Finance & Business News 18 July 2017

finance & business news 18 July 2017

FINANCE ...... 1 Central Highlands approves $4 billion of potential investment 30 Reference exchange rate down 1 VND 1 Ca Mau moves to expand shrimp export market 30 Interbank interest rates fall sharply 2 VN courts foreign investment in logistics 31 Loan interest rate cut: Businesses' dream comes true 2 International fashion brands target Vietnamese market 32 Time to remove credit limit? 3 Dutch firms plan to build on their FDI 33 Operating interest rate reduction: opportunity to refinance RoK, VN eye energy partnerships 34 VAMC bonds at cheaper rates 4 BIZ NEWS ...... 35 Do foreign banks divest or change their strategies? 5 Business Briefs July 18, 2017 35 Insurance premiums exceed $2bn in 1H 6 Blue chips pull down VN Index 35 HSBC's latest credit card campaign brings hi-tech Indexes close down 36 dreams 'one step closer' 6 Analysts: Share performance to be mixed 36 Outstanding debts hobble infrastructure projects 7 Experts: Further correction likely this week 37 Vietnam among countries having the fastest public debt growth 9 'Frontier' status won't affect stock market in short term: analysts 38 Vietnam expects to export more agri products to Iran 9 FLC Faros keeps rallying after share dividend 39 Fisheries sector urged to clear barriers to tra fish 10 Hau Giang Pharmacy to remove foreign-ownership limitations 39 1H gasoline imports at $3.31bn 11 Daiwa-SSI invests in CVI Pharma's ambition 40 Vietnam imports 51,000 vehicles for $1.04 billion 11 Vietjet to pay dividend worth $28.3 million 40 VN awaits deluge of foreign cars 12 Experts make fuss about ransomware, businesses ignore Domestic trade expected to keep rising later this year 13 the danger 41 Fruit, vegetable prices in Vietnam pressured from strong supplies 13 Hi-tech medical clinic under PPP to go up in city 42 Deputy PM says specialised inspections are still bothersome 14 HCM City to build chemical trading centre this year 42 Government urges relaxation of business conditions 15 Airport corporation invests more in infrastructure upgrade 43 Trade ministry determined on transition to bio-fuel 15 Aviation watchdog to blame for long-delayed launch of E5 bio-fuel meets local demand: ministry 16 nonstop Vietnam-US flight 43 Surge seen in demand for workers in coming months 17 Tan Son Nhat International Airport has new business lounge 44 Asiatic buyers seek quality in M&A 17 New international flights take to skies 44 PM encourages investment in remote areas 19 Hanoi bans Grab, Uber carpool service 45 Introducing SMEs to 'Industry 4.0' 19 Nearly 1,000 workers worry about Dung Quat Shipyard Vinacas urges cashew exporters to be more cautious over bankruptcy 46 futures contracts 21 Carabao to build energy drink plant in Vietnam 47 Post-harvest technologies needed to boost farm produce 3M Vietnam inaugurates new plant in Dong Nai 47 competitiveness 22 CapitaLand Vietnam introduces first branded residence 48 Expert urges Vietnam to invest in renewable energy 22 SonKim Land selects Hoa Binh for Serenity Sky Villas 48 Solar power attracting billions dollars investments 23 Marriott to open new resort in Nha Trang 49 Online shopping market poised to explode 25 Tata Power proposes renewable energy plant in Phu Yen 50 Mid-sized groceries still grow despite boom of supermarkets 25 Viettel's overseas pre-tax profit touches $41.2 million 50 Mobile phone market saturated, phone distributor sells perfume 26 Rosy Viettel outlook strangled by competition in Cambodia 50 Staggering 32.8 million people playing online games in BMW greenlighted to find new dealer in Vietnam 52 Vietnamsurvey 27 Vietfood Beverage expo to run in August 54 Real estate giants race for big profit targets 28 International conference discusses apparel technologies 54 Over 8,000 construction firms set up in H1 29 Tourism forum to raise issues of concern 55 HCM City wants to carry out six PPP projects 29 Vietnamese Goods Week 2017 to be held in Thailand 56 Thua Thien-Hue revokes licences of 37 delayed projects 30 FINANCE FINANCE Reference exchange 18/JUL/2017 INTELLASIA| VIETBAO rate down 1 VND The State Bank of Vietnam (SBV) announced the daily reference exchange rate for VND/ USD on July 18th 2017 at 22,436 VND per USD, slightly down by 1 VND compared to July 17th 2017. The opening hour rates at commercial banks saw slight fluctuations. Specifically, at Vietcombank, the rates are listed at 22,690 VND per USD (buying) and

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 18 July 2017 22,760 VND per USD (selling), unchanged compared to the day ago. BIDV also raised the rates by 5 VND to 22,695 VND (buying) and 22,765 VND (selling) per USD. Vietinbank keeps buying and selling rates unchanged at respectively 22,700 VND and 22,770 VND per USD. Techcombank offers buying rate at 22,680 VND and selling rate at 22,780 VND per USD, unchanged compared to the day ago.

Interbank interest 18/JUL/2017 INTELLASIA| BAO DAU TU rates fall sharply Analysis of transactions from Maritime Bank's Economic Research Centre shows that interest rates in dong in interbank market continuously decreased last week, in all terms, compared to the end of the previous week. Specifically, from July 14, the average interest rate in dong was quoted around 1.38 percent for overnight interest rate, 1.6 percent for one-week term, 1.98 percent for two- week term; dropping 0.4-0.57 percentage points. Accordingly, interest rates in dong for overnight term fell to the lowest level since the beginning of the year, close to the US dollar interest rate in the interbank market. Last week, interbank interest rate for US dollar continued to fluctuate slightly compared to the previous week, standing at 1.3 percent for overnight interest rate, 1.45 percent for one-week term, 1.3 percent for two-week term and 1.74 percent for one-month term on July 14. FINANCE On the open market, the State Bank continued to invite for bid on mortgage channel at one trillion dong per session during the last five sessions for 7-day term and five percent interest rate. However, there was no bid winning volume for the third consecutive week. As such, as of the end of last week, there continued to have no circulation on mortgage channel since June 22, 2017. Also on the interbank market, the US dollar price increased at the week beginning session but decreased in all the four remaining sessions. On July 14, the interbank exchange rate was around 22,728 dong/US dollar, down 12 dong from the previous week and was close to the buying price of the State Bank's Exchange (22,725 dong).

Loan interest rate cut: 18/JUL/2017 INTELLASIA | VNS Businesses' dream Finally, on July 11 the State Bank of Vietnam decided to fulfill the business communi- comes true ty's expectations, cutting interest rates by 0.25 to 0.5 percentage points, the first such cuts since 2014. The refinancing, rediscount and overnight electronic inter-bank rates have been reduced by 0.25. The rate for loans taken to offset shortages in clearing between the SBV and commercial banks has been cut by 0.25 percentage points, while the rate for short- term ng loans offered by credit institutions to some sectors has been adjusted down by 0.5 percentage points. Even before the rate cuts some banks had dropped their deposit interest rates as if to prepare for a cut in lending interest rates in the near future. For instance, in late June Dong A Joint Stock Bank reduced its deposit interest rates across the board. On the interbank market, the overnight, one week and one month interest rates saw a steep fall of 50-80 points. Market observers said the strong decrease in deposit interest rates by banks at this time is an unusual phenomenon. Analysts said the main reason for this is their unusually high liquidity now. One reason for this liquidity is that the SBV bought a considerable quantity of foreign currencies in June after its Transaction Office raised the rate of the US dollar by VN50 to VN22,725 per dollar. A SBV spokesman revealed that Vietnam's foreign exchange reserves were worth $42 billion by late June, a record level. It was double the figure in 2008. Another reason for the rate cut is the low inflation, with prices rising by only 1.52 per cent from the same period last year. The central bank possibly felt the need to stimulate the economy or at least felt there is no danger of inflation from low rates. Most banks admit that the cost of capital in the first half of the year deceased significantly though they refused to amplify. They were most likely referring to the rather large spread that had developed between the loan and deposit interest rates.

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The spread now stands at 2 per cent on average and up to 2.7-2.8 per cent in some cases. In the event, some analysts said the central bank should have considered a 0.5 percentage point cut to stimulate growth. At a recent online meeting of the government, minister of Finance Dinh Tien Dung said that biggest expense for businesses is their loan interest. Because the capital market is not highly developed yet, the banking sector remains the most important supplier of funding for the economy. Not surprisingly the country's debts are worth 110-120 per cent of GDP at VN6 million billion (US$264.4 billion). Meanwhile, loan interest rates now are 6-9 per cent on long-term loans and 9-11 per cent on short-term loans. The banking sector is collecting around VN200 trillion (US$8.81 billion) a year from loan interest. This is higher than the total income tax paid by businesses estimated at VN188 trillion. Most Vietnamese companies admit they might not be able to survive if the lending in- FINANCE terest rates are high. Analysts said this means that cuts in loan interest rates have a much greater influence on businesses than any cuts in income tax rates. They are hopeful that the central bank's interest rate cuts this time would have a significant impact on enterprises' turnover and profit in the near future. The decrease in their production costs would result in an increase in trading and production, consumer spending, and ultimately the economy, they said.

Time to remove credit 18/JUL/2017 INTELLASIA| BIZLIVE limit? At the conference on "Monetary and financial policy to promote economic growth in the last six months of 2017" held by the Ministry of Planning and Investment (MPI) this morning (July 14), Dr Can Van Luc, a finance and banking expert, said that in the second half of the year, the monetary and financial risk is high due to the global impact such as the Fed's likelihood to raise interest rates one more time in 2017 and twice in 2018. Meanwhile, the pursuit of high growth target in the short term and the lack of sustainable growth drivers will pose many risks to the macro economy and the financial and banking system in the long run. Accordingly, Dr Can Van Luc argues that support measures such as expansion of money supply and credit growth should be implemented at reasonable level of 16%-18 percent in 2017, coordinating between monetary policy and fiscal policy to ensure the slight decrease of interest rates and price control. Remarkably, the expert proposed to consider reducing administrative methods, including the removal of credit limit. "The allocation of credit limit to banks is clearly an administrative measure. We should operate under market mechanism, which means to remove this limit, and instead, to closely control banks by capital adequacy ratio (CAR) because the numerator of this coefficient is equity and the denominator of this coefficient is credit and investment, whereby controlling this coefficient will be more feasible and not too much administrative", said Luc. Through survey, the expert said credit limit is one of the few administrative tools that the world still applies. Instead, we should depend on the capability and decision of each bank. Reportedly, since 1994, the State Bank applied credit limit for four State-owned commercial banks (SOCBs). Subsequently, the application was extended to joint stock commercial banks and large foreign bank branches to limit lending speed and to control inflation. However, as credit limit is an administrative regulation instrument, directly interfer- ing and is only allocated to some commercial banks, it somewhat limits the fairness in competition. At the same time, this limit is also not adjusted flexibly following market signals, thus

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affecting the satisfaction of capital demand for the economy. Thus, in 1998, the State Bank decided not to use credit limit as a consistent tool in regulating monetary policy, but only use when it is necessary to limit rapid credit growth, leading to high inflation risk. After 13 years of removing, this tool was used again by the State Bank in 2011. The reason was the crisis in 2009 led to overheating credit growth. The credit/GDP ratio amounted to 158 percent at times, causing loss of control of inflation. However, at the current moment when the situation has basically stabilised again, experts said that the abandonment of this measure is one of the worth discussing options.

Operating interest rate 18/JUL/2017 INTELLASIA| NDH reduction: From July 10th, the State Bank of Vietnam (SBV) has lowered refinancing, rediscount, opportunity to and overnight lending rate in interbank electronic payment and loans to offset the cap- refinance VAMC ital shortfall in clearing payments of SBV to banks by 0.25 percent per annum. This was

FINANCE bonds at cheaper rates the first reduction of operating rates by SBV after three years since March 18th 2014. Accordingly, the refinancing and rediscount rates were cut from respectively 4.5 percent and 6.5 percent per annum to 4.25 percent and 6.25 percent per annum. The overnight lending rate in interbank electronic payment was lowered to 7.25%. The refinancing and rediscount rates for the first time were reduced to the levels applied in 12 years ago (2005). In fact, SBV has just started using this tool actively since 2008. In period 2009-2011, with the policy of easing monetary policy to against economic recession in the context when the liquidity situation of credit institutions (CIs) was difficult, these rates were adjusted and hit the peak of 13-15 percent per annum in October 2011. However, right in 2012, when SBV aimed to regulate monetary policy and stabilise market interest rates, the dong liquidity of CIs improved and saw sur- plus, and interbank interest rates fell. The operating rates have been adjusted a total of five times, down to 7-10 percent per annum. Refinancing and rediscount rates are the two types of mortgage lending of valuable papers of SBV to commercial banks, often used by banks to meet loans to support liquidity. In particular, refinancing rate is considered the ceiling level, while rediscount rate is considered the floor level of the buying/selling rates of valuable paper on the Open Market Operations (OMO interest rates), thereby affecting interbank rates. Le Xuan Sang, deputy Head of the Vietnam Institute of Economics said that the reduction of interest rates will lead to the expectation of lower inflation, thereby helping lower bond yields. However, he added that it does not mean that this reduction of operating rates would be effective. This move only has neutral and signalling impact. The rediscount rate has been stable for many years, similar to refinancing rate. The OMO interest rates have also been maintained at 5 percent per annum throughout many years. At the present time, the OMO in circulation is also very low. For several consecutive weeks, the OMO have not been used due to the abundant liquidity. SSI Retail Research said that the excessive liquidity and low inflation have facilitated SBV to lower interest rates but the lowering of operating rates has no significant impact as the demand of the capital market is very modest. Meanwhile, according to BIDV Securities Company (BSC), although the reductions of interest rates are often seen as a signal of monetary easing but after this decision of SBV, the money supply is not definitely expanded, because it is unclear whether the total discount limit (determined by SBV quarterly) would increase. At the same time, the credit growth target this year is 18 percent and has yet shown any signs of being raised. However, VCB Securities Company (VCBS) stated that although the level of this interest rate reduction is actually insufficient to have a significant transmission effect from the interbank market to the residential market, but the move to cut operating rates is the signal of the continuous easing policy, sending clearer and stronger message to the market. In addition, the meaning of the adjustment may lie in the financing of supporting loans

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such as refinancing special bonds of the Vietnam Asset Management Company (VMAC) and the loans to support housing and economic development. This move can be seen as the signal that stimulates the refinancing of VAMC's special bonds to support banks' restructuring and bad debt settlement. The refinancing of bonds has been stipulated in legal documents (including Decree 53/2013/ND-CP, De- cree 34/2015/ND-CP, and Circular 18/2015/TT-NHNN) since VAMC was established. Over the time, due to cautious regulations and requirements of SBV, the implementation of this activity has been fairly limited in the banking sector. The lowering of refinancing rate associated with the recent drastic moves in the policies on bad debt settlement and restructuring of the banking industry, according to VCBS, is perhaps a message about the possibility of accelerating this channel for CIs which are facing difficulties in liquidity. The interest rate applied to the refinancing loans of VAMC bonds is 2 percent lower than refinancing rate (4.25 percent per annum). This is a relatively attractive level compared to the average capital costs of CIs having limited liquidity. FINANCE

Do foreign banks 18/JUL/2017 INTELLASIA| BAO DAU TU divest or change their Recently, the market has been boisterous over a series of information such as Vietnam strategies? International Bank (VIB) acquired HCM City branch of Commonwealth (Australia), HSBC divested from Techcombank after 12 years, ANZ sold its retail segment in Viet- nam to Shinhan Bank (South Korea), and Standard Chartered prepared to say goodbye with Asia Commercial Bank (ACB). These steps made the market worry whether foreign banks are simultaneously withdrawing from Vietnam. As per Nguyen Duc Hung Linh, Analysis director of Saigon Securities Company (SS), these concerns are not grounded. First, foreign bank's divestment from Vietnamese banks is a normal activity in the restructuring process of any investor. This does not relate to the private business operation of these banks in Vietnam. "After a period of pouring capital into Vietnamese banks, foreign banks may decide to continue investing or not. Not all foreign banks are leaving Vietnam, they are just restructuring their portfolio and may be considering other investment opportunities in the country after this divestment", analysed Linh. Secondly, Vietnam is still attractive to foreign banks because the room for financial market development remains large. Especially, the flow of foreign investment (FDI) into Vietnam is a good opportunity for these banks to follow their customers. There- fore, it is not easy for foreign banks to give up this long-term opportunity because of short-term difficulties. Talking to reporters of the local Newswire Bao Dau Tu, representative of many foreign banks continued to affirm the importance of Vietnam market. Nirukt Sapru, CEO of Standard Chartered Vietnam said the bank has a worldwide operation network, so it is suitable to meet increasing demand for business, study and shopping of Vietnamese customers. "This is a good moment for foreign banks to increase their presence in Vietnam because Vietnamese consumers are increasingly willing to spend and want to experience the most convenient and efficient financial services", emphasized Sapru. Similarly, Jens Ruebbert, director of Deutsche Bank's branch in Vietnam revealed that this banks has decided to double the charter capital of the Vietnamese branch to meet payment and credit demand of a series of European businesses in Vietnam. "More and more European businesses will appear in Vietnam after Vietnam-European Free Trade Agreement, so we cannot stand still against this opportunity", said Rueb- bert. Some other banks such as UOB (Singapore) continues to pursue plans to open subsidiary bank in Vietnam. This plan was approved by the State Bank in March 2017. Rep- resentative of KBank (Thailand) also said the State Bank of Vietnam just needed to give a "nod" then they would immediately open a subsidiary in the country. It can be seen that in the case between VIB and the Commonwealth, the Australian

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bank used to be the major shareholder with a 15 percent stake in VIB. The resale of the HCM City branch is for the Commonwealth to continue developing its business in Vietnam through VIB rather than withdrawing from the country. Han Ngoc Vu, CEO of VIB said Commonwealth has just signed a capacity exchange agreement with VIB and the Australian partner has just set up a company to develop e-banking solutions in Vietnam. This represents the commitment of Commonwealth in Vietnam after the recent sale of branch.

Insurance premiums 18/JUL/2017 INTELLASIA | VN ECONOMIC TIMES exceed $2bn in 1H Total premiums up 20 percent y-o-y in first half with payouts reaching $585 million. Total premiums in Vietnam's insurance sector during the first half of this year have been estimated at over VND47 trillion ($2.07 billion). Addressing a review of tasks over the last six months, Pham Thu Phuong, deputy director of the Insurance Management and Supervision Department at the Ministry of Fi-

FINANCE nance, noted that the sector maintained high and stable growth in the first half and that the financial capacity of insurers continues to improve. Figures reveal that total premiums of VND47.17 trillion ($2.07 billion) were an increase of 20.77 per cent year-on-year and that payouts totalled VND13.33 trillion ($585.2 million). Life insurance companies also successfully bid for more than VND15 trillion ($660 million) worth of government bonds with terms ranging from 15 to 30 years. According to Phuong, mechanisms and policies in the insurance sector have been further improved, introduced in a timely manner, and been associated with the reform of administrative procedures, gradually increasing transparency, improving services, and creating the conditions for the sector to develop healthily, safely, and effectively. Insurance management and supervision continued to be strengthened, incorporating remote monitoring. Authorities also guide and support insurance companies, to ensure compliance with the law and create a more transparent and healthy business environment. Insurance companies have also invested in developing new products, expanding networks, and improving service quality to bolster their competitive strength and boost sales. http://vneconomictimes.com/article/banking-finance/insurance-premiums-exceed- 2bn-in-1h

HSBC's latest credit 18/JUL/2017 INTELLASIA| HSBC BANK (VIETNAM) card campaign brings This summer, HSBC Bank (Vietnam) Ltd's latest credit card campaign, Embracing life hi-tech dreams 'one with technology, offers new and existing cardholders a series of eye-catching promo- step closer' tions that will help customers' hi-tech dreams come true. The more customers spend with their Platinum, Gold or Classic credit card, the more opportunity they have to earn shopping vouchers (valued from VND2 million to VND20 million), which can be redeemed at Nguyen Kim Vietnam's leading chain of stores for electronic goods and home appliances vouchers. In total, 120 Nguyen Kim vouchers valued at VND2 million will be awarded to the first cardholders to make at least five transactions with a total expenditure of at least VND20 million during the promotion period (with a limit of 30 vouchers awarded per month), which runs until 31/Oct/2017. There is also a total of 20 Nguyen Kim vouchers valued at VND20 million for the ear- liest customers to make at least 10 transactions with a total expenditure of at least VND100 million during the promotion period (with a limit of five vouchers awarded per month). Meanwhile, there are 100 state-of-the-art JBL Bluetooth Speakers up for grabs for new Platinum Cardholders, and 200 Samsung Fast Chargers to be won by new Gold or Classic Cardholders card-holders simply have to register by text (send 'HSBC KM ' to 6089) and have an accumulative minimum spending of VND2 million (Platinum cardholders) or VND1 Million (Gold/ Classic).

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Instead of opting for the tech accessories, all new cardholders can enjoy generous cash- back incentives VND2 million for Platinum cardholders with an accumulative minimum spend of VND2 million, and VND1 million for Gold/ Classic cardholders with an accumulative minimum spend of VND1 million (within 30 days from Credit Card issuance date in both cases). The summer is even more exciting to HSBC Premier customers. The bank offers a holiday in New York for two to the HSBC Premier MasterCard cardholder who has the highest spending throughout the whole promotion period from 7 July to 29 September 2017. "At HSBC, we never stop actively updating our products and services so our customers can enjoy a truly contemporary lifestyle. In this case, we recognise that they aspire to purchase the latest electronic products and appliances, so that's why we have launched a promotion that will literally bring our valued customers' hi-tech dream buys 'One Step Closer'," said Nguyen Duc Thinh, Senior vice President, Head of Branch Network North, Retail Banking and Wealth Management. "By understanding FINANCE our customers' evolving life-goals and consumer needs, we can continue to offer them the most suitable and desirable services and products." The execution of this well-considered customer-focused strategy has not gone unno- ticed. Asian Banking and Finance recently named HSBC Vietnam 'International Retail Bank of the Year' for the second year in a row. HSBC Vietnam has also been recognised as the leader in Credit Card Payment Volume for eight years in a row (20092016) by Visa International and the bank received an award for Best Credit Card Product in Vi- etnam in 2016 from The Asian Banker. For more information, as well all terms and conditions, on the promotion, please refer to http://www.hsbc.com.vn/1/2/ce-2

Outstanding debts 18/JUL/2017 INTELLASIA | VNS hobble infrastructure Duong Van Can, vice Chair and general Secretary of the Vietnam Association of Con- projects struction Contractors (VACC) talks to Thoi bao Kinh te Vietnam (Vietnam Economic Times) about measures needed to settle outstanding debts in infrastructure construction, estimated at between VND30-40 trillion (US$1.33-1.77 billion). What is the current situation regarding outstanding debts in infrastructure construction? Outstanding debts in infrastructure construction across the country have been a problem for many years at different levels, leading to incomplete or delayed projects and low investment efficiency. The outstanding debts are not only found in contract packages using capital from the State Budget and government bonds, but in projects using capital from all other sources. The situation arises when investors do not meet capital requirements and prolong payment to contractors, or when investors intentionally drag out the work and appropri- ate investment capital, but fail to pay contractors. An estimated of VND30-40 trillion worth of outstanding debt in infrastructure construction has been recorded so far, according to our estimates. The debt terms vary. Some projects have debts lasting for decades. Is it true that current regulations are not strong enough to deal with this issue? The government has issued many directives and measures for early settlement of these debts, including one issued in October 2012 to enhance management of investment and handling of debts in projects funded by the State Budget and government bonds. Under this directive, the prime minister asked localities to prioritise allocation of capital for settling outstanding debts using the local budget. Later, in 2013, the prime minister issued another directive to strengthening financial management of the State budget with particular focus on handling outstanding debts in infrastructure construction projects In 2014, the PM set a target to basically pay for infrastructure construction debts by De- cember that year, asking all relevant ministries, agencies and sectors to resolutely carry

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out regulations of the Law on Public Investment to prevent any infrastructure construction outstanding debts accruing from 2015 onwards. In April, 2015, yet another directive called for intensified application of measures to settle outstanding debts in capital construction, requesting ministries, sectors and localities to strictly control the formulation, appraisal and approval of investment plans and decisions with regard to public investment projects. This directive also enhanced the responsibility of competent agencies performing formulation, appraisal and approval tasks. They were asked not to approve investment plans and decisions in case capital sources and capacity remained uncertain, or capital investment exceeded the level evaluated by competent agencies. These legal documents show the government's determination on handling long-standing issues in construction investment management. What are the main reasons that have led to this problem? There are many reasons. Key reasons include approving investment decisions without clearly defining sources of investment capital or failure to disburse enough capital for FINANCE construction projects; and approving investment projects that are not in the list of sectors' development plans. Some projects have had to be amended, leading to an increase in investment capital. The practice of projects beginning implementation before identifying sufficient capital sources continues in many areas. What are the association's suggestions for dealing with this problem? Under the 2014 Construction Law, it is not compulsory to appraise investment capital sources when appraising a project's feasibility. This gap should be addressed with a provision in the Bidding and Construction laws requiring investors to guarantee payment. The Construction Law should also have punitive measures for investors delaying payment to contractors. The government should entrust relevant ministries and agencies to calculate, appraise and classify outstanding debts in infrastructure construction so that there is a rational priority list to deal with them and ease difficulties faced by contractors. Pham Van Khanh, Head of the construction ministry's Department of Economy Stakeholders in all infrastructure construction should improve their contract management capacity. In fact, many consultants, contracts and investors have limited capacity and lack legal knowledge, so they fail to manage contracts in line with State regulations, thus leading to outstanding debts. A construction project is affected by many factors and it requires stakeholders to thoroughly understand related laws, construction markets and other issues to prevent any shortcomings arising in the process of for- mulationg projects, estimating costs and signing contracts. Le Doanh Yen, deputy director general of Vietnam Construction and Import-Export Joint Stock Corporation (Vinaconex) Handling outstanding debts in construction must be considered an important part of public investment restructuring and one of several solutions to help stabilise the macro economy and ensure sustainable economic growth. Relevant ministries and agencies have to balance their capital sources and resolutely handle outstanding debts in construction projects. They should proactively assess the efficiency, level of completion and exploitation capacity of each project to minimise losses caused by projects that cannot be completed due to outstanding debts. Nguyen Xuan Bac, Head of the State Bank of Vietnam's Office of Credit for Industry and Construction Sectors The legal system in the banking sector is complete and allows commercial banks to issue payment guarantees on behalf of investors to contractors. However, the problem is how to insert this guarantee aspect into construction contracts between investors and contractors. This depends on negotiations between the two sides. The State bank of Vietnam will closely work with the Construction Ministry to research and provide advice on finalising related mechanisms and policies to contribute to settling outstanding debts in infrastructure construction.

