about apartment sizes 44 Increase in registered capital in real estate sector Biologist warning on building paper mill 44 not yet the signal to feel happy 23 Lee&Man warned to have pulp mill license revoked 45 Startups on the move in Vietnam social media market 24 Over 700 businesses to attend Int’l Travel Expo HCM City 46 Vietnam nearly stands the last in Southeast Asia in online sales 25 14th China ASEAN Expo on horizon 47 Domestic brands held at gunpoint by international fashion brands 25 Tech Expo 2017 held in HCMC 47 Automobile importers hit hard by recent scandals 26 AgroViet 2017 set for HCMC 48 State-owned aviation firms soon for heavy divestment 27 Mining industry indicator continues to dip 28 FINANCE FINANCE Reference exchange 31/AUG/2017 INTELLASIA| TIN TUC rate up 5 dong The daily reference dong/US dollar exchange rate set by the State Bank of Vietnam (SBV) on August 31 was 22,438 dong, up five dong from the previous day. With the current trading band of +/- 3 percent, the ceiling rate applied by commercial banks on August 31 is 22,116 dong and the floor rate is 21,770 dong per US dollar. Exchange rate at commercial banks almost saw no change. Vietcombank kept both rates unchanged from a day ago at 22,695 dong (buying) and 22,765 dong (selling). BIDV also maintained the same rates as on August 30 at 22,695 dong (buying) and 22,765 dong (selling). Similarly, both rates at Techcombank were kept unchanged for the third consecutive day at 22,680 dong (buying) and 22,775 dong (selling) per US dollar.

Intellasia Tel: +844 2213 2244 No. 21, lane 173/63/17, Ngoc Ha Ward, Ba Dinh Dist, Hanoi Fax: +844 3759 2034 © All Rights Reserved Email: [email protected] Websites: www.Intellasia.Net www.TriTueAChau.com Vietnam finance & business 31 August 2017

Worries still remain as 31/AUG/2017 INTELLASIA| THOI BAO KINH DOANH SBV is likely to pour Recently, the Government has asked the State Bank of Vietnam (SBV) to calculate the to the market nearly ability to raise the credit growth target for the whole year to 21-22% instead of 18%. If 700tr dong this goal can be achieved, this is the year that marks the return after seven years of credit growth at less than 20%. As per the National Financial Supervisory Commission (NFSC), during August 14-18, interbank interest rates may increase slightly 0.3-0.5 percentage points in terms but as of August 25, interbank interest rates gradually decreased to 1-1.3%. As per NFSC's assessment, the current interest rates in the interbank market are still relatively low and are similar to the same period of 2016. It is forecasted that the low interest rates will maintain in Q3/2017. The State Bank issued 15 trillion dong worth of T-bills via outright method with 7-day term and 0.3% interest rates. During August 21-25, there were 21 trillion dong matured T-bills under outright method. Generally, the State Bank net withdrew six trillion dong during the week. As per NFSC, it is expected that at the end of this week, there will have 15 trillion dong matured T-bills under outright method while T-bill interest rate still maintains at record low level of 0.3-0.4%. The plentiful liquidity of the banking system along with flexible operating policies, stable lending rates, even the downward trend of interest rates in some priority sectors, etc. are positive factors that support the economy and the credit growth target. FINANCE Earlier, in the Government's regular meeting in July, the Prime Minister asked to raise the whole year credit growth target to at least 20%. If this target is completed, this year will be the first year since 2010 that credit growth is more than 20%. With the Prime Minister's aforementioned suggestion, if this year's credit growth reaches the highest level of 22%, that means a four percent increase in capital from the initial estimate (at 18%), equal to about 220 trillion dong. As per the estimate of economic experts, the total outstanding loans to the economy at the end of 2016 was about 5,500 trillion dong, equal to the growth rate of 22% in the aforementioned assumption, which may have an additional of about 1,210 trillion dong this year. NFSC's data show that in the first seven months of this year, credit has grown about 9.3%. Following the aforementioned growth direction of 22%, there will have about 698.5 trillion dong additional capital to accrue in the last five months of the year. Many credit experts said since the beginning of this year, credit has grown quite strongly in terms of outstanding loans especially consumer credit and real estate credit. Meanwhile, in production sector, many businesses still have difficulties in assessing loans. As per the data of the Business Registration Department under the Ministry of Plan- ning and Investment, in the real estate business sector, in January-August, the number of newly established businesses were 3,156 units (up 65.8%) and the registered capital was 217.139 trillion dong (up 62.8%) That means real estate is showing signs of prospering again. Therefore, the massive increase in credit may cause real estate sector to absorb the most capital not business and production sector. Dr. Vo Tri Thanh, former Deputy Head of the National Economic Research Institute (NERI) said the total real estate outstanding loans are about eight percent out of the total credit but consumer loans are mostly real estate loans. If that is included, the figure must be more than 10%. Interbank interest rates are currently relatively low and tend to decrease in the coming time, but with the likelihood of adjusting lending rate to achieve the credit growth target under the requirement of the Prime Minister, the State Bank is likely to pour to the market nearly 700 trillion dong. The end of the year is the time when the demand for real estate booms, especially the low-cost housing segment and resort real estate. The people's consumer loans to purchase houses have increased rapidly over the last period and is expected to continue rising sharply in the last five months of the year. So, is there any other way to limit the flow of money into real estate? As per economic experts, money from bank from now until the end of the year, though unwilling, is still most likely to run partly into real estate. Therefore, the State Bank must have monetary tightening policies to divest this capital flow to the right target. Only by doing so can the economy really be supported. It is known that the State Bank has directed functional departments to tighten control

Intellasia 31 August 2017 2 / 48 Vietnam finance & business 31 August 2017

over outstanding loans in potentially risky areas such as real estate, BOT and securities. For example, in Directive 01/2017, the State Bank requires commercial banks to regularly review and assess the lending to potentially risky areas such as real estate credit, loans secured by real estate, credit for large customer groups, etc. to set appro- priate management criteria, ensuring safety and efficiency in operation.

Is credit growth worth 31/AUG/2017 INTELLASIA| BAO DAU TU worrying? Compared to the same period last year, many banks have almost used up the credit room allocated at the beginning of the year at 14-16% due to significantly improved outstanding loan growth, especially for individual customer segment, thanks to the warming of real estate market. Truong Dinh Long, Deputy General Director of Orient Commercial Joint Stock Bank (OCB), said for individual customer segment, not only housing demand, car purchase need the financial support from banks but consumer lending trend is also growing

FINANCE quite strongly. For example, in the first half of this year, the bank's total outstanding loans to market 1 swelled nearly 25% year-on-year. Similarly, Nguyen Duc Vinh, CEO of VPBank said the profit that FE Credit brings about VPBank as much as 50% of total profit and consumer finance loans are considered as the "golden egg" for the bank. Pham Manh Thang, Deputy General Director of Vietcombank also said the bank's credit growth has improved significantly in the first months of this year. Loans to customers at Vietcombank in the first half of this year reached 524 trillion dong, up 14% year-on-year. Deposits of customers touched 649 trillion dong, up 10%. Thang said with the gradual warming of real estate market, Vietcombank focuses on strengthening the lending, mainly the housing segment for individual customers. However, as per the macro-economic report in May 2017 by the National Financial Su- pervisory Commission (NFSC), there still has real estate credit circumvention in banks. Specifically, consumer loans are estimated to hike 29.7% compared to the end of 2016. Of which, the lending for home repair and purchase surged 38.4% from the end of 2016, reckoning for as much as 52.8% of the total consumer loans (at the end of 2016, this figure was more than 49%). Generally, credit across the system in the first five months of the year improved 6.8%, compared to just 5.7% in the same period last year. Of which, credit structure changed towards reducing medium and long-term credit (to 54.6% compared to 55.1% at the end of 2016). Currently, consumer credit reckons for about 12% of the entire system's total outstanding loans. If consumer loans related to real estate are included, the proportion of real estate credit will jump to about 14%. The fact that credit still heavily bases on real estate in the context that business and production recovers slowly makes many experts to concern. As per Dr. Tran Du Lich, member of the Prime Minister's Advisory Group, the con- cerning thing is the capital investment in real estate may cause real estate credit "bub- ble". On the other hand, the fact that commercial banks lend to "backyard companies" also has many potential risks. However, as per the State Bank of Vietnam, to achieve the credit growth result of the entire banking industry at more than nine percent in the first six months of the year, the State Bank maintains the control of credit growth associated with credit quality. Especially, the State Bank directs credit organizations to continue shifting credit structure towards focusing capital on business and production, especially on priority sectors while limiting the concentration of credit on potentially risky areas having long capital recovery duration such as real estate investment projects; BOT, BT projects in transport sector. State Bank Governor Le Minh Hung affirms that the current credit structure mainly focuses on business and production sector. Evaluating this year's credit growth, economic expert Le Xuan Nghia said this year's

Intellasia 31 August 2017 3 / 48 Vietnam finance & business 31 August 2017

credit growth at more than 20% can be achievable. However, to raise capital absorp- tion of the economy and increase the competitiveness of businesses, the important thing is to lower interest rates.

Which banks benefit 31/AUG/2017 INTELLASIA| ZING.VN when the ratio of Hochiminh city Securities Company (HSC) has recently released a report on the im- short-term funds for pact of the proposal of the State Bank of Vietnam (SBV) on extending the implementa- long-term loans is not tion of regulation in Circular 36 about the maximum ratio of short-term funds used for yet tightened? medium and long-term lending. Specifically, the proposed time is 2019 instead of 2018. Banks will have one year to reduce this ratio from the ceiling level to 40% from the current level of 50%. According to HSC, this information is positive for banks in the context when the government has instructed SBV to raise the credit growth target in 2017 from 18% to 21%. So far, four banks are having the ratio of short-term funds for medium and long-term

FINANCE loans of above 40%, including Vietnam Prosperity Commercial Joint Stock Bank (VP- Bank), Vietnam Technological and Commercial Joint Stock Bank (Techcombank), Sai- gon Hanoi Commercial Joint Stock Bank (SHB), and Vietnam International Commercial Joint Stock Bank (VIB). HSC believed that these four banks are the ones that benefit from the extension of the time to lower this ratio to 40%. According to SBV’s Governor, the medium and long-term fund currently accounts for 13-15% of the total mobilisation fund for the economy, while medium and long-term loans account for up to 53-55% of the total lending. Since five out of 10 listed banks are having this ratio of over 40% in late June 2016 which leads to the risk of lower credit growth in the end of the year, the roadmap to implement Circular 36 should be extended in order to ensure the achievement of credit growth of 21%. SBV’s report shows that the ratio of short-term funds for medium and long-term lending in late May reached 33.35%, higher than the 30.86% in the first quarter of 2016, much lower than the new ceiling but it increased against the direction of the management agency. According to calculation of HSC, the average ratio of short-term funds for medium and long-term loans of state-owned banks including Commercial Joint Stock Bank for Agriculture and Rural Development (Agribank), Commercial Joint Stock Bank for In- vestment and Development of Vietnam (BIDV), Commercial Joint Stock Bank for For- eign Trade of Vietnam (Vietcombank), and Commercial Joint Stock Bank for Industry and Trade of Vietnam (VietinBank) is currently 37.16% (34.25% by the end of the first quarter of 2016). At joint stock banks, this ratio is currently 35.76% (35.65% by the end of the first quarter of 2016). Specifically, HSC estimated this ratio at VPBank, Techcombank, Export Import Com- mercial Joint Stock Bank (Eximbank), SHB, Lien Viet Post Commercial Joint Stock Bank (LienVietPostBank), and VIB is at high level, ranging from 45-50%. Meanwhile, Viet- combank maintains this ratio of about 30%, while VietinBank and BIDV control this ratio at respectively 35% and over 40%. To bring this ratio to the required level, banks have boosted lending in the first half of 2017. As of late June, among the group of listed banks, the proportion of short-term loans compared to the same period of 2016 increased by 27%, while the proportion of medium and long-term loans rose by 15.8%. The proportion of short-term loans in the total outstanding loans reached 51% in the second quarter of 2017, increased by nearly three basis points compared to the same period of last year. However, according to HSC, the mobilisation from customers is developing in the op- posite direction as short-term deposits grew by 19.2% while medium and long-term deposits fell by 0.7% compared to the same period of 2016. If including the mobilisation of valuable papers, short-term mobilisation increased by 20% while medium and long-term mobilisation only increased by 10.8%. That pulled down the ratio of medium and long-term mobilisation to 14.5% in the end of the second quarter of 2017, from 15.5% in the same period of 2016.

Intellasia 31 August 2017 4 / 48 Vietnam finance & business 31 August 2017

In HSC’s point of view, the pressure to mobilise medium and long-term funds has caused mobilisation costs to rise by about 0.3% compared to the same period of 2016. Accordingly, the extension of the application of Circular 36 will reduce pressure on the medium and long-term mobilisation and avoid pushing up mobilisation costs. This is an important factor for commercial banks to promote lending in the second half of 2017 in order to complete the goal of 21% credit growth. Since the credit growth from the beginning of the year only reached 9.3%, the room to grow credit in the second half of the year will be very large. As assessed by HSC, raising the credit growth target to 20% for listed banks will significantly affect the 2017 profit of banks. Accordingly, seven listed banks in HSC’s list recorded pre-tax profit growth of 22.7% in the first half of the year compared to the same period of 2016, estimated at 18 trillion dong. HSC also forecasted that banks would attain a total pre-tax profit of 36.2 trillion dong in 2017, up by 18% and average credit growth of 17.2%. If the credit develops as expected at 20%, banks’ profit will be higher. FINANCE

FE credit launches Fast 31/AUG/2017 INTELLASIA| VNS Cash, Simply Text – VPBank Finance Company Ltd (FE CREDIT) launched an exclusive feature, Fast Cash, Get Cash Simply Text – Get Cash last week to provide first-time credit-card users with unprec- edented convenience. Fast Cash allows customers to gain access to cash from their credit card limit by simply sending an SMS from their mobile phone and getting a unique code, which can be presented at designed distribution points of Vietnam Post and Sacombank branches for cash withdrawal. The customers do not need to pay a withdrawal fee. Kalidas Ghose, CEO of FE CREDIT, said: “As a market leader, we believe in creating unique Fast and Easy experiences for our customers. Fast Cash, Simply Text – Get Cash is a pioneering initiative which will provide a tangible benefit to our valued card- holders.” A pioneer in Consumer Finance, FE CREDIT, has established a solid foundation to become the market leader of the unsecured consumer loans market. FE CREDIT currently provides consumer lending services such as personal loans, two- wheeler loans, consumer durable loans and credit cards. FE CREDIT serves more than six million customers and cooperates with 5,500 partners at 9,000 Points of Sale (POS) nationwide. http://bizhub.vn/banking/fe-credit-launches-fast-cash-simply-text-get- cash_288580.html

BC Card Signs MOU 31/AUG/2017 INTELLASIA| HUFFINGTON POST with Vietnam's BC Card announced Wednesday that it has signed a memorandum of understanding NAPAS (MOU) on payment business with Vietnam’s National Payment Corporation of Viet- nam (NAPAS). The MOU signing ceremony was held Wednesday at the NAPAS headquarters in Ha- noi, Vietnam, with BC Card President Chae Jong-jin, NAPAS chairman Nguyen Tu Anh, NAPAS president Le Quoc Hung, and BC Card Global Head Lim Nam-hoon in attendance. With the latest MOU, BC Card will cooperate with the Vietnamese payment service provider for the development of a cashless economy, which is the project of the State Bank of Vietnam (SBV), and to transfer money between Korea and Vietnam. “The partnership with NAPAS, the leading infrastructure company in Vietnam that will boost economic growth of ASEAN countries, is very significant. We will contribute to the development of the Vietnamese card market based on our various payment solutions and platform operating know-how,” said Chae. Established in 2015, NAPAS is the payment service provider licensed by the State Bank of Vietnam. It provides financial payment services to 43 banks in Vietnam and 100 million customers through 2.2 million franchises, 270,000 POS and 17,000 ATMs.

Intellasia 31 August 2017 5 / 48 Vietnam finance & business 31 August 2017

Currently, more than 80% of consumers in Vietnam are using debit cards issued by local banks. The SBV and NAPAS are seeking ways to reduce the number of cash payments to account for less than 10% of total market transactions by 2020. http://www.huffingtonpost.com/entry/bc-card-signs-mou-with-vietnams- napas_us_59a69e92e4b0d81379a81c55

Growing interest in 31/AUG/2017 INTELLASIA| VIR transaction banking Pivoting its focus onto wholesale banking, ANZ Vietnam has been investing its resources in transaction banking, putting the bank one step ahead of its competition in the field. Aseem Goyal, Head of Transaction Banking ANZ Vietnam and Greater Me- kong Region, gives VIR’s Trang Nguyen more insights into the business. Is transaction banking a key business for ANZ? It has been a critical component of our institutional banking strategy for many years, and fits extremely well with the bank’s overall strategy of facilitating trade and capital

FINANCE flows throughout the region. ANZ has made, and continues to make, significant investments in the business. In order to appreciate why ANZ and other banks are fo- cused on transaction banking, it is important to understand what value transaction banking brings for our customers. As we all know, institutional clients buy and sell goods and services as their core business. Transaction banking, which consists of Trade Finance and Cash Management products, firstly facilitates these activities for the clients through payments and trade finance, whether the customer business is local or cross-border. Second, it helps customers to better manage their liquidity so that they can have access to funds to pay for these goods or alternatively, invest their surplus cash. Third, it helps customers make their Treasury and Finance operations more efficient through automation, outsourcing of non-core activities, and access to information. In other words, transaction banking supports and facilitates the core day-to-day activities for our institutional customers. This link to the customers’ core business can provide banks with a relatively stable business and revenue. Having said that, not all bank propositions are similar. There is plenty of room for differentiation. While the products across all banks can be similar, or become similar over time, the differentiation is primarily on how well a bank can understand their clients’ business and propose and deliver a solution to meet their objectives. Finally, transaction banking requires significant initial and continuing investment in capability build, technology, and delivery. It uses less capital than a normal lending business but requires scale to achieve the desired profitability. These are some of the considerations banks have to think about before they enter the business in any specific market. How does ANZ measure up in this business? ANZ is a leading player in transaction banking in Vietnam, has full capabilities to meet the requirements of its target client base, and continues to invest in the business in line with the overall focus on our institutional clients. In addition, we have been leading the market with certain initiatives which have been recognised in the marketplace through various industry awards. I would like to give one example. We recently won the Global Finance Innovation award for a receivable management solution we implemented for one of our insurance clients. This solution combined our standard bank products as well as unique technology from our home market to automate the reconciliation of client receivables. Now, this product might be available at other banks as well, but the key to success was our ability to understand how our client organises operations in terms of various business lines, how their customers pay, through what channels, how our customers reconcile, and what their challenges are. Through this detailed and thorough understanding of our client, we were able to propose an overall solution and prove to them that they can streamline and automate their existing manual processes, reduce errors, and make the process scalable. These deliv- erables were directly linked to the customer’s overall objectives of growth and profitability.

