BizLIVE - The addition of $600 million to Samsung’s CE Complex in Ho Chi Minh City and the mismatch between Carlsberg and Habeco have made headlines on local press today.
[Round-up] Samsung Expands HCMC Complex, Carlsberg Mismatches Habeco
The Vietnamese central bank is looking to apply a more market-oriented FX rate mechanism.
Carlsberg Fails to Fulfill Commitment with Habeco: CEO
Carlsberg Breweries A/S, which became Hanoi Beverage-Wine-Beer Joint Stock Corporation’s (Habeco) strategic partner in 2008, has failed to deliver on its promise of helping the latter grow, said Habeco General Director Nguyen Hong Linh.
Carlsberg has not helped Habeco train its human resources, modernize its technology and equipment, expand market, and improve governance as promised. Instead Carlsberg, having been present on Habeco’s board of directors since 2008, is now privy to all of Habeco’s business secrets.
Carlsberg has been reportedly in talks with the Vietnamese company to increase its stake from 17.23% to 30.23%, but negotiations fell through, the Dau Tu (Investment) newspaper reported.
FTA to Intensify Trade, Investment between Vietnam and EAEU: Ambassador
“It is very necessary that the free trade agreement between Vietnam and the Eurasian Economic Union (EAEU) soon comes into effect in order to intensify the flow of goods, services, investment, technology and high-quality human resources between Vietnam and the EAEU,” said Russian Ambassador to Vietnam KonstantinVnukov.
The formation of the ASEAN Economic Community (AEC) will help Russian businesses approach this 600-million market, he added.
TPP to Push Vietnam to Improve Competitiveness
The Trans-Pacific Partnership (TPP) will push Vietnam to complete its market orientation targets, and improve its business environment and competitive ability, an economist said at a workshop held in HCM City on Monday.
“Vietnam is seen as the biggest winner from TPP, and this will be a great chance for the country to boost its exports and join the global supply chain,” said Nguyen Tien Dung, principal of the Law–Economics University, during his speech at the workshop.
Vietnam Retail Sales Jump 9.5% in 2015: Statistics
Vietnam’s retail sales of goods and services increased 9.5% this year, the highest rate since 2011, as low inflation and strong economic growth bolstered consumer confidence, data from the General Statistics Office (GSO) showed.
Sales were estimated at 3,242 trillion (US$144 billion), GSO said. Vu Manh Ha, domestic trade economist of the GSO, attributed the significant rise in 2015 to the country’s 0.63% year-on-year rise of consumer prices, the lowest increase in the past 14 years.
Vietnam to Allow Stock Short-Selling
The State Securities Commission (SSC), Vietnam’s stock market watchdog, has issued a circular allowing traders to short sell stocks.
According to Circular 203, which will come into force next July 1, traders will be allowed to sell shares that are on the way to their accounts and conduct intraday transactions. Investors can also conduct transactions with clearing guarantee of the depository bank.
Chinese Airline to Launch Kunming-Nha Trang Direct Flight
China’s Yunnan Lucky Air on December 28 announced the launch of a direct flight between Kunming city in southwest China’s Yunnan province and Nha Trang city, Vietnam’s southern central province of Khanh Hoa.
Lucky Air will use Airbus A320 to operate flights every Monday, Wednesday and Friday starting from January 25, 2016, according to the Xinhua news agency.
The Management Board of the Saigon High-Tech Park (SHTP) on December 29 allowed Samsung to expand its existing $1.4 billion Samsung Electronics Ho Chi Minh City Complex (SEHC) by $600 million, bringing the complex’s total investment to $2 billion.
SEHC will set up a research and development center for audiovisual devices and add guarantee services at SHTP.
The State Bank of Vietnam (SBV), the country’s central bank, is pondering a new management mechanism for the USD/VND rate that can be adjusted daily instead of a daily fixing with a trading band currently, SBV Governor Nguyen Van Binh told local media.
The banking authority is taking steps to apply the so-called ‘interbank forex rate’, which can be revised up/down frequently, even on a daily basis, to reflect more accurately market movements, especially those in the global market, he added.
The Vietnamese government could book proceeds of some 20 trillion dong ($889 million) from selling shares in state-owned MobiFone Telecommunication Corp (MobiFone), the second-biggest mobile network operator in the country after military-run Viettel Group, Minister of Information and Communication Nguyen Bac Son said.
This sum is far above the proceeds of 15 trillion dong ($667 million) that the government has booked from divesting state holdings in 558 companies in the 2011-2015 period, Minister Son stated at a government gathering late on Monday.
Vietnam has fallen short of over $3 billion in comparison with the initial projection due to the plunge in the price of crude oil, Minister of Industry and Trade Vu Huy Hoang said at a government online conference on December 28.
Vietnam’s exports had been projected to grow 10% this year on the assumption that the price of crude oil would stay above $100 a barrel. However, the price of the liquid has been on the fall since the beginning of the second quarter this year and hovers around $35-$36 a barrel currently.