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Vietnam among 18/JUL/2017 INTELLASIA| VNECONOMY countries having the Vietnam is one of the countries having the highest growth in debts to Gross Domestic fastest public debt Product (GDP) ratio, reaching about 10 percent in the past five years. This number was growth presented in the section on high quality fiscal consolidation of the report updating Vi- etnam's economic development status by the World Bank (WB) which was announced in the afternoon of July 13th. The report writer mentioned that Vietnamese government has strongly committed to restoring fiscal discipline, and to do so at this time, measures are needed to strengthen the budget status for high quality. The report emphasized that the budget deficit (including non-budgetary sources) is estimated at about 6.5 percent of GDP in 2016 compared to the 6.2 percent in 2015, leading to an estimated total public debt ratio of Vietnam of 63.7 percent of GDP in late 2016, up by nearly 13 percentage points compared to 2011, approaching the ceiling limit of 65 percent of GDP.

FINANCE According to analysis of WB experts, despite having impressive growth, Vietnam will face the concerns about fiscal sustainability if the upward trend of public debts continues. Continuing on the public debt trend and fiscal sustainability, the report stated that the budget room is getting increasingly thin, making public debts to be unsustainable even in light shocks. The liabilities of debt provisioning including the potential risks of state-owned enterprises and banks could make Vietnam more vulnerable when they are realised. With high public debts, Vietnam has limited room to exercise fiscal policy to cope with cyclical fluctuations. According to the WB experts, this shows the importance of the consolidation of fiscal situation as well as acceleration of structural reform. Other issued was also highlighted in this report. Accordingly, the ratio of revenue mobilisation on GDP is following a downward trend, while the public spending pressure in both investment and recurrent spending, and the safety debt ratios are approaching the stipulated limits. The report mentioned that in the near future, there is a need for a roadmap to ensure the fiscal sustainability with no or little impact on the economic growth. The WB's recommendation is to continue tax policy reform in the direction of promoting domestic revenue mobilisation, step by step considering narrowing down the list of goods not subject to value added tax, transferring the goods bearing tariffs from 5- 10%, towards applying single rate of value added tax. Vietnam is also recommended to gradually increase the special consumption tax on products which are not encouraged for consumption such as tobacco and alcohol, etc., so as not only to help generate higher revenue mobilisation but also to limit unhealthy habits. In the report, the WB also suggested Vietnamese National Assembly and government to consider some amendments to the Law on Public debts, including the need to clarify the difference between the functions of fiscal policy and debt management.

Vietnam expects to 18/JUL/2017 INTELLASIA | VN ECONOMIC TIMES export more agri Agriculture ministers from both countries meet in Tehran to discuss boosting exports products to Iran from both. Minister of Agriculture and Rural Development Nguyen Xuan Cuong met with the Iranian minister of Agriculture Mahmoud Hojjati in Tehran on July 15 within the framework of the 9th Vietnam-Iran meeting, where he told his counterpart that exporting agriculture products to Iran would enable Vietnam to access the Middle East and Central Asia. The two discussed strengthening cooperation and investment by enterprises from both countries. They wish to coordinate the expansion of export markets for agricultural, forestry and fishery products from both countries in a sustainable manner. In particular, Vietnam will export agricultural products such as bananas, lemons, pine- apples, rice, mangoes, beef, pepper, cashew nuts, and coffee to Iran.

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Conversely, Iran will export products such as sturgeon, salmon, other seafood, and dried fruit (dates, olives, and chestnuts) to Vietnam. The two ministers also agreed to further promote cooperation between the two countries' agricultural research and management units. They also emphasized the strengthening of contacts between the two ministries to develop a comprehensive cooperative programme, after which they will select certain products and introduce trade promotion measures. They also expect to connect enterprises and localities in Vietnam and Iran as soon as possible. Iran's deputy prime minister, Eshaq Jahangiri, told the meeting he expects bilateral trade between Vietnam and Iran will reach $2 billion within the next few years. He added that Iran is willing to meet the oil and gas demand of Vietnam as well as countries in Southeast Asia and will provide technical services in the field. In March 2016, State President Truong Tan Sang paid an official visited to Iran, during which the two countries signed several agreements and announced plans to increase FINANCE bilateral trade annually to $2 billion over the next five years. http://vneconomictimes.com/article/vietnam-today/vietnam-expects-to-export-more- agri-products-to-iran

Fisheries sector urged 18/JUL/2017 INTELLASIA | VNA to clear barriers to tra The fisheries sector needs to clear barriers for tra fish in the US, the European Union fish (EU) and China, said deputy minister of Agriculture and Rural Development Vu Van Tam. Tam suggested the sector rearrange production to meet US standards as the US remains a major importer. For the EU, it should get ready for the upcoming bilateral free trade agreement and to tackle barriers, including dealing with inaccurate media reports about tra fish. Regarding the Chinese market, further attention should be paid to product quality management and ensuring fairness for businesses involved in official and cross-border trade. "Vietnamese tra fish "stranded" in US" "All catfish shipments to US subject to examination" He also underscored the need to continue marketing products in Japan, Brazil, Asean and several other markets. At home, he proposed developing new products that suit domestic consumers' taste, ensuring supply of high-quality varieties and making it easier for enterprises to work with scientists and research institutes to churn out quality tra fish for breeding. Nguyen Ngoc Oai, deputy director general of the Ministry of Agriculture and Rural Development's directorate of Fisheries (DOF), said negotiations against the US's Farm Bill will be a priority between now and the year's end. DOF statistics showed that total tra fish exports surpassed 500 million USD in the first half of this year, up 2.7 percent year-on-year. Total tra fish farming area in the Mekong Delta is 3,100ha with total output of more than 500,000 tonnes, up 1.3 percent and 2.2 percent, respectively. http://en.vietnamplus.vn/fisheries-sector-urged-to-clear-barriers-to-tra-fish/ 114942.vnp

1H gasoline imports at 18/JUL/2017 INTELLASIA | VN ECONOMIC TIMES $3.31bn Volumes steady in first half while value up 30%. Imports of gasoline in the first half of the year were estimated at 6.4 million tonnes, down slightly in volume year-on-year but up in value by more than 30 per cent, to VND75.350 trillion ($3.31 billion), according to figures from the general Department of Vietnam Customs. The imports came as local supply fell short of demand by some 2.6 million tonnes. Vietnam now imports gasoline from six countries, most of which are in Asia, though it cut its imports from Taiwan and Hong Kong in the first half.

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Singapore continued to be the largest supplier, holding a 42 per cent volume market share. The value of gasoline imports from the country in the first half reached more than VND29.7 trillion ($1.3 billion), accounting for 39 per cent of value and up 44 per cent year-on-year. South Korea followed, with VND19.85 trillion ($873.4 million) spent on importing 1.45 million tonnes, increases of 125 per cent and 71 per cent, respectively. Vietnam's oil refineries can meet more than 30 per cent of domestic demand, according to the Binh Son Refining and Petrochemical Company Limited (BSR), a member of the Vietnam Oil and Gas Group (PetroVietnam) and which continues to invest in expanding the Dung Quat Oil Refinery to raise its capacity from 6.5 million tonnes per year to 8.5 million tonnes. It is forecast that over the next five years, domestic demand may rise to 15 million tonnes. With the opening of the Nghi Son Oil Refinery next year, the country's total output will still only meet about 80 per cent of domestic demand. http://vneconomictimes.com/article/vietnam-today/1h-gasoline-imports-at-3-31bn FINANCE

Vietnam imports 18/JUL/2017 INTELLASIA | VNS 51,000 vehicles for Vietnam spent $1.04 billion to import some 51,000 various vehicles in the first half of $1.04 billion this year, according to statistics of the general Department of Vietnam Customs. The figure was up 2.9 per cent in volume but down 15 per cent in value. The number of vehicles with nine seats or less reached 26,600 units worth $449 million, marking an increase of 30.1 per cent in volume and 13.5 per cent in value year-on-year. Indonesia ranked the top exporter of cars with nine seats or less to Vietnam, with 8,900 units at total value of $171 million, up 66 times in volume and 103 times in value year- on-year. The average price was $19, 300 each. It was followed by Thailand with 6,600 units worth $105 million, or $15,800 each on average, and India with 5,000 units worth $21,000, or $4,200 each on average. Meanwhile, Vietnam imported 338 cars with nine seats or more during the first half of this year at total value of $10 million, declining by 31 per cent in volume and 30.5 per cent in value compared with the same period last year. Japan took the lead with 190 units worth $5 million. The country's auto part manufacturing industry also had a good opportunity to participate in the production chain in Asean since its rival Thailand faced a shortage of skillful workers, according to analysis of experts, quoted by online newspaper VnEx- press.net. Chris Humphrey, executive director of the EU-Asean Business Council based in Sin- gapore, said Vietnamese producers had not only been reinforcing their position in the domestic market but also expanding exports, especially in its traditional market of Asean. The outlook for auto parts and components was therefore optimistic. He said once the tariff barrier was lifted under the Asean free trade agreement in early 2018, it would allow Vietnam to produce parts and accessories to serve the auto industry in other countries in the region, citing the example of Thailand, a country lacking skilled workers. Kasinee Phantteeranurak, project manager at leading Asian event organiser Reed Tra- dex Co., Ltd, said the European Union, Japan, South Korea and the United States were potential markets for Vietnam. However, they were high-ranking manufacturers, therefore their demand in terms of quality, stability and accuracy was very high.

VN awaits deluge of 18/JUL/2017 INTELLASIA | VNS foreign cars According a report from the Ministry of Industry and Trade, demand for automobiles will likely reach between 800,000-900,000 units by 2025 and 1.5-1.8 million by 2030. The report said in recent years the automobile market growth has been much higher than expected though prices in Vietnam remain very high (car prices in Vietnam are double those in neighbouring countries like Thailand and Indonesia). For instance, the below-nine-seat market segment has grown by 20-30 per cent a year in recent years.

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The problem here is that Vietnamese automakers are not developed enough to take the advantage of this growth, and so the market is dominated by foreign cars. Most cars sold in Vietnam now are foreign brands produced locally through joint ventures with multinationals or fully imported. The average use of locally made parts in the auto industry is way lower than the targets of 40 per cent for 2020 and 60 per cent for 2025. At present the rate for cars with less than nine seats is only between 7 and 10 per cent depending on the type of the vehicles, much lower than those of between 65 and 76 per cent in regional countries. Auto manufacturing and assembling enterprises in the country import auto parts from various sources such as Asean, Japan, China, South Korea, and Europe. The imports raise the production costs due to import tax and others such as transpor- tation. The automotive parts industry is facing hardship partly because they have to rely mainly to the tune of 60-70 per centon imported feedstock. FINANCE For instance, some part suppliers have to import steel and iron because most of the local production is snapped up by the construction industry. This makes locally-assembled cars cost 20 percent more than imports from neighbouring countries such as Thailand and Indonesia, especially from 2018 when tariffs on car imports into Vit Nam from Asean member countries will be cut to zero from the current 50 percent. Another reason is that the size of the Vietnamese auto market is not large enough to attract foreign auto parts manufacturers. Automobile is an industry that often banks on advantages created by market size. The size of the Vietnamese market is much smaller than those of other countries' in the region at one-third of Thailand's and one-fourth of Indonesia's. Experts from the Ministry of Industry and Trade warn that if the auto industry does not develop soon the market would see all sedans imported and 50 per cent of buses and trucks imported by 2025. If Vietnam does not continue producing or assembling vehicles, this will also result in lost opportunities to develop other related sectors such as mechanical engineering, rubber, plastics, and electronics. It would be ironic because the Vietnamese auto market is potentially very promising, whichever metric one chooses to look at: population, affluence, current car ownership ratio or infrastructure. The country has over 90 million inhabitants, with the middle class growing and per capita income estimated to reach the threshold of nearly $3,000 by 2020. The auto ownership rate will only reach 50 vehicles per 1,000 inhabitants by 2025. Road networks, including inter-city links through a network of highways, are growing strongly, creating favourable conditions for travelling by private vehicles. With the presence of many of the world's large auto brands, such as Toyota, Honda, Ford, GM and Mecedes-Benz, it will be unfortunate if Vit Nam does not take advantage to build its automotive industry and foster the growth of the auto parts sector. Vit Nam has a vast network of motorbike parts suppliers, which is a basis for the development of the auto parts industry. But analysts said to develop the industry it is necessary to have greater cooperation between the various sections of the government. The government should make policies more focused and effective and related ministries should seek common ground on the issue, they said. Often they work at cross purposes: for instance, the Ministry of Industry and Trade wants to expand the auto market while the Ministry of Transport faces pressure on infrastructure and the Ministry of Finance tends to limit the purchase of personal cars by slapping more fees. The analysts also stressed the need for the auto industry to cope with competition after 2018, when Asean import tariffs are cut to zero, by reducing costs and unnecessary fees.

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To do this, they suggested taking advantage of free trade agreements to increase exports of spare parts and participate in the global supply chains. As for the government, they said it should have proper measures such as anti-fraud provisions to ensure transparent and healthy development of the auto market. Policies to ensure fair competition between domestically manufactured cars and imports are vital, they said. http://english.vietnamnet.vn/fms/business/182184/vn-awaits-deluge-of-foreign- cars.html

Domestic trade 18/JUL/2017 INTELLASIA | VNA expected to keep Domestic trade is expected to continue rising this year, experts have forecast. rising later this year Total retail and services value this year is estimated to hit 3.9 trillion VND (168.7 million USD), up more than 10 percent annually, meeting the yearly target. To that end, the Ministry of Industry and Trade (MoIT) will embark on 71 projects and

FINANCE a domestic market development scheme in combination with the campaign "Vietnam- ese people prioritise Vietnamese goods" for 2014-2020. It will also promote domestic trade, particularly during the New Year holiday and the year's end, refine trade and distribution infrastructure and develop supply chains with a focus on farm produce. MoIT statistics showed that total retail and services value hiked 10.16 percent to 1.9 trillion VND (83.65 million USD) in the first half. Trade experts said exclusive of inflation, total retail and services value increased about 8.4 percent, higher than 4.8-7.6 percent from 2011-2016, showing that purchasing power is recovering. http://en.vietnamplus.vn/domestic-trade-expected-to-keep-rising-later-this-year/ 114944.vnp

Fruit, vegetable prices 18/JUL/2017 INTELLASIA | VOV in Vietnam pressured As consumers enjoy fresh, local fruit and vegetables this summer, farmers and produc- from strong supplies ers can expect lower earnings from the fruits of their labour, say leading industry analysts. In the early months of 2017, growers increased their production, but didn't see a corresponding rise in demand to match, leading to an oversupply and lower prices across many fruit and vegetable segments. As a result, economists at the Ministry of Agriculture and Rural Development are pre- dicting a bleak outlook for farmers throughout the remainder of the growing season for many produce items, said minister Nguyen Xuan Cuong. It's an open market balancing act to produce enough to meet demand, but not so much as to cause an oversupply that puts downward pressure on prices. And one that local farmers and producers have yet to master. Cuong noted the real benefit of the excess supplies is to the ultimate local and foreign consumer, who obtain lower prices for produce such as peppers at the grocery store. The local segment needs to get a better grasp of how open market forces work and learn how to farm smarter, said Do Ha Nam, chair of the Vietnam Pepper Association. The more pepper that they grow and sell, the more pressure they put on sales prices to decline. Domestic pepper prices have been falling steadily throughout the past two months, and consequently the VPA is urging local farmers to hold on to their inventories and wait for prices to recoverto the extent they can. For those that can hold back, prices should turnaround over the next one to two months. Nam attributed the low pepper prices to a 15 percent jump in pepper output by local farmers in the early months of the year and import of an estimated 20,000 metric tonnes from Cambodia. Over the long term, the forecast looks grim for pepper farmers as they continue to expand without first seeking additional outlets to sell the higher levels of product, which

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does little more than lower sales and earnings for the segment as a whole. It simply isn't smart farming as growers and producers need to stop, think through and layout a long-term strategy to achieve sustainability. They need to map out plans to fund the construction of factories to process and can or convert the peppers into spice and sell in local and foreign retail markets, he underscored. Most notably, they need to cultivate alternative export markets for fresh peppers. Additionally, there is an untapped growing demand around the globe for specialised markets segmentation in the pepper industry, such as organic, that needs to be fully explored. Lastly, farmers must stop growing low quality peppers with poor yields in unsuitable soil and alternatively find better crops more accommodating to the soil conditions that offer greater prospects for sales and earnings. This is where the government should step in and develop guidelines to regulate and prevent cultivation in these lower grade soils. FINANCE If farmers and producers continue down the path they are on, concluded Nam, there is very little prospect for the segment to sustainably benefit and they are essentially ac- complishing little more than working for nothing in return. http://english.vov.vn/economy/fruit-vegetable-prices-in-vietnam-pressured-from- strong-supplies-354640.vov

Deputy PM says 18/JUL/2017 INTELLASIA | THE SAIGON TIMES specialised Ministries have not been active in reforming inspection procedures, especially special- inspections are still ised customs inspection, making life hard for enterprises and hindering the govern- bothersome ment's administrative reform effort, said deputy prime minister Vuong Dinh Hue. Speaking at the meeting of the National Steering Committee for Asean Single Window, National Single Window and Trade Facilitation in Hanoi on Tuesday, Hue said "ram- pant inspections have raised cost and reduced enterprises' competitiveness." The deputy PM said Vietnam's specialised inspections account for 30-35 percent of all customs procedures while the World Bank suggested that specialised inspections should account for only 15%. "Laws on specialised inspections are very complicated. Some commodities are subject to inspections by different ministries and some ministries do not have specific criteria for inspections," Hue added. In the first half of 2017, the Vietnam Chamber of Commerce and Industry (VCCI) was the only unit to join the National Single Window Mechanism, bringing the total number of government bodies implementing this mechanism to 11. To address shortcomings in specialised inspections, deputy prime minister Vuong Dinh Hue asked relevant ministries, especially the Ministries of Industry and Trade, Agriculture and Rural Development and Health, to timely amend laws on specialised inspections and ensure uniformity to simplify inspection procedures. Ministries should work together to ensure uniform legislation and laws enforcement. http://english.thesaigontimes.vn/55053/Deputy-PM-says-specialised-inspections-are- still-bothersome.html

Government urges 18/JUL/2017 INTELLASIA | THE SAIGON TIMES relaxation of business The government has urged ministries and departments to relax business conditions to conditions create a more favourable business environment. In the resolution just issued to summarise contents at the government meeting in June 2017, prime minister Nguyen Xuan Phuc asks ministries and agencies to heed the Min- istry of Justice's suggestions to review and identify regulations that need to be amended and supplemented. They are told to map out plans to build laws related to land, constructions, housing, investment, business and specialised inspection, and submit such plans to the Ministry of Justice to report to the government before July 30. Ministries and agencies shall base on the government's resolutions, especially Resolu- tions No. 19-2017/NQ-CP and No. 35/NQ-CP, to urgently propose relaxing business

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conditions. Suggestions must be submitted to the Ministry of Planning and Investment to report to the prime minister in the third quarter of 2017. The Ministry of Planning and Investment is asked to strictly oversee the issuance of regulations on investment and business conditions, and make plan to amend Resolu- tion No. 118/2015/ND-CP118/2015/ND-CP regulating some articles of the Law on In- vestment and submit the plan to the government in the fourth quarter of 2017. The Law on Planning should be amended and supplemented to create drastic changes in planning to create stronger momentum for the country's development. The government asks ministries to eliminate impractical planning regulations that cause difficulties for enterprises and people and at the same time ensure stability and uniformity for the law system. The government asks the Ministry of Planning and Investment to work with the Min- istry of Construction and relevant agencies to complete the draft Law on Planning and submit it to the prime minister before July 30 to pass to the 14th National Assembly at its fourth meeting. FINANCE http://english.thesaigontimes.vn/55041/Government-urges-relaxation-of-business- conditions.html

Trade ministry 18/JUL/2017 INTELLASIA | THE SAIGON TIMES determined on The supply of RON 92 petrol will be halted in all cities and provinces across the coun- transition to bio-fuel try from the beginning of next year as the Ministry of Industry and Trade has determined to switch to using E5 bio-fuel and RON 95. However, domestic plants may not secure sufficient ethanol supply for E5 blenders. Vietnam's total gasoline consumption is put at 7.4 million cubic meters last year. In particular, E5 bio-fuel reached around 590,000 cubic meters, accounting for a mere 8 percent of the total while the respective figures for RON 95 and RON 92 were around 6.8 million cubic meters and 4.7 million cubic meters, according to the ministry. As Vietnam replaces RON 92 petrol, the total consumption of E5 bio-fuel is forecast to leap to about 5.3 million cubic meters next year. However, two manufacturing plants of Tung Lam Co Ltd, the key suppliers of ethanol in the country, have a combined annual capacity of around 200,000 cubic meters, sufficient for blending 3.9 million cubic meters of E5 a year. The company was able to sell more than 2,000 m3 on a monthly basis last year due to the somber demand for the bio- fuel. Besides, two ethanol plants of Vietnam Oil and Gas Group, one in Quang Ngai Prov- ince and the other in Binh Phuoc Province, have ground to a halt due to hefty losses while its third plant in Phu Tho Province is about to declare bankrupt. These facilities have a total capacity of 100,000 cubic meters of ethanol. With the plan to phase out RON 92 gasoline, the trade ministry has plans to put the two loss-making plants in operation again, possibly at the end of this year. Therefore, the ministry's plan to completely replace A92 with E5 may not work smoothly given the current short supply of ethanol. Five out of 25 fuel wholesale traders are operating E5 blending stations, with combined capacity of about 6.2-6.7 million cubic meters a year. They are Vietnam National Petroleum Group (Petrolimex), PetroVietnam Oil Corp (PV Oil), Saigon Petro Co Ltd, Military Petroleum Corporation, and Nam Song Hau Trading Investing Petroleum Joint Stock. Although ethanol is in short supply, the trade ministry still declared that the production and trade of fuel wholesale companies and E5 blending stations nationwide show ethanol supply for E5 will completely meet the market demand when the A92 petrol phase-out plan takes effect early next year. http://english.thesaigontimes.vn/55042/Trade-ministry-determined-on-transition-to- bio-fuel.html

E5 bio-fuel meets local 18/JUL/2017 INTELLASIA | VNS demand: ministry The supply of E5 bio-fuel is enough to meet the local demand and can fully replace