Intellasia 31 August 2017 6 / 48 Vietnam finance & business 31 August 2017

As more banks are now realising the value of transaction banking activities and thus shifting their resources to leverage this banking business, is competition heating up? Are there any rivals in the local market that ANZ ought to watch out for? What helps ANZ stay ahead of the game? The competition is definitely heating up and the Vietnamese market is following the same trends as we have seen in other Asian markets. If you go back, let’s say 2-3 years, a handful of foreign banks were the main players in transaction banking. These were banks who had invested in local product capability, in technology, in having the right expertise to support client discussions, and organised themselves internally in rela- tionship, product specialist, and client service teams. Thereafter, a few Asian banks who were in the business in their home markets started to expand into this area and targeted customers from their home country as initial targets. However, lately the most serious competitive threat is coming from local banks, who have always had the technology and certain advantages, such as extensive branch networks and local market knowledge, but did not have the internal focus or expertise in FINANCE this business. As I mentioned, this has started to change and these banks are now coming up with strategic plans to build the business, make internal organisational changes, and most importantly, taking talent and experience from foreign banks. We can expect the competition to continue to intensify. But transaction banking will be an area where foreign banks such as ANZ will continue to play in and do well. There are a few reasons for this. Firstly, the market for transaction banking should continue to grow in line with the growth of trade and investment flows throughout our region and as local corporates focus on automation and efficiency issues, the potential business opportunity will grow. Secondly, banks such as ANZ have built some inherent advantages in terms of experience and expertise over the years which cannot be replicated or changed overnight. Finally, foreign banks can support FDI clients through multi-country solutions by virtue of their presence in multiple markets, not just through single country solutions. This is an important consideration for MNCs and local corporates as they invest overseas, who expect as much consistency as possible in solutions and pricing across various markets. How does ANZ’s transaction banking fit into the Vietnamese and the ASEAN economic landscapes? How has the ASEAN and the formation of AEC at the end of 2015 helped ANZ foster the transaction banking business across the area? As I indicated earlier, ANZ is a leading player in the local market and our transaction banking business continues to grow. Our products and technology are global, which we offer in every market we operate in, but we have combined these capabilities with our understanding of the local market requirements and with our local knowledge and expertise to create an attractive client value proposition. Let me give you one example. As you probably know, simplification of how corporates pay for taxes has been a major objective of the government as it seeks to make it easier to do business in Vietnam. Three years ago, we were the first foreign bank to establish a direct link with the Cus- toms Department which helped us automatize and simplify the process of how customers pay customs duty and get their goods released. Last year, we were again one of the few foreign banks to extend this capability to other forms of taxes corporates have to pay, thereby further streamlining their internal processes. Earlier, I gave the example of our receivable reconciliation solution which has been recognised through an industry innovation award. As you can see, in both cases, our technology and products are global, but the difference has been our understanding of the local market and customer requirements. The formation of AEC and other similar economic initiatives should help ensure that the Greater Mekong region continues to be an attractive place for investment. As institutional customers increase their focus on the region, and more Vietnamese corporates start investing in new frontier markets, such as Myanmar, our focus in transaction banking has changed to multi-country solutions. In other words, targeting customers across all five markets, as opposed to doing it country by country. This means internal organisational changes in how we organise ourselves and how we focus more broadly

Intellasia 31 August 2017 7 / 48 Vietnam finance & business 31 August 2017

and also provided growth and development opportunities for our teams as they get involved in multiple markets. Corporate customers also prefer this broader focus and consistency since in many cases they are using similar systems and also have their senior management covering multiple markets across the region. Therefore, we are responding to the market changes and taking steps to stay ahead of the increasing competition. http://www.vir.com.vn/growing-interest-in-transaction-banking.html

Minister optimistic 31/AUG/2017 INTELLASIA| VNA about achieving Minister and Chairman of the Government Office Mai Tien Dung said the economic economic growth performance in the January-August period is very positive, raising hope about achiev- target ing the target of 6.7 percent economic growth this year. During a press conference following the monthly Government’s meeting in Hanoi on August 30, Dung said the government and the Prime Minister have drastically direct-

FINANCE ed ministries and agencies concerned to remove difficulties for enterprises. The Gov- ernment held a specialized meeting on law building, with cutting unnecessary business procedures high on the agenda. The ministries of finance and transport were assigned to review legal regulations on BOT tolls and cut specialised inspection fees for exports-imports. Currently 35 percent of exports and imports are subject to such inspection, he said, adding that the government has required cutting the rate to 15 percent. Dung added that ministries, agencies and localities should study proposals raised by the Ministry of Planning and Investment (MoPI) and the Vietnam Chamber of Com- merce and Industry on cutting and amending nearly 2,000 business conditions. In order to achieve a 6.7 percent growth, Dung said the agricultural sector should expand by 3.05 percent. He noted that agro-forestry-fisheries exporters could bring home 35 billion USD compared to the planned 33 billion USD thanks to favourable weather conditions. In industry, electricity production and manufacturing and processing have been per- forming well. Moreover, disbursement for projects has been sped up while interest rates dropped by 0.5 percent and credit growth hit 21-22 percent. According to the MoPI, as of August 21, credit increased by 10.06 percent from Decem- ber 2016. Inter-bank interest rates are on a declining trend, the foreign exchange market has stabilised and liquidity has improved. http://en.vietnamplus.vn/minister-optimistic-about-achieving-economic-growth-target/117177.vnp

Set targets might be 31/AUG/2017 INTELLASIA| VNA unachievable without If development tasks are not implemented in a drastic manner in September and the drastic efforts: PM fourth quarter of 2017, they might not be achieved, Prime Minister Nguyen Xuan Phuc said at the Government’s August regular meeting on August 30. Cabinet members discussed solutions to fulfil socio-economic targets for this year and gave opinions on the implementation of the State budget plan for 2017 and estimates for 2018, the allocation of the central budget in 2018, and other hot issues emerging in August. Concluding the meeting, PM Phuc applauded tireless efforts by ministries, sectors, localities, organisations, individuals and businesses in carrying out 13 socio-economic targets set for this year, with eight of them expected to surpass the plans. The Cabinet chief ordered them not to be subjective while continuing to review each target and exert all-out efforts to realise the targets. He requested the Ministry of Finance to review budget collection and expenditure targets to ensure national financial security and major financial balances. He urged actions to prevent tax fraud, debt and over-collection and to promote tax revenues. It is also necessary to strongly reform the budget, increase expenditure on development investment and debt repayment, and sharply decrease frequent spending, the Government leader said.

Intellasia 31 August 2017 8 / 48 Vietnam finance & business 31 August 2017

To facilitate the capital flow for production and business activities, the PM asked the State Bank of Vietnam to cut down lending interest rates by another 0.5 percent since this is an important solution to stimulate the economy. It has to take necessary measures to support businesses while ensuring a credit growth rate of at least 21 percent and strictly dealing with credit-related violations. Regarding the acceleration of investment and ODA capital disbursement for infrastructure construction, he instructed the Ministry of Planning and Investment to promptly allocate capital under the Government’s resolution while inspecting units which directly use public investment capital. In the short term, the increase of taxes, fees and charges needs to be postponed to avoid impacts on enterprises and the business environment, he noted. At the meeting, PM Phuc asked the agricultural sector to attain the planned growth rate of 3.05 percent and farm produce export turnover of 35 billion USD, which will set a new record. He also ordered examination of big industrial provinces to remove difficulties and accelerate industrial projects. FINANCE If the industrial, agricultural and services sectors fail to realise their targets for only one month, it will be hard to achieve the targeted growth rate of 6.7 percent for 2017, the PM said, stressing that the tourism industry must strive to serve 15-17 million tourists this year.

Cutting regular 31/AUG/2017 INTELLASIA| VIETNAMNET spending, not raising While the Ministry of Finance (MOF) is seeking approval for tax hikes to increase the taxes, will reduce state budget revenue, economists point out that only reasonable government spending public debt will help ease the budget deficit. MOF plans to raise the VAT (valued added tax) rate from 10 percent to 12 percent, impose luxury tax on soft drinks, and increase personal income tax on Vietlott lottery winners. MOF said that EU countries impose a VAT rate of 19 percent, and OECD countries 18 percent. The ministry believes that it is necessary to increase the tax rate to come in line with international practice. Similarly, when attempting to tax 30 percent on lottery winners, MOF explained that the 10 percent tax rate in Vietnam is low compared with the tax that lottery jackpot winners in the US have to pay. MOF said that Laos, Cambodia, France, the Netherlands and Hungary all impose taxes on soft drinks. Some months ago, the ministry proposed raising the environmental protection tax to VND8,000 per liter, saying that the tax is even lower than the tax in South Korea and Cambodia, while the petrol price in Vietnam is lower than the price in Singapore, Hong Kong and Laos. However, analysts said that it is necessary to have a comprehensive view on taxes, and review income per capita and social conditions in Vietnam, rather than just look at tax rates. Dinh Tuan Minh, a renowned economist, said when planning any tax hike, policymak- ers need to find out how the changes would affect people and society. “MOF needs to show the possible positive and negative impact of the moves. For example, what will happen if the VAT rate is raised to 12 percent,” he said. However, when asked how the VAT increase affects revenue of the state budget, a representative of the Tax Policy Department said the department will only make calcula- tions if the tax amendment plan is put on the National Assembly’s working agenda. HCM City Securities Company estimates that if the VAT rate is raised to 12 percent, the state budget would collect VND59 trillion more and revenue from VAT collection would account for 33 percent of total revenue. Economists emphasized that what Vietnam needs to pay attention now is the public spending. Minh commented that the government seems to be meeting difficulties in cutting regular expenditures.

Intellasia 31 August 2017 9 / 48 Vietnam finance & business 31 August 2017

Standing witness to 31/AUG/2017 INTELLASIA| VIR Vietnam’s rise On the occasion of Vietnam’s National Day on September 2, VIR gets an insight into foreign CEOs’ thoughts and feeling about the country’s vitality and development, and why Vietnam has become their home away from home. Ronan Le Bihan CEO at Mango Bay Resort, Phu Quoc In 2002, I was offered a position for the setup of “Le Domaine de Tam Hai”, a beach resort in Chu Lai Open Economic Zone, Quang Nam. At that time, the only knowledge I, and many people in my country had, was that Vi- etnam was one of the fastest-growing economies in Southeast Asia. But obviously it was still early days and development was far from where we are now. With experience in Quang Nam province and Phu Quoc island, I’ve seen two of the top tourism destinations become what they are. Both went from small village spirit to international tourism destination. The work done in Hoi An/Danang is most impressive. Not only did we see develop-

FINANCE ment in terms of hotels and resorts, but also in infrastructure: roads, airports, schools… everything has been done to make tourists welcome and development possible. I’ve made Phu Quoc my home for 11 years, and left it only three months ago. I’ve seen many things happen there. Of course, I’ll always miss the feeling I had the first time I came to Phu Quoc: red dirt roads, empty beaches, forest drives… but I spent enough time there to appreciate the way the development of infrastructure improved local life, with roads, electricity, and hospitals. I personally left Phu Quoc because I couldn’t get a proper school for my young kids. So I hope infrastructure development will continue, not only real estate development. My only worry when I see so much happening is that the offerings won’t match needs as fast as people are expecting. Finally, I would like to thank Vietnam for allowing me to be part of that great adven- ture. Aik Meng Eng Chairman of Vietnam Integrated Medical Services Vietnam has the sort of beauty and timeless charm you can’t find anywhere else in the world, but it is accompanied by a dizzying level of energy, passion, and hope. I have seen the fascinating transformation of Vietnam in the last 15 years, and the hopes and dreams of its people being realised every day. In the early days roads were clogged with cyclos and bikes, but now they are even more crowded with cars and trucks! Nevertheless, the spirit of the Vietnamese people still remains strong. Personally, there is nothing more enjoyable than enjoying a bowl of pho with thick Vi- etnamese coffee on a sidewalk while watching the buzz of the country go by. It’s still one of my favourite things to do here. Once you have eaten the local street food here, it’s almost impossible to compare it with food anywhere else on the planet. The Vietnamese people have always believed in getting better and doing more, they are hardworking yet gracious. They look to the future but have never forgotten their wonderful culture and traditions. This is a pool of talent and consumers that is hard to find anywhere else in the world! Professionally, I have seen investors flock to this country and can only imagine more coming. Vietnam offers many business and investment opportunities, but the consumers are now getting more sophisticated and demanding so it will be wise for foreign businessmen to understand the Vietnamese nuances well. As consumers, the Vietnam- ese are also now much more global and plugged into the latest trends, willing to spend more. One thing that really amazes me about Vietnam is the close relationships people have with their families and friends. This is something that gets lost in many other countries as they progress, and I hope that Vietnam does not lose this. We opened our Singapore Vietnam Cancer Center in May this year to offer the Viet- namese an option to receive testing, diagnosis, and treatment at an international cancer facility that will have both Vietnamese and Singaporean doctors working together.

Intellasia 31 August 2017 10 / 48 Vietnam finance & business 31 August 2017

This will allow patients to receive treatment partly in Vietnam and Singapore, or if they choose, entirely in Vietnam so they can be close to their families. We know that this is an important consideration to Vietnamese patients and their families. Alexander Bischoff CEO of DIGI-TEXX Vietnam Vietnam’s development is amazing. I like to take pictures and if you compare those taken during the last five years, you can see a lot of construction going on in Ho Chi Minh City, Hanoi, and Danang. I hope the infrastructure can keep up with the growing traffic, especially in the downtown areas. Today most young Vietnamese can read, write, and speak decent English, and this opens many opportunities to connect to the outside world. In the area of education, the English language opens up doors to the latest research and will help the development of Vietnam excel. The founders of DIGI-TEXX made the right decision to set up the company in Vietnam. We were among the first business process outsourcing firms in the country, arriving several years before others showed up. If you are the first, you always have some advantages. One of which was that many Vietnamese studied in Germany and spoke the FINANCE language. This helped to build immediate trust with our customers. It also made communication much easier. Throughout the years we have received a lot of support from Quang Trung Software City and from the local government. We were able to find loyal employees who were willing to contribute their ideas, time, and effort to build our company. I have called Vietnam home for many years now. This is where I have put the centre of my life. When I am away for more than two weeks I miss Ho Chi Minh City and when I arrive at Tan Son Nhat airport, I am still excited to be home. Of course I am still very interested in what happens back in Germany, and I follow the news regularly. With the availability of communication systems, I can keep in close contact with my family and friends in Europe. It feels as if over the years Vietnam and Germany have come closer and the time difference become less important. Only when you hop on a plane and fly between the continents does the distance become apparent. Mikio Masawaki General Director of Sapporo Vietnam Limited I first came to Ho Chi Minh City in 2009 and lived there from 2014 until now. I felt so excited about the city, in the medley of sound and colour. The life is full of energy and vivid, which is quite different from the clean and quiet city life in Japan. I was really amazed at the drinking culture in Vietnam, as everyone, from the youth to the elderly, love drinking beer. People prefer to hang out and enjoy glasses of beer in a happy atmosphere. This culture has made Vietnam the key investment destination for Sapporo. Vietnam is likely to surpass Japan to become Asia’s second largest beer market in the next 10 years. Vietnam has a fast growing economy so people’s lives are better with rising incomes and consumer expeditures. As a result, the demand for quality and safe products has been increasing sharply, which offers tremendous opportunties for Sap- poro. I grew up in rural areas in Japan with a lot of paddy fields and mountains. During my stay in Vietnam, I have had a chance to visit the outskirts of the city and different towns in the country. The atmosphere and scenery here are similar to my hometown, which makes me feel like I’m at home. In addition, Vietnamese cuisine is diverse, abundant, and attractive. My favorite dishes are traditional specitilies like pho and other noodles from different regions in Vietnam. I have been attracted to the country’s culinary scene for a long time, which makes my living experiences in the country become more exciting. Vietnam is dynamic, with plenty of room for development. For its long-term investment future in the country, Sapporo Vietnam has the following mission: “contribute to enrich Vietnamese cuisine culture”. We are trying our best to build a foundation and accelerating our efforts to fulfil that mission. Murat Utemissov CEO of Kusto Home I still remember my first visit to Vietnam was in 1998. Later on, we started to recognise potentially strong future demand for high-end property due to growing consumption and a developing economy.

Intellasia 31 August 2017 11 / 48 Vietnam finance & business 31 August 2017

I spent two years with my family in Ho Chi Minh City, which helped me to better understand the local culture and specifics on doing business. In fact, we can list many factors that make Vietnam a precious gem – a very young population, a stable political environment, strong FDI – and as a result, we can see a very fast growing middle and upper class. District 2 in Ho Chi Minh City is a good example. It used to be a quiet and empty area some time ago, but now, one would be surprised by its fast development of residential and commercial buildings introduced by famous international investors. Our company, Kusto Home, is proud to be among other big foreign developers contributing to the development of the area. We are dedicated to delivering high quality, international standard products to provide buyers with a better living experience. The big focus at Diamond Island is on creating a favourable environment, introducing amenities for all generations. Kids can have their own paradise for playing and learn- ing, the parents can take care of their health by swimming or doing sport activities, the elderly can enjoy relaxing at the Zen Garden, and the whole family can get together for FINANCE a nice BBQ. Based on the strong success of Diamond Island, I am optimistic about the long-term business environment in Vietnam. Our company is now working on new investment projects in this rapidly developing and beautiful country. Kent Wong Partner and Head of Banking and Capital Markets at VCI Legal In 2012, I relocated to Ho Chi Minh City, in part, to try and do my small bit in taking Vietnam to the next level globally. Vietnam has emerged as one of Asia’s great success stories. In a nation once ravaged by war, the economy has continually posted annual per capita growth of at least 5.3 percent since 1986 – greater than any other Asian economy apart from China. Vietnam has benefited from a programme of internal restructuring, a transition from an agricultural base toward manufacturing and services, and demographic positives powered by a young population. The image of the country’s youth riding carefree on modern, sporty motorbikes under the big, bright lights of skyscrapers epitomises Vietnam’s new environment. I settled down here and made Vietnam my ‘second home’ almost five years ago. I had fallen in love with Vietnam after a sightseeing trip to Halong Bay in 2009, and also because of the wealth of commercial and lifestyle opportunities – so many beaches! – the diverse natural countryside, and its welcoming and hospitable people. I believe that Vietnam can act decisively to head off short-term risks and embrace a productivity-led agenda to make the country internationally competitive. If Vietnam does so, it can build on its many intrinsic strengths – a young labour force, abundant natural resources, and political stability, to name but a few – to create a second wave of growth and prosperity. Strategically positioned in the centre of Asia, Vietnam’s economy will consistently rank as one of Asia’s most attractive destinations for foreign investors. Undoubtedly there will be challenges, but I believe that with the resilience and diligence of the Viet- namese people, they can be overcome. My warmest congratulations and best wishes for a happy celebration to the people of Vietnam on Vietnam National Day 2017! Soon Su Long Indochina CEO and Vietnam country head at Maybank I've been living in Vietnam since 2012. The five years I’ve been here have perhaps been some of the most eventful in my life. Even though this isn’t the first foreign country I’ve lived and worked in, it’s by far the most dynamic and unpredictable. Up to then I’d lived and worked in more economi- cally-developed countries like the UK, Malaysia, and Singapore. Vietnam from both an economic and social perspective is a younger and faster-evolving environment than those other countries. It has been transitioning from an agricultural economy to one based on manufacturing, and opening up its economy more and more along the way… which comes with its attendant conflicts in terms of balancing the interests of the government against the private sector, and balancing local and foreign interests. Socially,

Intellasia 31 August 2017 12 / 48 Vietnam finance & business 31 August 2017

as Vietnam becomes more exposed and integrated internationally, it’s interesting to see the differences in thinking between the older and younger population, as well as between those who are exposed to foreign culture and those who aren’t. Overall, why I find my time in Vietnam exciting is because I see myself here as both a player as well as a witness to a country in rapid change. And let’s not forget one thing. How a foreigner views a country is primarily dictated by the character of its people. On that score, I’ve been most impressed by the general friendliness, sense of curiosity, and down-to-earth nature of the Vietnamese. That’ll be the key reason why Vietnam will continue to attract foreigners to come and contribute to its growth story. http://www.vir.com.vn/standing-witness-to-vietnams-rise.html

IIP up 6.7 per cent in 31/AUG/2017 INTELLASIA| VNS eight months The national index for industrial production (IIP) increased 6.7 per cent year-on-year in the first eight months of this year, the General Statistics Office (GSO) reported.

FINANCE The metric was lower than the growth of 7.2 per cent recorded in the first eight months of 2016, and 9.9 per cent recorded in the same period of 2015, GSO said. The low growth rate was due to the reduction of 6.9 per cent in production in the mining industry, one of key industrial production sectors. Other industrial products with drops in production included crude oil (10.8 per cent), natural gas (9.2 per cent) and liquid petroleum gas – LPG (13.4 per cent), automobiles (4.5 per cent) and mobile phones (0.8 per cent) The processing and manufacturing industry, which accounted for over 70 per cent of total industrial output, saw a yearly IIP rise of 10.8 per cent. Many industries also enjoyed a surge in IIP, such as electric production and distribution (8.6 per cent), water supply and waste treatment (7.4 per cent), metal production (21.2 per cent), electronics, computer and optical products (17.8 per cent), rubber and plastic products (10.4 per cent), paper production (10.1 per cent) and weaving (10 per cent). Among key industrial products that posted high IIP increases in eight months were television sets (34.4 per cent), raw steel and iron (23.9 per cent), urea (17.3 per cent), fabric (17.7 per cent) and processed seafood (9.4 per cent). According to the GSO, the consumption index of the processing and manufacturing industry rose 9.5 per cent year-on-year, higher than the growth of 8.1 per cent year-on- year in the first eight months of 2016, contributing to the growth of production in this industry. GSO said that to continue growth in industrial production in the future, the industrial sector should increase the index of consuming products to reduce inventory because the inventory index of the sector in the first eight months witnessed a year-on-year surge of 9.8 per cent, higher than the 8.9 per cent year-on-year growth in the first eight months of 2016. http://bizhub.vn/news/iip-up-67-per-cent-in-eight-months_288586.html

August CPI edges up 31/AUG/2017 INTELLASIA| THE SAIGON TIMES on food, fuel price The consumer price index (CPI) has picked up 0.92% this month against July as food hikes and fuel products in the basket of commodities used for CPI calculation have marked up. Data of the General Statistics Office shows food prices have risen by a sharp 1.64% against July. Of which, the prices of livestock and poultry meat have edged up again after staying low for a long time due to their substantial oversupply. Besides, rain and flood have had adverse effects on vegetable farming, resulting in their prices increasing. The price of food and catering services, which are the most-weighted group in the basket of commodities for CPI calculation, has picked up 1.06% month-on-month. Notably, the traffic group has significantly risen by 2.13% over the previous month, as a result of fuel price hikes on August 4 and 19. Some other commodity groups with marked price hikes include medicines and health-

Intellasia 31 August 2017 13 / 48 Vietnam finance & business 31 August 2017

care services rising by 2.86%, education by 0.57%, and housing and construction materials by 0.93%. The remaining groups, namely beverage and cigarettes; apparel, footwear and hats; culture, entertainment and tourism; as well as other goods and services have seen their prices increasing by less than 0.1%. On the contrary, the group of postal services and telecommunications has seen prices falling 0.04%. Overall, this month’s CPI has inched up 1.23% over December last year and 3.35% year-on-year. The index in the year to date has expanded 3.84% compared to the same period last year. Core inflation based on the CPI excluding food and foodstuff, energy and commodities under State management including healthcare and education services has grown by a mere 0.1% this month against July and 1.31% year-on-year. Core inflation in the eight-month period has gone up 1.47% over the same period last year. FINANCE The CPI in cities has been outgrown by that in rural areas, with respective rises of 0.82% and 1.01%. Many localities have seen their CPI higher than the country’s average, with Hanoi re- porting a pickup of 1.34%, Khanh Hoa (1.04%), Vinh Long (1.28%) and Can Tho (1.64%). Meanwhile, HCMC has seen CPI increasing by a mere 0.5%, the lowest compared to other localities where prices of many goods have stayed unchanged. http://english.thesaigontimes.vn/55879/August-CPI-edges-up-on-food-fuel-price- hikes.html