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RON 92 petrol beginning next year, the Ministry of Industry and Trade (MoIT) said. The ministry said it had established a team to work with E5 bio-fuel producers and traders, and Binh Son Refinery to accelerate progress, as well as prepare infrastructure for the use of E5 bio-fuel nationwide. This followed the latest decision passed by deputy prime minister Trinh Dinh Dung concerning the bio-fuel development project and the roadmap for shifting to bio-fuel mixed with fossil fuels. On July 6, MoIT met with 26 petrol wholesalers asking them to strictly trade in E5 while resolving other difficulties on time. Statistics from the ministry showed that the total petroleum consumption amount in the country last year was around 7.4 million cu.m. Of this, the E5 bio-fuel consumption was 590,000cu.m, accounting for 8 per cent of the total consumption, while that of RON 92 petrol was 92 per cent, equivalent to 6.81 million cu.m. The ministry said that if the country halted the use of RON 92 petrol from the beginning of next year, the total E5 bio-fuel consumption would be more than 5.3 million cu.m. FINANCE The supply of bio-fuel ethanol for E5 petrol, which is a mix of A92 petrol (95 per cent) and bio-fuel Ethanol (5 per cent), has been mainly provided by two biological plants of Tung Lam Joint Stock Company, having a total yearly capacity of 200,000 cu.m to produce 3.9 cu.m of E5 a year. In 2016, the company sold around 2,000 cu.m of ethanol to the market. There are two ethanol plants in southern Dung Quat and Binh Phuoc provinces with a capacity of 100,000 cu.m a year. However, the two plants had temporarily halted their operations owing to lack of demand. They have been asked to restart operations by the end of this year to cater to the nationwide demand for E5 bio-fuel, once it replaces RON 92 petrol. The ministry added that five out of the 26 petrol traders have their own E5 bio-fuel mixing system, including Vietnam National Petroleum Group (Petrolimex), PetroViet- nam Oil Corporation (PV Oil), HCM City Oil and Gas Company (Saigon Petro), Mili- tary Petroleum Corporation and Nam Song Hau Trading and Investing Petroleum Joint Stock Company. Petrolimex has five E5 mixing stations in Hanoi, Hai Phong, Da Nang, HCM City and Can Tho that uses in-line mixing technology with a total capacity of around 1.05 million cu.m. Petrolimex has planned to increase its number of current mixing stations, as well as invest in those in Hanoi, Phu Tho, Quang Ninh, Ha Nam, Nghe An, Binh Dinh, Khanh Hoa and Ba Ria-Vung Tau. The total mixing capacity after the investment would reach 3 million cu.m to 3.4 million cu.m a year. PV Oil has 12 mixing stations in nine cities and provinces with a total yearly capacity of 1.06 million cu.m. In addition to these, it has been investing in five mixing stations in Quang Ninh, Thai Binh, Ha Tinh and Can Tho provinces. It is also upgrading its current stations to bring the total capacity to 1.67 million cu.m a year. The three remaining companies have total mixing capacity of more than 800,000 cu.m a year. The PETIMEX and Thanh Le Import-export Corporation, which have E5 bio-fuel mixing stations with a total capacity of 750,000 cu.m to 800,000 cu.m a year, have not been brought into operation. The total yearly capacity of E5 mixing stations from the seven petroleum traders could reach 6.2 million cu.m to 6.7 million cu.m to meet with the demand for E5 beginning next year. http://bizhub.vn/news/e5-bio-fuel-meets-local-demand-ministry_287630.html

Surge seen in demand 18/JUL/2017 INTELLASIA | VNS for workers in coming Recruitment demand is expected to rise for the rest of the year as companies plan to months expand their production, labour market reports have revealed. Many Chinese-owned companies and Chinese joint ventures, most of which are partners with European firms, are investing in manufacturing factories, especially in textiles and footwear, according to Navigos Search, the leading provider of executive

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search services in Vietnam. The factories typically will have only 100 200 workers each in the first year, but will expand later to accommodate 400- 500 workers based on export demand. Chinese companies and joint ventures need candidates who are proficient both in Chi- nese and English, especially for technical sales positions. Companies that provide hi-tech financial services have high demand for IT engineers with experience in data fields and finance. However, companies often are forced to hire foreigners to fill these positions, especially those requiring high skills, as Vietnam's workforce lacks a sufficient number of candidates, according to the report. Many companies must hire new graduates and train employees after they are hired. Data technology is expected to be a fast-growing industry in the next three years. Com- panies need engineers in data processing and machine learning, which is part of the artificial intelligence (AI) field. But there are only a few universities in Vietnam that offer majors or training in AI. FINANCE South Korean companies in the second quarter are expected to recruit more mid- and senior-level managers compared to the first quarter, but finding staff is difficult because of the cultural demands of working at Korean companies, according to the report. Candidates with an MA or PhD who can speak Korean have an advantage and are offered better compensation and benefits, particularly at research and development institutes. Many Korean companies are located in the northern region, which has a scarcity of candidates who can speak the language compared to the south. As such, companies often recruit staff in the south. Tran Anh Tuan, deputy head of HCM City's Human Resources Forecasting and La- bour Market Information Centre, said that companies needed staff with high qualifi- cations, a serious attitude toward work, and a desire to learn foreign languages. The centre's report released on June 27 said the city would need 139,000 workers for the remaining six months of the year, mostly in textile and garments, logistics, IT and construction. http://bizhub.vn/news/surge-seen-in-demand-for-workers-in-coming- months_287629.html

Asiatic buyers seek 18/JUL/2017 INTELLASIA | VIR quality in M&A Vietnam's mergers-and-acquisitions market has the potential to draw more Asian investors to a growing pool, as they search for opportunities away from slowing domestic markets. However, there need to be more high-quality share offerings if Vietnam wants to spur them into action. An Asian thirst for M&A 2016 was an exciting year for mergers and acquisitions (M&A) in Vietnam. In the first few months, M&A deals reached $3 billion, up 28 per cent year-on-year. However, the quantity of deals lowered in later months, and the end of the year figure ended up at $5.2 billion. This is a slight decrease from 2015. According to experts, 60 per cent of the deals were carried out between Vietnamese partners, and the vast majority of these domestic transactions were smaller than $5 million in value. In contrast, deals involving foreign investors averaged $30-100 million, with some even exceeding $1 billion in value. It is clear that Asian buyers were the most active participants in 2016. The Singapore- ans and Japanese inked 20 and 17 deals respectively, topping the list of all foreign buyers. While Thai investors only made three transactions, the total value of which exceeded everyone else, standing at $1.197 billion. There are also notable differences among investors from different Asian countries. Sin- gaporeans seem to be mostly active in real estate around HCM City, as evidenced in New Life Real Estate's sale of the Saigon Duxton Hotel and Keppel Land's $93.3 million takeover of Empire City in District 2. Mapletree Investments also acquired Kumho Asiana Plaza in downtown District 1.

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Meanwhile, Thai investors spent big bucks in the consumer goods and retail sector. Central Group bought out Big C supermarkets from the French firm Casino Group and Singha became a strategic shareholder at two Masan-related companies. TCC also fi- nalised its purchase of wholesaler Metro Cash & Carry, which it initiated in 2014. Each of these mega-deals amounted to more than $1 billion. Like the Thais, Koreans also negotiated a slew of deals in consumer goods. In particular, CJ bought out Cau Tre Food Processing Company while acquiring a minority stake in Vissan JSC, a major meat producer. In March, Daesang Corporation spent $33 million to take over Duc Viet Sausage Company. Japanese firms looked to Vietnam's energy and materials sectors in their M&As. JX Nippon Oil & Energy snapped up 8 per cent of Vietnam's National Petroleum Group (Petrolimex), while Koizumi bought 23 per cent stake in steelmaker QH Plus. Japan's biggest airline, ANA Group also became a strategic shareholder in Vietnam Airlines, buying an 8.77 per cent stake. Yearning for growth FINANCE Why are Asian investors so enthusiastic about M&A opportunities in Vietnam? Ac- cording to experts at the upcoming Vietnam M&A Forum, these buyers want a slice of Vietnam's booming economy, which expands by more than 6 per cent every year. And the growing consumer market is an ideal outlet for these investments. "Asian investors, especially those from Thailand and Korea, bought out Vietnamese firms in consumer goods and retail in order to control the entire process from manufacturing to distribution. This is the first step to introducing more Thai and Korean goods to the growing Vietnamese market," states a report by the forum's experts. Jacob Won, founding partner at Locus Capital Partners, echoed this viewpoint. He pointed out that the Korean economy is stagnating, which prompts Korean conglom- erates to look elsewhere for growth. The most attractive destination for this capital flow is Vietnam, where demand for private consumption is soaring. "Korean companies in general prefer to secure a deal with at least 50 per cent of ownership, if not 100 per cent," Won said. "Where there is growth, foreign capital will flow in, and Vietnam is not an exception." He expects this trend to continue in the near future. It is also interesting to see foreign companies buying stakes from Vietnam-based investment funds. The funds, who poured capital into Vietnamese firms at an early stage, are happy to realise their profit by transferring shares to new investors. A prom- inent example is Japan's Taisho Pharmaceutical Limited, which bought up 24 per cent of Duoc Hau Giang JSC from various funds like VinaCapital, Dragon Capital, Mekong Portfolio Investments, and Vietnam Holding. Roadblocks Although investors are generally upbeat about the prospects of Vietnam's M&A deals, there are lingering concerns. Most importantly, the overwhelming demand is not matched by supply. In 2016, there were only two major equitisations of state firms, the Airports Corporation of Vietnam (ACV) and Vissan JSC. Besides the lack of large equitisations, only 8 per cent of these state firms' shares were available to outside investors. The government, workers' union, and related parties still retained the majority of their stakes, making it difficult to convince foreign investors. Some big names also took a decade to list on the stock exchange after their equitisation, such as Petrolimex, Sabeco, and Habeco. All three of these firms are contemplating further state divestments to strategic shareholders and other external investors. "The government can consider selling shares in bulk to attract large institutional investors from overseas. The process should be transparent and advised by trustworthy consultants," said experts from the Vietnam M&A Forum. Related legal issues such as tax also need to be addressed. Similarly, Locus' Won called for greater transparency in financial statements. Accord- ing to Won, Korean investors often complained about discrepancies in Vietnamese firms' financial results and the lack of general information about these companies'

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business strategies. A recent lesson came when dairy giant Vinamilk tried to unload 9 per cent of its shares last December. Despite significant attention from foreign investors beforehand, this auction only attracted one buyer Singaporean firm Fraser & Neave, which owned shares before the recent sale and 40 per cent of the offered shares remained unsold. Following the deal, experts pointed out that Vietnam should follow the international book-building process, attach a reasonable price quote, and announce the deal sooner to more overseas investors. http://english.vietnamnet.vn/fms/business/182186/asiatic-buyers-seek-quality-in-m- a.html

PM encourages 18/JUL/2017 INTELLASIA | VOV investment in remote Prime minister Nguyen Xuan Phuc has proposed awarding businesses and individu- areas als who invest in remote and mountainous regions.

FINANCE In his speech at an investment promotion conference in Son La province on July 17, the government leader noted that these projects greatly benefited local people, particularly ethnic groups. The conference, the biggest ever in Son La, introduced the province's advantages, potential, incentive policies, and key projects. Son La should focus on ensuring security and order in the border, while paying head to business development, Phuc said. He also asked the province to continue boosting high technology agriculture and seek outlets for local products as well as accelerating the building of new-style rural areas and increase the cultivation of herbal trees. The locality should also take more care of locals in resettlement areas for the construction of Son La hydropower plant. It needs to develop its tourism in a sustainable way with a focus on preserving cultural identities of local ethnic minority groups, making tourism a spearhead sector, the cabinet leader said. Son La is still a poor province with the ratio of poor households reaching 31.44 percent in 2016. Last year, the province's gross regional domestic products (GRDP) hit 9.2 %. In the first six months of this year, the province's economic growth reached 5.15%. Son La has 43 businesses and cooperatives with 86 agricultural products meeting Vi- etGap standard. This year, Son La attracted more than $100 million from dairy group TH True Milk. Son La province is home to the largest hydro-power plant in Southeast Asia. http://english.vov.vn/economy/pm-encourages-investment-in-remote-areas- 354755.vov

Introducing SMEs to 18/JUL/2017 INTELLASIA | VIR 'Industry 4.0' In light of Industry 4.0, big firms, particularly those in the automobile industry, are benefiting significantly from digital technologies, while small and medium-sized enterprises are also getting closer to the dawn the digital journey. And cloud solutions can serve as an excellent starting point. Pham Thai Lai, CEO of Siemens Vietnam, spoke with VIR. It has been said that the focus of Industry 4.0 is the digitisation of the manufacturing industry. What's your opinion? The digital transformation of manufacturing forms part of Industry 4.0. This new, digital industrial revolution is unstoppable and will bring about many opportunities. Companies in the manufacturing and processing industries can benefit from increased productivity and flexibility and shorter times to market, thereby increasing their competitiveness. Their customers can benefit from more personalised, high-quality products. End users can order their very own merchandise tailored to their needs. Let's take an example of ordering a new car: How much horsepower do you want? Do you want a diesel or a gasoline engine? Or maybe electric? The choices don't stop there, you can choose your favourite colour and the type of upholstery. You can even decide

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to have a sunroof if you like, and select the right entertainment system. These choices alone are emblematic of the highly complex nature of automobile production processes. For quite some time, car manufacturers have been relying on digital tools to help keep these processes under control. Digitisation makes the inherent complexity of producing cars significantly more man- ageable and it helps save money. Volvo, for example, was able to halve its engineering costs by using a software solution to plan and simulate its production lines. And Jap- anese car manufacturer Nissan managed to almost halve its development time for a new vehicle by using Siemens CAD and collaboration software. As these examples show, the real and virtual worlds are now beginning to merge in the production world. This is Industry 4.0. With digitalisation on the rise, small- and medium-sized firms must bulk up their technology to avoid being left in the dust Large manufacturers are reaping the benefits of digital technologies, while small- and medium-sized enterprises (SMEs) remain slow to embrace them. Could you share FINANCE some insights on this scenario in Germany and Europe? What are the solutions? In Germany, four out of five SMEs have invested in digital projects over the past three years, according to a study commissioned by KfW Group. However, these investments are modest in their scope. SMEs are still a long way from fully mobilising the potential of digitisation. Less than a fifth of German SMEs have become digital leaders through investments in digital products, services, or apps. As a strong economic force, it is imperative that SMEs invest in digitisation. In EU countries and Norway, SMEs account for around two-thirds of total employment, and contribute more than half of the value added to the economy. If this sector falls behind, the consequences could be dire. Therefore, initiatives have been launched in many in- dustrialised countries to help SMEs make the transition. The general aim of these programmes is to encourage companies to make greater investments in digital technologies. A starting point for many SMEs on the digital path is cloud solutions. According to KPMG and Bitkom Research, more than 50 per cent of German companies already report using cloud solutions. In industrial settings, cloud solutions can be used for predictive maintenance, energy data management, or re- source optimisation. All these applications have a proven ability to help manufacturers save money. Siemens looks to reshape Industry 4.0 through the use of cloud computing and IoT Do you think Vietnamese SMEs will be able to benefit from Industry 4.0 and how? SMEs play in important role in Vietnam's economic development. According to the Vi- etnam Association of Small and Medium Enterprises, the country currently has more than 500,000 SMEs, which are responsible for 50 per cent of GDP, 33 per cent of the state budget, and over five million jobs. Yet they are vulnerable for a number of reasons including inadequate technology, low productivity and competitiveness, small- scale production, and a lack of capital. I think if they are not well prepared before Industry 4.0 sweeps in, they will encounter numerous difficulties. On the other hand, Industry 4.0 can be a great opportunity for SMEs if they are willing to play the game. And we, Siemens, can help here with Mind- Sphere. MindSphere is the open, cloud-based Internet of Things (IoT) operating system that lets you connect your machines and physical infrastructure to the digital world. It lets you harness big data from billions of intelligent devices, enabling you to uncover transformational insights across your entire business. Moreover, MindSphere provides customers and developers with the capability to develop applications and digital services, apply them, and make them available to other users. In this way, totally new service and business models are possible. I'm very pleased to share this very exciting news: Siemens will be setting up a digitisation hub in Singapore to address the substantial opportunities in urbanisation and industrialisation that are rapidly arising in Asia. At the hub, Siemens will develop innovations for IoT and Industry 4.0 in collaboration with its customers in Southeast

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Asia. Siemens will be usings its IoT operating system MindSphere to drive digitisation in Asian countries, including Vietnam. In Vietnam, Siemens recently signed two memoranda of understanding with FPT on becoming a MindSphere and Product Lifecycle partner. We are also working with the Ministry of Industry and Trade on an education and training partnership with respect to Industry 4.0. http://english.vietnamnet.vn/fms/business/182187/introducing-smes-to--industry-4-0- .html

Vinacas urges cashew 18/JUL/2017 INTELLASIA | THE SAIGON TIMES exporters to be more The Vietnam Cashew Association (Vinacas) has just advised local processors not to cautious over futures sign multiple futures cashew nut export agreements to avoid defaults and damages contracts due to insufficient inventories. At a review conference last week, Vinacas pointed out advantages and disadvantages

FINANCE of the domestic cashew sector in the January-June period, and unveiled its production and business plan for the rest of the year. Vinacas warned local exporters not to ink so many futures cashew nut agreements in case their inventories are in short supply, especially contracts with long deliveries. The move is to enable them to be more proactive in price negotiations in the months to come. The association ascribed unfavourable weather conditions and diseases in many farms nationwide to the dwindling raw cashew supply. Vinacas forecast the total volume of local raw cashew would reach around 252,000 tonnes this year at best, down 52,000 tonnes against the previous year. Consequently, local processors had to purchase raw cashew from abroad in a bid to fulfill their contracts. Data of the Ministry of Agriculture and Rural Development shows Vietnam imported 665,000 tonnes of raw cashew worth $1.28 billion in the six-month period, up 65 percent in volume and up two times in value compared to the same period last year. Besides, 149,000 tonnes of cashew nut was shipped abroad with a total value of $1.5 billion during the same period, down over 4 percent in volume but up roughly 21 percent in value. The average export price of the commodity in January-May rose by 25 percent year- on-year to more than $9,500 a tonne. Meanwhile, a kilo of raw cashew was locally priced at a record high of VND50,000 (around $2.2), a steep rise of 32 percent over the year-ago period. Therefore, having taken both domestic and international factors into account, Vinacas adjusted this year's export volume of cashew nut to 320,000 tonnes from the previous plan of 360,000 tonnes. http://english.thesaigontimes.vn/55048/Vinacas-urges-cashew-exporters-to-be-more- cautious-over-futures-contracts.html

Post-harvest 18/JUL/2017 INTELLASIA | VNA technologies needed Using post-harvest technologies is crucial to increase the competitive edge of farm pro- to boost farm produce duce, heard a recent workshop in HCM City. competitiveness The event was held by the Tropical Agricultural Research and Consultancy Centre in HCM City and the Biotechnology Centre of HCM City on July 15. Director of the Protective Packaging Solutions company SancoPack Pham Quoc Bao said developing preservation technologies is important to help farmers reduce losses in quantity and to maintain the quality of farm produce. In Vietnam, post-harvest losses for seed plants were estimated at 10 percent, tubers at 10-20 percent and vegetables and fruits 10-30 percent, according to the UN Food and Agriculture Organisations (FAO). This is mainly due to incorrect harvesting, packaging, transporting and preserving techniques, the FAO said, adding that packaging technologies in Vietnam are under- developed.

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To increase the competitiveness of Vietnamese farm produce, post-harvest preservation will receive special attention from farmers and businesses. Notably, the Chemistry Institute under the Vietnam Academy of Science and Technol- ogy has studied a technology called "GreenMAP" which keeps vegetables and fruits fresh three times as long as traditional methods without chemical impacts. This new technology is simple, cheap and reduces post-harvest losses by 5 percent. Experts suggested attracting young human resources to the agricultural sector and providing training courses for them. http://en.vietnamplus.vn/postharvest-technologies-needed-to-increase-farm-produce-competitiveness/114953.vnp

Expert urges Vietnam 18/JUL/2017 INTELLASIA | DTI NEWS to invest in renewable Vietnam must develop small and medium hydropower plants as well as make use of energy renewable energy to avoid energy shortages, according to Tran Viet Ngai, Chair of the

FINANCE Vietnam Energy Association. There are warnings about electricity shortages in the future and concerns over the difficulties in developing coal power plants. Ngai also warned that Vietnam must find a way to close the gap between energy supply and demand in the next three years. It is predicted that Vietnam will lack 100 billion kWh in 2020 and 300 billion kWh in 2030. Vietnam must calculate carefully to generate more electricity domestically, or it must also find affordable sellers overseas. "I think we must focus on small and medium-sized hydropower plants, and the renewable energy sources like solar, wind and biomass power," he said. All hydropower plants in Vietnam contribute 80 billion kWh to the national grid. When hydropower plants were being built en-mass during the 2010-2014 period, large amounts of forested land were destroyed. In many cases, the investors of small and medium-sized hydropower plants had little knowledge about what they were doing so their field survey and documents were simple and didn't meet requirements. The National Assembly had to scrap 400 hydropower plant projects after it was reported that a number of local departments of agriculture and rural development and departments of industry and trade didn't follow proper discharging protocols. "However, we must look back on some projects that could still be invested in for rural and mountainous areas. Stricter management must be applied to protect the forest and ensure the quality of the project," Ngai said. According to Ngai, the total contribution to the national grid will increase by 3,000MW if Vietnam builds 300 more small and medium hydropower plants. He also suggested focusing investment on three types of renewable energy including solar, wind and biomass energy. "Vietnam has 3,360km of coastline, the longest in South East Asia with sun and wind all year round. We also build solar and wind farms in the vast deltas, midlands and mountainous areas," he said. Other advantages are listed such as long sunny hours in a tropical country and cheaper turbine cost. He said, "The solar irradiance is 5 kWh per square metre per day and we have about 2,500 to 3,000 sunny hours a year. The solar panels can be installed on the sea, house roof, window, delta, mountainous areas in summer. We can produce thousands of MW from sunlight." Wind farms can also be built anywhere according to Nghia. The problem is how to connect them to the national grid and ensure a stable system. In addition, Vietnam should also take advantage of the billions of tonnes of discharged waste. However, there is no effective policy to encourage the development of renewable energy. "The government must quickly make a plan to develop renewable energy. They should gather consultants and top experts to help with the projects," he said. "Second- ly, the government must develop one or two industrial zones that specialise in making equipment for the plants. Supporting policies for investors are needed such as tax ex-

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emption for the first years." Ngai said the government must carry out detail research on sunlight and the amount of discharged waste from each region and province to make the best decision. http://dtinews.vn/en/news/018/51879/expert-urges-vietnam-to-invest-in-renewable- energy.html

Solar power attracting 18/JUL/2017 INTELLASIA | VIETNAM BREAKING NEWS billions dollars In recent years, the solar power industry has become a lucrative and sustainable field investments for investors. Solar energy attracting investment After years of waiting, the solar power market has just received exciting news: the prime minister has signed Decision No.11/2017/QD-TTg on the mechanism for encour- aging the development of solar power projects in Vietnam. Decision 11 is exciting news for domestic and foreign investors interested in the Viet-

FINANCE namese electricity market, especially since it requires Electricity of Vietnam (EVN) to purchase all electricity produced by grid-connected projects at 9.35 cent per kWh. Many solar power investors were said to start spending billions of dollars on the projects in Vietnam Thanh Thanh Cong Corporation (TTC) has just officially announced it would spend around $1 billion to build and operate 20 solar PV plants in Vietnam. TTC also mentioned the decision at the corporation's conference for customers in the energy sector in HCM City, in front of strategic partners, including the International Financial Corporation (IFC), Armstrong Asset Management (AAM), Sharp Corpora- tion, and many large domestic banks. Among these, IFC and AAM own 15.95 and 20.05 per cent of Gia Lai Electricity JSC (GEC), and will continue to cooperate with TTC in future solar power projects. Thai Van Chuyen, CEO of TTC, said that the corporation plans to deploy 20 solar power projects in Tay Ninh (324MW), Binh Thuan (300MW), Ninh Thuan (300MW), Thua Thien-Hue (30MW), and Gia Lai (49MW), among others, with a maximum production cost of VND20 billion ($880,000) per MW, IRR of more than 15 per cent, and payback period of less than 12 years. These projects will start construction in the fourth quarter of 2017. TTC will contribute 30 per cent of the capital, while the remainder will be mo- bilised from banks and financial institutions. TTC has previously invested in solar power, but only at an experimental scale, such as rooftop PV systems over 1.2MW for offices, restaurants, and hotels belonging to member companies. Additionally, TTC has also implemented solar power in agriculture, with the Solar Pump for agricultural irrigation at Nuoc Trong Sugarcane Farm and the solar-powered irrigation system at Bien Hoa-Phan Giang Sugar JSC. Besides TTC, there are over 30 domestic and foreign investors starting to develop solar power projects with capacity ranging from 20MW to 300MW, mostly located in the central region. Thien Tan Investment and Construction JSC is currently developing two solar power plants in the central provinces of Quang Ngai and Ninh Thuan. DooSung Vina Com- pany Ltd (South Korea) also invested $66 million in a 30MW solar power plant in the central province of Binh Thuan. A number of South Korean, French, and Indian investors have registered investments to construct solar power projects in Thua Thien-Hue, Ha Tinh, and Hau Giang provinces. Additionally, German and Thai investors are considering the possibility of investments in Quang Tri and Binh Dinh provinces. EVN also proposed to the Ninh Thuan People's Committee to invest in a 200- MW solar power project covering 400 hectares in the province, with an expected total investment sum of VND8 trillion ($351.9 million). According to the proposal, the project would start construction in 2018 and go into operation in 2019. Recently, the committe has signed a memorandum of understanding with Sinenergy Holdings Ltd, a subsidiary of SHS Holdings Singapore, on the development of a 300- MW solar power plant in combination with hi-tech agriculture in the province Phuoc

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Huu on a designated area of 832 hectares. The project's total investment is about VND7,920 billion ($348.4 million) and is expected to be finished in July 2019. According to the Hau Giang Department of Investment and Planning, JinkoSolar is looking forward to developing a solar power plan in the province's Hoa Gian and Phuc Hiep. The project will focus on the production of commercial electricity with a designed capacity of 35MW, an area of 40 hectares, and a 50-year lease. The project's total investment is VND1,168 billion (approximately $52.5 million). Emergence of M&A activities According to Tran Vinh Du, deputy director in charge of M&A counselling at Ernst & Young Vietnam (EY Vietnam), there are many reasons for investors to take interest in the Vietnamese renewable energy sector. Firstly, according to the reform roadmap of the Vietnamese electricity market, the market will no longer be a single buyer market (EVN) like at the present. The electricity sector will grow, and the price of electricity is expected to rise in accordance with the rule of supply and demand. FINANCE Secondly, regarding solar power, the government has issued Decision 11 requesting EVN to buy from solar power projects. For many years investors could not invest in these projects due to the fact that they would not be able to sell to EVN without government guidelines on electricity price. Since the decision was issued, EVN can sign contracts purchasing power from solar power plants, creating output for these projects. Finally, there have been incredible advancements in solar production technology. The devices are growing more efficient, while production costs are going down. This make solar power go from a "vanity project" to a lucrative and sustainable investment opportunity. This is also the chance for M&A deals in the sector to emerge. Du also shared that EY Vienam has been working with many investors in this field from North America, Asia, and Europe. Investors have many criteria when looking for M&A partner in this field, most importantly good radiation. Projects must be placed at the area with the highest level of solar radiation. The northern region does not have this advantage, thus hardly receives investors' attention. Most projects are located in the Central Highlands, or South Central and Southern Vi- etnam. Investors also require projects to be clean, with clear legality. "Many of the projects we know are still just on paper at the preliminary stage, thus it is difficult to attract foreign investors," said Du. Additionally, foreign investors also wish to find reliable domestic partners. This is very important since foreign investors understand the crucial role of local partners in this field. Du said that domestic companies with experience in the electricity sector, especially with projects already connected to the grid, are preferable compared to new companies in the field. Du also added: "As with all investment projects, financial and legal review is always crucial. Therefore, investors prefer companies with the high level of transparency in financial records as well as management process." Vietnam M&A Forum 2017, co-organised by Vietnam Investment Review and AVM Vietnam and sponsored by the Ministry of Planning and Investment, will take place in GEM Conference Centre in HCM City on August 10, 2017, with the topic "Seeking a big push." This is the biggest annual event on M&A and investment connection, with over 500 participants, including policy makers, experts, and industry leaders. Aside from an in-depth conference on M&A in Vietnam with the topic "Seeking a big push," the Gala Dinner and Ceremony to honour the M&A deals and advisory firms of 2016- 2017, the Forum will publish the Special Publication "Vietnam M&A Outlook 2017" and organise a Master Class on M&A strategy. https://www.vietnambreakingnews.com/2017/07/solar-power-attracting billions-dollars-investments/

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Online shopping 18/JUL/2017 INTELLASIA | VIETNAMNET market poised to Online shopping services are expected to boom in the next five years. explode Mi Van, an office worker in Thu Duc district, HCM City, travels 45 minutes from her home to her office 9-10 kilometers away. It is a burden for her to shop for food for five family members every day. However, her workload has eased as she now uses 3sachfood and Di Cho Nhanh (quick shopping) services. Van orders food daily. Prior to 10 pm, she places orders and asks for delivery at home or office. Since the food has been partially prepared, she only has to spend time to cook, which takes 30-45 minutes. The total expenses for her 5-member family are VND350,000-400,000. In HCM City, about 10 companies and individuals provide online shopping services. The service providers show information about food prices and service fees on their websites.

FINANCE To use the services, consumers just need to click on the products and put into a cart. They can also place orders through apps, message via operators, make direct calls or send messages via Facebook. After receiving orders, service providers confirm the orders with calls or messages, and send bills via email. The orders finish at 9-10 pm every day, while food is delivered from 8 am 6 pm the next day as requested by clients. Nguyen Minh Nguyet, the owner of a Facebook account which provides online shopping, said she gets 25-40 orders a day for fresh, partially prepared and ready-made food. The value of the orders varies, from VND250,000 to VND2.5 million. Phan Long, director of Green Healthy, which provides Di Cho Nhanh service said that Di Cho Nhanh has about 400 customers. There has been 30 percent new growth every month. Orders are VND500,000 on average. According to Long, food is sourced from prestigious food suppliers. Long plans to work with producers to have stable material supply sources and control the quality of products. If he can do this, Di Cho Nhanh not only can ensure the clear origin and quality of products, but also reduce costs. Online shopping service providers are facing specific difficulties. They have to be sure that food is delivered on time as requested by clients and ensure high quality of food. Late deliveries cannot keep food fresh. Nielsen has forecast that the Vietnamese e-commerce market will grow 22 percent this year and 13.2 percent by 2020. http://english.vov.vn/economy/online-shopping-market-poised-to-explode- 354708.vov

Mid-sized groceries 18/JUL/2017 INTELLASIA | THE SAIGON TIMES still grow despite Medium-sized groceries measuring over 100 square meters each have still been grow- boom of supermarkets ing well over the past decade and will remain so in the next ten years despite the boom of modern shopping malls, said a researcher at a meeting here last week. Nguyen Huy Hoang, commercial director at the market research firm Kantar World- panel Vietnam, told a meeting of Leading Business Club (LBC) last Thursday that small groceries of less than 50 square meters and mid-sized ones of over 100 square meters are not affected by modern shopping channels. Meanwhile, traditional wet markets have been the losers in recent time. Accordingly to Hoang, during the past decade, groceries have helped consume 60 percent of goods, specifically small and medium groceries holding market shares of 28 percent and 33 percent of commodities respectively. Traditional wet markets have been affected heavily, going down from 14 percent to 10 percent while supermarkets increase their shares by three percentage points to 12.8%. Online shopping channels only account for 0.4 percent despite significant development. Of this tiny market share, 43 percent of goods are sold by traders on Facebook and the remaining 57 percent are consumed through official e-commerce websites. Nevertheless, traditional retailing channels comprised of both wet markets and gro-

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ceries still prevail with 90 percent of goods sold in Vietnam, in which medium-sized groceries are considered the mainstay. Hoang gave three reasons of the development of medium groceries. First, groceries owners are more adaptive to market changes and responsive to customers reflected through systematic and eye-catching goods arrangement, competitive prices of commodities and good relationship with customers. As a result, the channel of medium groceries will still retain its position in the next 10 years. Its market share, Hoang predicted, will increase from 33 percent to 39 percent in 2025. Conversely, that of small-sized ones will fall to 21%, he said. Similarly, convenience stores and mini-supermarkets will have a four-fold growth from 2.1 percent in 2016 to 8 percent in 2025 because of the establishment of new urban areas, the reduction of the average family size and the increase in working women. The growth is also attributed to the participation of many giants such as 7-Eleven, which has just entered Vietnam. Hoang said that 7-Eleven has achieved success in Thailand but sustained a defeat in FINANCE Indonesia, closing all its stores by the end of June. Therefore, its performance in Viet- nam can only be measured in the next two to three years or when it has about 100 stores in the country. According to the representative of Kantar Worldpanel Vietnam, convenience store model has both opportunities and challenges in Vietnam, such as the high rental for ideal locations, the required number of retail stores of at least 500 and diversified commodities. Many large brands have struggled to survive despite owning 100 to 200 stores. In addition, convenience stores often offer products at high selling prices, sometimes 40-50 percent higher than that of groceries. http://english.thesaigontimes.vn/55038/Mid-sized-groceries-still-grow-despite-boom- of-supermarkets.html

Mobile phone market 18/JUL/2017 INTELLASIA | VIETNAMNET saturated, phone Phone distribution chains are selling many other products together with mobile distributor sells phones to earn extra money. perfume On its website, in addition to mobile phone and laptop models, Hnam Mobile displays 30 perfume products of different brands, priced at between hundreds of thousands of dong and several million of dong per bottle. Hoang Phu Nam, the founder of Hnam Mobile, confirmed that the mobile phone distribution chain now sells perfume as well. Nam said the chain's managers, after thorough consideration, have decided to sell perfume to take full advantage of the existing large network, fame and management technology. However, Hnam Mobile only sells perfume products via internet, while the products are not available at shops. Nam expressed his concern that it may be unreasonable to display perfume next to technology products. "We hoped to sell 100 bottles in the first three months. However, at present, we sell several bottles a day," he said. "If everything goes smoothly, we will think of selling liquor and milk," he said. "Selling perfume is quite different from selling mobile phones," he said. "Though we have high number of outlet, we have to learn things from the very beginning to sell perfume." The businessperson admitted that the mobile phone sales have been decreasing, so it's time to think of expanding business to increase revenue. Confirming that the mobile phone market has become saturated, Mai Trieu Nguyen, the owner of Mai Nguyen chain, said selling additional products was inevitable for mobile phone distributors. Mai Nguyen has also been selling non-mobile phone products such as flashlights, mul- tifunction knives, TVs and binoculars. Nguyen Lac Huy, a representative of CellphoneS, the mobile phone distribution chain

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with 19 shops in Hanoi and HCM City, said the growth of the mobile phone market has slowed down and mobile phone distribution chains have to diversify products and services. CellphoneS has tried to do this by opening phone repair shops, called Dien Thoai Vui. In the coming time, one shop in Hanoi and one in HCM City will open. The Gioi Di Dong, the largest mobile phone distributor, is now promoting the sale of home appliances with Dien May Xanh brand, while FPT Shop has announced cooperation with Vinamilk to sell dairy products. A report of GfK showed that 6.2 million smartphones were sold in 2013, and a 40 percent growth rate was reported in 2014. However, the growth rate has slowed down in recent years. It is expected that 23.6 million smartphones would be sold this year, an increase of 19 percent over 2016. Howev- er, the revenue would increase by 7 percent only, from VND73.3 trillion to VND78.6 trillion. http://english.vietnamnet.vn/fms/business/181849/mobile-phone-market-saturated-- FINANCE phone-distributor-sells-perfume.html

Staggering 32.8 18/JUL/2017 INTELLASIA | VNEXPRESS million people The gaming market is projected to make $365 million this year, making it the 28th larg- playing online games est in the world. in Vietnamsurvey More than a third of Vietnam's population play online games and they are expected to spend $365 million on virtual entertainment this year, making it the 28th biggest market in the world, according to a games data site. The Amsterdam-based Newzoo, which surveyed online players in major cities, estimated that 32.8 million people will be playing online games in Vietnam this year. Play- ers' ages range from 10 to 50 years old, with more than half of them from 21-35 and usually with a paid job. The survey found 45 percent of gamers play across all platforms, from PC to mobile and console. Women account for 43 percent of "active" players on PC/laptop, defined by those who play more than once a month, the survey found. This new information is important for games producers in Vietnam given the small ratio of games designed for women. More than half of Vietnam's population of nearly 92 million has access to the internet. A report this month from social media marketing and advertising agency We Are So- cial found Vietnamese Facebook users had jumped 40 percent from last year to around 64 million, making Vietnam the 7th most active country on the social network. Google statistics in April also showed that many Vietnamese people spend their sum- mers searching on Google and watching YouTube. Trailers on the site got more than 500 million views across the country in summer 2016, up a staggering 136 percent from the previous year. Every day during that summer, 100 million mobile searches were made on Google in Vietnam, it said. http://e.vnexpress.net/news/business/staggering-32-8 million-people-playing-online- games-in-vietnam-survey-3614433.html

Real estate giants race 18/JUL/2017 INTELLASIA| THOI BAO KINH DOANH for big profit targets The positive growth of the real estate market in the first two quarters of the year has enabled many industry giants to believe in the market in the second half of the year. Therefore, many giants have set big goals in 2017. With the good liquidity in segments, quite exciting transactions in the first two quarters, many businesses will open for sale in the near future. As per Danh Khoi Real Estate JSC (DKRA), the future supply in the last six months of the year will range between 15,000 and 20,000 apartments. The supply of affordable apartments is expected to continue accounting for large a proportion out of the total market supply in the following quarters. The consumption in the last six months is also forecasted to be optimistic and can be

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comparable to the first half of 2017 if there is not any change in the home loan financing policy that is strong enough. The townhouse market has always been sought by home purchasers and has high stability. Therefore, the consumption will also be active if sales policies meet the needs of buyers. It is forecasted that about 1,500 apartments (equal to the first half of 2017) will be launched to the market. The ground land market in suburban areas has legal characteristics and value, so there often has very high demand. Ground land projects in bordering areas with HCM City have always been welcomed positively with stable consumption rate. In some implemented projects, the price may increase 8-15 percent in the following periods. Through surveys, DKRA forecasts the customer trend in the second half of 2017 will be divided by region. In the eastern part of HCM City, customers mostly purchase to live. Customers are now increasingly cautious and concerned about many factors when de- ciding to purchase apartments such as prestige of investors, legal basis of projects, etc. FINANCE After the annual general meeting (AGM), giants in the real estate sector still expect that the real estate market will be exciting in the final months of the year because in the first six months, domestic giants focused on many high-end projects which attracted many home buyers and achieved high sales, so many industry giants have set very ambitious goal in 2017. Some of giants who have set huge targets in this year are Vingroup, Novaland, Kinh Bac, Dat Xanh, etc. Specifically, with the revenue plan of 80 trillion dong and the after-tax profit of three trillion dong, Vingroup's target is the most impressive among real estate giants. Apart from a various real estate ecosystem including high-end apartments, high-end villas, resort coastal villas, retail, etc., this group also develops the VinCity public apartment series so Vingroup fully expects to achieve the aforementioned goal. Similarly, Novaland Group has recently planned to achieve a targeted revenue of about 17.528 trillion dong and estimated after-tax profits of 3.144 trillion dong in 2017. As per Novaland, in 2017, the group will hand over as many as seven projects sold in 2014 and 2015 such as Orchard Garden, GardenGate, The Botanica, Lakeview City, Golf Park Residence, etc. These are projects the company will record profits in this year. Therefore, with the goal set, it will not be difficult for Novaland to achieve the plan. Besides, in recent years, Novaland has been known as the largest developer of mid-end and high-end apartments in HCM City. In 2016, the group attained more than 7.369 trillion dong revenue and over 1.659 trillion dong after-tax profits. Kinh Bac City Development Holding Corporation (KBC) has also set a big target in 2017 with 2.8 trillion dong revenue and about 850 billion dong profits. Dang Thanh Tam, Chair of KBC said apart from the industrial zone business segment, the corporation has always led in FDI attraction in recent years, and this year KBC will trade in residential real estate. Of which, about 22 hectares of land is in Phuc Ninh urban area (Bac Ninh). And yet, the profit announced is likely to be more successful when KBC successfully transferred the "golden land" of more than four hectares in Pham Hung street to a domestic partner. Though no specific data was announced, with the transfer value of 1.5 trillion dong, the project is likely to bring the company about several hundreds of billion dong profits. However, with information about huge revenue of real estate giants, experts suppose that to achieve these targets, giants need to actively improve design, quality and seek for new innovations to be sufficiently competitive to foreign investors. At the same time, the real estate market needs to maintain the currently good stability and consumption. Besides, the financial factor of home loans or the improvement of infrastructure and macroeconomic elements will continue supporting real estate market, so the likelihood that giants achieve these targets is not difficult.

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Over 8,000 18/JUL/2017 INTELLASIA | VNS construction firms set As many as 8,200 construction enterprises were established in the first six months of up in H1 this year, according to statistics of the Ministry of Construction (MoC). This number accounted for 13.4 per cent of newly-established enterprises nationwide, up 10.7 per cent over the same period in 2016, of which 2,300 firms operated in the real estate sector. MoC is currently focusing on speeding up the restructuring and renovation of State- owned enterprises in the 2016-2020 period. The equitisation of four corporationsHous- ing and Urban Development Corporation (HUD), Song Da Group, Vietnam Cement Industry Corporation (VICEM) and Vietnam Urban and Industrial Zone Development Investment Corporation (IDICO)will continue. The real estate sector in the first half of 2017 continued to maintain stable growth, reflected through the stability in price, transaction quantity, liquidity and declined in- ventory, MoC said, adding that the structure of goods was adjusted to better fit the

FINANCE diverse needs of the market. According to statistics from the Ministry of Planning and Investment, in H1, the real estate sector ranked fifth in terms of FDI attraction, with 39 newly-registered projects worth $461.7 million. http://bizhub.vn/news/over-8000-construction-firms-set-up-in-h1_287639.html

HCM City wants to 18/JUL/2017 INTELLASIA | THE SAIGON TIMES carry out six PPP The HCM City Transport Department has proposed that the municipal government projects seek the prime minister's approval to choose investors to carry out six urgent traffic infrastructure projects under the public-private partnership (PPP) investment format. In particular, the projects are intended to build two sections of Ring Road No. 2 from the Phu Huu Bridge to the Hanoi Highway, and from Binh Thai Intersection to Pham Van Dong Street; two North-South Expressway sections from Nguyen Van Linh Street to Hoang Dieu Street, and to Hiep Phuoc Industrial Park; Elevated Road No.1; and Thu Thiem 4 Bridge. Earlier, the transport ministry said traffic congestion frequently occurs around Tan Son Nhat International Airport, Cat Lai Port, and in downtown districts. Therefore, these projects should be carried out soon in order to meet the rising demand for transport in the city. The Ministry of Planning and Investment also shared the same view, adding the local government should allocate sufficient land, and meet land site clearance requirements for investors to undertake these projects. The HCM City People's Council on July 6 opted for PPP as a key fund-raising vehicle given the lack of capital for vital infrastructure development projects. The council endorsed VND171.8 trillion (US$7.5 billion) for such projects to be carried out in the 2016-2020 period. Of the total amount, around VND22 trillion will come from the central State budget, and VND150 billion from the city's budget. The city will use around VND11.2 trillion as reciprocal capital for projects funded by official development assistance (ODA) loans, and VND9.2 trillion for funding PPP projects. http://english.thesaigontimes.vn/55047/HCM City-wants-to-carry-out-six-PPP- projects.html

Thua Thien-Hue 18/JUL/2017 INTELLASIA | VNA revokes licences of 37 The central province of Thua Thien-Hue has so far revoked investment licences of 37 delayed projects projects due to prolonged delay in implementation. A majority of those projects (21) are in the Chan May-Lang Co economic zone and local industrial parks. One example is the Lang Co golf course which was initially scheduled to be put into operation in July 2016 but so far not a single construction item has been done. Another one is the Bai Chuoi resort which was 74 months behind schedule. The province has made public delayed projects along with cases of violations of land

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laws on its electronic portal and websites run by provincial departments and sectors. It will strengthen inspections of investment projects after granting licences and take firm measures to deal with delayed projects. Since 2000, Thua Thien Hue has licensed 548 investment projects with total registered capital of 168.2 trillion VND (7.4 billion USD), of which 92 are foreign-invested at a total value of 2.62 billion USD. Among the licensed projects, 285 have become operational and 180 others are under construction. http://en.vietnamplus.vn/thua-thienhue-revokes-licences-of-37-delayed-projects/ 114964.vnp

Central Highlands 18/JUL/2017 INTELLASIA | VOV approves $4 billion of Signalling a positive momentum in the Central Highlands region, local authorities potential investment have approved approximately $4 billion of future investment in the region during the

FINANCE first half of 2016. The proposed investment is made up of approximately 25 separate ventures, for which most will likely never materialise, said Senior Lieutenant general To Lam, head of the Central Highlands Steering Committee. The largest share of these projects are tentative and preliminary and contingent upon a host of factors, said Lam, adding that hopefully a few will come to fruition and bring new commerce and jobs to the region. The local economy has not fared well in the first six months of the year, added Lam, noting the struggling pepper industry as a prime example of the problems agriculture is experiencing. To the extent that some of this investment might improve transport infrastructure, it could greatly boost the local economy. http://english.vov.vn/economy/central-highlands-approves-us4 billion-of-potential- investment-354741.vov

Ca Mau moves to 18/JUL/2017 INTELLASIA | VNA expand shrimp export The southernmost province of Ca Mau aims to seek more export markets for its shrimp market products through intensifying trade promotion activities as an effort to realise the locality's export target of 1.1 billion USD in 2017. The locality is coordinating with ministries, sectors to prepare a shrimp festival in 2018. Attention will be also paid to building brand name for shrimp products and expanding domestic consumption. According Chau Cong Bang, deputy director of the provincial Department of Agricul- ture and Rural Development, Ca Mau continues accelerating agriculture restructuring in the direction of improving added value of products and promoting sustainable development. The locality focuses on expanding shrimp-farming models with high-productivity meeting VietGap, GlobalGap and Aquaculture Stewardship Council (ASC) standards in order to produce clean materials for processing for-export shrimp products. Local seafood processing enterprises will be assisted in applying new technologies to better the quality of their products in order to satisfy the demand of each import market. In the first six months of this year, Ca Mau's export turnover hit nearly 420 million USD, up 3.3 percent against the same period last year, mainly contributed by shrimp shipments to the US, Japan, the Republic of Korea, Canada, Australia, China, Europe and other markets. http://en.vietnamplus.vn/ca-mau-moves-to-expand-shrimp-export-market/ 114974.vnp

VN courts foreign 18/JUL/2017 INTELLASIA | OXFORD BUSINESS GROUP investment in logistics With a rapidly expanding economy, the capacity for growth in both domestic and in-

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ternational trade is increasing Vietnam's appeal to foreign operators in the logistics sector. The economy grew by a yearly average of 6.3 per cent over the past decade, according to data issued by the Ministry of Industry and Trade in late May, with per capita incomes rising more than three-fold since 2007, climbing from $750 to $2445 by the end of 2016. Much of this is due to expanding international trade, with exports increasing by 12-14 per cent every year since 2007, when Vietnam joined the World Trade Organisation. Between 2007 and 2016, international trade rose to reach $350 billion, according to the general Department of Vietnam Customs. The more affluent economy also requires a larger and more serviceable logistics industry to cater to domestic demand. This represents an even broader market for local and international operators, as reflected by recent merger and acquisition activity in the sector. To achieve this, Vietnam has gradually opened up its logistics sector to foreign in- FINANCE volvement. The most significant step was taken in 2014, when the government re- moved requirements for licensed overseas companies to have a local partner. The only exception to this was for container handling and road transport services, for which a Vietnamese joint-venture partner was still required. The subsequent liberalisation of the sector saw a steady influx of logistics firms into the Vietnamese market. "The influence of foreign logistics operators is strong in Vietnam, having boosted productivity and facilitated knowledge transfer," Tran Nguyen Hung, former CEO of multi-platform logistics firm Sea and Air Freight International, told OBG. "This influx of overseas firms into the market has also seen many of the smaller operators lose market share, with the approximate 2000 local players accounting for only 25 per cent of shipping volume. There's a big imbalance in terms of market share. More than 80 per cent of exports are run by international players. The foreigners bring the know-how and local players have to learn from it," he added. Potential attraction Investments in logistics will continue to have a strong appeal for foreign companies, according to an April report issued by finance and advisory services firm Grant Thorn- ton. Based on a survey of foreign firms operating in Vietnam, investments were rated as being "very attractive". This was attributed to the increasing influence of Western lifestyles and the rising disposable incomes in the country fuelling demand for goods and services. The attractiveness is also being translated into spending, with foreign firms accounting for around $30-35 billion of the total $37-40 billion annual expenditure coming from the logistics sector. High levels of international interest in the market were evidenced in mid-May, when South Korean conglomerate Taekwang Group issued a statement declaring its intent to acquire Gemadept, Vietnam's largest logistics and port operations firm. Upon Gemadept's completion of the private offering to convert the overseas loans held by VIG Fund, the HCM City Stock Exchange-listed company is valued at VND12.5 trillion ($550 million), with foreign investors holding 49 per cent and domestic shareholders accounting for the remaining 51 per cent. Obtaining Gemadept would give Taekwang access to the Vietnamese firm's network of logistics centres, including five operational ports, along with one deep sea container port and one river port in the developmental stage: the Gemalink in the south and the South Dinh Vu in the north. Gemalink is scheduled to come on-line in 2019 and is expected to increase the company's market share of port operations to 25 per cent of the national total, up from the present level of 8 per cent. Customised streamlining A gradual improvement in processing times for imports and outbound freight and increased efficiency may also encourage investors, and to this end the general Depart-