Strong exports in Jul- 31/AUG/2017 INTELLASIA| THE SAIGON TIMES Aug help narrow trade Export earnings in the past two months have outpaced import spending, helping nar- deficit row the trade deficit in the year to date, according to data from the General Statistics Office. Vietnam posted a trade surplus of US$266 million in July and US$400 million in Au- gust after incurring a huge trade deficit in the first half, according to GSO data. This helps push down the trade deficit in January-August to US$2.13 billion, accounting for 1.6% of the country’s total export revenue. In particular, the country’s August exports have generated about US$18.2 billion, a 3% rise against a month ago, while import spending in August is estimated at US$17.8 billion, increasing 2.3% compared to July, resulting in a surplus of US$400 million. To- gether with a trade surplus of US$266 million achieved in July, Vietnam has posted a total trade surplus of US$666 million in the past two months. Data of the General Statistics Office showed that in the year to date, Vietnam’s total export revenue has reached US$133.5 billion, up 17.9% year-on-year. Meanwhile, total import spending in January-August has increased 22.3% year-on-year to US$135.63 billion, leading to a trade gap of US$2.13 billion. The foreign investment sector fared much better than the domestic sector in trade in the January-August period. Specifically, domestic enterprises have obtained only US$37.83 billion in export revenue in the first eight months, but spent US$54.24 billion on imports, causing a trade deficit of a whopping US$16.41 billion. Meanwhile, foreign-invested enterprises have made US$95.67 billion in export revenue but spent US$81.39 on imports, bringing a trade surplus of US$14.28 billion. The U.S. has remained the key market for Vietnamese exporters. In the year to date, the country has shipped US$27.2 billion worth of goods stateside, up 9.7% year-on- year, US$24.7 billion to the EU, up 12.7%, US$18.3 billion to China, up 41.8%, US$14.1 billion to ASEAN countries, up 26.6%, US$10.9 billion to Japan, up 16.1%, and US$9 billion to South Korea, up 24%. Vietnam has this year imported the most from China, with US$36.4 billion worth of goods, up 14.7% over the same period last year. In addition, the country has imported

Intellasia 31 August 2017 14 / 48 Vietnam finance & business 31 August 2017

US$30.2 billion worth of goods from South Korea, up 47.5% year-on-year, US$18.1 billion from ASEAN countries, up 17.8%, US$10.5 billion from Japan, up 8.9%, US$7.9 billion from the EU, up 12.5%, and US$6.2 billion from the U.S., up 17.5%. According to the General Statistics Office, the trade surplus in August is helped by higher export sales of some items. In particular, exports of machines, equipment, tools and other accessories, footwear, computers and electronic products, and phones and phone parts have grown 26.9%, 18.4%, 16.4% and 14.9% against July respectively. In the first eight months, exports of phones and phone parts have amounted to US$26 billion, up 14.8% year-on-year. Other commodities whose exports have edged up include textiles and garments with US$17 billion, up 7.2%, computers and electronic products with US$15.7 billion, up 39.3%, and footwear with US$9.6 billion, up 30.1%. On the other hand, imports of machines, equipment, tools and other accessories have shot up 33.5% year-on-year to US$24.1 billion. Imports of computers and electronic products, and phones and phone parts have surged 24.8% and 33.3% to US$22.1 billion and US$8.7 billion respectively. FINANCE http://english.thesaigontimes.vn/55875/Strong-exports-in-Jul-Aug-help-narrow- trade-deficit.html

Asia seen as key buyer 31/AUG/2017 INTELLASIA| THE SAIGON TIMES of Vietnam shrimp Asia has been forecast to become the key market for Vietnam’s shrimp products due to increasing demand for frozen seafood, while the European Union (EU) and the U.S. may be good markets for other products of high added value like organic shrimp in the future. At a seminar on Vietnam’s ability to meet global shrimp demand held by the Vietnam Association of Seafood Exporters and Producers (VASEP) on August 29, Pham Anh Tuan, former deputy general director of the Directorate of Fisheries, said China has set an ambitious target to become the largest seafood trading center in the world. There- fore, boosting shrimp export to China is an important target. According to VASEP, in the first half of the year, Vietnam fetched nearly US$283 million from shrimp shipments to China, up 30% year-on-year. In the coming time, the neighboring country will continue importing shrimp products from Vietnam thanks to close proximity which helps reduce transport costs and make selling prices more competitive than other markets in the region and the Americas. In addition, China and other Asian countries such as South Korea and Japan have increasing demands for seafood. The EU and the U.S. are still large markets for Vietnamese shrimp products but these markets tend to prefer organic products of higher added value. In the past three years, more organic products have been sold at supermarkets in EU countries. Vietnamese firms should focus more on exporting products that are of high quality and meet safety and hygiene standards to choosy markets rather than turning to costlier organic products, Tuan added. http://english.thesaigontimes.vn/55886/Asia-seen-as-key-buyer-of-Vietnam- shrimp.html

Large-scale 31/AUG/2017 INTELLASIA| VIR investments promise Many large-scale investment projects and cooperation agreements have been signed FDI breakthrough for the near future, promising a breakthrough in foreign direct investment (FDI) attraction in Vietnam. Just in the last 10 days, numerous investment cooperation agreements have been signed within the framework of Party General Secretary Nguyen Phu Trong’s visit to Indonesia and Myanmar and Prime Minister Nguyen Xuan Phuc’s visit to Thailand. One of these is the agreement between PT Intra Asia (Indonesia) and Hong Phat Coal and Resources to build a port for coal import in Vietnam. The project is expected to have up to $1 billion investment and capacity of 15 – 20 million tonnes per year, helping cut the cost of transporting imported coal from Indonesia. “The construction of the port will help the sustainable development of exporting coal

Intellasia 31 August 2017 15 / 48 Vietnam finance & business 31 August 2017

from Indonesia to Vietnam and secure the input for thermal electricity plant”, said Lut- fi Ismail, chairman of PT Intra. Another agreement was signed between Thailand’s Superblock PCL and a Vietnamese partner to develop renewable energy in Vietnam. Superblock PCL, one of the largest renewable energy producer in Southeast Asia, plans to invest up to THB20 billion ($602 million) each year to expand production inside and outside the country to meet the increasing demand for clean energy. In the next 3-4 years, Superblock PCL will increase their capacity to around 2,000 meg- awatts, 700MW of which will be contributed by wind power projects in Vietnam. Su- perblock PCL has not ruled out the possibility of investing in solar power, either. Other notable agreements signed during the PM’s visit to Thailand include a legal agreement to implement Quang Tri buil-operate-transfer (BOT) thermal power project between Vietnam’s General Department of Energy under the Ministry of Industry and Trade and Thailand’s EGAT International Co., Ltd. (EGATi), a memorandum between Vietnam Oil and Gas Group (PetroVietnam) and SCG (Thailand) Co., Ltd. on promot- FINANCE ing the Long Son petrochemical complex in the southern province of Ba Ria-Vung Tau, and cooperation in research and development of other petrochemical projects in Viet- nam. Additionally, there were also memorandums signed between SCG and PetroViet- nam's subsidiaries such as Binh Son Refining and Petrochemical Co., Ltd., PetroViet- nam Ca Mau Fertilizer JSC, PetroVietnam Fertilizer and Chemicals Corporation. Of the abovementioned projects, at least two carry a billion-dollar price tag. The Quang Tri BOT thermal power project is expected to start construction in mid-2019 with $2.2 billion capital. The Long Son petrochemical complex project has $5.4 billion investment capital, with 71 per cent contributed by SCG. The completion of these agreements will contribute a lot to Vietnam’s FDI flows. Many economic experts have said that even without the Trans Pacific-Partnership (TPP), Vietnam is still very attractive to foreign investors thanks to the numerous recently signed trade agreements and ceaseless efforts to improve the business environment. In a recent report, PwC predicted: “In the future, low cost business environment and great economic potential will continue to make Vietnam an attractive destination to foreign investors.” http://www.vir.com.vn/large-scale-investments-promise-fdi-breakthrough.html

Health insurance fund 31/AUG/2017 INTELLASIA| THE SAIGON TIMES may grapple with The country’s health insurance fund may have to struggle with a huge deficit of overspending VND10 trillion (US$442.15 million) this year and the reserve fund may be exhausted by 2020, according to a report by Vietnam Social Security (VSS). At a press conference in Hanoi City on August 29, VSS reported costs of medical check- ups and treatments amounted to more than VND41 trillion in the first half of the year, an increase of VND6.5 billion against the year-ago period. In addition, many localities have used up to 70% of the allocations planned for the whole year. The rate was 90% in Quang Nam and Quang Tri provinces. According to VSS, 59 provinces have overspent their health insurance funds. Some localities faced an overspending of VND500-1,000 billion such as Nghe An, Thanh Hoa, Thai Binh, Quang Nam and Danang. Only four cities and provinces – HCMC, Dong Nai, Binh Duong and Dak Lak – can manage their funds well. Last year, the health insurance fund also suffered a deficit of more than VND7.6 trillion. Le Van Phuc, deputy head of the Health Insurance Policy Implementation Department at VSS, attributed the overspending to an upsurge in medical check-ups and treatments, the connection between medical centers, an increase in in-patients as insurance does not cover the insured using out-patient services at provincial- and central-level hospitals. Besides, many individuals and healthcare centers have sought to profiteer from the fund which also led to the overspending.

Intellasia 31 August 2017 16 / 48 Vietnam finance & business 31 August 2017

VSS deputy general director Pham Luong Son said that between 2010 and 2015, VSS had raised VND50 trillion for the central reserve fund to support the poor, adjust healthcare service prices reasonably and create favorable conditions for medical centers to apply advanced technology. The health insurance fund has to pay an additional VND10 trillion a year to cover medical examination and treatment expenditures for the insured if health insurance contribution rates are not increased. http://english.thesaigontimes.vn/55884/Health-insurance-fund-may-grapple-with- overspending.html

PM orders prompt 31/AUG/2017 INTELLASIA| VNA settlement of admin Prime Minister Nguyen Xuan Phuc urged ministries, departments and localities to procedures in concentrate on addressing administrative procedure problems, especially removing September tax and fee burdens imposed on businesses, while chairing the government’s regular

FINANCE monthly meeting in Hanoi on August 30. He asked the Ministry of Finance and the Ministry of Transport to review current regulations on build-operate-transfer (BOT) fees to pave the way for business development. The PM expressed his dissatisfaction over the fact that up to 35 percent of import-export goods batches still suffer from specialised inspection costs, while the target is only 15 percent. He also cited the World Bank’s report that Vietnamese businesses have to pay social insurance premiums 12 times per year, equivalent to 189 hours, whilst it takes only 48 hours in Thailand and 46 hours in Indonesia. “This is one of the obvious issues that ministries and departments have to address as soon as possible,” he said, adding that concrete measures are needed to remove difficulties for specific fields. Evaluating the socio-economic performance in the first eight months of 2017, the PM recognised positive outcomes in the macro economy. The inflation was curbed while the consumer price index (CPI) increased by 0.92 percent in August and 3.84 percent in eight months. Vietnam recorded strong export growth of 18 percent in January-August. The country served the highest volume of international tourists in August (1.23 million), helping the total foreign arrivals over the past eight months expand by 30 percent. The newly-registered and increased foreign direct investment (FDI) and shares capital were estimated at over US$23.3 billion. In the past eight months, over 104,000 new businesses were set up. As the APEC Economic Leaders’ Meeting is taking place in the central coastal city of Da Nang in November 2017, the PM directed the Ministry of Foreign Affairs to ensure the best preparation for the event. During the meeting, the Ministry of Finance will brief the implementation of the State budget in 2017 and estimates for 2018, and a draft plan for the State finance and budget in 2018-2020, and the central budget allocation for 2018. The Ministry of Industry and Trade is due to deliver a report on particular mechanisms and policies to ensure the progress of investment in building urgent electricity projects within the national power development scheme. http://www.vir.com.vn/pm-orders-prompt-settlement-of-admin-procedures-in-september.html

HCMC demands more 31/AUG/2017 INTELLASIA| THE SAIGON TIMES for regular spending The HCMC government has proposed the central Government increase regular spending for its State machinery in order to guarantee the quality of its public services, said Nguyen Duy Tan, deputy head of the State Budget Department under the Finance Ministry, at a meeting on August 29. According to the municipal government, Tan said, its public servants have their labor productivity much higher than those in other cities and provinces, but their incomes

Intellasia 31 August 2017 17 / 48 Vietnam finance & business 31 August 2017

are just the same. As such, the city demanded more incentives for its public servants. He cited the argument of the municipal government as saying that the city has over 600,000 public servants who serve more than 10 million residents while other localities also have the same number of State employees, but they just serve three million residents on average. He did not reveal detailed information but said central agencies have yet to consider the proposal. In a related development, he said, the proportion of regular expenditures has accounted for 74% of total State budget spending in the year to this month. However, the central Government would find it more difficult to allocate more for such expenditures as the minimum wages are set to rise by 7% a year by 2020. He added the Government has in recent years called on private investors in a bid to reduce the State fund for capital construction and increase regular spending on healthcare and education. As a result, the State budget has allocated an additional VND20-30 trillion for regular FINANCE expenditures a year, owing to wage hikes, in order to ensure social welfare among dis- advantaged residents. Overall, he predicted, State budget revenue may exceed its estimate this year. Howev- er, its revenue may not meet the set targets in the coming years, as many localities are expected to fail their assigned ones. http://english.thesaigontimes.vn/55871/HCMC-demands-more-for-regular-spending.html

HoREA proposes not 31/AUG/2017 INTELLASIA| THE SAIGON TIMES classifying tourism The HCMC Real Estate Association (HoREA) has just proposed not classifying land land as farmland used for tourism purposes as farmland and also amending the 2013 Land Law to this effect to facilitate tourism development. HoREA stressed that tourism land should not be used to build houses or residential blocks to prevent technical and social infrastructure overload. However, tourism land should also be considered non-agricultural land so as to allow for permanent use of such land for tourism purposes. Le Hoang Chau, chairman of HoREA, said the 2013 Land Law regulates that non-agricultural land includes land used for developing industrial zones, hi-tech parks, air ports, trade and service facilities. This means land for tourism is not on the list. Despite such regulations, some localities have treated tourism land as land of long- term use other than farmland, and collected land use fees accordingly. Given such treatment in certain localities, some condotel investors have promised potential buyers that they could obtain long-term home ownership and long-term land use right certificates. “This violates the current regulation as the 2013 Land Law allows condotel developers to use land for a certain period of time,” said Chau. Some localities have suggested that owners of condotel units should be granted long- term home ownership and land use right certificates, and tourism land should be subject to land use fees like residential land, which Chau said is a reasonable idea for consideration. However, as long as the 2013 Land Law is not amended toward this end, investors of condotel projects are not allowed to promise the secondary investors that they can get long-term land use right certificates. The Ministry of Construction has earlier proposed creating new policies for the classi- fication and use of multi-purpose land, which can be used to build both residential facilities and trade-service facilities. The ministry has thus suggested granting land use right and home ownership right certificates for owners of this type of land. http://english.thesaigontimes.vn/55885/HoREA-proposes-not-classifying-tourism- land-as-farmland.html

Intellasia 31 August 2017 18 / 48 Vietnam finance & business 31 August 2017

Insufficient land use 31/AUG/2017 INTELLASIA| THE SAIGON TIMES affects Can Tho’s The division of land into small lots for sale may hamper economic growth in Can Tho economy City as land for trade and services has shrunk, said Vo Thi Hong Anh, vice chairwoman of Can Tho, at a meeting on August 29. Anh said a majority of real estate projects in Can Tho focus on dividing land into small lots for sale. The situation will solve housing demand in the short run, but will not help generate as good revenue as commercial and service facilities. The vice chairwoman noted that this situation will lead to a shortage of land for infrastructure projects aimed at developing the local economy, trade and services, and will have negative effects on the city’s budget revenue. For instance, she said, the city’s domestic budget revenue was around VND9 trillion, of which Ninh Kieu District – the driving force behind Can Tho’s economic growth – contributed VND2.2 trillion. However, she explained, the district has used up 2,200 hectares of land out of its total

FINANCE area of 2,900 hectares in order to generate revenue for the city’s budget. As such, the revenue of VND2.2 trillion from 2,200 hectares that has been used up is meager. Notably, she said the district has used land plots in an inefficient manner, as much of the land has been divided into small residential lots. This has made land for commercial purposes scarce. As such, the district’s budget collection did not fare well, she noted, adding the local government should change its mindset in the allocation of land plots. Otherwise, the local and municipal economies may slow down in the long run. Under the city’s economic plan for the coming years, Ninh Kieu District is assigned to contribute some VND7 trillion to the municipal budget by 2030. With only 700 hectares of land available now, the goal will be unattainable if the district relies on land the same way as in the past. Meanwhile, Van Kim Khanh, a member of the Mekong Delta Association of Realty Brokers, said the real estate market in Can Tho City has shown positive signs, as housing projects like Hong Phat, Nam Long and Hoang Quan Can Tho have seen their transactions and selling prices rising, compared to late last year. Truong Dinh Thao, general director of Hoang Quan Can Tho Real Estate Investment JSC, said the segment of apartments having their selling prices of less than VND2 billion has fared well. http://english.thesaigontimes.vn/55880/Insufficient-land-use-affects-Can- Tho%E2%80%99s-economy.html

Finance Ministry 31/AUG/2017 INTELLASIA| VIETNAMNET wants 1% tax on In an effort to prevent involved parties from evading tax by inaccurately declaring transfer price in M&A profits from M&A deals, MOF plans to tax one percent on the transfer price, to be ap- deals plied to businesses, and one percent on income, to be applied to individuals. The current CIT Law stipulates that the government determines tax rates on capital transfer deals made by foreign institutions that have no presence in Vietnam. However, in Decree 12/2015, the government has not set a specific percentage tax rate. Therefore, MOT has set a temporary tax rate of 20% on income. A problem has arisen that the majority of foreign institutions declared transfer prices equal to cost prices so as to avoid tax. In principle, if they don’t make a profit, they don’t have to pay CIT. Meanwhile, Vietnam still finds it difficult to check transfer prices. This explains why in recent M&A deals, Vietnam’s taxation agencies could only collect tax on the difference of exchange rates between the time of transfer and time of capital contribution. To make it easier to control tax collection and avoid loss of revenue for the state budget, MOF believes that it would be better to impose the same tax rate of one percent on revenue. The tax rate would be applied to both foreign institutions with or without res- ident offices in Vietnam. The tax duties for transfer deals in the oil & gas sector will be shown in another specific document to be released by MOF.