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ment of Customs (GDC) announced improvements to its business environment in May. These developments include streamlined processing procedures and enhanced online services, which should result in a marked reduction in clearance times for goods pass- ing through Vietnam's external trade hubs. By year's end, imports and exports should be able to clear customs in 90 and 70 hours, respectively. By 2020 these times are expected to be reduced by another 10 hours, the GDC said. Currently, it takes 138 hours for imports to be cleared with exports requiring 108 hours, according to data from the Vietnam Logistics Association. These improvements, if implemented as planned, will bring Vietnam's freight clearance times closer in line with those of other countries in the region, boosting competitiveness, reducing costs for shippers and logistics operators, and spurring further investments. http://bizhub.vn/news/vn-courts-foreign-investment-in-logistics_287610.html FINANCE International fashion 18/JUL/2017 INTELLASIA | VNA brands target International brand names are starting to grab the attention of HCM City's fashion- Vietnamese market conscious people, clearing the way for more ready-to-wear clothing stores in Vietnam. More than 50 well-known brand names, such as Giordano, Mango, Zara, Topshop, Gap and Old Navy, have opened stores in HCM City. While Old Navy opened its first store last month, H&M launched its brand name last weekend with a fashion show at a leading shopping centre in the city. Other fashion companies, including Pull&Bear, Uniqlo and F21, will also enter the market this year with their own stores scheduled to open in Hanoi shopping centres. "Before launching our designs in Vietnam, we spent time researching the country's economic development, culture and living conditions," said a representative of Zara, who noted that the country would become one of the most important markets for the popular fashion brand from Spain. Although their prices are higher than local products, ranging from 300,000 VND (15 USD) to over 1.5 million VND (70 USD) with accessories sell for an average of 100,000 VND (4 USD) per item yet customers, particularly young people, are thrilled they are here. Customer Tran Thi Anh Nhung of district 3 spent almost 5 million VND (230 USD) on nine items at Zara after discounts last weekend, saying she was delighted she no longer had to go Singapore or Bangkok for the latest styles. Nhung, a senior marketing executive for a foreign-owned advertising agency in district 1, said: "Zara and Topshop offer ready-to-wear products in the trendiest styles at reasonable prices. A mini-dress sells for 500,000 VND (22 USD) compared to a Viet- namese one at 300,000 VND (15 USD). Customers aged 18 to 30, who change their clothes every season, are interested in that kind of stores." Another customer, Vu Chi Hung, 32, said she was a fan of Topshop because their mer- chandises are both stylish and practical and can be purchased for around 22 USD a piece. "The foreign brands located in shopping centres like Diamond, Vincom and Takashi- maya guarantee their services and quality are the best for customers," he added. Ho Tran Da Thao, brand name creative director of the Tsafari Fashion Company, said: "The appearance of international fashion houses in Vietnam and so-called 'fast fashion' or 'casual wear' brand names is sure to create fierce competition in the country's fashion industry." "Vietnamese brands should try to capitalise on the shopping seasons and spend more money on advertising to grab the attention of consumers," she added. http://en.vietnamplus.vn/international-fashion-brands-target-vietnamese-market/ 114985.vnp

Dutch firms plan to 18/JUL/2017 INTELLASIA | VIR build on their FDI Vietnam has become a magnet to big Dutch firms and investors who are interested in

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many sectors in the country, especially through engaging in financial investment and state-owned enterprise equitisation. During his July 9-11 visit to the Netherlands, Vietnam's prime minister Nguyen Xuan Phuc met with many Dutch firms and investors who said the country is one of the most dynamic and fast-developing economies in Asia, with great potential for financial investment. They expressed their wish to participate in Vietnam's sectors of state-owned enterprise (SOE) equitisation, energy, climate change adaptation, and micro-finance. The investors and firms include globally-famous investment equity management funds like Actiam N.V, Shell Pension, Orbit Asset Management, Pacific Spring, and Obam, as well as firms like NACO, Damen, Puma Energy, Vamed, and hundreds of others. Arnold Bon, representative from Orbit Asset Management, said Orbit has invested in Vietnam's financial market via VinaCapital, and will continue expanding its operations in Vietnam via cooperation with partnering organisations, individuals, and en- FINANCE terprises. Tony Chan, co-founder of Pacific Spring, which specialises in supporting Asian investment funds to approach European partners, said that Pacific Spring wants to invest in Vietnam in the time to come and like other firms, it hopes to receive support from Vi- etnam's government. Obam's representative Erwin van Zuidam said that Obam is a long-term investor seeking well-performing firms with a sustainable business model in Vietnam, which it feels is an emerging market. Actiam N.V's general director Hans van Houwelingen and Shell Pension Fund's investment consultant Jeroen Kakebeeke said their funds stand ready to pour a great deal of capital into the Vietnamese market, whose consumption and production are strongly rising. Actiam N.V has $54.6 billion worth of assets and provides services about investment portfolio management and consultancy for individuals, organisations, and firms globally. Meanwhile, the Shell Pension Fund, managed by Shell Group, has an asset volume of $35 billion, $27 billion of which comes from other funds from the UK, the Netherlands, and the US. According to Dutch deputy prime minister Lodewijck Asscher, Vietnam is seen by Dutch firms and investors as a "huge consumption market" with its population of 93 million people, fast-developing economy, and stable political climate. Many other Dutch firms are also seeking to invest in projects in Vietnam. Damen, a Netherlands-based global leader in shipbuilding, is seeking to complete its acquisition of a 70 per cent stake in Song Cam Shipbuilding JSC, the most profitable shipyard in Vietnam. The stake sale is still under governmental consideration. Phuc asked Damen to expand its investment in Vietnam, and to soon decide on its investment in some shipbuilding firms in the country. Puma Energy, whose asphalt factories have been operating in Vietnam for the past 20 years, already considers Vietnam a strategic market in Southeast Asia. It recently decided to participate in the equitisation of some Vietnamese SOEs, and expressed its desire to engage in that of Vietnam's PV Oil. Phuc also suggested the firm cooperate with oil refineries in Vietnam. NACO, one of the world's leading airport consultancies, also wants to seek business opportunities in Vietnam, where a number of large airports are being developed. Currently NACO is cooperating with Vietnam Aviation Agency by providing consult- ing on the upgrade and construction of new airports in the country. NACO particularly wishes to cooperate with the government to deploy an airport-based city model in Vietnam. In calling upon Dutch firms to invest in Vietnam, the PM stressed, "Vietnam is creating the best conditions for all foreign private investment funds." He said that now is the best time for the Dutch to invest in Vietnam, where the stock

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and financial markets are flourishing. Many SOEs have and will be radically equitised, including big groups operating in the sectors of transport, airports, expressways, sea- ports, electricity, telecommunications, agriculture, and tourism. Vietnam has committed to removing barriers in many sectors, especially telecommunications, finance, and banking, whose foreign ownership limits have been and will continue to be lifted. During Phuc's visit to the Netherlands, 11 cooperation deals worth about $700 million were inked by enterprises from both nations. For example, Vinalines and Holland's STC Group clinched a deal on training cooperation, while Xuan Thanh Group and BS Bull signed a cooperative agreement on climate change consultancy, agriculture, and renewable energy development. As of June 20, 2017, the Dutch had 292 valid investment projects in Vietnam, registered at $7.97 billion, according to Vietnam's Ministry of Planning and Investment. http://www.vir.com.vn/dutch-firms-plan-to-build-on-their-fdi.html

18/JUL/2017 INTELLASIA | VNS

FINANCE RoK, VN eye energy partnerships A delegation of executives from 17 energy start-ups nurtured by the Korea Electric Power Corporation (Kepco) met with their Vietnamese counterparts in HCM City on July 17 to explore business opportunities. The Korean companies specialise in products like fire-proof sound- absorbing wall panels, knife-switches, electric panels, solar LED security lights, lithium polymer batteries, electric bicycle batteries, charge connectors, energy storage, uninterruptible power supply devices, and hybrid power solutions. Speaking on the sidelines of the 2017 Kepco Energy Startup in HCM City on Monday, Sung-Ku Yeo, president of the Energy Valley Enterprise Development Institute (EVE- DI), said the visiting companies this time had been carefully selected from among energy start-ups across South Korea. They have all developed important energy-saving technologies, he said. In Vietnam, they want to introduce their technologies, share experience and seek business cooperation with Vietnamese enterprises, he said. Vo Tan Thanh, director of the Vietnam Chamber of Commerce and Industry's HCM City chapter, said demand for energy to fuel Vit Nam's strong economic development is one of the top priorities of the government and a lucrative sector for investors. But the current challenge is to produce energy to meet the demand and at the same time safeguard the environment, he said. In this context, energy-saving, efficient and environmentally-friendly solutions are key, he said, adding that Korean start-up companies have focused on developing them. David Choi of BA Energy Co Ltd said there is huge potential for Vietnam and South Korea to cooperate in the energy sector, and the event was an ideal platform for his company as well as others on the trip to access the Vietnamese market. Thanh said South Korea's investment in Vietnam had tripled between 2012 and 2016 to $50 billion. Bilateral trade doubled in the period to $42.8 billion. In the field of energy, the two countries have many cooperation programmes in thermal power, renewables, energy-saving initiatives and others, with Kepco in particular undertaking many large projects in Vietnam. The event was organised by the VCCI in collaboration with EVEDI and the Korea Elec- trical Manufacturers Association. http://bizhub.vn/news/rok-vn-eye-energy-partnerships_287652.html BUSINESSNEWS Business Briefs July 18/JUL/2017 INTELLASIA | 18, 2017 * LienVietPostBank has obtained approval from the State Bank of Vietnam to spur its chartered capital from over VND6.4 trillion to VND7.5 trillion. The lender is also allowed to establish Xin Man transaction office in the northern mountainous province of Ha Giang and upgrade 139 post offices into banking outlets. In 2016, LienVietPost Bank inaugurated five branches and 28 transaction offices, taking to 134 the total number of its banking units in the country.

Intellasia 18 July 2017 34 / 56 BUSINESS Vietnam finance& business Vietnam Indexes close down VN Index Blue chips pulldown Intellasia sion then slipped to 772.62 pointsbefore re sion thenslipped to772.62 The VNIndex opened points at 777.77 in and billi VND806.7 was on HNX Friday,and last ($171. trillion VND3.95 reached onHSX Liquidity UPCoM-In percent),and the (2.38 (1 points 1.79 lost HNX-Index the HNX, On percent). (1.89 8. fell Index VN the HSX, On http://bizhub.vn/markets/blue-ch The afternoon session starts at 1pm. exchanges. traded inthetwo around worth million shares A totalof180.5 points.[AV1] On the Hanoi StockExchange, the HNX Index lost 0.74 per centtotouch99.69 between0.9and6.2 cent They advanced per each. heavily tradedstocks, with12 sixto millionshares being tradedfor eachcompany. ment Services (HHS) andQuangNamRubber Hoang QuanConsulting-Trading-Service Real per share, asTanTaoIndu VND10,000 such Money, however, flowed into low-value fell. all (VIC) VinGroup and Group (MSN) Vietcombank (VCB),Vietinbank (CTG), FPT(FPT),Hoa PhatGroup(HPG),Masan Sector-leading companiessuchasVinamilk lost value; only three gained. liquidity and bymarket value shares ofthe Exchange, 27 30 largest Stock On HCM the tion. rising stocks slippedon most large-cap as The benchmark VN Index dropped0.64per ce 18/JUL/2017 INTELLASIA |VNS * An Phat Plastic &Green Environment Co All main indexes on Vietnam'sstock indexes All main Main indexeslose ground on July 17. 18/JUL/2017 INTELLASIA |VNECONOMIC TIMES surged 72 percent tr surged 72percent to VND1.57 year-on-year and meeting 56percent of the en 97.4% year, inthe this half jumping of first billion ofVND123 profit improving its earnings in the future. in earnings its improving Co Dong PhuHungProduction -Trade-Service Ltd, thus Van with deals acquisitions mergers and eachata1-for-5 shareholders VND10,000 at nearly VND169billion to over (DLl) haspassed aplantoissueover84milli Company Service Project Public of Development and Investment Lai Gia Long * Due cept forproducts that are manufact ex- Vietnam, in pharmaceuticals of distribution the in step any in involved to be lowed for some business lines. According toDecr DHGisamending its charter theFOLremoval, itate lift the FOL.The board ofdirectorsisnow inApril, generalmeeting annual Inits 28. business charter. The deadline forshareholders foreign ownershiits written consent tolift (DHG) Company Pharmaceutical Giang * Hau sa of2017, inthe quarter third billion prof net consolidated a targets AAA target. 69 points (1.12 per cent) and the VN30-Index 14.38 points 14.38 and theVN30-Index percent) points (1.12 69 VND1 trillion. The firm will sell the shares to existing existing to shares the sell will firm The trillion. VND1 illion intheperiod, fulfilling ips-pull-down-vn-index_287636.html dex 0.65 points (1.15 percent). (1.15 dex 0.65points ured bythemintheirhost country. id Viet CapitalSecurities Company. market lostgroundmarket on July 17. stocks, especially those priced below below priced those especially stocks, Gia LongConstruction Gia Investment JSCand shareholdersapproved DHG's proposal to investor caution about downwardcorrec- mpany (AAA) estimated p limit (FOL) andmake to amendments its gaining groundand closing themorning at ee 54/2017/ND-CP, fore ee 54/2017/ND-CP, proposing to lift the FOL to 100%. To facil- the FOLto100%.To to lift proposing it of VND59 billion on revenue of VND900 billion onrevenueofVND900 it ofVND59 .78 per cent), the HNX30-Index 4.44points .78 percent),theHNX30-Index on sharestoraiseitschartered capitafrom (VNM), Petrolimex (PLX), PVGas (GAS), stry and Investment (ITA), FLC (FLC), (FLC), FLC (ITA), Investment and stry VND2.6 trillion (US$116.5 million) were ratio. ratio. DLl will theproceedstofund use on ($16.78 million), 51 per cent higher.cent million), 51per on ($16.78 tire year'stireIts consolidatedrevenue plan. creased to 777.95 pointsearly ses- in creased to777.95 the nt to 772.62 points onMondaymorning, points nt to772.62 Investment (VHG). These were the most themost were These (VHG). Investment Estate Corp(HQC), HoangHuy Invest- is asking for shareholder approval via forshareholder is asking to submit their votes is 4:00 pm on July theirvotesis4:00pmonJuly to submit 7 million), 27.1 per cent higher than higher percent million), 27.1 7 57.3 percent of the year's of percent 57.3 igners are notal- a consolidated net 18 July 2017 35 / 56 35/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam mixed performance to be Analysts: Share Intellasia strong increases intheprevious period. On the opposite side, trading ofbank and 0.5 percent and 4.6percent. advanced between Group(HPG) HoaPhat and steelmaker (VIC) Vingroup developer gr (VNM), insurance-finance ducer Vinamilk PetroVietn as such firms leading of Shares fresh highs inrecent weeks. especially weak, still was vestor sentiment in- up, markets local thetwo pulled and rebounded stocks large-cap key some Though for more positive signals. treatedthefrom previousweek's closinglevel, investors clearlywaitto havereasons As the benchmarkVNIndexrecorded aslig market trading condit Bao Viet Securities Co(BVSC) said in its weekly report that July 14's decline had made trading negative conditions. the market's 780 current770 and scorerangeofbetweenthe According tobrokerage companies and analysts USD). million volume and percent invalueto 10.3 230. from declined liquidity trading average Daily posted a weekly gainof0.2percent the tradingThe twolocal indicesfinished we 1.5 percent and th vancing atotal July 14's declines ended athree-day rally on dropped 0.33 percent to onJuly14.Th points close 777.60 at The benchmark VNIndex on theHCMStock Exchange inched down 0.09 percent to before companiesreleaseth main weak Mixed share performance is expected thisweek 18/JUL/2017 INTELLASIA |VNA http://vneconomictimes.com/article/bankin billion($1.5 million). VND35.02 Foreign investors net sold on HSXbyVN97. ($584,782). On UPCoM,foreign investors bought and billion($65,217)) (VND1.5 billion lowed bySHB ($486,956)), (VND11.2 share, sold net largest the was PVS HNX, On billion ($1.05 KBC (VND24.2 billion ($1. (VND37 lowed byHSG netsoldshare, wasthelargest VNM On HSX, and billion($260,869)), (VND6 billion ($352,173)), lion)), KDC(VND8.1 The Top 5 shares boughtby 2.4 per 1.7percent, cent, KDH CTD and cent. QCG lost 5.6 per cent, HT1 4.5 per ce In constructionandrealestate,ITArose6.8cent, perROS 0.8per per cent,and FLC1.1 opening price. per 0.6percent, 0.5pe cent, VSH and CHP lost2.6percent,PVD In energy, and NT2 per cent, MBB 3.1 per cent,CTG2.8per cent In banking,VCI rose 1.4per cent while EIB cent, closedat and KDC1percent. its VCF opening price. TLGrose2.1perce In foodandbeverages, 779.22 points. It then tumbled intheafte ions unpredictable. end at 100.43 points. end at100.43 foreign($4.3(VND100.3 investors mil- billion wereVCI million)), and CTG (VND CTG million)),and VCG (VND1.26 billion($54,782). VCG (VND1.26 billion($252,173)). GTN (VND5.8 e HNX-Index going up0.4percent. 6 million)), HPG (VND29.1 6 million)), (VND29.1 HPG e HNX-Index onthe Hanoi StockExchange while the HNX-Index fell 1.1percent. 254,030 shares worth VND13.45 billion VND13.45 worth shares 254,030 eir second-quarterearnings reports. PHR (VND7.87 billion ($342,173)), VCB billion($342,173)), (VND7.87 PHR rnoon and finished the day at768.91 points. 5 million shares and 2.26trillionVND(189.5 VIC 0.5 per cent, and NVL 0.3per NVL cent. VIC 0.5percent, and nt, KBC 4.3 per cent, REE 3.1 percent,DXG cent,REE 4.3per KBC nt, am Gas (GAS), Petrolimex (PLX), dairy pro- dairy (PLX), Petrolimex (GAS), Gas am GAS 2.2 per cent, PLX 1.9 per 2.2percent,PLX GAS cent, PVT 0.7 nt whileBBClost2.6per 2.1per nt cent, VNM brokerage shares remained negative after after thetwo after their indices hit continuously r cent, while PPCand PGD closed their g-finance/7mncqzfr-indexes-close-down ht weekly increase and the HNX-Indexre- lost 6.6 per cent, SSI 4.1 per cent, STB 3.3 4.1percent, SSI STB 3.3 cent, lost 6.6 per ACB (VND3.8 billion ($165,217)), VND billion ACB(VND3.8 ($165,217)), , BVH 2.1 per cent, and VCB1.4percent. , 2.1percent, BVH and both local bourses, with the VN Indexad- theVN with bourses, both local 97 million)and by 97 billion ($4.26 on HNX with VND24.3 billion($1.05million), with fol- ek with a mixed direction. The VNIndex with VND43.5 billi withVND43.5 oup Bao Viet Holdings(BVH),property Bao oup the previous week by 25.6 percent in in percent by25.6 week previous the points asinvestors arecautious over and market sentiment is forecast to re- to forecast is sentiment market and , both local indices will remain firm at firm indices remain , will local both 20.4 billion ($886,956)). billion 20.4 billion ($1.26 million)), on ($1.89million), fol- 18 July 2017 36 / 56 36/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam week this correction likely Further Experts: Intellasia cent time, the cent time, expert said. down. Therefore, investors should notice stocks eral buttheystrongly offloa Foreign trading wasalsonotablelastweek. indexes. movements ofstock reare awaitingearnings their From a technical perspective, manylarge caps trading. on July 7 and July 10 has resulted incaut Hoang ThachLanfromVietDragon Securiti resistan the medium-term proach ment ofsecond-quarter busi poor turnover. There willbedifferenti earl torebound is predicted The mainindex driven bysome largecaps. cautious and decided tostay on the sidelines. Inthis context, theVNIndex may be average levelprevioussessions than the of lower still was but it Friday last improving volume saw trading The two exchanges dex are expected toseeflatmovements. IndexandHNX-In- theVN30 while outlook positive maintains theVNIndexstill that Chau ThienTrucQuynh, brokerage director tion and theuptrend since earlythisyearremains intact, Khanhcommented. some marketdrivers havelost steam. Howe This week,thelocalmarket is price has bounced back. depreciate has strongly greenback the while outsta the most the stockmarketis fact, In market, Khanh saidinaninterview with Dau TuChungKhoan website. ports of listedenterprises in the second quar Besides, the government's determination toboost economic growth and financialre- of investorssessions reportedthree last intermsofvalue netbuyers ers were 780pointsandthepsyc peakat the previous pany, mentioned factorspossiblycausingim Phan DungKhanh, headofinvestmentad sistance levels. correction phase islikely to extend further when the VNIndex isapproaching newre- the so week, last caution investor to due tumbling liquidity saw market stock The local 18/JUL/2017 INTELLASIA |THE SAIGON TIMES http://en.vietnamplus.vn/analysts-sh first halfoftheyear, andit is now thetime nies, whichhadbeen forecasttorelease g MB Securities analyst Nguyen Duy Dinh said the mixed performance of the stockmarketthisweek. and first-half earnings reports, Quynh said, One of the major drivingfactorsforthe stoc Thien TrucQuynh,ananalyst at totrigger ers andbuyerswerehesitating that both sell- proved trading liquidity and falling shares oflocal Mixed performance down percenteach. 0.6 (B 7.7 percent,BaoVietSecurities slumped Shares of securities firms also saw thei (CTG) andBIDV (BID), finished lastweek down between 1.2 percent and 4.4 percent. Shares ofthe three largest banks on thest ded some large caps, sending the stocks and the VN Index the VNIndex and thestocks sending caps, somelarge ded ness results, and the VN Index still has chances to ap- to chances has still Index VN the and results, ness sults in the second quarter. The enterprisesThequarter.sults inthesecond will influence expectedtocorrect furtheras cash flowhasreduced and Viet CapitalSecurities Co. ce at 790 points, Quynh said. Quynh points, 790 ce at net selling in terms of volume. are-performance-to-be-mixed/114933.vnp ation amongstocksfollowingthe announce- r prices fall. Sacombank Securities (SBS) (SBS) Securities Sacombank fall. r prices ious sentiment,especi Vietinbank (VCB), Vietcombank market, ock week but their transaction reduced and the their purchasingpower, according to Chau ood earningsforthe second quarter and the nding among investment channelsthisyear,nding visory at Maybank KimEng Securities Com- for themtosellstakesandearnshortprofits. VS) and Vietinbank Securities (CTS) edged edged (CTS) Securities Vietinbank VS) and , indicating, both buyers andsellers were k market at the momentissecond-quarter The investors remained net buyers in gen- in buyers net remained The investors hological threshold at 800 points.Foreign- thresholdat800 hological ver, this is ashort-term technical correc- adding that would also would adding that y thisweek before rising slightly given d againstsomeother currencies while oil es Companysaidthe unexpected slump pact on the market such as low turnover, as low on themarket such pact ter and the first half will also impact the ter impact will half also and thefirst of Viet Capital Securi investors hadpriced in shares of compa- arefacing selling pressure as investors heavily sold by foreign investors in re- in investors foreign by sold heavily ally duringafternoon ties Company, said said Company, ties be the reasonfor 18 July 2017 37 / 56 37/ 2017 July 18 18 July 2017 18 July BUSINESS short term: analysts short term: affect stockmarket in 'Frontier' status won't finance& business Vietnam dividend rallying aftershare keeps Faros FLC Intellasia stock-market-in-short- http://english.vietnamnet.vn/fms/busine US$1=VND22,000 lion and sold 1.48billion trillion. worth VND49.746 market inthe first half Theybought of 2017. Reports all show thatforeigninvestorspo only vestors mayconsiderthe forVietnam 2018. after upgrading Phan Dung Khanh, consultanc frontier market. emergingbasket wouldbesm was IfVietnam market inthe up short term. the However, Hungbelieves proved. time, By that Vietnam therequirements set by to satisfy MSCI. it this, obtain order to in and review, MSCI Vietnam's goalistohaveitsstock market market receives emerging status. Hung said with the current c national economy. the for channel mobilisation capital key the as serve to able be it will so doing by Only Vietnam stockmarket needs tostrive Nguyen Duy Hung, president of the SaigonSe as banking,but the limits Thereare still limitson foreig requirements. MSCI's thatcansatisfy liquidity high The most importantfactor isthat Vietnam benchmarking effect, with the Ifoperates acompany wellinvestors and ru limits sets still Media Fuji and Airlines as such Japan companies Japan, like even markets said in He developed posed unilateral arguments and requ Le Hai Tra, vicepresident oftheHCM City work, Vietnam is still ranked asafrontier market. Despite newrecord highs ofthe VNIndex recently andimprovements inlegalframe- re forapotential review list in theMSCI Many Vietnamese investors were disappoin wait forahigherranking, expertshavesaid. than rather Vietnam shouldtrytoimproveitsstockmarket 18/JUL/2017 INTELLASIA |VIETNAMNET the firm paid a share dividend of paidashare firm the Shares prices ofFLC Faros Construction Co 18/JUL/2017 INTELLASIA |DTI NEWS Even when the company announced the suspension of a plan to sell shares to existing to to sell shares suspension ofa plan Even whenthe companyannounced the have alsorisen after sh es real of Shares market. a bull in idends This uptrend can be attributed to investors' 10 sessions. rection, ROSshareshavebeen goingupsinc participants market dilution, this Despite shares intheir accountsnextmonth. outstanding volume, forthedividend payout. Shareholdersto receive areexpected the a totalof43 issued The constructioncompany 14. onJuly ($3.76) dong 85,500 ROS gained around percentfrom77,720 d 10 stock market's position and the na and the stock market'sposition term--analysts.html are dividend payments. on foreign ownership ratios. won't affect theirbenefits. won't affect onditions, it wouldnotbe a frontier market statuswon't frontier n ownership ratios in some sp all. Vietnam would be menti would be all. Vietnam y director of Maybank KimEng Securities, said some in- some said Securities, KimEng y director of Maybank there will be no room left. 10 percent onrecord as ofJuly4. irements on theVietnamesemarket.irements for is winninginvestors' confidence.for classification to Emerging Markets status. Markets Emerging to classification tate developers such as DXG, TDH and HBC TDH as DXG, such developers tate ss/181850/-frontier--status-won-t-affect- keep bullishonROS. Af status upgraded into emerging in the next inthenext into emerging upgraded status ured big amounts ofmoneyinto the stock has enough companies with large scale and has enoughcompanieswithlargescale is necessary is toquickly improvethemarket Stock im- Exchange, commented MSCI that appetite for companies that pay share div- share forcompaniesthatpay appetite mpany (ROS) have been on the rise after on thehave been mpany (ROS) e July5,extending their winning streak to 1.47 billion shares shares billion 1.47 sh to pour money into it in accordance inaccordance sh topourmoneyinto it ted when MSCIdid not include Vietnam graded into 'emerging', its proportionin its into'emerging', graded ong ($3.42) at a share 21tosettle on June millionnewshares,or10percent ofthe curities Incorporated (SSI), saidwhat curities (SSI), Incorporated to make it more attractive to investors, toinvestors, attractive it more make to tional credit rating beim- will rating tional credit good thing if Vietnam stockVietnam good thingif have on negativethe impact oned more if it remains a moreif remains it oned ecial businessfields, such worth VND58.805 tril- VND58.805 worth ter aperiodofcor- 18 July 2017 38 / 56 38/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam ambition CVI Pharma's Daiwa-SSI investsin ownership limitations to removeforeign- Hau Giang Pharmacy Intellasia tory will standardise technica pharmaceuticals.production ofcosmetics and "This is CVI Pharma's first wholly-invested pl of 1.1hectares. Established in 2013, when the local pharma local when the 2013, in Established he added. products to these markets," and export technologies with potential Japanese and centcompan ofthe20 per cided toacquire Pharma forCVI will markamilestone "2017 VIR. told Pharma, CVI of chair Hieu, Van Phan market," target its dend.html limitations_287635.html http://bizhub.vn/markets/hau-giang-p year, equivalent to net sell value Foreigners havesold net nearlyone milli 16. on June peak recorded this year.Currently, DHG's sharepricehas DHG's share price is showing signs ofreduci capital, followed by Taisho Phar iscurrentlyDHG's largestshareholder,SCIC next two or three years. Nguyen Hoc, on behalfofSCIC,saidSCIC ration (SCIC)'s intentionto In response to questionsfromshareholders annual general onApril18. meeting DHG approved increasingitsforeignownershi opment ofthecompany. sharehol and diversifying stockon the market shares the of DHG circulation facilitating capital, more foreign attract to capaims ship tothe According the Board ofdirectors, extraordin company's minutes ofthe ership ratio cap from49per centto 100pe Comp Stock Joint Pharmaceutical Giang Hau 18/JUL/2017 INTELLASIA |VNS http://dtinews.vn/en/news/ market. stock in theVietnamese tr 40.44 at valued now is ROS percent frommid-De 60 by over late months two until year last September in de its after right started uptrend Its first for twotothree months. lasted usually past the in rallies its because continue to expected is uptrend stock's The to July14,accordingexchangedata. year purchased net 14. They 5 and between July Foreign tradersnetboughtne Foreign participationisone of the mained intact. shareholders ata 1-for-4 ratio, citingitsst (HHTP). The facility valued at nearly VND300 nearly at valued Thefacility (HHTP). In earlyJuly,CVIPharmagotalicenceto one of the toptendrug producersin Vietnaminthenext five years. Daiwa-SSI to venture further into the high CVI Cosmetic & Pharmaceutical Co.,JSC (C 18/JUL/2017 INTELLASIA |VIR 018/51888/flc-faros-keeps-ra divest capitalfrom Taiwanese partners, thus enabling us to approach new Taiwanese partners,enabling us to thus illion dong($1.78billion)and l barriers, helping the firm to better meet the demands of the demands meet better to the firm helping l barriers, arly 40billiondong($1.76 million) worth of ROSshares cember 2016 to March 16, 2017. 16, toMarch cember 2016 maceutical Co maceutical with 24.5percent. of VND111 billion(US$4.8 million). main factorsbehi ary shareholders meetingfor2017. harmacy-to-remove-foreign-ownership- but on the HCM City Stock Exchange (HOSE) Exchange(HOSE) Stock City HCM onthe but removal of limitation on the foreign owner-foreignon the removal oflimitation develop afactoryinHoaLacHigh-TechPark on DHG shares since thebeginning of the r cent,DHG leaders on releasedin Thursday rong capital resources, ROS'uptrend hasre- -tech field with the ambition ofbecoming with the -tech field y. The Japanese fund willhelpusconnect ceutical market was already dominated by was market ceutical 8.3 million ROS shares worth $46.5 million $46.5 worth shares million ROS 8.3 abouttheStateCapi has no plans to divest capital within the dropped more than11per cent since its r. The second rally helped the stock climb climb stock helped the rally r. Thesecond VI Pharma) is partnering withJapanese in the years to come, as Daiwa-SSI hasde- in theyearstocome,asDaiwa-SSI any (DHG) plansto raise itsforeign own- holding43.31 percentofthe company's ng followingasurgeatthe beginningof ant that will deal with all steps ofthe steps all deal ant that will with der structure, contributingder structure, tothedevel- billion ($13.6million) Once put into Once putinto operation in 2018, the fac- DHG, deputy general director Hoang generaldirector Hoang deputy DHG, p limit to 49 per cent at the company's nd this upturn. llying-after-share-divi- is oneoftenlargeststocks tal InvestmentCorpo- will have an area an will have 18 July 2017 39 / 56 39/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam danger businesses ignore the about ransomware, fuss make Experts million dividend worth$28.3 Vietjet topay Intellasia http://www.vir.com.vn/daiwa-ssi-invests-in-cvi-pharmas-ambition.html noted. Vietnam inthenext five years, with revenu in drug producers ten one ofthetop become to market. Weaim stock list inthe then "We plan to launch aninitial public offering (IPO) in the next three-to-four years and toVND300 to doublethefigure million) billion ($6.8 madeVND150 Pharma CVI of2018. quarter to introduce plans It regular customers. as perce of growth rate anannual 30-50 With cluding six key products, like Nano Curcumin," he said. tribution network spanning 63citiesand prov market the OTC continue tofocus on will "We Taiwan Korea,China,and South Japan, standards, tomeetinternational products ma as well tres andinstitutes, c to continue will pharma year, CVI This assemblycapacity a lines with which has the most modern SouthKorean have recently inauguratedanew factory Currently, CVIPharma's domestic partner developmentlist inthehigh-tech indu of itsherbal products. Extraction andnano CVI Pharma has been focusingon new high-t ket withsegments revenue of over VND1 trillion," he added majority stakes. For example, intheover-t "In ourproductstrategies, we market. competitive highly has decidedtofocuson CVI Pharma names, "With Vietjet's (VJC on the HOSE) charterca HOSE) on the Vietjet's (VJC "With deadline is The registration an July 31, followin cent incash, 20 per of pay will Company Stock Joint Aviation Vietjet 18/JUL/2017 INTELLASIA |VNS thankstotheir and DHGPharma(DHG), large-scale Vietnamesepharma lieve they need to take serious measures toprevent problems. ofsmall the and tack. However, majority Experts haverepeatedly issued warnings 18/JUL/2017 INTELLASIA |VIR lion), thetotaldividendtobepaidisequiva http://bizhub.vn/markets/vietjet-to-pay- A321 includingA320s and 48 aircraft, dema customers' diversified servicestomeet op to in Vietnam isthefirstairline Vietjet lion). trillion ($67.5 million) and unallocated afte Vietje the quarter, At first end of 2017's topay In 2017, a Vietjet plans di eration for approval by the share annual proved thecompany's2017 at the rate of 40per cent soon, following the will Vietjet payment, dividend this Besides releasedaf company said in itsstatement States Securities Committee. senior scientists to study a set of standards for CVI Phar- seniorCVI a setofstandardsfor scientiststo study avoid market segments where the giants are holding the giants market segmentswherethe avoid g its management board'sresolution. g its of 1.2 millioncapsules aday. ceuticals, such as Traphaco (TRA), Domesco (DMC), Domesco(DMC), ceuticals, asTraphaco(TRA), such vidend of up to 50 percent. vidend ofupto50 billion ($13.6 million)in2017. billion ($13.6 s, and operates 350 flightseach day. stry approvedbytheprimeminister. d dividend will be paid on August 15. d dividendpaid on will be t's audited redundancy capital was VND1.53 was VND1.53 redundancycapital audited t's dividend-worth-283 dividend-worth-283 as well as others in Southeast Asia. others inSoutheast as as well ooperate with research and development cen-and developmentooperate withresearch in Quang Minh Industri in QuangMinh erate as a new-age airline with airlinewith low-cost and anew-age as erate ter theresolution wasissued last week. aboutransomware af he-counter (OTC) market,mar- are five therehe-counter (OTC) medium sized enterprises (SMEs) don't be- strong distribution allocation of 2016's profits, which was ap- 2016's profits,whichwas of allocation nt, CVI Pharma has nearly 9,000 nearly9,000 drugstores has nt, CVIPharma technology-equipped capsule production two marketinthe new products to the first r-tax profit was VND2 trillion ($91.5 mil- ($91.5 trillion VND2 was profit r-tax holders' meeting and isnowunder consid- lent to VND645 billion billion VND645 lent to also confirm the bonusat alsoconfirm sharedividend in productionis Mediplantex. Thefirms e ofVND1 trillion ($45. technology were namedin the prioritised pital ataround pital VND3 nds. Currently, the airl niche markets to establish itself in the thus enabling it to penetrate markets like topenetrate thus enabling it ech applicationsto increasing thevalue inces withaportfolioof12products, in- in thefuture. Atpresent, we have a dis- 2017's first-phrase dividendatthe rate 2017's first-phrase in revenue in 2016 and thefirmaims in2016 inrevenue million_287638.html networks and brand ter at- the WannaCry .22 trillion ($142 mil- trillion ($142 .22 al ParkinHanoi, ($28.3 million)," the million)," ($28.3 ine boasts a fleet of 45 million)," Hieu Hieu million)," 45 18 July 2017 40 / 56 40/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam city in to goup under PPP clinic Hi-tech medical Intellasia 18/JUL/2017 INTELLASIA |THE SAIGON TIMES danger.html http://www.vir.com.vn/experts-make-fuss-about-ransomware-businesses-ignore-the- curity solutions is one ofthema The lack of cautiousnesscompanies' staf every 40seconds now. every one attack 2016. Therewas September increanumber ofattackstoenterprises The enterprisesof At least67percent affectedby paying ransom. data after get back to ofwhichhad percent 32 in 2016, somware by ran- attacked were SMEs of percent 42 that believes Vietnam Lab Kaspersky dividuals andinstitutions don't There havebeen no officialstatisticsab they have importantdocumentssuch as cont computers andinstall operating systems. Most Meanwhile, the enterprises don't have security systems. information their in vulnerabilities Security experts said when working with spend moneytobuynew computers. somware attacks computers inVietnam, there Others believe that ransomware occurs in need tospend alotof money on security solutions. of ransomware, theirITofficers business ownersbelieveth many Meanwhile, of afoodcompany in HCM said. City we "Ifweareattacked, lutions. There aremany reasons forowners of SMEs the damageswouldnotbe big," he said. points the aiming won'tbe think SMEs "They cause the believemanagers it is applying security solutions hasbeen reject company saidhis a steel officer of The IT ter cyberattacks. However, thisshowsthat businesseshave onl ly. Tru andthe toNam calls tack number of having interest in anti-virus software in Ngo Tran Vu, director ofNamTruong Son The new treatmentfacilitywi 2019. 