Intellasia 31 August 2017 19 / 48 Vietnam finance & business 31 August 2017

Many large M&A deals have been made recently, including the transfer of Metro Cash & Carry distribution chain in Vietnam to TCC Group and the takeover of Big C by Cen- tral Group. Most recently, Siam City Cement acquired a stake in LafargeHolcim, a cement manufacturer. Sources said that taxation bodies finally were able to collect trillions of dong in tax from investors in the deals, but they could only do this after many arguments and discussions with involved parties. The big difficulty was that the legal entities which conducted the transfer deals were outside the Vietnamese territory. An official of the HCMC Taxation Agency admitted that most foreign institutions declared wrong prices, but the taxation agency still had to accept the deals because it could not prove if the declaration was wrong. MOF is also facing the same problem with transfer deals made by individuals. Under current law, the taxable income in capital transfer deals equals the selling price minus (buying price + related costs). However, taxation agencies find it difficult to discover FINANCE the transfer price and related costs. http://english.vov.vn/economy/finance-ministry-wants-1-tax-on-transfer-price-inma-deals-357484.vov

New circular delays 31/AUG/2017 INTELLASIA| VNS modern A new circular issued by Ministry of Agriculture and Rural Development has post- slaughterhouses poned the opening of modern slaughterhouses and delayed the closing of old facilities. In late August, contractors finished levelling ground for the US$15 million slaughter- house of An Ha LLC in C Chi District, HCM City. However, Nguyen Thi Hong Tham, director of An Ha Company, is worried that the construction of some important departments will be delayed while other facilities will need to be changed to adapt to standards regulated by the new circular. The company will have to adjust its design plan or move some departments to avoid violating the circular. “We have to move the factory away and upgrade animal shelters to fit regulations,” Tham told the Tuoi Tre (Youth) newspaper. However, the most difficult condtition is that “a slaughter has to locate at least 500m from residential areas, schools and hospitals” which was not cited in former circulars. Therefore, An Ha Company stopped building its cold storage facility and moved the main slaughter away from neighbours’ fences to meet the requirement. “How can we make sure our factory is 500m away from residential areas since beyond the fence is their land? In the future, if they build a house, we will, again, violate the circular,” she said. Due to those changes, nearly 100 containers of equipment imported from Germany are being stored at a port, awaiting shipment to Viet Nam. “At present, we are dividing the plan into smaller categories. For each category, we must prepare documents to report to city authorities,” Tham added. An Ha Company is not alone. Many other slaughterhouses approved by HCM Peo- ple’s Committee will have to adjust their plans to adapt to the circular. Miss the goal The city has planned to develop modern slaughterhouses to replace old ones since 2010, according to HCMC Department of Agricultural and Rural Development, with the city People’s Committee approving a plan aiming to operate six industrial slaughterhouses by the end of 2016. However, due to financial and administrative difficulties, no facility opened last year, and thus the city still could not close the old facilities . On April 25, 2017, HCMC People’s Committee approved “The planning of slaughter- house system in HCMC from 2016 to 2020”. Its goal is to put six industrial slaughters into operation by the end of 2017 and close all existing outdated slaughterhouses ex- cept for two plants in Can Gio District. Per the plan, all the city’s slaughter activities will be run in six industrial slaughterhouses with capacity of 10,000 to 15,000 pigs per day. However, at present, the goal seems likely to be missed as almost all the projects won’t

Intellasia 31 August 2017 20 / 48 Vietnam finance & business 31 August 2017

be finished by the end of 2017. For some projects, investors have just started levelling the ground, while the An Ha Company project has to change its design and plans to begin operating by 2018 at the earliest. Bach Dang Quang, director of Tan Hiep Cooperative, the investor of Tan Hiep Food Processing Factory in Hoc Mon District said that they were facing difficulties in terms of infrastructure. Specifically, though the co-operative has the capital to build a factory and set up facilities, the road leading to the factory has not been built, despite the city promising to build it. “The current riverside road is small and seriously eroded. We do not know whether there will be a new one for lorries when the factory is built,” said Quang. http://vietnamnews.vn/society/392857/new-circular-delays-modern-slaughterhouses.html

31/AUG/2017 INTELLASIA| THE SAIGON TIMES

FINANCE Taxman will closely supervise casino The Ministry of Finance has suggested that tax agencies directly manage the operation operations of casino-operating enterprises, and that stringent supervision be conducted to ensure due tax collection. In a draft circular on management of tax collection at casinos, the ministry suggested that casino-operating businesses must have an office or space inside their casinos with sufficient tools and equipment for a management team of the local tax agency to directly manage casino operations. Surveillance cameras must be installed at gambling areas, cashier stands, warehouses and other areas related to the casino’s operations to facilitate management. Data of the cameras must be stored for at least 10 years. The management team will monitor transactions related to money, and daily report to the tax agency’s head. Any violations or signs of violation should be reported imme- diately to take timely actions. The ministry stressed that members of the management team must not have any rela- tion with each other or with the managers of the casino. They should not be spouse, parents, adopted parents, son or daughter, adopted son or daughter, brother or sister, brother-in-law or sister-in-law of any of the others. If the enterprises were granted business certificates before Decree No. 03/2017/ND-CP on casino business management took effect on March 15, 2017, they will have to set up such office or space for the tax team within 90 days from the date of the circular going into force. In case the enterprises were granted business certificates but their facilities have not been put into operation, or they were granted business certificates after the effective date of Decree No. 03/2017/ND-CP, they will have to finish setting up such office or space available at the time the casinos are put into service. http://english.thesaigontimes.vn/55874/Taxman-will-closely-supervise-casino-operations.html

Vietnam Customs 31/AUG/2017 INTELLASIA| VNA holds dialogue with The General Department of Vietnam Customs held a dialogue with European busi- European businesses nesses in Ho Chi Minh City on August 30 to help clear customs issues of their concern, especially customs revaluation. The European Union (EU) holds a major proportion in trade with and investment in Vietnam. Bilateral trade jumped almost 11 times from 4.1 billion USD in 2000 to 45 billion USD in 2016 and is forecast to hit 50 billion USD this year. A survey by the European Chamber of Commerce in Vietnam (EuroCham) shows that most of the questioned businesses still know little about regulations on customs revaluation. EuroCham Executive Director Almut Roessner said as most revaluation decisions in Vietnam were made by basing on customs database or reference values collected in the internet, they haven’t been objective or in line with regulations.

Intellasia 31 August 2017 21 / 48 Vietnam finance & business 31 August 2017

According to the HCM City Customs Department, only 2-3 percent of commercial goods had their customs value revaluated in 2016. The 25-percent figure provided by EuroCham might include non-commercial goods. In response to European firms’ opinions, Nguyen Quoc Toan, deputy head of the department’s export-import tariffs division, assured that customs valuation has always been conducted in conformity with legal regulations and in a transparent manner. Customs database is not used as a basis for adjusting goods’ customs value. To tackle obstacles during the handling of customs procedures, the customs sector will work harder to popularise new legal documents and regulations among businesses, thereby helping to promote their awareness and coordination with customs agencies in enforcing law, preventing smuggling and trade fraud, and creating a healthy business and competition environment, he said. Deputy General Director of Vietnam Customs Hoang Viet Cuong appreciated EU businesses’ contribution to Vietnam’s economic growth, noting that improving the business climate and businesses’ competitiveness is critical to the sustainable growth FINANCE and competitiveness of the Vietnamese economy. The customs sector is striving to realise trade facilitation targets, including cutting down the time needed to handle customs procedures for export goods from 108 hours to 70 hours, and for import goods from 138 hours to 90 hours, the official added. http://en.vietnamplus.vn/vietnam-customs-holds-dialogue-with-european-businesses/117165.vnp

SOEs divest 163.4 31/AUG/2017 INTELLASIA| VNA million USD in 8 State-owned enterprises divested more than 3.7 trillion VND (163.4 million USD) in months book value from investment in non-core operations during the first 8 months of 2017, according to the Ministry of Finance’s Corporate Finance Department. They earned over 15.8 trillion VND (695.3 million USD) for the State coffer from sale of their investment. The State Capital Investment Corporation (SCIC) sold nearly 1.4 trillion VND (61.4 million USD) worth of stakes in 21 SOEs, earning over 12.2 trillion VND (538.5 million USD). The amount included 5.4 percent of its total shares in Vietnam Dairy Products JSC (Vinamilk) that were sold for more than 11.3 trillion VND (496.6 million USD). Seven SOEs have had their equitisation plans approved in August. So far, equitisation plans of 33 SOEs have been approved in the first eight months of this year, with total real state capital in those enterprises worth approximately 20.9 trillion VND (918.7 million USD). The Ministry of Finance recommended the government to assign the Ministry of In- dustry and Trade to fast-track the divestment of state ownership at top brewers Habeco and Sabeco this year. If divestment announcements are not released before September 30, the ownership’s right over the State capital in the two firms should be transferred to SCIC to ensure the pace of divestment, it proposed. http://en.vietnamplus.vn/soes-divest-1634-million-usd-in-8-months/117161.vnp

Increase in registered 31/AUG/2017 INTELLASIA| THOI BAO KINH DOANH capital in real estate As per the recently released data by the Department of Business Administration Man- sector not yet the agement under the Ministry of Planningand Investment (MOPI), the number of newly signal to feel happy established businesses in August were 12,404 units (up 6.2%) with the registered capital of 131.378 trillion dong (up 39%). The proportion of average registered capital per business reached 10.6 billion dong (up 30.8%). Generally, in January-August 2017, the country has an additional of 85,357 newly established businesses with the registered capital of 822.116 trillion dong, up 16.3% in the number of businesses and 44.8% in registered capital compared to the same period of 2016. Of which, for real estate sector, the number of newly established businesses were 3,156 units (up 65.8%) and the registered capital was 217.139 trillion dong (up 62.8%). The number of businesses that return to operations in January-August 2017 were

Intellasia 31 August 2017 22 / 48 Vietnam finance & business 31 August 2017

19,154 units, up 2.4% year-on-year. The number of businesses in real estate sector increased nine percent with 322 units. This is a relatively high growth rate compared to other sectors. Regarding the attraction of foreign investment, in the first eight months of 2017, real estate business ranked the fifth, attracting about $0.7 billion (up 16% from the same period), of which there are 39 projects with $0.5 billion newly registered capital. Economic experts said the aforementioned figures show that the number of established real estate businesses are not much compared to other sectors but the amount of capital is the highest. That means real estate has always been the sector that attracts the largest number of businesses to participate and invest. In general, some experts believe that the data on the number of real estate businesses' establishment and dissolution in recent time have contributed very well to the Govern- ment's reports and especially to the Government's objectives to reach two million businesses in 2020. However, there are also comments from economists that these figures are not condu- FINANCE cive to the sustainable development of the country because the proportion of average registered capital per business established in the past eight months was nearly 69 billion dong each while businesses that create sustainable value for the economy such as the manufacturing and processing industry have only generated an average of nine billion dong each. Earlier, experts forecasted that in 2017, credit packages to real estate may increase 10%, raising the outstanding loan to this sector to 300 trillion dong. However, NFSC said so far real estate outstanding loans were 14% including consumer loans. Savills' experts said tourism is targeted to be the spearhead of the economy so in many provinces and cities from the North to the South, the appearance of many resorts has created momentum for the resort real estate segment to thrive. Recently, the Government has decided to introduce two trillion dong credit support package for social housing projects and commercial housing projects and many businesses will also return to operation and it is forecasted that from now till the end of the year, real estate businesses will continue developing. The US dollar deposit rate policy at zero percent that the State Bank is applying will attract idle capital flow from the people, overseas Vietnamese to real estate. Experts have warned about non-potential risks when there appears waves of US dollar withdrawal from banks to invest in property. Moreover, many foreign investors, due to legal issues, have shifted to merger and acquisition (M&A) and this trend has taken place strongly since the beginning of this year with a large number of Chinese and Japanese giants acquiring large projects. Especially, MOPI has recently submitted to the Government a draft on development of Van Don special economic administrative zone, Bac Van Phong, Phu Quoc, focusing on development of resort tourism and it is likely that from now till the end of the year, real estate businesses will continue to be established to catch up with this wave. As such, there are many reasons for the State capital, foreign capital to continue flowing into real estate. Meanwhile, the supply of high-end apartments, condotel, commercial apartments, etc. are having signs of oversupply, creating a "patchy" real estate picture. The lesson from 2008-2014 when the real estate fell into excess crisis and rampant bad debt still exists. Experts' advice shows that it is impossible to be happy as real estate sector now still remains "hot".

Startups on the move 31/AUG/2017 INTELLASIA| VOV in Vietnam social Over the past decade, the social media market in Vietnam has been booming and media market shows no signs of slowing anytime soon, say representatives of Vietnam Social Media Corporation. VSMC is one of the leaders in the social media segment of Vietnam that has successfully taken on multinational giants such as Google, Facebook, YouTube, Twitter and Microsoft.

Intellasia 31 August 2017 23 / 48 Vietnam finance & business 31 August 2017

The company, founded in 2007, is based out of the capital city of Hanoi and has a primary business strategy of catering to the younger generation of computer users with it three main products ACC, Ciao and Dore. ACC is a social network specifically targeted for individuals with a passion for Japa- nese manga and animation. Ciao is a national destination directory and location searching service. Dore is a mobile comic publishing business developed in-house and available on 3G and WiFi networks. Another up and coming startup is NCT Corporation, which was founded in 2008 and originally named Nhaccuatui Corporation. Its first product, says company rep Nhan The Luan, was a music sharing website where customers could share their favourite music with family and friends. In 2009, the company decided to expand business to e-commerce and nava.vn was born as the first professional B2C website in Vietnam. Nava.vn quickly became popular within the internet community and shows great promise for yet further increased FINANCE future sales and earnings. In 2010, viss.vn, an online dating service was introduced and quickly attracted internet fans. So, in just two short years the company developed three major products, experi- enced triple digit growth and grew to some 35 employees. But it is without question not the end. To win in the marketplace, you must first win in the workplace, says The Luan. For a startup, one of the most daunting challenges is recruiting top talent — the very same talent leading enterprises like Facebook and Google are trying to recruit. Vietnam Communications Corporation is another leading startup internet company in Vietnam, with top products in online content, e-commerce, social media, ad networks and mobile value-added services. Nguyen The Tan, general director of VC Corp, boasts it is the largest ecosystem of online and mobile services in Vietnam. VC Corp provides its customers a wide array of online portals. Its sites include Kenh14, Afamily, GameK, Soha, CafeF, Muachung, Muare, Rongbay, Enbac, Soha- phim, Sohatv, Sannhac, Admicro. Several of the company’s sites are in the top 100 most visited in Vietnam, says The Tan. Since 2012, the company has sourced most of its funding from Intel Capital, Intel’s global investment and M&A organization, which invests heavily in innovative technology start-ups and companies worldwide. Lastly, the startup VTC Technology & Digital Company, a subsidiary of Vietnam Mul- timedia Corporation, has officially been operating since January 2006. Its success has been largely attributable to its young creative workforce, says Director Nguyen Thanh Hung. VTC Intecom is one of top social media companies in Vietnam with its primary strength in the digital content segment. It’s a startup on the move, says Thanh Hung, with big plans for future development in Vietnam— a market with unlimited potential. http://english.vov.vn/economy/startups-on-the-move-in-vietnam-social-media-market-357525.vov

Vietnam nearly stands 31/AUG/2017 INTELLASIA| VNECONOMY the last in Southeast Among the six largest economies in Southeast Asia, Vietnam is the last nation in online Asia in online sales retail sales and its proportion out of the total retail sales. As per Bloomberg, online shopping has grown explosively in Thailand in recent years as consumers in the country in this country are increasingly technologically savvy. This is seen as a signal for the take-off of e-commerce in Southeast Asia in general. Online retail sales of all Thai items, from washing machines to TVs and fish sauce, are growing at a rate of more than 100% per year, far exceeding the traditional retail sales growth of about 10%. Such growth rate is thanks to the combination between fast, strong connection speeds

Intellasia 31 August 2017 24 / 48 Vietnam finance & business 31 August 2017

in Thailand and the success of online retailers such as Lazada. Thailand's third-largest mobile operator i.e. Total Access Communication estimates that Thai people spend six hours per day on social networking sites like Facebook and Youtube. As per Maybank Kim Eng, Thailand is the only country in Southeast Asia to separate online retail sales from the general retail sales. This data is a useful guide about the growth of e-commerce in the region. A recent report of Maybank says that despite strong growth, e-commerce in South East Asia has just accounted for less than four percent of the total retail sales. In larger markets such as China and South Korea, the proportion of online retail sales was 16% and 18% respectively. This demonstrates the great potential for Southeast Asia region where revenue from online shopping may reach 5-10% of total retail sales over the next five years, according to Maybank. Estimates show that the largest online shopping market in Southeast Asia in terms of revenue is Indonesia, with new revenue reaching only $1.7 billion a year, equal to 0.6% of total retail sales. In Vietnam, the figures are $0.4 billion and 0.6% respectively. FINANCE Recently, billionaire Jack Ma, the founder of China's e-commerce giant Alibaba, has become a member of an Indonesian committee on promotion of e-commerce in the most populous nation in Southeast Asia. Macquarie Research forecasts that online retail sales in Indonesia may reach $65 billion by 2020. Maybank said that the strong growth of e-commerce and the lack of official data on this sector means that the potential of the Southeast Asian market may be assessed to be insufficient against the reality. Therefore, according to Maybank, tracking consumer trends will be more useful than just looking at official retail numbers.

Domestic brands held 31/AUG/2017 INTELLASIA| VIR at gunpoint by In the context of more and more fashion brands entering the Vietnamese market and international fashion gaining significant market share, domestic firms in the fashion industry have to draw brands up solutions to regain market share and seize back their position. Massive surge of international fashion brands According to newswire Vietnamnet, there are nearly 200 foreign fashion brands in Vi- etnam, which hold up to 60 per cent of the market share. Many of them are affordable fashion brands, luring in customers by their diverse fashion products at reasonable prices, such as Mango, which has been present in Vietnam since 2004, the UK brand Topshop, which entered Vietnam in 2013, and the famous affordable brand Zara with its debut in 2016, and recently, Hennes & Mauritz AB (H&M) from Sweden announced launching its first store in Ho Chi Minh City on September 9 this year. The images of long queues of fans in front of fashion shops show the great potential of the Vietnamese market. Thus, some domestic fashion brands may worry about being dominated by these famous brands, as Vietnamese youth prefer foreign labels to catch up with the latest trends in the world. However, the price is still a barrier for these famous brands, as “affordable” in developed countries may not be really “affordable” in a developing country like Vietnam, although people’s incomes are gradually enhanced, increasing the demand for cloth- ing. Therefore, there is still room for Vietnamese fashion brands if they understand Viet- namese taste and offer products at more reasonable prices. Besides, spending more on advertising to grab the attention of customers may go a long ways to accelerating brand awareness. Promising modern marketing tool The dominance of foreign fashion brands has awakened domestic enterprises, forcing them to look for solutions to regain market share and survive. Otherwise, they may gradually lose customers to foreign brands and then go bankrupt. Realising the rising market competition and the strength of its rivals, K&K Fashion, a well-known Vietnamese office fashion brand, has followed the upward trend of e- commerce and utilised the application of Criteo Commerce Marketing Ecosystem to specify its targeted customers and accelerate sales revenue.

Intellasia 31 August 2017 25 / 48 Vietnam finance & business 31 August 2017

After six months of applying this modern marketing tool, K&K Fashion reported positive results of 43 per cent growth in click-through rate, 66 per cent growth in conver- sion rate, and 121 per cent increase in successful transactions. Criteo Commerce Marketing Ecosystem is an open, secure, transparent, and fair environment where retailers, brands, and publishers collaborate to put data into action at every point of the purchase journey. The Wall Street Journal commented on this marketing tool, “The idea is that with more accurate data covering consumers’ offline and online shopping habits, retailers and brands can better target ads at people who are most likely to make purchases.” K&K Fashion’s case is an example of a fashion brand gaining success by the application of modern technology in marketing in the era of globalisation. It is also hoped that in the future more Vietnamese enterprises will turn to innovative strategies and utilise advanced technology to push up their sales and compete with numerous rivals, especially international giants. http://english.vov.vn/economy/domestic-brands-held-at-gunpoint-by-international- FINANCE fashion-brands-357505.vov

Automobile importers 31/AUG/2017 INTELLASIA| VIR hit hard by recent The imported automobile market in Vietnam have had numerous disturbances after scandals the scandal of the official BMW distributor importing its newly introduced BMW 320i Sport illegally as well as the withdrawal of the official Renault distributor. Due to consecutive losses in business operation, Auto Motors Vietnam, the authorised distributor of Renault, has narrowed down its operations and wants to transfer its distribution rights to other businesses in order to withdraw from Vietnam. According to newswire Lao Dong, automobile sales, particularly imported units, has seen a plunge, impacting Auto Motors Vietnam’s revenue to a degree that the company now wants to withdraw from Vietnam after seven years of operation. The company sold out the remaining automobiles and stopped importing new units, while simultaneously looking for a partner to transfer the distribution rights before they withdraw from Vietnam. At present, the company’s showrooms in Ho Chi Minh City are closed. Regarding the showroom in Hanoi, it has stopped sales and is completing the procedures and sup- plying services for passengers who previously bought automobiles. Auto Motors Vietnam started to distribute Renault automobiles in mid-2010 and grew its distribution system rapidly. However, Renault is in the high-end automobile segment with high prices, thereby, after a short time under sales pressure, the company was forced to cut prices of some models by hundreds of millions of dong. Auto Motors Vietnam is a 100 per cent foreign-owned company and a subsidiary of Jean Rouyer Automobile based in Cholet, France. Since 2010, Auto Motors Vietnam is the exclusive importer of Renault in Vietnam. With five showrooms in Hanoi, Ho Chi Minh City, Vinh city in the central province of Nghe An, Pleiku city in the Central Highlands province of Gia Lai, and Buon Ma Thuot city in the Central Highlands province of Dak Lak, Renault offered customers a range of six models - Renault Koleos, Renault Duster, Renault Latitude, Renault Logan, Re- nault Megane, and Renault Sandero. The company planned to continue expanding its showroom network all over the country. Regarding Euro Auto Corporation (EAC), the authorised distributor of BMW, the Gen- eral Department of Vietnam Customs decided to stop clearing Euro Auto’s imported BMW units from December 1, 2016 after discovering signs of smuggling and trade fraud. However, earlier in May, EAC introduced a new model and handed over numerous units to customers. Euro Auto had been found using fake papers, including contracts, invoices, packing lists, and certificates of quality (C/Q), to import BMW car units to Vietnam. However, in earlier June, EAC confirmed that it was not importing its newly introduced BMW 320i Sport illegally and neither did it commit tax fraud.

Intellasia 31 August 2017 26 / 48 Vietnam finance & business 31 August 2017

After this scandal, EAC’s revenue also plunged. According to newswire Giao Thong, at present, EAC’s business operations are sluggish as customer demand is low. Almost all of EAC’s sellers left. http://www.vir.com.vn/automobile-importers-hit-hard-by-recent-scandals.html

State-owned aviation 31/AUG/2017 INTELLASIA| VIR firms soon for heavy Amid growing interest among foreign investors in the aviation market, Vietnam Air- divestment ports Corporation and Vietnam Airlines – the two most influential corporations in the aviation sector – will continue to divest large state stakes to fund future development plans. Deputy Prime Minister Vuong Dinh Hue signed Decision No.1232/QD-TTg on August 17, approving the state stake divestment for state-owned enterprises (SOEs) and corporations in 2017-2020, with Vietnam Airports Corporation (ACV) and the flag carrier Vietnam Airlines (VNA) both named among the many in line for divestment.