100bedswhichisexpe with thefacility build sulting Investment Corporation and District The HCM FinancialInvestment City (HFIC),Company YDaoMedicalServiceCon- Va form, saidTran Partnership (PPP) atotal Cityat inHCM District 2Hospital A high-tech medical examination andtreatmen The hospital willcooperate wi and intra-abdominaldiseases. netic resonance imagingsystem toearly and The projectis expectedtoeasetheoverload of hospitalsand the financialautonom theinsu theprojectin contextof carry out hos that the Doctor Khanhsaid other hospitals to satisfy increasing demand forheal ll be equipped with modern th high-qualified doctors from medical universitiesth high-qualifieddoctorsfrom and will just have to reset the computers,"willa representative justhavetoreset pital has called for bothpubl has called pital will be able to decrypt to recover data, sothere is no will beabletodecryptrecoverdata, jor reasons behindthe data loss. not necessary forasmall business. want toreport aboutdamages. n Khanh, director of the hospital. y of hospitals in the near future.the near in y ofhospitals out damagescaused by creased creased by 30percent the after at- WannaCry ong Son for consultancy has increased sharp- ong Sonforconsultancy suggestion of hiring consultancy expertssuggestion ofhiring and consultancy costof VND320billion underPublic-Private SMEs, theydiscovered alotofdangerous ed by the company's managementboard ed bythecompany's be- other countries, not EvenVietnam. ifran- f and theindifference ofenterprises tose- sed by threefold in mid-January andlate Security, Security, said thenu at the District 2 Hospital and otherhospi- 2 Hospital District at the ransomware lost a partdata. oralloftheirransomwarelost fficient Statebudget to cted for completion in the first quarter firstquarter of inthe forcompletion cted pay a ransom and 20 percent could not 2 Hospital signedanagreementto have to refuse to spendmoneyonsecurity so- two minutes in the past and one attack and the past in two minutes racts with clients or taxrefund dossiers. accurately detect cardiovascular, spinal for hackers, and incaseweareattacked, hackers, for y begun tothinkofsecuritysolutionsaf- at if their computers become the victim if theircomputersbecome at SMEsdon't careaboutbackups,though is no noneed to worry. Theywilljust officers,butonlyhaveofficers tofix t facility will be jointly developed at th careoflocal people. equipment such as amag- such equipment ic and private resources to resources private ic and WannaCrybecausein- mber ofbusinesses fundnew facilities 18 July 2017 41 / 56 41/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam infrastructure upgrade in invests more Airport corporation centre thisyear chemical trading HCM City to build Intellasia In another note,Nguy In on an area of 11.2 hectares inWard 7ofDistrict 8. due to the unsuitability of TuanChauGroup' the citydeci 8. However,16 ofDistrict Y said that Tuan ChauGrouphas proposed bu venue forthe chemical trade. ceived for long duetoconcerns over the sa last phase.Theplan tobuildaconcentrat choose investors forthe project whilechemical thefirst in becompleted will documents Legal Committee, includes threephases.the HCMCityPeople's proved by Y fromance intheyear's firsthalf,NgoHong At a press conference last Fridaytoreview andchem substances for aromatic cies drafted bidding documents tochoosein The HCM DepartmentCity ofIndustryan 18/JUL/2017 INTELLASIA |THE SAIGON TIMES in-city.html http://english.thesaigontimes.vn/55055/Hi aday. inpatients PPP model able to provide medical examinat the ageneral under clinic tobuild City inHCM hospital the district-level is This first pacemaker implantation. surgery and tec sophisticated hospital cancarryout The provinces. neighbouringand districts as 2 District in topatients services medical high-quality provide levels, and higher at tals Accordingly, the firm will spend about VND2 trillion (US$88 million USD) on expand- USD) million (US$88 trillion VND2 about spend will thefirm Accordingly, the sector'sgrowth requirements. infrastructu airport inupgrading vestment Corporation ofVietnam Aviation Airport The 18/JUL/2017 INTELLASIA |VNA this-year.html http://english.thesaigontimes.vn/55043/HC billion), up10.2percent year-on-year. si the first serviceRetail and revenuein percent respectively. grew 5.02 percent while electronicstext and periodlastsame sus the year,inwhich, half oftheyear,industrial prod first In the have registered to participate inthe project. provid- meat poultry 343 farms, provid 53egg slaughterhouses, 13 farms, ing breeding 27 farms, incubating 11 Currently, 1. tember Phuong also added the citycancontrolthe controlled. channels canbe other distribution wholesale markets, representing80percent of HCM Citycanensure95 percent ofporksuppl IDtags blank inform without traceability programme,thedecrease in the nu project such as the numberof breedmodest The city has encountered numerous diffic the cityfromJuly 31. without clear originwillnotbesold at Department ofIndustry and Tr en Nguyen Phuong, head of trad Phuong, head en Nguyen well as patients from D from patients as well ation ofpigs, Phuong added. ade, said at the pressconference thatpork products icals in the city this year. this in thecity icals ded to choose investors through open bidding through open ded tochooseinvestors Hoc MonandBinhDien wholesale markets in x months reached VND500 trillion(US$22.01 the food and beverage processingindustry ed chemical tradingbeencon- ed centrehas uction index of the city rose 7.51 percent ver- 7.51 percent rose thecity indexof uction ulties during the implementation of the of theimplementation ulties during -tech-medical-clinic-under-PPP-to-go-up- d Trade hassubmitted to competentagen- thecity's trade-industry sector'sperform- fety at Kim Bien Market, whichis the key re and improving service quality to meet tomeet quality service improving re and M City-to-build-chemical-trading-centre- M ile sectors increased 12.74 percent and 3.82 percentand3.82 ile sectorsincreased12.74 origin of poultry meatandeggs fromSep- hniques such as joint replacement, brainas joint hniques such ing and slaughteringing facilities joining the ing farms andsix egg processingfacilities vestors for buildinganewtrading centre s plan. new The centre istobe developed ion services to 2,500 outpatients and 300 300 and outpatients 2,500 services to ion the department said that theproject,ap- that said the department the total in the city, and 15 percent from inthecity,and percent 15 total the ilding a chemical trading centre in Ward Ward centrein trading chemical a ilding mber of pigs bearing ID tags, or bearing orbearing tags, ID mber bearing pigs of phase. In the second phase, the citywill the secondphase,phase. In trading facilitieswillberelocated inthe (ACV)said it will continue pouring in- pouring continue it will (ACV)said ies iforigin ofporkproducts sold at ong Nai and BaRia-Vung Tau e management at the HCM City atthe City e management HCM 18 July 2017 42 / 56 42/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam flight nonstop Vietnam-US delayed launch of blame for long- Aviation watchdogto Intellasia the expected launch is launch now 2019. the expected start developing detailed schedules for the Once the CAAV receives the Category1rati ment ofTransport. the carrier had filed an application to laun CEO Duong Vietnam Airlines In themeantime, and he is confident thatitwill beable chiefassertedthat his authority The CAAV come no sooner thantheend ofthe third quarter ofthisyear." and "Vietnam Airlines isnow waiting for an to th acertificate gave Thang said ICAO the the aviation authority hasmet all ICAO standards. told Thang, headoftheCAAV, Viet Dinh operations todetermine whether was notuntil Mayofthisyearthat theIt However, the deadline was later postponedtothethirdquarter of2016. with rating 1 Category FAA the achieve the In 2015 closed anagreementwi CAAV Time hascome? not be launched until theVietnameseavia At presentthe CAAVremains aCategory 2, given a Category2rating. are standards ra 1 Category a granted is CAA qualified A the InternationalCivi oped by carriers thatoperate inthe An IASA assessment determines ifthe fo the States. assessing thecivil aviationaut ly tothe US with a local airline, ending Vietnamese passengers were happywiththe the twocountries. services between nonstop Civil AviationAuthorityof However, the launchof the much anticipated sary standardsandrequirements to National flag carrier Vietnam Airlines has carriers. with foreign The FFAconductsthe International Aviati standard as required by the US In 2003, In 2003, Vietnam andthe closed US an avia with the country's aviation watchdog said to be to blame. the US, the wait for its inaugural flight will continue until at least the end of September, While Vietnam Airlines has fulfilled its requir 18/JUL/2017 INTELLASIA |TUOITRE NEWS upgrade-354752.vov http://english.vov.vn/economy/airport-corp order toraise the airport's capacity to 5 million passengers per year. cost with an estimated Airport International In addition, ACVwillalsoexpand a termin the ApecEconomicLeadersWeekinNovember.serve to lion) ex- inve withatotal be area will upgraded and Terminal T1 repair to parking airplane its while Airport, International Nang Da at bebuilt will lounge VIP A million) (US$52.8 trillion pand aparking area at Hanoi-bas VND1.2 disburse also will ACV City. port inHCM Air- SonNhat Tan airplaneparkingareaat 2)andan terminal (phase ing international US, and US, devel- in standards withinternational accordance Vietnam (CAAV) does not (CAAV) does Vietnam l AviationOrganisation (ICAO). hority (CAA) of any country th horitycountry (CAA)ofany Federal Aviation Administration Federal Aviation (FAA). its rating should be improved.should be its rating ed Noi Bai International Airport. International Bai ed Noi begin offering the directservice. to achieve a Category 1 rating this time. to achieveaCategory1rating stment ofaboutVND150billion (US$6.6 mil- FAA completed its final inspection into CAAV CAAV into inspection final its completed FAA the days of additional additional of days the in the last quarter thatyear. quarter of in thelast reign CAAprovides sufficient oversight on Tuoi Tre (Youth) newspaper on Sunday that (Youth)newspaperonSunday Tuoi Tre tion watchdog achieves a higher rating. achieves ahigher tion watchdog ch the Vietnam-US route to the US totheUS Depart- route ch the Vietnam-US on Safety Assessment on Safety th Boeing, guaranteeing that that it would th Boeing,guaranteeing since exerted efforts to meet alltheneces- meaning a nonstop meaninganonstop Viet new directflightThanhsaid, addingthat tion agreement, allowing al andaplaneparking area at Phu Quoc ting, whereas those whodonotmeet the e Vietnamese transportministry on July6 oration-invests-more official decision fromthe FAA,whichwill had been well prepared for thefinaltest of about VND2 trillion of aboutVND2 ng from theFAA, Vietnam Airlineswill news, hopingtosoonbeableflydirect- ements tobeginoffering direct flights to flight isyetbarrier: toclearonelastthe Tri Thanh confirmed to TuoiTre TriThanh that meet the safety assessment at hascarriers flyingto time spent transiting transiting spent time Programme (IASA), -in-infrastructure- (US$88 million), in million), (US$88 nam-US flightwill airlines to begin 18 July 2017 43 / 56 43/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam flights take toskies New international lounge has new business International Airport Tan Son Nhat Intellasia new-business-lounge.html http://english.thesaigontimes.vn/55054/ of thecompany. of directors,replacing Doan Thi Mai Huong, chair oftheboard SASCO's as appointed was Nguyen Hanh Jonathan 2017, 20, In April pr after-tax year-on-year, and percent 6 posted SASCO of2017, quarter the first In by increasing billion, VND887 talled ing over VND1 trillion fromduty-free shops, AirAsia, meanwhile, will begin flights from AirAsia, meanwhile, willbegin VND105,0 for sold being currently are Vietjet isalsoconducting ($ VND1.5way ticketsare million from September 1 and2with a frequency offourflightsaweek frombothcities. One- Jetstar has alsoopened ticketsales on it the flights on Monday and Friday. One-way ti Quang Binhprovinceand Chiang Mai, Thaila being arealso flights international The first million VND7.45 ($330). ($200). Viettraveloffersalso afive-daytour from ThanhHoaBangkokPattaya for flights are expected from July 28 to August by localtour operator,Vietravel. Ituses Vi intr capital was Thailand's same namewith The ThanhHoa-Bangkokrouteconnectingthe mand frombothbusinesspeopleandtravellers. New internationalrouteshaveopened upto tions. about to areSix newrouteshaveopenedor 18/JUL/2017 INTELLASIA |VNECONOMIC TIMES reachedover in 2016 The company'srevenues stalls at TanSonNhat International Airport. is duty SASCO operating Founded in1993, Airlines. by Vietnam In addition to Le Saigonnais lounge, the airp ing at improving competitiveness ag management always attaches special importance to offering high-class services, aim- Son NhatInternational Airport, saidalong at Speaking the inaugurationceremony, Ng rattan doors and small gardens to ensure privacy for thepassengers. meters,thelo totalareaof512square a With Tan SonInternational Airport. terminal of domestic at the 150 passengers ofseating capable Lounge Business nais (S Tan SonNhatAirportServices Company 18/JUL/2017 INTELLASIA |THE SAIGON TIMES launch-of-nonstop- http://tuoitrenews.vn/business/42038/aviat aircraft. the leave to passengers require not will that supply food in-flight receive one hour-long technicalstop in Tokyo or Os to the US West Coast, most likely San Francisco or Los Angeles. The service will have business plan, Vietnam 2016-20 toits According airportrequirestops and changes ca A flightincluding onetransitstoptakesar agreements withother airlines. The nationalflagcarriercurrentlyoperates vietnamus-flight new HanoiYangonflights, from 66), excluding taxes and taxes charges. 66), excluding n takebetween 25 and 38 hours. VND146 billion compared to 2015. compared to billion VND146 ainst other airports intheregion. 00 ($4.6), excluding taxes and fees. excluding taxes 00 ($4.6), and ofits reached VND66 billion, up 55%. s DaNangand HanoiOsaka route, operating Tan-Son-Nhat-Interna ound 17 hours, while those that includeound 17hours,whilethose two 30.Round-tripticketsare million VND4.55 a total revenue of over VND586billion, up etjet Air aircraft with 180 seats, and four aircraft with180 four seats, etjet Air and ion-watchdog-to-blam conducted DongHoi incentral toandfrom with upgrading infrastructure, the airport airport the infrastructure, upgrading with openlinkingVietnam withAsiandestina- -free shops, business lounges andfood seven flights to theUSunder codesharing flights seven ASCO) last Friday inaugurated Le Saigon- Le inaugurated Friday last ASCO) oduced afewdays ago the beach city of Nha Trang to the Malay- beachcityofNhaTrang the to the uyen Nam Tien, deputy uyen Nam aka, where theplane will be refueled and unge is separated into different spaces by spaces different isseparatedinto unge ort hasanother business lounge operated and from Vietnam to meet increasing de- meet andfromVietnam to who assumedthepost ofgeneral director up 4percent year-on-year. Itsprofitsto- VND2trillion (over nd, fromAugust 11. Jetstar will conduct ckets, including taxes, start from $100. from start taxes, ckets, including capital of the northern province of thethe northernprovince capital of Airlines wants to open a direct flight direct a Airlines wantstoopen August 31.One-waytickets tional-Airport-has- e-for-longdelayed- $88 million),includ- $88 as a charter flight as acharter directorofTan 18 July 2017 44 / 56 44/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam bankruptcy Quat Shipyard worry about Dung workers 1,000 Nearly Uber carpoolservice Hanoi bansGrab, Intellasia "Although the situation nowisvery difficult, money. earn more The worker saidthat he and other many workers have been seeking for extrajobs to milli between VND4-5 "But nowwedon't have much work to do so good. very life was (USD441) amonthso Chanh saidwhen thecompany was operat closes."company if the where togo at thisage,Idon'tknow long and very for here Chanh, 37, who has been working at the company for thepast 13 years said, "I've been very longand at thisage, Worker Truong VanChanhsaidthat he had company. other staffofthenearly 1,000 well as The news that thefirm maygobankrupt the company may close soon. Binh SonDistrict are stillwo At present, hundreds ofshipyard workers about losingjobs as the busi Nearly one thousandemployees at the loss 18/JUL/2017 INTELLASIA |DTI NEWS http://tuoitrenews.vn/business/42035/h cars. separate three hailing than rather GrabCar, one to share direction same the in ling HCM traffic congestionin mitigating way of The GrabShare feature has been embraced by passengers and transport experts as a the ministryexplained. tions, c separate two fulfilling heis er, it means two passengersIf aGrabCardriver that carries business model areonly allowed to this within carsoperating that stipulates thelaw ministry, thetransport to According ger transportationservices. apps,spective smartphone rather than thro Users anddrivers agree upontheirtrip and senger transportationservices In Vietnam, Uber and Grabare classified viol option isa splitting The bancomes lessthanamonthafter theMinistry of Transport ruled that the fare- etnam hasalsoannounced intentions to Grab Vietnam introduced its ca costs, afteranorderwas promul Uber fromoffering a carpool feature, which The Hanoi Departmenthasbanned Transport 18/JUL/2017 INTELLASIA |TUOITRE NEWS skies http://vneconomictimes.com/article/biz-tr Dong) and Da Lat(Lam Hue inVietnam. andSingapore,aswellHai Japan, direct flightstoandfromPlans arealsoinplacetoopennew ThoandSouth Can Korea, to Thai Tho from Can and fournights days five of tour A ($211). million VND4.8 costing tickets with flights, round-trip eight ing theseaand airfreight of arm WorldTrans, Viet bringing passengers toBangkokfrom June Previously, the onlyinternational routes toand from Can Tho were charterflights, and taxes excluding fees. Tr Nha and from to airline low-cost est larg- Asia's by flight first the is This 14. September from Lumpur Kuala of capital sian on a month," he said. on amonth,"he ation ofcurrentlaws. he didn'tknowwhere to go if the company closes. ness is facing bankruptcy. ness isfacing rking on three ships which maybe their last products as via anelectronic contract. rpool service, GrabShare, in early May, while Uber Vi- Uber while May, early in GrabShare, service, rpool gated by the transport gated bythetransport ministry. sign one contract per trip. one contractper sign Phong, Vinh(Nghe An),CamRanh (Khanh Hoa), ang. One-way ($35), are ang. tickets VND790,000 anoi-bans-grab-uber-carpool-service launch a similar service, UberPool. service, launch asimilar ontracts, and therefore inbreach of regula- is worryingworker Truong VanChanhas as technology companies that as technologycompaniesthat provide pas- aveler/new-internati land is available for VND6.99 million ($307). forVND6.99 available land is 27 and jointly conducted by Vietjet Air and ing well, his salary was VND10million -making areworried Dung Shipyard Quat in the central province ofQuangNgai's the central in ugh written contracts as per usual passen- per usual ugh writtencontracts as been workingatDungQuatShipyard for allows people toshare rides and split the the fareviaa'contract' ontheirre-made my salary hasslashed toonlyhalf of that, we get bettersome itwill still hope that City, allowingup tothree people travel- travel. By the end ofJulyit was conduct- ride-hailing apps including Graband agreetosharetheirridewitheachoth- onal-flights-take-to- 18 July 2017 45 / 56 45/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam Vietnam energy drink plant in Carabao to build Intellasia about-dung-quat-shipyard-bankruptcy.html http://english.vietnamnet.vn/fms/busin Quat Shipyard and the joint venture between Quy Sa and Lao Cai Steel Plant. tiliser Plant,DAP Fertiliser Fert Bioethanol Plant,NinhBinh Ironand ThaiNguyen Factory, Nam Pulp tional chemicals corporation Vinachem, in werethe na- in byPetroVietnam, investedwhich that andfourby five of The projects, an Ministry ofIndustry the The firmwas one among seven additional loss ment, the VietnamEconomicTimes reported. assess- toministry's according shipbuilder, cost for the depreciation annual a large manufactur for requirements quality failed had and date, of out and inappropriate as described was equipment shipbuilder's The eq andnegative million), trillion (USD164.3 debts total were trillion (USD307. VND6.89 Figures from theministry showed that by th debts. its paying for million) (USD136 trillion VND3.1 and million) (USD88 includin thecompany, into million) (USD224 After takingover themanagement of DQ percentcurrency. ofwhichwereinforeign70 million), millio trillion(USD328 VND7.44 builderhad chartercapital ofVND3.76trillionmillion)(USD165.8 and total lossesof The Vietnam Economic Timescitedfinancial st scending into extreme debt. withsevera beforebeingtasked shortly 2010, poration theshipbuilder in 2013, came unde and wa in2012 Group, whichwentbankrupt Industry Shipbuilding Vietnam ofthetroubled subsidiary awholly-owned Originally PetroVietnam. ed by thebusi for bankruptcy oritise The MinistryofIndustry and companies." so th young and aren't sevenyears least for at won't be our last contract," Thanhsaid."M be tocompletethreeships trying "We're still verythey were sadabouttheproposalbyth company the of chair Dtinews, to Speaking to leave ourhometown to seek betteropportunities." "We havesoldouragricultural landfor this 11 years andwouldhavediff worker,Another Cong Tinh,32,said Nguyen day," he said. "We don't wanttolose the Red Bull brandRed Bull of Thailand ha since2000. energy drinkbrandsinVietnam localandforeign 20 have beenabout There is verypotential, accountingmarket for According tothe market research departme brand development plan. line andcapacity automatic of the plant, with distributo product Carabao with a meeting At the near future, saidSathien Setthasi, chair ofCarabao Group. Thai Carabaomayinvest energy drinkgroup 18/JUL/2017 INTELLASIA |THE SAIGON TIMES Carabao, one of the leading beveragemanu Carabao, one of Binh Duong Province. 2HaiPhong, Ethanol BinhPhuoc, Ethanol Phu Tho, Dung d Trade, raising the number of failing projects to 12. to projects failing of number the raising Trade, d Trade recently proposed tothe National Assembly topri- iculties finding other work. s beenpresentinVietnamfor ness which wasone of five n), including bank loans of VND4.8 trillion (USD211.6 (USD211.6 bankloansofVND4.8trillion n), including iliser Plant,Fertiliser HaBac Plant,Cai Fer-1 Lao DAP ess/182223/nearly-1 17 percent of the local beverage industry. beverage local 17 percent of the job we havebeen doingfor a long time." S, PetroVietnam pumped VND5.1 trillion trillion VND5.1 pumped PetroVietnam S, ost ofour workers havebeen working here clude Dinh Vu Polyester Plant,Phuong clude DinhVu Steel joint stockCorporation, Dung Quat ing andproductionprocesses,resultingin project," Tinhexplained. "Maybe wehave 6 million), accumulated losses VND3.68 VND3.68 losses accumulated 6 million), trade union, Vo Tan Thanh, admitted that admitted trade union, VoTanThanh, fore the end of this year and hope that this yearand of end fore the uity VND1.18 trillion (USD52.7 million). uity VND1.18trillion facturers ofThailand nt of Carabao,Vietnameseenergy drink e Ministry ofIndustry e s renamed the Shipbuilding Industry Cor- Shipbuilding Industry s renamedthe r PetroVietnam's inJuly management 240 millioncansayear, ispartofCarabao l shipbuilding projects and eventually de- eventually and projects l shipbuilding e end of June last year, the shipbuilder's ey'll face difficulties difficulties face ey'll g charter capital of nearlyg chartercapitalof VND2trillion that hehasbeenworking forthe firm for $200 million in a factory inVietnam inafactory $200 million rs last week, Sathien Setthasi said that -making projects reported recently by atements asat June 30,2010,theship- loss-making projects invest- projects loss-making -000-workers-worry- a long time withplant a in , has exported its finding ajobatother and Trade to close. 18 July 2017 46 / 56 46/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam branded residence first introduces CapitaLand Vietnam in DongNai inaugurates new plant 3M Vietnam Intellasia gle UnitinVietnam. with 2017-2018 Property Pacific Awards Asia as C 2017 erty the BestLuxury Awards wasrecognised andJune, D1MENSION In May homebuyers. lifestyle for provides anew Sky Party House that provide panoramic only afewcustomers. With'skyfacilities'su apartments and penthouseunits, D1MENSIONisahighly exclusive development for for sale across a units apartment 102 With by CapitaLand and managed by The Ascott Limited. Ci HCM in located forsale available residence Yoon, managingdire SungJong prietary 3M technology and process tocate Scotch-Brite as such products, industrial metre new5,500-square Vietnam's Zone. 3M The openingceremony washeld onJuly14, tomers. various products ofmanufacturing aim the Long NaiIndust Thanh-Dong in (3MVietnam)held 3M VietnamLtdCompany 18/JUL/2017 INTELLASIA |VIR Myanmarand products tothe Ma Philippines, CapitaLand Vietnamlast week 18/JUL/2017 INTELLASIA |THE SAIGON TIMES tions oftechniquedesigned known for itsresearch, development, an 3M Company is agloballeader in innovat stationery, electrical,electronic, In Vietnam, the company manu City. and HCM inbothHanoi quartered subsidia Vietnama in1994, 3M Established the Vietnamese market. providing high-qualityprod duction lines, processing, and distribution ese market, markingthe continuous develo The expansionofourplantinLongThanhis portant role inmeetingtheincreasing dema http://www.vir.com.vn/3m-vietnam-inau billion. ployees allover the world. The revenue of inmore than subsidiaries Company has 3M in products 90,000 morethan with ers of long-terminvestment inVi tion inthecountry, contributing to the sign 3M Vietnam has constantlyma nam.html http://english.thesaigontime store nationwide. at groceries,Trading CoLtdandoffered coffee shops, supermarkets andconvenience In Vietnam, Carabao energy drinksare ex drinks in2014-2017. develop rapidlywithanannual According toEuromonitor's assessment, the local energy drink market is forecasted to bao productscanbe well consumed inVietnam. to diversify its products. 3M Company provides custom- Company provides products. 3M its to diversify s.vn/55049/Carabao-to-build-e ucts to our ucts toour customers." etnam, 3Mhasdemonstrated it officially introduced D1MENSION,thefirstbranded intained a high and stable growth rate since its incep- intained ahighand growthratesinceits stable growth rate of 11 percent co percent 11 of rate growth factures numerous products ctor of3M Vietnam, said, healthcare and safety andsafety products. healthcare rial Zone in the southern province of Dong Nai, with Nai,rial Dong province Zoneinthesouthern of various fields inover 200countries. ondo Development in HCM City and by the City and in HCM ondo Development d technology-creation based on 46 founda- scouring padsand Abrasive beltsusing pro- gurates-new-plant-in-dong-nai.html views ofthesurroundings, D1MENSION clusivelydistributedNgoc ThienBao by ive technique andtechnology. 3M iswell- variety of two, three andfour-bedroom ificant growth of thecountry.Byapromise growthof ificant ry oftheUS' 3MCompany, isnow head- products.of 3M Wearecommitted to the parentcompany in was over$30 2016 nds ofdomestic andexport manufacturers. r to the fast-changing needs of customers. pment of the company pment ofthecompany in expanding pro- 70countries witha huge number of em- to meetthe increasing demand from cus- ch asthe Sky Infinity Pool, SkyGym and 2017 inLongThanh-DongNaiIndustrial an important pillar of 3M intheVietnam- pillarof3M an important facility will manufacture consumer and facility willmanufacture the Five Stars Awards forProperty Sin- the Awards Stars Five laysia. Therefore, Sa laysia. Therefore, the opening ceremony of its new plant theopeningceremonyofits ty's District 1.Theproject is developed by the Property Guru Vietnam Prop- Vietnam Guru Property by the "The new plantplaysan im- nergy-drink-plant-in-Viet- mpared 7percentofsoft to , includingappliances and s belief in the potential of of potential inthe belief s thien believesCara- 18 July 2017 47 / 56 47/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam Sky Villas Hoa Binh for Serenity SonKim Landselects Intellasia http://www.vir.com.vn/sonkim-land-selects-hoa-binh-for-serenity-sky-villas.html and office developments. The company's strategy is to focus onthe istofocus lu The company'sstrategy livingquality fortopcustomers. luxury SonKim Land is a pioneering luxuryproperty on-time completion." and ity el luxuryhousing projects, Ho Binh Construction. "With over 30years of expe Hoa CEOof and president Hai, Viet Le said in Vietnam," model villa sky first the 3 and inDistrict right location prestigious projectforits is impressive an Villas Sky "Serenity iced residence. service, andbest management services by Indochine Park Tower, a Saigon's top serv- plated with rose gold; the large poolwith helpsquietness makeuptheentrance that also is Villas Sky Serenity of The quality Cathedral, the Reunification Palace, the Turtle Lake and the Saigon OperaHouse. the viewoutsidewillcapture thesceneryof a sp bring will ceiling The seven-metre-high outdoor swimming poolandprivate garden onthe balcony. will SkyVillas Serenity in the 45 units of tals, shoppingcentres, cinemas, ient services that canonlybefoundinlarg Serenity SkyVillas will offe Ward 7in District3. a stunningpa with modernamenitiesplus the model larg together brings villa The sky apartments. and luxury streetsCity,inHCM Serenity Sky Villasthe is perfect combination oftraditionalvillas Located right on DienBien Phu street, between Le Quy Donand Tran QuocThao inSonKimLand. tial Group we envisage forthe project," said Andy Su bu Binh Corporationwillnotonlybuildontime unique living qualities andexperiences for "We position ourselves as a pioneer inth This is amilestone marking the pr project. nounced that Hoa Binh Construction is the geneHoais the nounced that BinhConstruction SonKim LandCorporation, aleadingVietname 18/JUL/2017 INTELLASIA |VIR ed-residence.html http://english.thesaigontimes.vn/55046/Ca their expertise in this field toD1MENSION," he said. glad tohaveourservicedresi We areerties. in and besustained will value the property's quality with residence branded a "Owning in other developed countries, but are still limited in Vietnam. Chen Lian Pang, CEO of CapitaLand Vietnam, said Branded Residences are popular sustai inaproject with caninvest buyers one of the leading international serviced re by concierge services The AscottLimited, bethe It will projectin residential first ofthe in tokeydistricts city, ity with itsstrate lease investmentopportunities For those looking todivers ify investment, pr D1MENSION r residents theopportunity to experience themostconven- a Binh will try its best to en best its try will Binh a bars, restaurants,andhistor cluding District 2 and District7. ocess ofimplementingproject. the Vietnamto offer property managementand shownthroughservices andadd-ons: granite nable valuefor the medium to long term. provide unique experiences for ownersprovide unique with experiences e propertydevelopment sectorcreating 360-degree city view; e metropolitan areas such asschools, hospi- and privacy; the lobby elevator luxuriously luxuriously elevator lobby the privacy; and CapitaLand's serviced residence arm and arm CapitaLand's servicedresidence pitaLand-Vietnam-introduces-first-brand- noramic view above the golden locationof k JungHan, managing dence partner, TheAscott Limited,tobring management andmaintenance that means sidence owners andoperators. Withthis, customers. Therefore, we believethat Hoa xury andhigh-endresi a 300-year-old city with the Notre Dame Notre citywith a300-year-old the e space and privacy of a traditional villa villa of a traditional privacy e space and crease more than normal residentialcrease morethan prop- acious feel of the living room. Moreover,room. the living acious feel of gic locationinDistrict 1, withconnectiv- developer in Vietnam, creating unique creating unique inVietnam, developer rience inconstructinginternational-lev- se realestatedeveloper last week an- ral contractor ofits t to the high standards of quality that that quality of standards to thehigh t sure high construction qual- esents potential buy-to- esents potential ic andculturalsites.Each world class concierge director ofResiden- dential, hospitality, Serenity Sky Villas 18 July 2017 48 / 56 48/ 2017 July 18 18 July 2017 18 July BUSINESS resort inNhaTrang to Marriott open new finance& business Vietnam million tax profit touches $41.2 Viettel's overseas pre- plant in PhuYen renewable energy Tataproposes Power Intellasia facilitating foreigninvestment, Thesaid, expr Tata Power's desiretoinvest of highly yen_287650.html http://bizhub.vn/news/tata-power-pro inDecember2020. Phu 2plant is expected to become operational Long (Mekong) Delta province ofSoc Trang. plant, theLong to build 2 thermal Phu power company the Earlier, sector. power the in Tata Power Ltd, an affiliate