FINANCE ACV will have to sell off 20 per cent of its state stake in 2018 and 10.4 per cent in 2019, while VNA will have to sell 35.16 per cent in 2019, thus cutting state ownership in the firms to 65 per cent and 51 per cent, respectively. “The divestment will be a good chance for foreign investors to join the local aviation market. Many foreign investors are interested in acquiring stake in the firms,” Deputy Transport Minister Le Dinh Tho told VIR. According to Thomas Treutler, partner and managing director of Tilleke & Gibbins Consultants Limited, foreign investors will certainly be interested in investing in well- established airlines. Travel to Vietnam for business and tourism will continue to rise, as will outbound travel for Vietnamese businesses reaching out internationally to investors and Vietnamese citizens travelling internationally for tourism. “Domestic travel within the country is also booming, with more affordability. Thus, it certainly has the potential for continued development and can be a lucrative investment,” Treutler said. ACV and VNA are quite appealing to foreign investors, both having demonstrated solid performance in 2016. ACV – the operator of 22 airports across the country – made a net revenue of VND13.4 trillion ($609 million) last year, up 23 per cent on-year, while its pre-tax profits rose 58 per cent on-year to over VND4 trillion ($181.8 million). VNA – which holds a 42 per cent market share in the domestic airline sector – reaped consolidated revenue of VND76 trillion ($3.45 billion) last year, up 10 per cent on-year. It also achieved record-high consolidated pre-tax profits, raking in VND2.5 trillion ($113.6 million), up 140 per cent on-year. The two groups are also planning ambitious future investments to increase operational efficiency. Specifically, the Hanoi-based carrier has decided to invest a large sum to increase its fleet from 93 to 120 aircraft by 2020. It is also set on maintaining its annual growth of 16.1 per cent during the next three years. The robust performance and future potential of the aviation industry has made it very attractive to foreign investors compared to other forms of transportation. According to the Civil Aviation Administration of Vietnam (CAAV), Vietnam’s aviation industry, which contributes $6 billion to the country’s GDP annually, grew 29 per cent on-year in terms of passengers in 2016. In addition, Vietnam’s passenger:population ratio is less than 1:1, compared to rates of 4:1 or 5:1 in more developed markets like Singapore, Hong Kong, and the US. Thus there is plenty of room for future growth. “Foreign investors often target large-scale firms and firms that are in the same business field as they are. VNA and ACV are good examples of past targets,” said another senior official in the Ministry of Transport. In 2016, the stake sales by VNA and ACV were among the hottest in the aviation industry, as many multi-national corporations lined up to take part in the auctions. Paris Aéroport, which manages 37 airports, outbid rivals including Singapore’s Changi Airport International, and Japanese investors Taisei and JATCO to become

Intellasia 31 August 2017 27 / 48 Vietnam finance & business 31 August 2017

ACV’s strategic foreign investor. Also last year, VNA gained a valuable partner when ANA Holdings – Japan’s largest airline – bought an 8.8 per cent stake in the state-owned firm for VND2.38 trillion ($108 million). http://english.vietnamnet.vn/fms/business/185576/state-owned-aviation-firms-soon- for-heavy-divestment.html

Mining industry 31/AUG/2017 INTELLASIA| SGGP NEWS indicator continues to Even though mining industry plays a pivotal role in the country’s economy, the indus- dip try dipped in two years because of difficult exploitation and dependence on world markets. The mining production indicator in August has seen a year-on-year rise of 8.4 percent. Amongst them, the mining sector dropped by 5 percent; the manufacturing sector increased by 12.4 percent; electricity production and distribution soared by 9.6 percent;

FINANCE and water supply and waste treatment sector leaped by 7.3 percent. In eight months of the year, the industry production indicator represented a 6.7 percent year-on-year rise, 7.2 percent lower than the same period last year. For instance, mining sector dipped by 4.8 percent; meanwhile process sector increased by 10.4 percent; electricity production and distribution soared by 12.3 percent and water supply and waste treatment sector is up by 6.8 percent. Accordingly, the manufacturing sector rose by 10.8 percent contributing 7.5 percentage point to the general increase; electricity production and distribution was up by 8.6 percent attributing 0.6 percentage point to the whole. Amongst second level industries, metal production, computer and electronic product manufacturing, rubber and plastic product production, paper and paper product rose. Meantime, medical, pharmaceutical and herbal sector fell by 2.1 percent and crude oil and natural gas exploitation dipped by 10.1 percent. Amongst localities, the northern province of Hai Phong has drastic growth of20.6 percent in industry indicator in eight months compared to same period followed by the northern province of Thai Nguyen with 18.1 percent; Bac Ninh with 14.1 percent and Ho Chi Minh City with 7.3 percent. http://sggpnews.org.vn/business/mining-industry-indicator-continues-to-dip- 68704.html

Tra Vinh approves 31/AUG/2017 INTELLASIA| THE SAIGON TIMES VND850 billion for The Mekong Delta province of Tra Vinh has given the nod to HCMC-based Dong Do Cau Quan IP project Development Construction Investment JSC to develop Cau Quan Industrial Park with a total investment of VND850 billion (US$37.58 million). Local media cited Tra Vinh Economic Zone Management Board as saying on August 29 that in the first phase, the project will be implemented on more than 130 hectares in Tieu Can District, Tra Vinh Province. Dong Do Development Construction Investment JSC has been also permitted to invest VND1.2 trillion in Co Chien Industrial Park covering nearly 200 hectares in Cang Long District of the province. Tra Vinh now is home to Dinh An Economic Zone in Tra Cu and Duyen Hai districts, Long Duc Industrial Park in Tra Vinh City, together with Co Chien and Cau Quan industrial parks. Dinh An Economic Zone and Long Duc Industrial Park currently have 60 projects including 43 local investment ventures totaling VND96 trillion and 17 foreign investment projects worth over US$3 billion. The approved projects occupy 15% and 90% of land at Dinh An Economic Zone’s phase one and Long Duc Industrial Park respectively. http://english.thesaigontimes.vn/55894/Tra-Vinh-approves-VND850-billion-for-Cau- Quan-IP-project.html

Intellasia 31 August 2017 28 / 48 Vietnam finance & business 31 August 2017

CII to spend VND3.4 31/AUG/2017 INTELLASIA| THE SAIGON TIMES trillion on HCMC Infrastructure Investment JSC (CII) plans to spend VND3.4 trillion on infra- infrastructure projects structure and real estate projects in the next three years. Between 2018 and 2020, CII will pour VND3.4 trillion into some of its key projects, including VND1.64 trillion for infrastructure projects and VND1.76 trillion for the property segment, the company said in a statement sent to investors on August 29. The company will invest VND300 billion in the second stage of the Binh Trieu road and bridge project and VND520 billion to expand Hanoi Highway. In addition, CII will purchase shares at potential projects and companies where it has yet to become a major investor. According to CII, mergers and acquisitions (M&A) projects will help it secure long- term growth and raise holdings at large projects such as the Trung Luong-My Thuan Expressway. CII will focus on the Mekong Delta and HCMC, where it has developed a solid portfolio of build-operate-transfer (BOT) projects.

FINANCE For the property sector, CII will invest VND950 billion in Thu Thiem Riverpark high- class condo project in cooperation with Hong Kong Land. Besides, it will develop a high-rise building project with a total cost of VND310 billion. At the Thu Thiem area in HCMC’s District 2, CII will develop a lake project and get more land there in exchange. Meanwhile, CII will focus on its existing water supply projects, especially the key ones such as Tan Hiep 2 and Cu Chi. In the next three years, however, the firm will not invest in new water supply projects or conduct M&A deals with water supply companies. To mobilize capital for the scheme, CII will issue additional shares for existing shareholders at a 2-for-1 ratio within this year. It expects to sell the shares at VND15,000 each, raising VND1.85 trillion. Besides, CII will use its own equity and take out loans worth VND1.55 trillion. It targets to obtain nearly VND1.5 trillion in revenue next year and VND2 trillion in 2020 while its profit growth is estimated at 18% a year during the period. Regarding risks at BOT projects, CII general director Le Quoc Binh said the firm has stopped seeking investment opportunities at small BOT projects since 2015. It is difficult to find out a profitable BOT project due to sensitive issues at present. CII will concentrate on large BOT projects with investment capital from VND10 trillion as their scale and procedures are different from small ones, he said. http://english.thesaigontimes.vn/55878/CII-to-spend-VND34-trillion-on-infrastructure-projects.html

Vung Ang attracts 31/AUG/2017 INTELLASIA| DTI NEWS investments after Businesses have successfully resumed operations in the Vung Ang Economic Zone in Formosa incident Ha Tinh Province after the Formosa pollution incident last year. Vung Ang Economic Zone was established in 2007 as Vietnam's steel and thermal power centre. It also had a deep water port. It attracted 118 out of 182 investment projects to the province’s economic and industrial zones including 69 domestic projects valued at VND48.3trn (USD2.1bn) and 49 foreign projects worth USD11.6bn. Some of the most notable projects are USD1.6bn Vung Ang 1 Thermal Power Plant and USD10.8bn Son Duong Port and Integrated Steel Mill Complex. These projects were in- tended to play an important role in the economic development and help ensure the country's steel and energy security. It has also contributed hugely to the provincial budget. In 2010, it contributed VND719bn (USD31.6m) and VND7.5trn five years later. However, after the Formosa pollution incident in June 2016 that killed tonnes of fish in the four central provinces, it has been difficult to attract investment and the development process of various projects slowed down. The authorities of Ha Tinh Province have issued orders to resume key projects and held dialogue with potential domestic investors while inviting foreign investors to Vung Ang. Ha Tinh’s authorities have also tried to provide skilled employees for businesses.

Intellasia 31 August 2017 29 / 48 BUSINESS Vietnam finance& business Vietnam withdrawal fallonETF Markets 2017 31, August Business Briefs BUSINESS Intellasia IZ NEWS incident.html http://dtinews.vn/en/news/ projects. South Korea, Japanandthe UShave visite billion o the firm in2018. o the billion toVNDItrillionne Ltd to itscapital raise Corpor * VietnamSteel trillion. over VND2.4 will the SAM After raise it issuance, 34.15. ov offer to plan terday ina * Sacom Investment and DevelopmentCompan to 3.07%,or2.86 million shares. proceeds,thesteelm Of theVND81O-billion thecu each,or16% lower than at VND27,000 planstosellthe shares. 904,000 shares NKG shares, issuance, whil or 25%ofthetotal to issue 30million shares. VEIL Limited ha (NKG)has * NamKimSteelGroup meters ayear, according to Dau Tu Chung Khoan website. Minh Hung hectaresat ers 6.4 with Binh PhuocProvinceonMonday. Invested second stage ofamedium-density fiberb * VietnamRubberIndustry Group(VRG)an year-on-year. 34% surging profit, inafter-tax billion over VND50 tained 10-for-7 ratio toreviseup its capital to VND3 Earlier,the issuancedate. from 12 months employee stock ownership planwithinthisye (TAC)plans Vegetable OilCompany * ThongAn 31/AUG/2017 INTELLASIA | VND1.5trn five-starhoteland Hundreds of people returned totheirjo over VND1.6trn (USD70.4m)we and manyprojectsresumed 2017, Since early year. people an of64.08% projects, on last 891 to increase various about job opportunities, anincrease of 18. In thefirstsixmonths,VungAngEconomic Many stocks tumbled inthe stocks tumbled theClose At Many gained. six only while value lost Exchange) Stock on HCM the liquidity and market value shares by largest Large-cap stocksled the market downturn wi session. sion at103.52 points. The northern market in On the percenttoendtheses- Exchange, the 0.37 Stock Hanoi HNX-Index decreased market points. Thesouthern 774.03 close at The benchmark VNIndex on theHCMStock Exchange edged down0.42 percent to (ETF). shares were sold, potentially driven by th Shares declined more steeplyonAugust 31/AUG/2017 INTELLASIA| VNA brokerage offloaded nearly2. to September 29 (KSA) fromnowro Company one mill selling be will Securities * VSM trillion inasteel sheet factory project. materials.the boardofdirectors Recently, of ation (TVN) will inject VND300billion into Southern Steel Co er 61.5 million bonusshares 018/52557/vung-ang-attracts-i 4 millionKSAshares in two III Industrial Zone and has Zoneandhas III Industrial office building project. Seve building office re giveninvestmentpermits. announced alistof10strategic investorsinits,plan bs as Human CityCompany continues the ion shares of Binh Thuan Mineral Industry 29 afternoon trading after many heavyweight e chairman HoMinhQuangwillbe buying oard (MDF) factory into operation in xt month. Besides, it plans to add VND200 VND200 add plansto it Besides, month. xt Order (ATC) under heavy selling pressure pressure selling heavy under Order (ATC) e withdrawal of an exchange-traded fund fund ofanexchange-traded e withdrawal 75% compared to last year, and introduced introduced year,and last compared to 75% d andhaveresearched harbour investment s chartered capital from VND1.8 trillion to fromVND1.8trillion s charteredcapital the firmsoldaround13 million shares ata s registered to purchase 7.5 million NKG topurchase 7.5 million s registered index picked up 0.73 percent on August 28. on August percent 0.73 index pickedup Zone management consulted 1,900 people Zonemanagementconsulted1,900people NGK has passed a plan to invest VND2,2 invest VND2,2 plan to haspasseda NGK d South Korea's Dongwha Group puttheDongwha d SouthKorea's rrent market price of aroundpricerrent VND32,000. market 22 billion. Inthe firs billion. 22 aker willspendVN dex rallied 1.23 percent in the previous fivean investmentof newprojectswith th 23 stocks in the VN30 (the 30 inthe basket th 23stocks VN30 ar. Theshareshavea lock-up periodof reduce its holding to2%. Earlier, the y (SAM) closed its shareholder list yes- list shareholder its closed (SAM) y overVND4.8trillion,thefactorycov- to issueover 1.6 mi to to shareholders ata100-for- nvestments-after-formosa- the capacity of 480,000 cubic the capacityof480,000 ral investors from Germany, Germany, from investors ral stages to cut its ownership its stages tocut D400 billionbuying t halfof2017,TACob- 31 August 2017 30 / 48 30 / 2017 31 August 31 August 2017 31 August llion sharesinan BUSINESS Vietnam finance& business Vietnam down while HNXHSX up MSN and boosted byVIC VN Indexrebounds, Intellasia http://bizhub.vn/markets/vn-index-rebo The afternoon trading session starts at1pm. lion. traded millionshareswere 23 than More fromTu unchanged points, nearly 103.53 morning session at ended the Index the HNX Exchange, Noi Stock the Ha On shar thenumber outstanding of raising will 1, Group trade additional Masan 9.87 Shares ofMasanGrouprecorded a gr similar cent inthe morning. per 3.8 jumped shares Vingroup’s subsidiaries. its from received it payouts dividend Vingroup explained thatthehigh improvemen for thefirsthalfof2017, increase an After beingaudited,parent companyVingroup following thetwo announc companies’ The southern stockexchangewaslifted trillion (US$86.4 million). million shares weretrad than125.6 More back points, from bouncing 776.43 The benchmark index on theHCMStock Exchan erty developer Vingroup and food and beverage producer MasanGroup. Viet Nam’sbenchmark VNIndexrebounded onWednesday morning, driven by prop- 31/AUG/2017 INTELLASIA| VNS and notpersist inthenext sessions as the However, Minh reckoned the netsellingwouldonlyhappen in one or two sessions withdrawal.fueled the In addition, macroeconomicfactorsandpoliti ue sincethe beginning ofAugu VNM ETF’sfund Minh said portfolio. ETF’s the were sold heavily inthis in being ATC nEck Vectors Vietnam whileETF (VNMETF) he ties Inc, the market slump on August 29 wa According toNguyen The Minh, head of the brewery Sabeco, Masan Groupan Holdings, confectionery Kido Group,Sacomb which harmedmarket. the Biglosers includ Mixed day on Vietnam's st 31/AUG/2017 INTELLASIA| VN ECONOMIC TIMES http://en.vietnamplus.vn/markets-f sion, exceeding 4.9trilli the twomarketsbut the value a with unchanged nearly volume was Trading shares. million to six million shares and millionsharesbeing 30.9 traded Real Quan Consulting-Trading-Service Hoang we the southernbourse most activestockson stocks speculative into toflow continued Cash onSeptember8. in thethird quarter Th utive weeksofnetselling. USD from withdrew 2.87 million Investors net assetvaluereached 293.4 million USD on August28. certificate, USD per fund Exchange at 14.49 traded was at a percent disc 0.98 ETF VNM siderably. on VND(217.7million USD). ock market on August 30. on August ock market certificates hadbeentrading e fundis expected to announc of trades decreasedfrom thepreviousses- 5.8trades percent of st andthis mighthavepromptedthe towithdraw. fund d NovalandInvestment Group. esday’s close of 103.52 points. close of103.52 esday’s Tuesday's fall of 0.4 per cent. fall of0.4 Tuesday's all-on-etf-withdrawal/117124.vnp of 6.7of times fromthepre-audit number. ement on their business activities. on their business ement es tomorethan1.15billionshares. by Vingroup (VIC) and Masan Group (MSN) (MSN) Group Masan and (VIC) Vingroup by unds-boosted-by-vic-and-msn_288577.html on thenorthernmarket, worthVND284.4bil- ed onthe southern bourse, worth VND1.94 million shares on the HCMStock Exchange, fund’s discountsituat VNM ETF last week, VNMETFlast ount on August 28 on the New YorkStock August 28onthe ount on higher than 14.07 USD on August22. Its , respectively. Others saw trading of 4.5 s likely caused th by caused s likely ed dairy giant Vinamilk, insurer BaoViet re of propertyand with firms,re of FLCGroup cal tensioninsomecountriesmighthave owth rate of 3.8 per cent.owth rateof3.8On September per capital market analysis at Saigon Securi- ank, Vietcombank, Vietinbank, PV Gas, PV Gas, Vietinbank, Vietcombank, ank, Estate JSC leading with over 60 million leading withover60 JSC Estate in the real estate sector. Six of the 10 10 Six ofthe sector. realestate inthe reported netprofit ofVND1.62 trillion total of 314.5 million sharestradedin million of314.5 total t in its net profit was attributed tothe attributed was net profit t inits indicated that most of the big stocks the big of most that indicated ge gained 0.31per cent toclose at at a discounttonetassetval- at e its portfolio restructuringe itsportfolio ion had declined con- e withdrawal ofVa- e marking two consec- marking two 31 August 2017 31 / 48 31 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam faster flows willrotate Cash must pay0.1% tax Individual investors Derivatives trading: Intellasia The tax rate is regulated under Document 11133/BTC-CST, issued by the Ministryof Fi- Taxation on investors’ incomefrom derivati Ministryof the by issued tracts. 11133/BTC-CST, Document on taxingAugust 21, nance on under regulated is rate tax The income taxregulations. tax_288581.html http://bizhub.vn/markets/d thederivatives theday 10, ta havetopay investors institutional mestic A similar tax rate has also been imposed on sell andbuyorders andexpi prices on of the trading The taxis imposed tradingtransactions. cent incometaxforderivatives in deri participate that Individual investors 31/AUG/2017 INTELLASIA| VNS down http://vneconomictimes.com/article/bank billion ($174,782). They netboughtonHSXby ($508,260). On UPCoM,foreign investors bought million($16,682)), an (VND383.7 by PVS (VND2.99billion ($13,000)), CVT wasthe netsoldlargest share on HNX, and billion($308,695)), (VND7.1 billion($656,521)) lowed byVCB(VND15.1 wasthe netsold sh NVL largest On HSX, an billion($400,000)), (VND9.2 billion ($495,652) lion)), CTD(VND11.4 by foreigninve bought Top 5shares The 1.5 per cent, and REE 0.9percent. opening NVL closed atits price. and CT per cent,HT11 cent, QCG1.2 estate, VIC gained andreal In construction per andNT20.8perce cent, PLX1.5 cent, per energy,In rose PVT 3.52.4 percent, PGD pe VCI, and VPB closed at their opening price. 1.3 percent, CTG0.8 percent,EIB BVH and 0.4 percent, and SSI 0.2 percent, as VCB, BIDlost1.5percent, increased3.5 centandMBB1.1percent. per STB In banking,MSN 0.3 and VNM cent,while per KDC lost0.5per 0.4 per cent andTLG cent. In food and beverages, BBC gained 6.9 per cent, TAC 4.4 per cent, VCF 2.6 per cent, then It points. 776.43 morning at andro points The VN-Indexopenedat 774.31 was terday, andonHNX bil VND505.2 Liquidity on HSXreached VND3.2 UPCoM-In percent),and the (0.26 On HNX, theHNX-Indexfell 0.18 points(0 (0. percent). (0.32 points 4.62 rose VN-Index the HSX, On Main indexesonHSX closed upon August positive profit information inthe last twoquarters ofthe year. opportun that therearestillnumerouslieved many stockshave bought impressive profitab signific risen has market the stock Although 31/AUG/2017 INTELLASIA| NGUOI QUAN SAT market begins operation.market begins erivatives-trading-individual-investors-must-pay-01- VND68.3 billion ($2.96million) andonHNXbyVND4.02 ry ofthefutures contracts. investors’tradingfrom income derivatives futures con- d HSG (VND8 billion ($347,826)). billion (VND8 HSG d d IDJ (VND341 million d IDJ(VND341 ($14,826)). SCR (VND6billion($260,869)). closed the day at 778.65 points. 778.65 day at closed the dex 0.10 points (0.18 percent). (0.18 dex 0.10points trillion($139.1 million), 21 PVE (VND513.4 million ($22,321)), VGC million ($22,321)), PVE (VND513.4 266,910 shares worth VND11.69 billion VND11.69 worth shares 266,910 lion ($21.9million),12.8per cent lower. ), VNM (VND9.8 billion ($426,086)), DXG (VND9.8billion($426,086)), ), VNM stors were VIC (VND38.7 billion ($1.7 mil- billion ($1.7 (VND38.7 stors wereVIC ing-finance/yq89jxdk-hsx-up-while-hnx- are, with VND17.5 billion ($760,869), billion fol- are, with VND17.5 ($760,869), 60 per cent) and the VN30-Index 9.98 points points 9.98 theVN30-Index and cent) per 60 vatives tradingmarkethavetopaya0.1per derivatives transactions,which derivatives could be 2.8percent, 6.8percent, DXG 2per ROS x inaccordancewith .17 per cent), the HNX30-Index 0.5 0.5 points HNX30-Index .17 per cent), the 30 while thoseon HNX lost ground. , HBC (VND13 billion ($565,217)), SKG SKG ($565,217)), (VND13 billion , HBC ves trading transacti trading ves r cent, and PVD lost 2.1 PPC 1.8percent. foreigninstitutional investors,do- while antly since thebeginning of the year and nt, while GAS closed at its opening price. its opening closedat nt, whileGAS with VND3 billion ($ billion VND3 with ities tomake profitas enterprises posted ility to investors, many investors still be- still investors many toinvestors, ility se to 776.11 points before ending the ending before points to 776.11 se D 0.2 per cent. FLC lost 6.9 per cent, ITA percent,ITA 6.9 per cent.FLClost D 0.2 per cent lower than yes- than lower cent per Viet Nam’scorporate ons began on August ons began 130,434), followed 130,434), 31 August 2017 32 / 48 32 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam park Long Hau 3industrial to investin shares LHG issues 1.3mln Intellasia stocks increase like in the first half inthe half increase like of first stocks the m inthelast that suggest forecasts Many a trillion dong, partly sign panies acrosstheindustries. trad Thedaily long-hau-3-industr sharply. not increase will the index while overall profits, to maximise The cashflowswi each sector. each stockand The stockindexes continue tobesupported half oftheyear. the adjustmenttomany stocks es will continue to be positive, stock prices will be less likely to fall deeply, although Overall, wheninvestors still havethe confid about 80%oftheprofit structure ofbank growth limit is loosened; theimprovedearnings from lending, whichaccounts for of theyear,thankstoprospect The group of bank stocks is alsopredicted to of Vietnam. ket, in whichmanysessionssawrecord high further improvement inprofit whichthanis The group ofsecuritiesstocksisforecasted ing net purchased by foreign investors. Currently, the shares oftwoleadingstee compan forsteel aspringboard is which quarte the third in stocks steel for prospect si risen havealso prices selling The domestic world markethaveri of domesticand foreign investors as prices of the year, the in thethird quarter group of Decreasing inprice inthesecond quarterof th of thestocksinconstruction materi with theGoingthe increase along momentumof terprises generate mostofthe revenue and profit of the plan. the previoustime. For realestate enterprises, in adjusted not significantly and excitingly later increased that stocks realestate Some the pasttwoweeks,thisgroup of st and TDHhavesoonbeenadjusted LDG, the ye Increasing earlysincethebeginningof earnings pr good tors whichhave This confidence is seen in the fairlystrong http://sggpnews.org.vn/business/stock_mark year. period last the same compared with itpr said year,LHG this half first For the 2019. completed be to expected is It 1,1trillion. The parkcoversanareaof124 hectares of LongHai3Indust be will shares from selling revenue Total pershare for its 13,000 Long HauJointStockCompany (LHG) willis 31/AUG/2017 INTELLASIA| SGGP NEWS ial-park-68671.html rial Parkproject. sen stronger again. sen stronger current shareholders. alling that cash does notflow out of the market. is essential isto theirdue overly-fast growth inthefirst ospects, such realestate. such as ospects, al sectors, specifically steel. ocks have again attracted cashflows. ocks haveagainattracted with total investment capital up investmentcapital to VND total with ofited VND 26.7billion,decreaseof31percent VND ofited ies profitplan. to complete 2017 the year be therewill but year l companiesincluding HPG and HSGare be- s; and the activebad debt settlement. onths of the year, we can hardly see evensee we canhardly onths oftheyear, significant profit growth when the credit and into put operation inthe 4th quarter of used for land clearance compensationwork landused for cash flowing towards the stocks in the sec- the in thestocks towards cashflowing price despite their sharp and fast growth in growth fast and theirsharp price despite such as DIG and IJC have alsobeen traded r of 2017 compared tothesecond quarter, compared r of2017 ing valueof FLC shares has reached up to to rise positively, due to the expectation of of duetotheexpectation positively, to rise of billet and hot rolled coil prices on the on prices and hotrolledcoil of billet ence that the business results ofenterpris- steelstocks has attracted great attention liquidity in the history of the stock market market stock of inthe history the liquidity by optimistic profit by optimistic mar- ofthestock liquidity the good to ks lead the stock market market in the stock months last lead the gnificantly. Thispromises abetter profit ll rotate faster among the stocks inorder among the ll rotatefaster et/lhg-issues-13mln-s e year rawmaterial as fellsharply, prices the second half of the year is the time en- year istheof the half the second accumulated in the lastthree months. In ar, some real estate stocks such as DXG, DXG, as such stocks estate real some ar, sue sue 1.3 millionshares a at cost ofVND stocks in real estate sector is the rise therise is sector estate inreal stocks clear differentiationfor expectations ofcom- hares-to-invest-in- 31 August 2017 33 / 48 33 / 2017 31 August 31 August 2017 31 August BUSINESS lots underground parking Hanoi must have New buildingsin finance& business Vietnam software common operating Ha Noi taxistouse falls sharply Real estate inventory Intellasia faster and wouldfaster be moreconvenient.Itwo and and technolog of science was theapplication Ha HuyQuang, deputy directorofHa Noi’ equi use technicalperipheral to measuresor vices such as smart phones and tablets. Taxidrivers andoperators will not be allowed The software will connect passengers, taxi down by 3.958trilliondongcomparedtotheendof2016. in the w estate inventory real the total the Instituteof of 0.4%. Accordingtoreport about by slightly fell also city Hochiminh in apartments of price trading the Similarly, For individualhousing, the prices al ments. However, thesegmentofmid-end apar was about decrease 0.9%, whilethis about Inparticular,thesegmentofhi ter of2017. In Hanoi,pricesdroppedsharply apartment 31/AUG/2017 INTELLASIA| TIEN PHONG ground-parking-lots.html http://english.thesaigontimes.vn/55881/Ne it was withdrawnduetostrong opposition. at leastthree underg building musthave a DepartmentPreviously, ofPlanningand the for parking bicycles andmotorbikes. The regulationsalsoencourageinvestors of not allowed to haveparking lots in the basements. houses for old and disabled people, hospitals However, as regulated by the Ministry of demand for parking ofvehicle owners working atthese agencies. agencies atalllevels andschoolsmust have the Communist Agencies of new regulations. nance, banking, insuranceand telecommunic urban services suchas vocational education, facilities, offices, hot and mixed-use Public and commercial, social or resettlement housing blocks. basement to haveHousing projectsrequired lotused for the areaof the land total to regulated lotis The areafortheparking ological urban areas. city areaincludesthebetween thesec by Ring Road No. 2 and also cover Ba Dinh The oldquarter,orthehistoric expanded inner-city area. lots toparking apply will Criteria chitecture. of construction proposedprojects by the The city has issued guidelines for determin space equivalent tothesurfacearea, accord in downtownHa New constructionprojects 31/AUG/2017 INTELLASIA| THE SAIGON TIMES ers and the public for better supervis the publicforbetter and ers port businesses in the capital, and a resp This proposalisoneofthecontents acommontaxi transport businessesto use Ha Noi’sDepartmentofTransporthas propos 31/AUG/2017 INTELLASIA| VNS Party, theGovernment andministries, administrative inner-city area as stated in the regulations, is bordered bordered is theregulations, in stated as area inner-city so slightly rose by about0.39%. ion of taxi operationsinthecity. project with amaximumoffive basements. hole country was about27.065 trillion dong, onse to the demandsofagencies, policymak- municipal Department of Planning and Ar- Planning and Departmentmunicipal of draft policy on themanagementoftaxitrans- draft policy kindergartens,preschools,Construction, round floorsround forcarparking, butsoonafter, agencies and taxi drivers through smart de- agencies and taxi drivers throughsmart operating software from July 1, fromJuly 2018. operating software ond and fourth ring roads,satelliteandec- gh-end sawpricedecrease apartments of w-buildings-in-Hanoi 1.3% for the segment apart- forthesegment 1.3% of affordable els, commercial centers, and buildings for and centers, buildings commercial els, be confined to theconstruction areaorthe ing the scale of underground parking lots ing to ofthecitygovernment. regulations political center, while the expanded inner- s transport department, said the software Construction Economies, as of late July, as oflate Economies, Construction projects to build basements to makeroom basements projects tobuild carparksintheirbasementstomeetthe uld alsobusinesses ensurethat share ben- noi Citymusthave underground parking parking lots include high-end tenements, lots include parking pment that interferes with this software. this with interferes that pment Architecture had issued a regulation that issued a Architecture had by about 0.3% tothe compared 0.3% about first by quar- y and would help passengers hail taxis would helppassengers hail y and projectsinthecity’s of old and quarter culture, sport, entertainment, tourism, fi- culture, sport,entertainment, and dormitories of boarding schools are schools of boarding anddormitories ations are also within thescopeof tments increased by about 0.3%inprice. tments increasedbyabout ed to make it compulsory foralltaxi make it to ed -must-have-under- 31 August 2017 34 / 48 34 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam project car for cable light Quang Binh gets green Ha Tinhare scrapped Huge steelprojects in Intellasia scrapped.html http://english.vietnamnet.vn/fms/business/ feasibility. has high project resumption they don’tthinkthe The governmenthas notmadea final decision on theproject. However, experts say from ThachKhe. the ce in complex Formosa, thelargeststeel outThe ministryalso that pointed no one ca vestors’ financ to consequences immeasurable the including manyreasons to cited argue that it wo MPI ment). fr facing Trade),butis try opposition and is plan Thach Khe.The at tmining resume Vinacomin, Vietnam’s largest mineral exploi had troublessince the beginning. biggest mine inSouthEast Asia. However, Ha Tinh’speople are proudofThachKhe ir the rights for mineral exploitation. investor didnotorganize mi Tho commune,iron inSon the the licenseformining project. Nineyears afterreceiving authoritieHa TinhprovincialAugust 7, On plex. However,theexploite billion The VND158 factory. The failureoftheprojectalsoled tothe years. air for creditors coul debt and became bad the project The death of projecthurtseveral the comm In Vu open since2010. 2016, air Hundreds of billions ofdong worth of impo However, things gust 2010. The steel complex tochurnplanned out comme of VND1.7trillion. The project wasexpected tocover anarea of second phase. tonsin of250,000 complex with capacity tificate tothe Ha TinhIron & Steel JSC, which planned to develop theVanLoisteel In 2007, the VungAngEconomic Zone’s ma but most of them havebeen closed. Ha Tinh’speople once put high hopesonmany 31/AUG/2017 INTELLASIA| VIETNAMNET The joint operating centre oftaxi transport un ment agencies, transportation units and locals. softwareit to by connecting public parks) operatesystemstationand itsenti tomanage transpor- intelligent build centre, management traffic unified a up set also will Noi Ha added. with the transport department and the taxi The cityhasasked ofInfo theDepartment efits would and create atransparentplayground for all firms. Quang Binh hasgotthe green light 31/AUG/2017 INTELLASIA| VNS http://bizhub.vn/news/ha- management centre. ble car system in local Phong Nha-Ke Bang Nha-KeBang local Phong in car system ble ial capability. noi-taxis-to-use-co didnot go as planned. d materials were notsold. neral exploitationanddidnot factory was set uptoprovide materials to the steel com- ng AngEZrevokedthe project. from the Prime Minister for for Minister Prime the from death ofa500,000 tonperannumironsorting the first phase and VND500,000 inthe the tons first phaseandVND500,000 rmation and Communications to collaborate om MPI(Ministry ofPlanningand Invest- National Park, anprotected naturalarea. National data at the centres, routes, State manage- routes,State data atthecentres, supported by MOIT(the the Thach Khe $1 billion mining project has miningKhe project $1billion the Thach ercial banks. VND750 billiondisbursedfor ercial banks.VND750 s revoked the licensegranted tothemining ntral region, doesn’t intend to buy iron ore association thesoftware, to build Quang 185291/huge-steel-projects-in-ha-tinh-are- uld be better not to continue themining, to be better not uld on ore mine, whichis believed to be the nagement board gave aninvestmentcer- 25 hectares, wirh huge registered capital capital registered huge wirh hectares, 25 rted equipment havebeen leftidle inthe n besure aboutthe ofore.consumption tation group, in late 2016proposedto the environment and theproblemsinin- theenvironment mmon-operating-software_288582.html re traffic infrastructure (traffic (traffic lights, infrastructure re traffic its bemust connected d only get back the scrap left in the open scrapleft in the open getback d the only huge steel projects in their province their steel projectsin huge rcial steel billets on a trial basis inAu- basis onatrial steel billets rcial pay money for grantingof its proposal toinstallaca- its Ministry ofIndus- 31 August 2017 35 / 48 35 / 2017 31 August to the city’straffic to 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam may have way outmay haveway Loss-making PVTex Intellasia http://www.vir.com.vn/quang-binh-gets-g foritsbiodiversity. 