of theTataGrou renewablesuccessfully. energyprojectthe would develop At the meeting, Tran Huu The,vice-chairAt themeeting,Tran This was reported on theprovince's website, phuyen.gov.vn. central province ofPhuYen, duringame Tata Power Ltd from India proposed toca 18/JUL/2017 INTELLASIA |VNS desi byinternational ceived Courtyard byMarriott Nha Trang features an enviable beachfront facing the sea. Con- from rideaway boat a Situated 20-minute the just off coast ofthepopu Stock Company toopen thenewCourtyar Marriott International has signed acontra Islandin2020. Tam Hon open on to resort luxury New 18/JUL/2017 INTELLASIA |VNECONOMIC TIMES A report reviewing the business results of Viettel's overseas investments in nine mar- year-on-year increase. million)from its (US$41.2 investment overseas Military-run telecom group Viettel hasreco 18/JUL/2017 INTELLASIA |VNS trang http://vneconomictimes.com/ar brands in 6,000 hotels of leading hotel 30 Marriott InternationalBethesdain isbased in2020. pleted Marriott Nha TrangTamHon Resort is sc Long Beach, andthe historic PoNagarCh is within easyacce The hotel by Marriott NhaTrang raise thebar of serviceexcellence on theisland." tropical sunandseaholiday. looking fora among reputation a andhas 2006 in tablished Sea JointStock the HonTamNhaTrang of Courtyard by Marriott on the picturesque resort "We are thrilled tobeworking with theex Nha Trang." br hotel international quality, bringing do to both Trang responds Nha by Marriott Philippines, Cambodia and JapanatMarriot said Karl travellers," and inbound Hudson, "Vietnam is growing rapidly and we are not cuisine. international dining venues guestsfoster c thathelp combining modern furniturewithaclean, re guestrooms well-appointed that embrace th TrangH Nha byMarriott The newCourtyard of views access to undisrupted gives tecture gners GroupGSA, the resort's ss of key attractions such as the Vinpearl amusement park, amusement park, suchastheVinpearl attractions ss ofkey lar south-centralbeach city. ticle/biz-traveler/marriott- onnections and savor authentic Vietnamese and authenticVietnamesesavor onnections and poses-renewable-energy-plant-in-phu- and to standards unique programming and in the region. PhuYen iscommitted towards 122 countries and territories worldwide. eting with provincial with eting of the provincialof the Peop was granted permission thegovernment permission by granted was NhaTrang on anexclusive resort island, heduled to commence in 2018 and in2018 be com- tocommence heduled We're looking forward to havingCourtyard We're lookingforward ct with the Hon Tam Nha Trang Sea Joint am Towers. ofCourtyardConstruction by perts at Marriott International in building rry out a renewable energy projectin the d by Marriott Nha Trang Hon TamResort Trang by MarriottNha d Company. "Hon Tam IslandResort wases- Company. "Hon Tam , Maryland, in the US, and has more than more has US, and, Maryland,inthe rded apre-tax profit ofVND1trillion p, is one of the leading businesses in India inIndia businesses theleading oneof p, is mestic andforeign travellers' needs by t International. "The upcoming Courtyard upcoming t International. "The Areavice President, Thailand, Vietnam, e brand'ssmart-casual the turquoise sea from most guest rooms.guest theturquoiseseafrommost icing an increasing number ofoutbound freshing palette.There essing hisconfidence With a capacity of 1,320 theLong With acapacityof1,320 MW, Vietnamese and international travellers Vietnamese andinternationaltravellers expected to cost $2billion, in the Cuu on Tam Resort will feature 373 inviting, willfeatureon TamResort 373 s in the first half of 2017, a 156 percent 156 a 2017, of the firsthalf s in island," said DoanVanTrang,Chair to-open-new-resort-in-nha- modern,undulating archi- leaderslast week. le's Committee, spoke that the Indian firm design ethos by designethos will also beonsite 18 July 2017 49 / 56 49/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam Cambodia competition in strangled by Rosy Viettel outlook Intellasia announced thatithadthree mobile million va deal was The in2012. erator inCambodia, wasthankstoth Axiata ofSmart The growth subscribers in Cambodia. Se Qb, subscribers. million 2.4 with tries) est diversified conglomerate andholding co million subscribers, then Cellcard ofThe belongs to The second position with about 8.9million subscribers. market telecommunications mobile the leading Cambodian is population. Metfone 16 million a of Cambodia, in subscribers mobile million 20 nearly are there Currently, Competition heatingup position inthe Cambodian market. itary-run Viettel Group,is confronted with brand telecommunicationsMetfone, amobile 18/JUL/2017 INTELLASIA |VIR million_287640.html http://bizhub.vn/markets/viettels-o markets. anmar, thisyear,as well as createmodern The groupplans to complete building networ grow its and billion) ($1.4 trillion VND32 Revenuefr 50 million subscribers, in 2017. targetedyear. Viettel astrong has this group The achievements are expected tobe a pre- good business results. exchangerateinViettel's The favourable bringing inarevenue of ne a been granted has Timor East in brand fo with position leading its maintaining brand received positive also Viettel In addition, of Higher Education, Science and Technolo tem, transmissionchannelfortheMozambique The projectsincludethelineconnecting Ea businesses. and technology projectsforgovernments nication services, especi The resultshavecomepositive fromreve at15 per cent. Haiti cent and at 29 per percent, rundi at 38 East Timor this, revenue inPeru posted the highest gr compared tothesame period last year, to kets showed that in the first are comingout witharange of competitive The among mobileoperators inCa competition inmobile an advantage bodia, Metfone'sproviding strength liesin According toImVutha, representative of 4-5 about cent per of the share. market positions in this ranking were Star-Cell, B andMf percent) (12.8 Hello market shareand This year,CellcardoftheRoyalGrouprank ers. of Cambodia, Metfoneheld24.1percent in competitor in Cambodia. Among twoyearsafter enteringtheCamb In 2010, 1.6 million. data subscriptions. data ally new services suchas 4G, several million dollars. million US several six monthsof thisyear, its revenue roseby25 per cent Malaysian brand Smart Mobile (Smart Axiata) with 7.4 7.4 with Axiata) (Smart Mobile Smart brand Malaysian ninemobile operators sharing 6.3millionsubscribers verseas-pre-tax-pr Royal GroupofCambodia (Cambodia's larg- atel, and Xinweiatel, and have th rate at 29 th rateat29 per cent this year. the Regulator Telecommunications of Cam- nue generated by mobile phone telecommu-by mobilenue generated overseas markets also contributed towards towards contributed also markets overseas around VND14 trillion million). VND14 ($600 Of around eeline, and Smart Axiata. Each ofthemheld odian Metfonebecamemarket, a formidable signs fromthe Lao market, with itsUnitel broadband infrastructure for4Ginthese datasubscriptions, st Timor, Laospopulationmanagementsys- st Timor, om overseas investment has been set at been set has overseas investment om w frequency to expand itsnetwork,thus owth rateof82per cent, followingbyBu- phone call services, while Smart Axiata has Axiata while Smart phone callservices, intense competition vying for its leading themarket with about gy, andataxpaymentsystem for Burundi. condition forahigher growth rate for the ed above Metfone with 37.7 per centofthe ed aboveMetfonewith37.7per mpany with investments invariousindus- mobile data packs. When Smart Axiata of- Axiata Smart packs.When mobile data lued at $155 million. In 2016, Smart Axiata Axiata Smart 2016, In million. $155 at lued e acquisition of Hello, anothermobile op- acquisition of e growth rate of 35 per cent, with around around with cent, per 35 of rate growth one (9.6 per cent)areclosingup.Thelast in Cambodia owned byVietnamese mil- ur millionsubscribers. Also,its Telemor k infrastructure inits tenth market,My- Ministry of Home mbodia is more as getting mbodia intense they ofit-touches-412 e-wallet andlarge information while Metfonehadonly the least number of the leastnumber Affairs andMinistry 1.7 million subscrib- 18 July 2017 50 / 56 50/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam Intellasia name Metfone was valued thebrand the time, the region. At telecom brandsin valued wasinthetop30 Metfone world's leading independent branded busine a revenue of more million. Also than $240 in to Vietnam,which is five timesasmuch and Now, Metfonehasrecovered itscapital nam earned by Metfone, more thanitsin Vietteltransferre ofoperation.In2011, years only investment Metfone isthe compared cent per 25 rise ofabout in also period this in investments foreign growth of 155.7 per cent tothe compared same period last year. Viettel's revenue from ferred toVietnamfromforeign wa markets first the in investments foreign Recently, Viettel Group hasrele cial security. pe sothat Cambodian tunities ofsocialacti plenty Meanwhile, it invested $5million in theinte ment. Metfone paidanaccumulated tax of near privat a build army to the royal and services In particular,the Cambod Metfonesupported standards in Cambodia, with the aim of withtheaimof buil standards in Cambodia, lot ofim a has made sponsibility," Metfone With thebusinessphilosophy responsibility Social 2015. percent 10 a 26,000, by increased Metfone of Thanks to this strategy, as of the end of Ju areas, toreach the target sales volume in eacharea." Metfone'ssalesmen means that pr offers directly Metfone but distributors, dia), said, "Othermobile operatorsmaysell Vu Minh Thanh,director ofMetfone inSi a huge numberofcustomers,a includ an family, every communications toeveryperson, Moreover, Metfone's strategy inthismarket. 4Gsubscribers signed with more 400,000 than coverage. Sincetheintroduction of4Gtech technology Metfone helps provide nearlyen Full-MPLS, one ofthe most In addition, Metfone is the onlymobile oper country. 2G,3G,and4Gbase Thereare9,014 Cambodia. tres of optical cablescoveringfibre allth larges has the present, Metfone erage," at the of"building most ex thestrategy With to extentcoverage investment Huge in2013. ruptcy oper mobile small itdamages side, the other freelyOn competeinprices.bile operatorscan ceiling or Cambodian authoritiesdonotseta ting, Metfone offered thepack of $1 for unlimited texting. texting.Next,whenSmartAx packfor$150 $1 fered pack textingwithinawe a $1 for $125 vities. Inaddition, Metfone hasbroughtthan 3,000joboppor- more at about $94 million. $94 about at innovative transmission technol innovative ople can have stable incomes, which helps to stabiliseso- of "business development ha development of"business is aimedat"bringing info of Viettel Group thatgene half of 2017. In particular, its total pre-tax trans- pre-tax profit total its Inparticular, of 2017. half travel toeach selling point, including those inremote ased its pre-tax profit figu to the corresponding period to the of 2015. corresponding ing those in the most remote areas. e districtsand 98 percentof communes in itial investment in the Cambodian market. ne 2016, subscribers ne 2016, the of Reapbranch Siem creased trillion million), to VND14 ($600 a t network in Cambodia, with kilome- 20,735 with inCambodia, t network ly $400million to the Cambodian govern- em Reap (a province in northwest Cambo- its initial capital. In 2016, Metfone generated generated In2016, Metfone capital. initial its tensive network with the best possible cov- possible the best networkwith tensive ek, Metfone responded byoffering asimilar oducts and services tocustomers.This services oducts and nology inthemiddleof2016,Metfonehas portant contributions their products through their agencies and and agencies through their theirproducts s nearly VND1 trillis nearly this year, according to Brand Finance, the toBrand according year, this rnet systemforschoolsandtookpartina ators. For example, Mfone declaredbank- ators. Forexample, brought more than $200 million of profit of million $200 morethan brought ator inCambodia touse Metro Ethernet ding a better life life a better ding tire cities and provinces withnetwork e mobile network. Asoftheend of2016, d more than $40 million of profit to $40millionofprofit d more Viet- to than growth compared to the same period in floorpriceforthemobilemarket,somo- ss valuationand strategy consultancy, one side, this benefits customers, but onside,one thisbenefitscustomers,but ian government to set up e-government iata increased its pack to $1 for $300 tex- for$300 to$1 pack its increased iata transceiver stations (BTS)alloverthe transceiverstations d every corner of social life," so it has rmation technologyandtele- rated profitafter only three res generated fromitsnine nd-in-hand with social re- ogies in the world. This ogies inthe for Cambodian people. on ($41.2million), a to improveliving 18 July 2017 51 / 56 51/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam find new dealer in to greenlighted BMW finance& business Vietnam Intellasia dition to violating multiple regulations, a stillwaitingwascars while forclearanc it theBWM dealer was In December2016, foun firms. import prices toevade tax, euroAutohas of conducting However, afterbeingaccused in activities retail doing reported separation between the firmsregarding their responsiblewhile Performance fo Motorswas sories. Whenthiscompanycameintooperat acces- and spareparts, cars, BMW selling Auto, to euro functions similar with Vietnam Darby Sime established anot In early 2016, in manyneighbouring countries, suchas Mini, Rover, rights tosellLand holds the third Darbyistheworld's Sime Currently, CityandHanoi. stores inHCM etnam, forexample the MINI and BMWbrands,through a chain of showrooms and Via euroAuto,SimeDarbyhasbrought seve an (EACH)' Corp. biles Holdings Sime 2013, of end the By more 90per than cent stake in euro Auto (Malaysia). Group Darby Sime by oftheMalaysi affiliate major Darby Motorsa backed is Auto euro fact, In its withdrawal fromtheHoaBinhAutomobilejointventure. market after previousfailuresinmanufactur helped the company tobecome one of the Since as euro Auto, aut 2006, the officially Dealer replacement isneeded in thecountry, while looking for anotherdistributor. current its rights of the terminate to have In order to be able to continue itsbusine transp a maintain according tonewswire vnexpress. help to Vietnam in dealer dealership its part inthese violations,only affirm The leader ofthegovernmentalso violat scandalous with charged held atVietnamese ports after euro Auto runturer maintenancese BMWtoaccessand Vietnamese government hasgiven the greenl 18/JUL/2017 INTELLASIA |VIR There aremany firms wanting to become car manufacturer. in ajointto participateagreementand technologytransfer venture choose withalocal Accordingexperts,to achieve inorderto increase the localisation rateofmany car components. companywasseekingto in also saidthat the with primemi the meeting At in an Vietnam. names The of the othertwo havebeenpersons kept undisclosed. of course the in rested Thao, generaldirector of euro Auto, and tw Afterwards, the Ministryof violations, abanthat is said to be still in effect. were ordered tohalt all clearance procedur the necessary customs authority permits. In ming. ItalsoboughtBMWve ceipts,failing while to provide certificatesoriginof foritsof carsasignand scam- fraud The wasaccusedofforging document company vestigation of a batch ofGerman of a vestigation Public Securityannounced on hicles without completing cu hicles withoutcompleting nister Nguyen Xuan Phuc, nister Nguyen ions of counterfeit paperwork.ions of Sime Darby's 2016 annual report. Sime annual Darby's 2016 d other shareholders' stakes. ss inVietnam,the German automaker will Rolls-Royce, Jaguar, Lamborghini or Porsche or Porsche Lamborghini Jaguar, Rolls-Royce, Malaysia, Singapore, Thailand, and China. Thailand, Singapore, Malaysia, Corp. (EAC) by purchasing Europe Automo- by Europe purchasing Corp. (EAC) ed thattheBMWGroupinGermanyhadno BMW's official distributor in Vietnamwas e from the HCM City customs agency,e fromthe HCMCitycustoms inad- ccording totheMinist ccording horised distributor of such a goal, the world's big players usually partner toimportand BMW's new distributor, including well- apparently lost its credibility with other with credibility its lost apparently her subsidiary named Performance Motors most successful luxury es for BMW cars after MoF reportedimport BMW carsafterMoF es for in Vietnam. Hence, BMW must change its its change must BMW Hence, inVietnam. arent and attractive business environment, environment, business and attractive arent largest distributor of BMW. Thelargest distributorofBMW. giantalso December Vietnamese customsofficials o other individuals involved had been ar- had been individuals involved o other ion, euroAutoshiftedfocusontoimports, fraudulent paperwork anddeclaring low an multidisciplinary grouphas acquired a acquired grouphas an multidisciplinary ral luxury andpremium car models to Vi- ing cars locally, which eventually led to led which eventually carslocally, ing vest in a factory in Vietnam as it would it would inVietnam as afactory vest in rvices on a batch of 700 BMW cars being cars BMW a batchof700 rvices on manufac- ight tothe German automobile d tohave sold ashipmentofimported functional businessesasthey were both r distribution. Still,there was no clear s, includingpurchase contracts andre- the top executivesofBMW stoms clearanceorreceiving April 27 thatNguyen Dang luxury cars smuggled into into smuggled cars luxury BMW inVietnam, has ry of Finance (MoF). ry ofFinance distribute BMW cars car brands in the the in brands car 18 July 2017 52 / 56 52/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam expo to run in August to runin expo Vietfood Beverage Intellasia dealer-in-vietnam.html http://english.vietnamnet.vn/fms/busin the long run. but al manufacturing, and for assembly ready per centimporttax, forimport activitieswi not Germany.Then, BMWwouldhave been gr mo have purchasednamese customers would Were itnotfortheeuro Auto incident, acco via Sime Darby's distribution channels. thePhilippines exporttoVietnam and for inMalaysia 3, sedans 5, and BMW 7 series Malaysia BMW recently, inApril2016, Most ing Series Series 1, X1to 3, different commercial vehicle modelsunde th date, To Malaysia. in models BMW first very the someof manufacturing started the company establishment, its after Shortly by anda49per BMW cent by Darby. Sime between thesewas establishe corporations two venture joint The Malaysia. in pursuing are Darby Sime and BMW thepath also is This tobethecore," are supposed for distribution is "Financial capability not the bestfit, toassemblepears tobe cars inVietnam. ap- firm local witha jointventure a BMW, Yetfor expandtheirportfolios. wantto that known names of the automobile industry Vietnamese firms account forab Vietnamese firms account Convention Centre inHCMCity fromAugust 9 to 12. will exhibition age ProPack)international The 21stVietFood, Beverage and Professi 18/JUL/2017 INTELLASIA |VNS not onlywantanextensive After all,theluxury carbrand ofBavariais booming. luxury car segment is also getting tougher with more noticeable opportunities for sales decreaseof if theproportionThe pricemay luxury carbrand the second it tobecome If ties BMW it the knot withabig company, Kia later came toTru back ever, allcompanies decided to"get out" (VMC Binh AutomobileCompany tory ofHoa used 20 years agowillcome back. Around If cars BMW are assembledandimported Vietnam. Vietnamese corporation soas to develop the BMW's newrepresentative, thegiantstill needs It could be Performance Motorsor a different agency. However, whoever willbe but througha cars, tion ofBMW from industry insidersreckons that Sime Darb In Vietnam, the availa way ahead A long graduallythe localisationrate. increasefacturers and tributions andtechnologytransferor toat or basesfor expansion. Otherthings involve country, andmoreimportantly,astringof well-e a with goodfinancialcapabilities, If BMW also adopts this model in Vietnam, the best possible way is to find a partner requirement ofa40percent localisation rate. bility ofthese condit ong Haiand started thriving. X5 or Countryman, among others. or Countryman,among X5 the key factor. Experience andthe network infrastructure distribution system,services out half 500participan of the different firm, noteuro Auto. ess/182189/bmw-greenlighted-to-find-new- because of undesirable failures. Mazda and stablished distributi onal Packing Machines (VietFood &Bever- (VietFood Machines onal Packing manufactured in Vietnam,after Mercedes. takeplace at the SaiGon Exhibition and e plant has manufactur tract investmentfromcaraccessorymanu- and othermultidisciplinarycorporations readily available factories and warehouses andwarehouses factories readily available in Vietnam by abigcompany, themodel r the brand names BMW and MINI, includ- looking for a safehavenlooking for inVietnam.Itdoes ions is actually very Aprediction limited. actually ions is domestic factors increases. Thebattleinthe 1994, BMW cars were assembled at the fac- the at wereassembled cars BMW 1994, thin theregionaslong rding to the company's plan for 2018, for2018, Viet- plan rding tothecompany's agreements signed to regulate capital con- capital toregulate signed agreements plan to manufacture and assemble carsin and manufacture plan to will be the starting pointfor starting ofanewera be the will said thedirector of a luxury car company. unveiled a plan to boost the assembly of to boosttheassembly plan a unveiled so requires a stable policy framework in framework policy a stable so requires re BMW carsimportedfrom Malaysia, ), along with andKiacars.How- ), alongwith Mazda anted taxincentives,particularly azero y will still be in charge of the distribu- d in 2003, with a 51 per cent stake held percent 51 witha 2003, in d to invest in ajoint venture with alarge , factories, and warehouses, factories, and ts this year, and their key year,andtheir this ts on networkacross the ed approximately20 as it couldmeetthe as 18 July 2017 53 / 56 53/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam issues of concern issues of Tourism forumto raise apparel technologies discusses conference International Intellasia sector. and discussed many important matters relating to developing thecountry's tourism To prepareprime mini for dialogue withthe digital economy. ment andthe private sectorinthree key nati in Vietnam", the session willfocuson disc theme"From 5 With Central to Resolution ciations. technologies_287614.html http://bizhub.vn/tech/internati (FGL),YouPCC Limited Asia, and Company Kaybee.Grupo StockCompany, EsquelGarmentJoint ManufacturingFashion Company, Garments The event inVietnam attracted manyVietna TechUp" inBangladesh,"Apparel IndiaandIndonesia. was table held forthe The round first time must thinkaboutapplyingtec ers from the government, departments,inte and more. Tomeetthatdemand, inaddition to "The demand ofthe garment industryis incr production. ha e-commerce growth of and theaccelerated retailers,of change"In addition,the thecu gene in industry the manufacturing role for "In the context of globalisat data, artificialintelligence are concepts Saurav Ujjain, sales manager, ThreadSol, So dustry. Participants alsodiscussedpracticaltechnol to improve theirefficiency. agreedExperts thatfashionenterprises now and Bangladesh. as China nations such sisting companies tocope with challenges andcompetitive pressures from exporting technolog by ThreadSol,agarment Organised discussed ataroundtable meeting called Solutions tohelpfashionenterprises upgrad 18/JUL/2017 INTELLASIA |VNS http://bizhub.vn/events/vietfood-bever among other topics. food &beverage retail inVi Workshops willbe held onthe sidelines of ArabEmirates, Brazil and France. United Republic,including theCzech abroad,newcomersThe board the from several named insuranceservices.products, financialand at th stalls Koreawilloccupy70 The South farming clean to treatvisitors will Poland year. Taiwan, Korea, Polandand Thailand, South The organising boardsaid some veteran fo products include dried andbeer. fruit coffee, tea, of July this year, chaired primeminister by chaired year, this of July Vietnam PrivateSectorForum (VPS The second the and digital agriculture as aswell tourism to key developing matters Set for theend ofthismonth,thesecondVi 18/JUL/2017 INTELLASIA |VNECONOMIC TIMES ion, the technology 4.0 revolution plays a very important important very a ion, thetechnology4.0 revolutionplays etnam and management skillsetnam and for businesses the sector, in hnology;it isindispensable." onal-conference-discusses-apparel- age-expo-to-run-in-august_287633.html that the apparel industry cannotescape now. solutions and fresh fruitanddairy products. "Apparel Tech Up" in HCM City this week. this City Tech inHCM "Apparel Up" etnam Private Sector Forum 2017 will tackle will tackle SectorForum2017 Private etnam ussions and dialogue between thegovern- rrent consumer trends for fashionproducts consumer trends rrent the Action Programme of the Private Sectorof thethe Action Programme e fair by enterprises enterprises by fair e reign participants, includingthosefrom Nguyen Xuan Phuc an NguyenXuan in Vietnamandfollowed thesuccessesof rnational organisations the exhibition, with discussionscovering utheast Asia, said: "Manufacturing 4.0,big Asia, said: "Manufacturing utheast onal spheres:agriculture, tourism,andthe ral andthegarmentindustryinparticular. need to upgrade production technologies ster, the Tourism Team at VPSF has raisedster, theTourismTeamatVPSF has mese companiesmese likeSun Investment Viet ogical solutions for theglobal textile in- e technologiestoachieve efficiencywere wish to expandto wish theirthis display space easing, orders are sent tofactoriesmore ve led to significant impacts on garment ongarment impacts tosignificant ve led y provider, theconference aimed atas- agile, creative,skil F) is to take place in Hanoi at the end the at Hanoi in place to take is F) producing agricultural producing agricultural led staff, businesses d bylead- attended , and business asso- business , and 18 July 2017 54 / 56 54/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam in Thailand Week 2017 tobeheld Vietnamese Goods Intellasia concern http://vneconomictimes.com/article/vietnam- but are notavisaexemption. tries in the world because ofvisa issues. E-vi tors tothecountry. Currently,Vietnamismostthe among backwards tourismcoun- demonstrateVisa exemptions Vi VuTheBinh, vice Chair of Vietnam Tourism Association proved arekey. New Zealand.What the promotional activities etnam: Europe, NorthAmerica, North Asia havechosento We onmarkets focus to attr HoangNhanChinh,HeadoftheTouris of visa-free countries and lengthening the visa period. governme The visapolicyisimportant. The free. So they had a poorfirst impression of the country. was visa- because thoughtVietnam go toreturnThailand they but had to Vietnam group of I meta to Thailand, a trip During Vietnam. lownumberThe ofreturn Promotingcommunicating and clearmessages tourism. for Vietnamese create abreakthrough would improved, if country to key markets, visas, and environm There arenow three priority issuesfor Group Kien,Chair ofThienMinh Tran Trong nology to competewithotherenterprises. able in the long term. For small businesses, it is necessary to apply information tech- Island andCon Dao Island.Policies fortour For example, isn planning ment needs to plan destinations th sult in small numbers of tourists. With si The absence oftaxation, financial,and capita the natural environment. tourism ti thesame tourism enterprises todevelop. At to and neglected safety has and ing security businessRegarding theVietnam environment, the visapolicy. ininternational appropriately research an ments. Iftourismisdefinedasanascent It isimportant forthe government to ex Nguyen Quoc Ky, CEO of Viettravel Therefore, to secure a firm foothold inthe and quality food safety. The MinistryofIndustry and Trade warned fruitsand driedfruits, spices seafood. and Made-in-Vietnam goods are thoughttohave boosting two-waytrade to implementing and Thailandare Vietnam confectionary, beverage, tea, coffee, packaged Nearly 40 businesses areexpected tosell eral trade. prod The eventaimstointroduceVietnamese phong newspaper. Ladprao inBangkok, Thailand, from July 27 Thaila in second VietnameseGoodsWeek The 18/JUL/2017 INTELLASIA |VNA quality, reduce production costs and promote theirpromote goods. and quality, reduce productioncosts 20 billion USD by 2020. billionUSD 20 eeded to encourage high-incom etnam's integrationintoetnam's the at aresuitable wi visitors is also achallenge. Vietnam's tourism industry:promoting thetourism Vietnam's pand visaandtourismpromotion require- economic sector, thegovernment mustinvest m Advisory Secretariat Board under VPSF x key marketstobepromoted, the govern- trade promotion programmes towards products morethan products at market, businesses need d development strategies, most importantly importantly most strategies, d development 16 young New Zealanders 16youngNew whowantedto act high-paying international visitors to Vi- visitors international act high-paying , Southeast Asia, China, Australia, and and Australia, China, Asia, , Southeast nt should consider increasingthe number createmore favourable conditions for ism development also need tobe sustain- l incentives for tourism businesses will re- will businesses for tourism l incentives to August 2, according to Saigon 2,accordingtoSaigon Giai to August sas areonlyatool for faster,easier travel, entally-friendly tourism. The visa policy, that Thailand has strict requirements on potential in the Thai market, notably inthe Thai notably potential market, today/tourism-forum- ucts to Thai customers and balance bilat- balance and customers toThai ucts me, there is alackof food, spice, fruits and garment-textiles. nd will take place at the Central Plaza nd willtake attheCentralPlaza place will be and how tourism quality is im- is quality how tourism beand will for tourismremains a difficult task for is paying toomuchattentiontoensur- th these markets. th these e groupsto PhuQuoc visit world in facilitating visi- infacilitating world 20 pavilions, mainly product to improve policiesto protect to-raise-issues-of- 18 July 2017 55 / 56 55/ 2017 July 18 18 July 2017 18 July BUSINESS Vietnam finance& business Vietnam Intellasia End 114937.vnp http://en.vietnamplus.vn/vietnamese-g visitors. The firstVietnamese GoodsWeek was held customers. attract to orEnglish in Thai The ministry suggestedinvest ing in packaging with full information onthe products oods-week-2017-to-be- in Thailand in 2016 with almost 150,000 in Thailand2016 with almost 150,000 held-in-thailand/ 18 July 2017 56 / 56 56/ 2017 July 18 18 July 2017 18 July