2015 and oncein geography its for once in2003 outstanding naturalhabitat.It The 1,233sq.km Phong Nha-Ke Bang National caused the investor towithdraw fromtheproject and it was later cancelled. to SonDoòng, whichissaidtobethe worl yearsa sim Threeprovince ago,the proposed of construction on impacts the cons and residents local However, locality. to attrac system expectsthecable Binh Quang final approval. pr the the details of prepare to country office the UNESCO and agencies related with for working are responsible authorities Local consultation, andassessmentof inthe be investigation, involved and would Sports Tourism ofCulture, The Ministry world. famed Son Doong Cave, which is known as one cave.Thecave fromthe 2km is karst biggest third to theworld’s be said is which En, the local willconnect car system cable The tional park. th to ensure Binh Quang hetold agreed but In addition to Fortrec, Reliance Industries Limited of India also wants to team up with with up team to while stakes PVTex’s topurchase partners invite to intends PVN that is The dilemma wants also India of Limited have butthetwosides PVN, yet Industries Reliance Fortrec, to addition In Fortrec has recently askedPVN to come upwith another plan. ment by late lastmonth. However, it has yettoreceive any answer todate. Therefore, The Singaporean partner hadexpected to ge prices. competitive at products ofselling be charge in would and company wouldsupply the Singaporean that Fortrec hadearliersaidinitsproposalon 2015. asoflate ties ofVND7 trillion liabili- trillion, VND1.3 and ofahefty losses accumulated incurred had The company sultants and restart thisfactory. into loss-makingprojects.Therefore, PVNcannot pourmoneyintoPVTex tohire con- Forexample,Government the not haspledged problems need to be solved before thecostly factory can restart operations. andTrade MinisterofIndustry Deputy of PVTex. re a bidto in with theSingaporeanpartner The MinistryofIndustry and Trade has around three years. PVN holds a 74% stake in the company whos Dinh Vu Petrochemical and FiberJSC (PVTex). Limited have expressed interest incooperating with PVN to consume products for the Singapore’s Fortrec Chemicals and Petroleum Pte Ltd and India’s Reliance Industries indecline. costs are material while havebeen rising main products PVTex once the resumedoperation, now company that prices of yarn and fiber as its At leasttwo foreign companiesanda local concern have agreed to buy products from products. of beingmired in huge troubles,as some co light see may (PVN), Group Gas and Oil tional Dinh VuPetrochemical and FiberJSC(PVTex), 31/AUG/2017 INTELLASIA| THE SAIGON TIMES Prime MinisterNguyen Local authorities proposed th XuanPhucduring his visitto e 5.2km cable project at a meeting late last week with wasrecognised twicebyUN natural habitat ofthepark. possible environmental impacts. to start detailed negotiations. detailed to start Hoang QuocVuong,however, said many since August 2016 urged PVN to negotiate urgedPVNtonegotiate 2016 since August a two-yearcooperationcontract withPVTex d’s biggest grotto. Str ach a compromise and restart the operationacha compromiseand restartthe ervationists areworried about the negative reen-light-for-cable-car-project.html at the environmentwasprotectedinna- at section oftheHoChiMinhTrail to Hang rporations haveexpressed interest inits t the approval of thet theapproval Vietnamese Govern- oject before it issubmitted tothe PMfor ilar cable car system to transport visitors visitors to transport carsystem cable ilar e operation has ground toahaltfor t morevisitorsand boost tourismin the material for the test operation period for thetest material at the end of the tunnel after long years after tunnel the theendof at Park is a protected area because ofits area is aprotected Park to inject additional investment capital capital investment additional to inject aloss-making affiliate ofNa- Vietnam of themost popular destinations inthe the central province. ThePM ESCO asanaturalheritage, ong publicopposition 31 August 2017 36 / 48 36 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam cooperation deal Rent-A-Port N.Vink Vinalines, Belgium’s year training centerthis ‘bridge’ engineer VNITO to open Intellasia PVN suggested purchasing allofPVTex’s pr to solvethe The problem. apparel group at and Garment Group National Textile Vietnam ucts. more attention to Japan as this is ahighly as this to Japan more attention pay will year this Alliance VNITO said Solutions, of TMA chairman Le, Huu Nguyen etnam andcustomersinJapan. thinking andgoodcommunicati environm edge toadaptwell to the working engineersare fluent arein Bridge thosewho especially bridge engineers, is fore satisfy employmentrequirements ofJapanese Ja Alliance’s memberssee of VNITO Many Nguyen HaiLong. Lam meetingth Japanesestandards formanpower year willopenaBridge SystemEngineer (B Vietnam InformationTechnologyOutsou The 31/AUG/2017 INTELLASIA| THE SAIGON TIMES http://english.thesaigontimes.vn/55877/ million. vestment ofUS$325 PVTex, whichis one of12loss-makingprojec losses. is which well, sell could products its tion, per tonthantwoyears ago, whilematerial priceon thefiber the toVinatex, According Earlier, Vinatex had onlyagreed to wa partners only potential these port and Dinh Vu industrial and DinhVu port an zone port,processing specialised grain in a Memorandum of Understanding (MoU)on Au The Vietnam NationalShipping Lines(Vina 31/AUG/2017 INTELLASIA| VNA ing fromconsultancyandfull ment ofmarine infrastructure Rent-A-Port is an engineering and investme %E2%80%98bridge%E2%80%99-enginee http://english.thesaigonti who workfor IToutsourcingmay companies The bridge engineer trainingprogram aimsat after graduation. ware City. Trainees ofthecenter couldha (I nology’s HumanResourceSolutionCenter Earlier, VNITO Alliance coop programs intraining participate will prises Japanese and the knowledge specialist with Therefore, VNITO Alliance willlaunchshor Solutions’ revenue. The Japa compared toNorthAmerica. low However, someIToutsourcingfirmssaidth and India. the softwareoutsourcingsector of Vietnam in is interestedto implementengineers it itstechnology of projectsand development Under the MoU, the two companies will seek will the the companies two Under MoU, projects zones. and industrial mes.vn/55883/VNITO-to-open- zone, inHaiPhongcity. project management to co-i management to project s and industrial zones worldwid zones industrial s and erated with Saigon Tech to establish InformationTech- nt tostrike cooperation deal on skills toconnectsoftware cast to surgein thecomingtime. buy 40-50% of PVTex’s output. ofPVTex’s 40-50% buy Loss-making-PVTex-may-have-way-out.html r-training-center-this-year.html ve a chance to work at VNITO’s members VNITO’s workat chance to a ve potential market. Japan Japan market. potential a viable way for the factory to forthefactory settle huge way a viable nese market accounts for 10-15% of TMA nese for10-15%ofTMA accounts market aworking session early thismonthwith costs are lower. If PVTex can restart opera- pan as a key marketbut engineers cannot to helptrainees pr rSE) training center to supply qualified IT rSE) trainingcentertosupplyqualified IT lines) and Belgian Rent-A-Port N.V signed signed N.V Rent-A-Port Belgian and lines) global market is now some US$200 higher language in HCMC. Experts of ITenter- of Experts HCMC. in language rather than othercountriessuchasChina at revenue fromexports toJapanremains d logistics system projects in Lach Huyen Huyen Lach in projects system logistics d t-term training courses to equip coursestoequip trainees t-term training nt company, specialised inthedevelop- specialised nt company, Japanese and good at specialistgood Japaneseand knowl- ent inJapan. They mu oducts ifthe compan ts underthetrade has ministry, in- a total e market, saidVNITO Alliance President ITengineers andstudents atuniversities SC Quang Trung) at Quang Trung Soft- Trung Quang at Trung) Quang SC collaboration opportunities in a joint joint a in opportunities collaboration firms. Demand for IT human resources, for IThuman firms. Demand rcing Alliance (VNITOAlliance) this rcing in Japan or theirpartnersVietnam. Japan in in (Vinatex) has also emerged as a partner as partner a emerged also has (Vinatex) gust 30onthe possibility to cooperate nvestment in marine related related in marine nvestment s to trade in PVTex’s prod- s totradeinPVTex’s outsourcing firms inVi- e. Itoffers services rang- actice at actice at enterprises. y operates again. is facingashortage st havescientific 31 August 2017 37 / 48 37 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam acquisition Tranconfirm Anh Mobile World and in QuangBinh power renewable energy RoK group invests in Intellasia http://en.vietnamplus.vn/v ofdeep-waterharbours number th leng metres, percentofthetotal 30 13,000 to14 sea capital contributed binh/117127.vnp http://en.vietnamplus.vn/rok-group-inves The project isexpected tobe put into operation atthe end of2018. of 49.5MW. c group will the firstphase,Korean In parks. and water areas resort and building power biomass of 100MW er, The 55-million-USD project includes sub-proj provincecoastal ofQuangBinh. centralthe of Thuy district energy inLe construction ofarenewable powercomplex Dohwa Engineering Company Limited fromthe Republic ofKorea (RoK) has began 31/AUG/2017 INTELLASIA| VNA 117157.vnp two million tonnes, occupying some 25 percen Vinalines currentlymanagesafl Hai Phong, Sai Gon andDa Nang. including ports, at key capital 65percentof registered tohold allowed also is Vinalines foreign businesses. and mestic do- to percent 35 sell will it while USD) million (541.2 VND 12.3 trillion of capital tered this year. Under the IPO plan, the State wi ices inHaiPhongcity. Thefirmwillmake an marine aleading is Vinalines sectors inVietnam. port andlogistic rine is expected toenhance competitiveness and ma agement experienceandfinancial capacity, With adorable port infrastructure and logi velopment. financial capacity improvemen the Vietnamese company inadvanced tec Thus, Rent-A-Port N.V will atta 2018. April, 10 percent ofVinalines’s ch Di by Vinalines invested currently is which Along with joining the construction ofa630 tributing. centre oppositethegrainport Port. They are alsokeen onanotherjoint vent grain handling company todevelop venture In early August, rumourst 31/AUG/2017 INTELLASIA| VIR ed that TranMWG Anhand arelisted stockon theexchanges with alltransparent fig- soon toprepare for the mergers andacquis “If thisplanisapproved by bothparties, of their shareholders. ing toKien, nothingisdefini a mutualagreement have reached terprises of Kien, chairman Xuan Tran VIR, Talking with acquiresMWG todominate of shareholders. as both parties confirmed the acquisition plan, which is still waiting for the approval (MWG) will acquire Tran Anh Digital World ook flightthat Mobile Wo inalines-belgiums-rentapor arter capital whenthecompany becomes capital in privatised arter te just yet, as MWG and Tran Anh are awaiting approval approval awaiting are Anh and Tran MWG yet,as te just port businesses, which have a total length of more than a totallengthofmore have portwhich businesses, business in Vietnam, especially in port and marineserv- inportand especially inVietnam, business , facilitating grain loading, t, business management, service supply and market de- and market servicesupply management, t, business ch itslong-termbenefitsto eet of off-shore vessels with total capacity capacity vessels eet of total off-shore nearly with of at can receive 190,000tonnevessels. at canreceive we will implement the necessary procedures procedures necessary the implement will we hnology transfer,training, humanresources th of ports nationwide. They include a onstruct a solar power plant with a capacity a with a powerplant capacity solar onstruct ts-in-renewable-ener stic system coupled with considerable man- considerable with coupled system stic ll hold65percent of the company’s regis- itions (M&A) process,” Kien saidand add- nh Vu JSC, theBelgian enterprise canbuy collaboration between the two enterprises collaboration betweenthe on the acquisition plan. However,on theacquisitionplan. accord- -metre port in Dinh Vu industrial park, -metre portindustrial inDinhVu ure firm to construct a 250 hectare logistic a250 logistic hectare toconstruct firm ure port in Hai Phong InternationalGateway initialpublic offering(IPO)inDecember JSC (TranAnh), andhave now came true ects of generating 550MW of solar pow- of solarof generating 550MW ects t ofthe national flee Tran Anh, said that leadersofboth en- intain crucial roles of both sides inma- sides ofboth roles crucial intain rld Investment Corporation t-nv-ink-cooperation-deal/ storage, processing and dis- storage, processing Vinalines aswellsupport gy-power-in-quang- t’s Ithas capacity. 31 August 2017 38 / 48 38 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam phone market tapping high-end BKAV puts faithin Intellasia Tran Anh, MWG may have to MWG mayhaveTran Anh, Minh CitySe According toHoChi M&A plan. held whenMWG its 2017, sh 28, on August ticker Anh’s trading priceofTran The held bynomore thantenlarge shareholders. andthisnumber stocks of activities M&A he is revealed thatMWG pla Kien did not mention the price ashe saidth Tran Anh’sstockprice Anh’s activities. the acquired amountwouldbe Tran with someof talks hehadprivate that cannot estimate the specific chartered capita has notbeenafinal there said that Kien will bepublishedinshort order. for TranAnh’sshareholders31 isthedeadline proval on thesale of more than25 per cent Regarding Tran Anh,adocumenthasbeensu borrowings, bondissuances, undistri nual shareholders’ meeting in early 2017. Th tical industry.itsan- initialas the Thisapproved by budgetfive much is times one as oneinthefi including chains, retail some an 85.93 per cent approval rate tospend shareholders the at Earlier, quickly. Now, at a price of nearly VND9 apriceofnearly Now, at in theworld nology companies can do everything in the designandmanu matches thatofanyotherluxuryphonein from China, andtotallydesigned by BKAV Our Bphone 2017isfullymade in Viet Nam, goal. our achieved After by eight years, tured the Vietnamese. cidedresource toinvest capitaland human Nam willhaveatechnologybr near futureViet the in with progresswe hope intechnology,namese development and an long vision a BKAV TechnologyGrouphas intense? is budgetmedium-level orphone andnota ph of- latest its about Why didBKAVchoosethehard waybydesi company, the of CEO and 2017. fering,luxury Bphone the chairman Quang, Tu Nguyen with speaks Desimake thefirst“MadeinVietNam, years eight BKAV TechnologyGroupspent 31/AUG/2017 INTELLASIA| VNS http://www.vir.com.vn/mobile-world-and-tran-anh-confirm-acquisition.html small shareholders, thepurchasingprice offere wishes topurchase all stocksfromsm TAG AccordingAnh’s shareholde toKien,ifTran of less than ten TranAnhshareholders. private placement.MWG sharesissuedinthe Afterwards, theseshareholders will have value. pershare, ($2.2) theprice ofVND50,000 at a if so published, information and ures ’ meeting on August 28, MWG’s ’ MWG’s shareholders agreedwith meeting 28, on August nning for a private placement of 6-7 million shares for its shares for 6-7 million of placement for aprivate nning large enough for MWG to dominate and decide on Tran onTran decide and dominate to MWG for enough large purchaseheld by TAGstocks and name like Apple or Samsung.and namelikeApple Tostartwith, wede- .8 million ($440), westill haveto suffer aloss of around like Apple and Samsung can. Samsung like Appleand buted profit, and new stock issuances. TAG on HNX was VND32,600 ($1.4) per share ($1.4) pershare VND32,600 was on HNX TAG pproved, the M&A deal decision by Tran Anh’sshareholders, soMWG gned byBKAV’smartphone. VietNamNews VND2.5 trillion($110 eld ofelectronicsandoneinthe pharmaceu- be may exchanged shares for TranAnh’s to spendthemoney purchasing6-7 million which is 50 per centhigher which is50per than themarket the world, and we can proudly say that we the world,andwecanproudly say Anh’s shareholdersand he is confident that facture of smart phonesthat famoustech- of the chartered capital to MWG. August August toMWG. charteredcapital of the s to create asmartphone fullymanufac- staff. The quality all andbigshareholders alike. Regarding areholders’ meeting fo areholders’ meeting we are very proud tosaythatwe have at both parties are negotiating. However, However, negotiating. are parties both at l it may acquire. However, Kien revealed and VND500 billion rs approvetheplanofacquisition,MWG gning andmanufacturing a luxury smart one inthemarket where thecompetition e sourcesoffunding will originate from with only 0.9per cent ofpartssourced bmitted to its shareholdersaskingforap- bmitted toits Basically, this is a stock swap for a group for a swap stock a is this Basically, to vote for this plan and the final results results the final and plan for this tovote d great passion to contribute to Viet- to contribute to passion d great curities Corporation (HSC), tocontrol d willnotbelessthanbigshareholders. Tran Anh’s shareholders TranAnh’s of ourBphone2017 million) on acquiring acquiring on million) will be implemented (US$22 million)to r approvalofits 31 August 2017 39 / 48 39 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam Wheel launches giantSky Vinpearl Land Intellasia market.html http://vietnamnews.vn/econom ers. Dong, theleading smart phoneretailer inthemarket, tobring Bphone 2017tocustom- The first versionofBphonewas introduced in us. tasks like engineering, electronics, software gle to mainboard.Later Qualcommag fit the we had togo companies, small they but Butin three the first turing. years, major With thisfoundation in software andha have achieved great results despite thefact to started BKAV Nam, toViet returning smart houseswhereeveryt theirto see excited ning. We got theideaof making smart phone at software but hadlittleexperience inha As Isaid before, BKAVTechnologyGroupis Why did you take along time forBphone? sung. andVietNamwillhavea have aBphone Wehaveade follow. will profits and turnover around 0.9 percent. Chinese partsatonly of the prod it couldbeamongphone, and smart ese customers’confidence that aVietname all requiremen I believecan meet ourBphone So we are focusingon the localmarketwith domestic market. ognised that no smartphone can be successfu Besides Dubai, we also think about other ma phone. network security. This isourstrength and it ($22 million)thatweinvestindesignin business oftheBKAVTechnology The core version. local ket, andofcourse the price of the Bphonewould Gold be much higherthanthatofthe manufacturing the Gold Bphone version tom We haveorders from our Dubaipartnerforvery highly secure smart phones.Weare export ve Bphone the Gold BKAV has closely linked with luxury. the future, we mightintroducemid-range tomers’ minds,theyarelow-le like Appleor Samsung.BudgetChinese smar to inco regard achieve successwith might is verycurrent technology, easy it our With our productas luxurious and top quality. several millionDong(around$200)oneachp Nam’s largest wheel by the Guinness World impressive height of120m,Vinpea an With the 10highest wheels inthe world, at (Vingroup) JSC Property developerVingroup 31/AUG/2017 INTELLASIA| VNS segment. We havealso impr Now Icanproudlysay that Bphone2017isg Bphone 2017. pected.But from thatwelearnt an alot oved ourdistribution by co-o vel products. It’s exactly what we don’t want todo.In want what we don’t exactly It’s vel products. y/392918/bkav-puts-faith-i Vinpearl LandNha Trang on Wednesday. rsion. Can you tell us about it? us about tell rsion. Canyou g and manufacturing the Bphone comes from d many improvements have been made in manufacture smartdevices for homes, andwe rdware, we moved to smart phone manufac- rdware, especially smartphonesin the begin- companies refused tomake them for usand technologylike AppleandSam- brandname me but we would never become a bigname become me butwewouldnever were not professional and we had to strug- se companycanmanufacture a really good products, butthe Bphone brand must be that the Vietnamese market isnotvery big. afullyVietnamesehigh-techproductand for us tomake a budget smartphone. We When we manage to gain customers’ trust, trust, customers’ gain to manage we When rl Sky Wheelhas been recognised asViet , marketing, sales were also very new for sales werealsovery marketing, , Group is network security. Allthemoney Group isnetwork allows us tomake a highly secure smart ood enough to fit into the VND10 million ood enoughtofitintotheVND10 rkets around the world, but we have rec- reed to make chipsets for us. All other All us. for chipsets make to reed Records, aslarge as the famous Mel- anetwork security. We arevery strong t phonesoffer alotofbenefits, but in cus- hone. Butthisistheonly waytoposition hing was controlled ucts in the world with the smallest ratio ratio thesmallest with world the ucts in l outside beforeachievingsuccessinthe s after, in 2003,I visited Japan and was ts. Right now, we have to gainVietnam- ts. Rightnow,wehave sire that in future every Vietnamese will will Vietnamese every future that in sire eet the requirements oftheluxury mar- officially launchedit 2015, butit was not perating with The Gioi Di n-tapping-high-end-phone- automatically. After After automatically. s SkyWheel,oneof as successful ex- 31 August 2017 40 / 48 40 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam Vietnam to rampuppresencein hospitality expansion Mövenpick’s Asian Intellasia ese development strategy will gainfurther residenc rooms,132 250 Bay featuring Ranh This expansionwillkick-off next year 2020. by keyscountrywide 2,200 tomore than portfolio move its will grow that hotels—a Mövenpick Hotel Hanoiandhassignedmana Mövenpick Hotels &Resortscurrentlyoperat one single brandinthe addedChavy. country,” make usoneofthelargestthat would in “Our ambition is togrow our to portfolio 10 strong and has growth hospitalitymarkets tegically important for Mövenpick Hotels & Reso longest the world’s Along with areas site. on a70ha summer Land NhaTrang, of atVinpearl 2017 Vinpearl SkyWheel isthemostanticipated tourism. for KhanhHoaProvince’s were transportedsteel frames fromthemainla meeting on the occasionofits on meeting Olivier Chavy, president and CEOof Mövenpick Hotels & Resorts, shared at a press next five years. wi brand in Vietnam, international leading Swiss hospitality companyMövenpick Hotels & Resorts is fast establishing itself as a 31/AUG/2017 INTELLASIA| VIR wheel_288583.html http://bizhub.vn/corporate-news/vi Nam. Viet tourism mapof NhaTrang become has "i an ence, Vinpearl Developed onalarge scaleandneeding twoor system of hotels, resorts, villas and five Notably, as acustomerofVinpearl, visitors from allcontinents. t well as rare birds, as tiger and Bengal ar andanimals hundreds ofpreciousplants Vinpearl Right atthefootof 5,000 capacity ofover Theatre with sic such as the Water Park with thrilling rides, In addition, visitorscanenjoyhundreds covery andgreatexperiences tovisitors. records,"the "landof has becomeTrangbringing thejoyofdis- Land Nha Vinpearl world, Van Hoa Hill and King’sGarden-- record ofcompletiontime. In just an ei ofa recordinterms made has it Not only Viet Nam. of projects tourism among the impressive landmark is and a special inNha Trang ists With auniquevision, Vinpea bays intheworld. beautiful most whelming dazzling beauty,capturing the en From thetopofVinpearlSkyWheel, visi thrill rides in creating an by It isdeployed Intamin Amusement Ride turn. Vinpearl Sky Wheel has 60modern cabins, Nha TrangBay. bourne Star (Australia) and Sky Dream Fukuok d roller coastersworldwide. Sky Wheelisthe King’s Ga rl Sky Wheel offers awonderful experience thatonly ex- leadership team visiting Viet team visiting leadership sea-crossing cable car, the npearl-land-launches-giant-sky- seats, the AquariumandDolphin Bay. with the openingofMövenpickResort Cam ght-month construction housands of rare speciesofflowers and herbs -star golf course of Vinpearl Nha Trang. Vinpearl Nha of -star golfcourse ternational hotelcompaniesoperating under of gamesatthemodern amusementpark, tors canexperience excitementandover- size, Vinpearl Sky Wh the world’s largest fl the first and only open zoo in NhaTrang-- only openzoo the firstand development prospects forourcompany." development th ambitions toown th10 hotels ambitions within the es, and 121 villas. The company’s Vietnam- company’s The villas. 121 es, and among theeight recently-built items inthe traction with the launch ofMövenpickRe- traction with the ndispensable destination" on thecurrent accommodating upto480passengers per have the opportunity toenjoytheentire the have s, a company with 50 yearsofexperience s, acompany hotels within the next five years—a thenext move years—a five within hotels e housed, suchas leprechaun, silver lion, tire stunninglandscapeofone ofthe29 es one property in Vietnam, the 154-key bringing the to up90"check bringing total in" gement agreements for five additional nd to the island to create anewsymbol the islandto nd to three days toexploreandfullyexperi- threedays a (Japan), and is the latest attraction of latestattraction is the (Japan), and a rts. Itisone oftheregion’s most high- rden and VanHoaHill, where largest floating bayinthe floating largest nam that, “Vietnamis nam that, stra- period, hundreds of period, hundreds oating bay, Water Mu- oating bay, eel alsobreaks the 31 August 2017 41 / 48 41 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam operating complex about to start petrochemical refinery and Son $9 billionNghi Intellasia presence-in-vietnam-357506.vov http://english.vov.vn/economy/movenpicks-a in thePhilippines,” Langdon added. Khao Yai and MövenpickRe in Thailand the Resort year,and resortsMövenpick the this two newhotels to open “We areontrack members takingpartin the‘GrandTourofAsia.’ don, chief development officerofMövenpickHotels & Resorts, one ofthe ExCom the continenttobecome a bigger percentage decade and we looking beyond2020, expect under properties 30 least at willhave “We the Philippines, andthe Maldives. onein and (two), Bangladesh (three), Malaysia as breakdownprojects is ofthesignedThe resorts inthe region bytheend ofthedecade. growing Th theAsiaportfolioto 27properties. 17 new projects havealready been signed, and one property each inChina, Indonesia, the Philippines, and Sri Lanka. dition to its property inHanoi, the firmma Today the company operates 10 hotels andre Malaysia. and already visitedThailand has Indone before headingtothePhilippines and visit and owners hotel local and colleagues Vietna plans.to Duringtheirsion visit global and PhuQuocastheang, CamRanh, Executive(ExCom) ofMövenpick committee tel Binhin2020. Quang Mövenpick HotelHo- Han River, &ResidencesMövenpick Danang,andthe219-room Mövenpick Resort &Spa Quy Nhonwith and52residences,180 rooms the 504-room spector team to overview the “nuclear radi the spector team tooverview On July 26, theThanhHoa Department of milestone markingthe strong developmen namese refinery welcomedsuchahuge Dinh Van Ngoc, deputy generaldi filling that metres. Itisforecasted cubic kilometrescomplex’ Son ofpipelines toNghi 14, and pumped complex son ofNghi (SPM) the huge20, On Augustoil crude tanker Milleniumarrivedsingle atthe point mooring pylene. tonnes ofpetrochemical products millions of Nghi Son refinery will 40 meet per cent capacity theannual of With from KPC. every Accordingly, month, quarter of 2017. As scheduled, NghiSoncomple parts. components ofits some testing is to NghiSon Refinery and Petrochemical LLC The constructionstartedinJu Co., Ltd., and Mitsui Chemicals, Inc. Gas Group(PetroVietnam), KuwaitPetroleu Nghi Son refinery and petrochemicalcomple maining tasks for a perfect launch ontime. sotheco been completed, have of2017 quarter Nghi Son refinery and petrochemicalcomplex’ 31/AUG/2017 INTELLASIA| VIR rooms, 305 with 296 sort Phu Quocin2019 10 million tonnes200,0 10 (about ly 2013 and hasbeenbasicall ly 2013 and x willbe into put official operation fromthe fourth rector of NSRP, said that this is the first time a Viet- time the first this is that said of NSRP, rector m, the ExComdelegation willmeet with of domestic oil and gas demand and export and gasdemand oilof domestic up all the up all maytake three tanks about days. crude oil tanker, which makes NghiSon a Technology and Science established an in- follows:Vietnam(five),Thailand(four), t oftheVietnamese seaport industry. all ofwhichare on tracktoopen by 2020, our managementinAsiaby the end of the ation safety” of Nghi Son complex and it ation safety” and of NghiSoncomplex NSRP NSRP will welcome oiltankers three crude nages five hotels andresorts in Thailand residences, and 87 vi the locations oftheupcomingproperties our property development activity across activity our propertydevelopment of our total portfolio,” said Andrew Lang- of ourtotalAndrew portfolio,” said hospitalityfirmpu s tanks.Eachtankhasavolume of120,000 , such as benzen, paraxylen, and polypro- as benzen, , such sort & Spa Boracay, oursecondpropertysort &Spa sia toconductsimilarmeetings.Theteam m International (KPI),IdemitsuKosan m International 000 cubic metresofcrude 000 cubic oil through 35 (NSRP) by now. Currently, the complex bynow.Currently, (NSRP) x is jointly invested by Vietnam Oil and Oiland Vietnam invested by jointly x is sorts insevenAsiandestinations.In ad- Hotels &Resorts will visit Hanoi, Dan- sian-hospitality-expansion-to-ramp-up- e goal is to operate at least 30 hotels and 30hotels least e goalistooperateat each of the following locations –China, eachofthefollowing s preparations for its debut in the fourth the fourth in for its debut s preparations mplex is in a rushtofinishallminorre- mplex isina y finishedandhandedover 00 barrels of oil per day), barrels of oil 00 rsues its Asian expan- llas, the openingof 31 August 2017 42 / 48 42 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam unveiled ahead: Kahuna Ho TramStrip moves Intellasia room 5-star Grand Hotel, Vietnam’s larges Kahuna isthe fifth phaseoftheHo TramSt west by natural forest. ment as “featuring adesigninspired alu ment as“featuring by Michael chairmanofHTP, Kelly, executive slice of this fast-developing coastal holiday destination. of abeachside holiday experience. It offers OROCON, Kahuna,namedafter thelegendary arch City Chi Ho Minh byleading Designed nights per annum in the resort. maining eight years oftherental pool agr lowing this, lessees benefit from a favourab HTP guarantees a return of 8 per cent per annumfortwo years of net lease cost. Fol- fora billion villa. VND20.5 ($900,000) billion for ($400,000) a penthous to VND9.11 VND2billion Investment costsrangefrom long-term lease. ina12-storey tower, situated resort is a244-key TramStrip Ho Kahuna ed resortdevelopment. who were entertained and presented withavi eventwasattend dotel andvilla project. The Ltd.(HTP Tram Project Company Ho night, Centre at Gem a spectacularfunctionheld At 31/AUG/2017 INTELLASIA| VIR about-to-start-operating.html http://www.vir.com.vn/9-billion-nghi-son-refinery-and-petrochemical-complex- cent, and MitsuiChemical International 4.7per cent. percentstak hasa 25.1 PetroVietnam this Licensed in 2008, NghiSon co of thesystem to show abnormalities inthewastewater. tributed controlsystem(DCS)system. Allthe takingchecksby itswastewatersample water regularly complex also Son Nghi system, sewage standardised the besides Especially, sions, andnoise. state regulations on environment protection, Duc Quyenconcludedthat Committee Nguyen theinspection,Vi 8, after onAugust Also, has done well tokeepthe stipulated standards. With over $1.1 billion depl over $1.1 billion With ic concepthas been incorporated throughout the resort design.” and addedthat“in reinforcing the origins of es 164 hectares along2.2kilo hectares es 164 ment ofHoTram Stripwhichislocated tw thedevelop- Ltd., leads Development Coast ofAsian subsidiary awholly-owned HTP, attractions.tre, WellnessPark, and many more Centre, Theme for parcelareearmarked su land 164-hectare Tram Stripaimed at further enhancing touris In thefuture,HTPplanstodevelopaprivate said. Kelly development,” resort new Hawaiian waveacrossthe Pacific and ontoth that the golfing world hasseen, istoday thri Vi Vegas to first brought that company “The among the largest private equity inve sents the largestforeign-invested tourism oyed andforward deployed ca metres ofpristinebeachfr 36double key villas, and eigh mplexa total has investmentbillion.$9 capitalofOf sum stments inthe from theUS. country e, KPI35.1per cent, Idemitsu Kosan 35.1per development made up of 164condotelunits madeup development eement. Inaddition, lessees enjoy 21 room development undertaken in Vietnam andis ce Chairman of the Thanh Hoa People’s People’s Hoa of the ce Chairman Thanh o hours from Ho ChiMinhCity. Itcompris- rip development, adjoining the existing 541 541 theexisting adjoining rip development, t and most awardedt and integratedresort, and ($88,800) for a one-bedroom standard unit unit standard one-bedroom fora ($88,800) described thecondot le 60/40 net rental revenue share forthere- revenueshare le 60/40netrental a compelling opportunity to be partofa xury cruise liner with with liner cruise xury ed by several hundredpotential investors ) launched its Kahuna HoTramStrip con- etnam, brought the best Asian Tour event its anditscoastal name location, anaquat- lled toannounce that we are riding that itects Korn and international engineers and international itects Korn including wastewater including e and from VND8 billion ($350,000) to e andfromVND8 billion ($350,000) international airport inthevicinityofHo ch facilitiesasa s three times a day for analysisinthedis- day s three timesa m to Vietnam, whilst in Ho Chi Minh City Chi inHo e shores ofVietnam’s East Sea with our indicators willbe reflectedinthescreen rtual reality tour of the highly anticipat- highly the of tour reality rtual Nghi Son complex has beenfollowing NghiSoncomplex waves of Hawaii, ca ont and is surrounded to the pital, Ho TramStrip repre- t beachfrontvillasallfor Water Park, Amphithea- Water el and villa develop- sleek nautical lines” other zones ofthe ’s District 1 last 1last ’s District , solid waste, emis- 31 August 2017 43 / 48 43 / 2017 31 August ptures the essence 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam building paper mill building paper Biologist warningon sizes lying aboutapartment accused of Investor Intellasia es.html http://dtinews.vn/en/news/0 from theinvestor. a more said representative accurate,” pay compensationforcustomers in “We’ll suitable for the regulations of the law. tocomparetheirfigure units for measuring there isadifference between themeasured Under the contracts signed between the households and theinvestor, incaseswhere Hanoi Land Office before being provided witharedbook. fromtheinvestor said al A representative tothe metressmaller than according contract. square Le Thi Kieu Oanh A1 who ownsapartment and moisture on the floor of the toilet. le rainwater about complained also Nguyet show thatthe building was checked by apartm the over hand to papers the “Besides metressm was2.6square apartment with Speaking DTiNews, DinhThiNguyet, had been shown. they the floor plans to according than metressmaller square four metreto one square hired anindependentmeasuringfirmandfo “The forest creates“The forest landscape a‘green’ andshelteraquatic fish, forand oyster. shrimp said. Minh area,” fishinginthe day from each (US$13.3) VND300,000 earn could ing. We “Local residents still fish intheforestand living aroundthe forest. grew up with the nipa palm forest, and it creates a major income for households some forest on they rely say the residents Local facility. plannedments conduct the assessmentson two for plant willlikelynotbegin the tion on which 50haaretobebuiltwhere acentury- mune. The mill would require the constructi Villagein thedistrict’sa papermillCom- build inLongPhu Phuoc to Binh VNT 19 company development irrigation theagricultural allow the provincewill planned, As toth inapetition plant the caseagainst Biologist and vicerector of biologists and residentswarn. est, causing pollution, loss of biodiversity, and irrevocable damage to local lifestyles, A planned wood-pulpplant inBinhSonDistri 31/AUG/2017 INTELLASIA| DTI NEWS Having suspected their apartments were veloped byHBI Company. Imperia Garden, located on Nguyen HuyTuong advertised. have denounced theproject investor forselling apartments whichwere than smaller Garden, Imperia Dozens ofhouseholdsat 31/AUG/2017 INTELLASIA| DTI NEWS http://www.vir.com.vn/ho-tram-strip concluded. Kelly today,” itis TramStrip what made Ho that theenergy has of all tainment capital. Thisisnot just another reso primaryour focustoensu made it “We have Galler theprestigious Course and tion). the west To are located theaward-wi the 559 room 5-star BeachClub (the newe DaNang’sTeachers’ TrainingCollegeVoVanMinh made 18/52559/investor-accused-of-l y Villas residential development. residential y Villas aller than it shouldhave been. -moves-ahead-kahuna-unveiled.html authoritiesas regulated,” Nguyetadded. smaller than advert st hotel productcurrently under construc- l theapartmentshad been measured by the for survial.Ngc Minh,he 70,saidNguyen collect leaves ofnipa palm forhouse build- a high-grade apartment project in Hanoi a high-grade projectinHanoi apartment e provincialPeople’s lastweek. Committee old nipapalmforest nowstands.Construc- cases where theircases measuringis method nning Greg Norman-designed Bluffs Golf area, theinvestorwillarrangemeeting 909 said that 909 saidthat her apartment was three aking through thewindow into the house s and methods to find out what is more is what out s andmethodstofind ent, weweren’t givenanyotherpapersto the owner of apartment D2405 said her said D2405 the ownerofapartment und out that these apartments were from werefrom theseapartments that und out on of an 85ha lake in the commune, of inthecommune, on ofan85halake re that HoTramStrip is Vietnam’s enter- rt development.Itis a chance tobe part to three years, as ministriesanddepart- ct woulddestroy 50haofnipapalmfor- Street in Thanh Xuan District, was de- was in ThanhXuanDistrict, Street ying-about-apartment-siz- ised, the households ised, the 31 August 2017 44 / 48 44 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam revoked have pulp mill license Lee&Man warned to Intellasia “Seventy five species of flora and fauna were fauna and flora of species five “Seventy groveswampsdistrict inthe found themextremelyrich. and GreenViet, aNGO, had surveyedthe biodiver Binh SonDistrict, amicroorga But regrowth projects keeppace can’t with project. swamp coastal mangrove and Phuoc, BinhDôngandDonginthedist coastal grew 45.7ha theprovince In 2015, forest, nearly 60per cent decreasefrom2002. development,th agriculture andrural cial conservation witheconomicdevelopment.the provin- According tolatestreport from The controversy over the wood-pulpplant in theecological system of nipa palm fo anim percent ofaquatic 90 Almost species. forest The 100-year-old isalsoasafe area http://dtinews.vn/en/news/ isopod) killed 32.4 environmental pollution after the pulp mill mill after thepulp pollution environmental However, theunderlying causeofthe invest the construction, meaning implement of land rights use for anareaof 40.8hactar Regardingprovincethe HauGiang,thegranted saidthatcertificate investorthe was mill. the pulp for resources and time little of vestment capital amount and The projectwaslicensedinmid-2007 was lay in construction, aviolationofth revokement to theinvestmentcertificateof The HauGiangPeople’s Committeehas proposed on Landandthe Law onInvestment. certific investment its tohave been warned byH invested mill pulp The $348-million 31/AUG/2017 INTELLASIA| VIR with inco-operation team, the said EBR), Minh, who is head ofEnvironmentBiolog project. anindustrial approving onnipapalmforest impact Vo VanMinhsaid the province shouldcond company forthe replanting. bi province proposed aVND25 lake. The the an areaofforest to replant eq the company Nguyen The Nhan, chairman of Binh Phuoc Commune saidthe province had asked collecting. leaf and fishing Vo VanMinhsaid that 400 hou century. the20th in wars during guerillas and soldiers thearmy’s sheltered had forest It alsoprotectsour farming landfromeros on the test operationsofthe a papermanufactur Giang, Hau The investor’sreason for thedelay is thatit years, the the datetoimplement construction is still unknown. To date, afte deadline. 2017 the May missed complete itin struction 2017 and to May thepr asked theinvestor mid-2016, in delay, at operation into come could themill so that According tothe initial plan, the construc of pulp. ha ofmangrove. 021/52542/biologist-warning- and coastal mangrove swamps mangrove coastal and paper mill and is researching the market demand, leaving $348.7 million with the annual nism, Sphaeroma terebrans Bate(amangrove-boring seholds in the area rely on the forest for income from forest forincomefrom on the the area rely in seholds ing and apulpmill. At present, Lee&Man is focusing e Law onLandandth that it violated theLaw on Land. restbefore moving tothesea,” Minhsaid. ong Kong-based Lee&Man Paper Group has has PaperGroup ong Kong-basedLee&Man August 2018. However, theinvestor still 2018. August shelter for 26 migrant for26migrant bird andwaterfowl shelter mangrove forest in threecommunesofBinh mangrove forest tion would be implemented inOctober 2013 tion wouldbeimplemented the Centre ofBiodiv uivalentclearedtobuild to whichwouldbe e province has 197ha of coastal mangrove ofcoastal 197ha has e province ical Resource Teach Research Team (DN- ate withdrawn duetoviolations of theLaw ion andsalinity,” he said, adding that the es in 2008, es in2008, however, todate, had it yet to als and fishes inthecoastal area are grown the Lee&Man pulp mill due to its long de- due toits theLee&Man pulpmill comes as the region strugglestobalance as the comes hadregisteredtodeveloptwoprojectsin the destruction of forests. Last month in month forests. Last the destructionof the end of 2015. However, duelong theendof2015.However, tothe comes intooperation. Suchconcerns have r holding the investmentcertificate for11 ovince toextend thedeadline tostart con- rict undertheClimateChangeResilience ment certificate revocationisconcerns of uct anassessment of the environmental foundon total 120ha of llion (US$1.1 million) payment from the from payment million) (US$1.1 llion sity in the nipa palm forests and man- forests palm the nipa in sity adjusted in June 2011. It has a total in- atotal has 2011. It adjusted inJune theMinistry of Planningand Invest- on-building-paper-mill.html e Law onInvestment. capacity of330,000tonnes in Binh Son District before Binh SonDistrict in ersity Conservation, 31 August 2017 45 / 48 45 / 2017 31 August 31 August 2017 31 August nipa palm forest. nipapalm BUSINESS Vietnam finance& business Vietnam Expo onhorizon 14th China ASEAN Expo HCMCity attend Int’l Travel to Over 700 businesses Intellasia 117174.vnp http://en.vietnamplus.vn/ove with links increased and tourism To realize the target, tourism Vietnam’s sect to2016. crease of30 percent compared tion ofTourism, Vietnamaimstoserve 13mi According toNgoHoai Dire Chung, Deputy and Vietnam- tion ofHCMCity’stourism meeting oftourism ministerson seminars and An array ofnetworking events atapressconferenceon Tourism, 30. August land and Thailand, said Bui TaHoang Vu, “ASEAN-China bilateral tradewas more than “ASEAN-China ward. cooperation via between ChinaandASEAN and bloggersporters the UK,France, from withtheexpecteda the media, and buyers A highlight ofthe event willbeaprogra figure. therewillbemorethan Asia”, in toTourism Gateway “Your the This theme year, with services. and products ism It is as viewed an opportunity for Vietname and Tourism. Committ the HCMCityPeople’s annually by held is event the sub-region, tourism in Mekong a is leading which The ITE HCMC, which willrunattheSaigon Exhibition & will participate in the 13th International Travel Expo Ho Chi Minh City (ITE HCMC), localities from32 businesses 700 than More 31/AUG/2017 INTELLASIA| VNA http://www.vir.com.vn/leeman-warned-to-have-pulp-mill-license-revoked.html At present, the papermillisintest operations. vised by the Ministry of Natural Resources and Environment. Fu added that once operational, the wastew ess. majorpollut hydroxide(NaOH),a use sodium treatment systemwith acapacity 20,000of cubic metres aday. Besides,will theynot general director ChungWaiFu confirmed that the plant has amodernwastewater Amid increasing concerns, Lee&Man heldan unregistered press conference where the developmentof pu stop theMinistry In late July, 2016, of Industry tem ofthepaper manufacturing factory befo (VASEP) proposed theVietnamese government Associat On June20,2016, the Vietnam if itswaste treatment sy Lee&Man’smanufacturing factoryma paper Previously, numerous associations, experts, since thebeginning. pape raised forboththe been consistently A spokesmanforChina’s Depu 12 to 15. fromSeptember China, The 14th China - ASEAN Expo (CAEXPO) will ASEAN, introducing prestigious products from both. 12-15expoto focus on September mutually-b 31/AUG/2017 INTELLASIA| VN ECONOMIC TIMES stem is notscrutinised. r-700-businesses-to-attend-i 300 booths, a rise of 15 percent compared to last year’s year’s last to compared percent 15 of arise booths, 300 will be heldwillbe intheframework ofthefair, including a ty Minister of Commerce said that trade and economic lp millon the same grounds. andairlines. agents travel ion ofSeafoodExporters and Producers mme designed especially for international and Trade (MoIT) and (MoIT) thegovernmentto asked Trade r manufacturing factory and the pulpmill Italia travel cooperationdevelopment. Italia the Netherlands, Germ Convention CentreConvention from September 7to9. ttendance of nearly 300 buyers and 40 re- and 40 buyers 300 ttendance ofnearly nationwide and 18 countriesandterritories nationwide and18 se and foreign firms to introduce their tour- their introduce firms to and foreign se Director of the HCM City Department of City Department Director oftheHCM and residents expressed concerns that ater treatment facility would be would super- ater treatmentfacility or hasstepped up activities topromote CAEXPO has made important strides for- strides important has made CAEXPO ctor oftheVietnam National Administra- re it comes into operation inAugust. eneficial cooperationbetweenChinaand y cause serious envi y cause serious llion international visitors in 2017, an in- an in2017, visitors international llion ee and theMinistryofCulture, Sports tourism-related topics suchintroduc- as $452 $452 billion in2016, ant, atanystageoftheproduction proc- be held in Nanning,Guangxiprovince, be held to scrutinise the waste thewaste treatment sys- toscrutinise ntl-travel-expo-hcm-city/ any, India,NewZea- ronmental pollution ” he said. “ASEAN ” “ASEAN he said. 31 August 2017 46 / 48 46 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam HCMC Tech Expo 2017 held in Intellasia targeted English speakers as well,” said Mr. Yoshiki Matsubara, Chief Sales Officer at to “Due Japan. in towork candidates for ing seeking cluding those There were alsorepresentati to jointhecompany as soonpossible. tential candidates attheexpowho meetits has toKMS shorten tried interviewprocess totwo its po- torecruit andhoped rounds entation and engagement, whichcreate must givethemtwo months oftraining. Yo our requirementsdon’t meet “Many jobseekers shortage ofqualified candidates,” saidMs levels, there as atall a is targets recruitment its misses often company ments. “Our expo,w at the staff ten recruitment than The KMS Company, one ofthe leading outs profiles and arrangedintervie ratherthan seeking in job proactive ing wa 2017 Expo Tech year, last to Compared booth receivedbetween and200CVs. 100 soring employersandmore than1,500jobseekers in the ITsector. Every recruitment With thetheme “Tomorrow Land”, Tech Expo2017saw the participation of 37 spon- 29. August ganized thelargesttechnology career fair - Tech Expo 2017-in Ho Chi Minh City on together TopITworks, with VietnamWorks, and 1,500jobseekers. Organized bytheNavigosGroupon August 29 31/AUG/2017 INTELLASIA| VN ECONOMIC TIMES and willalsoenhance the operation between ChinaandASEAN, introd and nomic exchangesbetweenASEAN China. willcontinue to The 14thCAEXPO give prio come a symbol oftheregion. cooperation betweenChin has contributedto A representative fromtheGuangxiZhua Chinainvolved in isalsoactively ment between Chinaand ASEAN exceeded $296billion. May, the endof at date. As to results tive Bilateral cooperation ininfr intotal. billion $183 than As at the end of May, bilateral investme intoChina. from ASEAN direct morethan investment $3 billion Chinese investmentintoASEAN,he Direct second-largest importer.” pa trading third-largest China’s currently is zon http://vneconomictimes.com/article/viet as well as promote the country’s image for international cooperation. advant its trade linkstoshowcase duct other conf promotion also hostnationaltrade will Isayeva, whowillde Gulmira The Kazakh delegation is expected to be led Expo Secretariat. - ASEAN theChina to 14, according CAEXPO partner of special be a will Kazakhstan anism. to exchanges cultural enriching and panding The expo willalsofocusoninnovating an candidates in Vietnam and recr quality ofit astructure has substantial po ves from various Japanesecompaniesin attendance, in- liver an address at the op liver anaddressat the ws with potential employees. the economies of ASEAN and East Asia. and East theeconomies ofASEAN s exhibitions. just lookingaround.Many employersscanned s challengesinhiringatKMS.” nt between ChinaandASEANstood at more nam-today/14th-china- ho received CVs job require-and described ng AutonomousRegionsaidthatCAEXPO signed agreements in infrastructure invest- ininfrastructure signed agreements d promotingachievements gained and ex- . PhuongLe, RecruitmentManageratKMS. requirements and have the abilitiesneeded s much more dynamic, with candidates be- with s muchmoredynamic, wentthis year;billion on,hasreached $9.31 ung employeesare still short of career ori- the scarcity of Japanesethe scarcitywe have speakers, of ourcingcompanies inVietnam, more had ages in agriculture, trade, and investment, ages inagriculture, rtner,market, and fourth-largest export erences, open nationalpavilions, and con- both members of the NavigosGroup,or- by DeputyMinister rity toinvestment,cooperation, and eco- create a more effectivecooperative mech- a and ASEAN in recent years and has be- yearsandhas inrecent a andASEAN ucing prestigious productsfromboth, It will focus on mutually-beneficial co- mutually-beneficial on focus will It in terms of professional skills, and wein terms ofprofessionalskills,and , ITjobs expo attracted 37 employers uitment service companies look- companies service uitment ening ceremony. Kazakhstan ening ceremony.Kazakhstan tential andhas brought posi- asean-expo-on-hori- of Agriculture, Ms. 31 August 2017 47 / 48 47 / 2017 31 August 31 August 2017 31 August BUSINESS Vietnam finance& business Vietnam HCMC AgroViet 2017 setfor Intellasia End http://vneconomictimes.com/article/ ver.” domestic market but alsoinexport markets, agricultural Vietnamese said.“Many Mr. Ho iden and tocreate opportunities aims fair hygiene food safetyand products, ensuring The fair is also anopportunity to prom brands and are found in many global markets. south andthe Mekong Delta. Productssuch inthe amarket of it is potential because City inHoChiMinh held is AgroViet 2017 CenterMr.for Director ofthe DaoVanHo, products. imported with strongly competing try the contextof changes,especiallyin ofma Accordingof totheorganizers, thepromotion advances. the application ofscientific and chains specialties, thatareregional products tural agricul- and introduces displays fair booths, the 300 place. take With also will tourism Conferences andseminars on safe agricultur ternational enterprises. CityfromSeptember21to24andattend Minh TradeFair Agricultural International The 17th 24. Fair Trade Agricultural International 17th 31/AUG/2017 INTELLASIA| VN ECONOMIC TIMES http://vneconomictimes.com/article/viet IQtests. testing, and included rounds, 15interview involved $7,000 According toNavigosSearch, one recruitm ny beforedemanding morebenefits.” sistently, inrealityandononlinechannels. Therefore,social platforms. it’s even on age is of overriding importance, since em skills, employers also pay at said she salaries,” high paying cerns about demand benefits before contributingtoth Search, discussed theobstacles that impact IT employees’ salaries. “ITcandidates often receivedMs. Nguyen muchattention.Phu to the was Job” IT $5,000 securea to “How culture.” their global mindset and ability, teamwork who want towork in Japan, besidesspecia anese languageskills will receive asalary 5 Asia.Igs “Candidates willbe trained inth tention to acandidate’s atti business/agroviet- ote theproduction and consumption of safe nam-today/tech-expo- important toshowyour important personal imagecon- ployers cancheckacandidate’s behavior, tify export markets and foreignpartners,” ny fruitandvegetableproductsofthecoun- e company, and this attitude leads tocon- leads e company,andthisattitude . “Inadditiontospecialized knowledge and e Japanese language. to be heldinHCMCfromSeptember21to ong Mai,Managing Director atNavigos lized knowledge, theymust also improve pic of at a panel discussion the expo and and be passionateabou per cent higher than others. Forcandidates ent processfor a senior position paying Candidates mustcontribute tothecompa- as well as food safe as food as well Trade Promotion ofAgri Trade contributing to thesector’sexport turno- in agricultural products in agricultural products for export. “The as rice, fruit, andseafood have built up products are competitive not only in the products are competitivenotonly al andhigh-techagricultural products safeproducts in Vietnam hasseen alot specialized knowledge, skills, personal personal skills, knowledge, specialized (AgroVietwill 2017) in beheld HoChi ed in- domestic 200 by morethan and 2017-set-for-hcmc tude. Building apersonal im- 2017-held-in-hcmc ty andhygienicfood Those possessingJap- t studying Japanese t studying 31 August 2017 48 / 48 48 / 2017 31 August 31 August 2017 31 August culture, said that that said culture,