Agricultural productivity in india

According to Do Lien Huong at the IPSARD, rice exports increased thanks to higher demand, which led to higher prices and larger revenue while the export of seafood and fruit fell due to disruptions to supply chains.

She added that agricultural trade fell but at a slower pace than the decline of trade in goods in general, since food is an essential good.

For seafood, export revenues dropped by 1.9% in 2020 but showed signs of recovery in the first quarter of 2021, with a growth rate of 6.9%, said Nguyen Hoai Nam at the VASEP, which represents seafood producers and exporters.

He stated there will be more opportunities for Vietnamese seafood as major markets such as the US, Japan and China are ramping up imports while Vietnam’s main competitors such as India and Thailand are still struggling with Covid-19.

With regards to fruit and vegetables, exports were growing between 20% and 40% from 2010 to 2018 but have decreased since 2019 as a result of increasing protectionism and the coronavirus pandemic.

According to Nguyen Thanh Binh, Chairman of the Vietnam Fruit and Vegetable Association, Vietnam needs to increase linkages from production to processing, storage and distribution in order to meet stricter requirements regarding quality, safety and origin tracing.

He suggested applying good agricultural practices and raising the proportion of organic products so as to create products with higher quality for processing and export.

For his part, Dau Anh Tuan at the Vietnam Chamber of Commerce and Industry, said the government should continue supporting enterprises by introducing measures that are more accessible and effective.

Vietnam’s fruit exports reached about 1 billion USD in the first quarter of this year, up 10 percent compared to the same period last year. Of the figure, exports to the US – Vietnam’s 4cond-largest fruit and vegetable market – accounted for 30 percent. The market’s potential is expected to grow in the time to come.

Growth is expected to continue in the future due to increasing market demand.

The US is Vietnam’s second-largest fruit market, after China. It imports about 150 million USD worth of fruit each year. While the figure is rather modest, it is still significant in creating a driving force for fruit growers to improve the quality to meet the requirements of other demanding markets.

Greater profit margins will create fiercer competition in the market. The price of Vietnamese fruit, meanwhile, is always higher than in countries such as Thailand.

Prices are expected to fall in the time to come, though, as more enterprises invest in post-production facilities and irradiation areas. This will be a foundation for enterprises to cooperate more strongly to sustainably exploit markets./.

SMEDF expects to directly provide loans for SMEs from this year

The Ministry of Planning and Investment’s Small and Medium Enterprises Development Fund (SMEDF) expects to deploy direct lending for small and medium sized enterprises (SMEs) from this year.

This will help SMEs access the Government’s preferential capital through many different forms, according to the ministry.

At present, this fund has often provided loans through the entrusted banks and financial supports for SMEs.

The SMEs enjoying those loans including start-ups, and enterprises in industrial clusters and value chains will take loans via five entrusted banks by the fund.

These five commercial banks are Joint Stock Commercial Bank for Investment and Development of Viet Nam (BIDV); Military Commercial Joint Stock Bank (MB); Saigon Hanoi Commercial Joint Stock Bank (SHB); HCM City Development Joint Stock Commercial Bank (HD Bank) and Bac A Commercial Joint Stock Bank (Bac A Bank), reported the Vietnam News Agency.

The lending rate of those loans in April 2021 was 2.16 per cent per year for short-term loans and 4 per cent per year for medium and long-term loans to overcome difficulties in production and business during the COVID-19 pandemic.

With the duties of receiving, managing and using financial sources, domestic and foreign entrusted capital to create capital to support the development of SMEs, the fund has more capital for SMEs.

According to the Ministry of Planning and Investment, early this month, the SMEDF had a meeting with those banks to evaluate the implementation of indirect lending in 2020. They have also set this year’s disbursement target for loans providing for eligible SMEs.

The fund has also organised activities to improve operation ability of SMEs, such as seminars, training, consultancy and investment promotion.

Up to now, the capital from the SMEDF’s lending programme has been used effectively. The enterprises with the loans are operating well with many production and business expansion projects being implemented as planned, so the enterprises have repaid principal and interest.

Tax watchdog eyes further reforms in the next ten-year period

The tax watchdog was eyeing further reforms in the 2021-30 period with focus on simplifying tax procedures and applying information technology in management to contribute to improving the business climate and bringing Viet Nam to the top 30 in the world in terms of the ease of doing business.

Director of the General Department of Taxation Cao Anh Tuan said that the tax reform strategy in the 2021-30 period aimed at two goals, improving and synchronising tax policies to implement socio-economic development goals and developing a modern and streamlined tax system that operates efficiently.

Tuan said that reforms must ensure the stability, sustainability and transparency of the tax collection revenue while seting up a competitive economic environment appropriate to the country’s integration and development process.

The highest goal of reforms was to promote production and increase the competitiveness and encourage Vietnamese enterprises to participate in global value chains to create high added value.

Accordingly, the corporate income tax would be kept stable at 20 per cent as currently to the end of 2025 and adjustments could be put under consideration from 2026 depending on the Vietnamese economy’s situation and the global context.

Regarding value added tax, it was necessary to narrow down the subjects for tax exemption to expand the tax base, from 20 categories of goods and services in 2025 to 12 in 2030.

He added that the efforts would be made to speed up the development of an e-government towards a digital government by 2030 and bring Viet Nam to the top 50 countries in the world and third in ASEAN in terms of e-government and digital economy.

The Ministry of Finance recently asked the General Department of Taxation to continue to strengthen the application of information technology in tax management. Specifically, priority would be placed on expanding the application of electronic invoices, electronic tax payment, registration fee payment and individual tax payment.

By 2022, the tax watchdog targeted that all administrative tax procedures would be conduct electronically with connection to the national public service portal at level 4.

Phi Van Tuan, Deputy Director of the General Department of Taxation, said that it was important to keep a close watch on the compilation of tax policies to ensure that the administrative reforms really create a more favourable environment for taxpayers and there would be no new procedures.

Currently, the tax watchdog was developing circulars and decrees to guide the implementation of the Law on Tax Management No 38, Tuan said, adding that close watch was being placed on the process to ensure that no new procedures arise in the new circulars.

The General Department of Taxation’s report showed that electronic tax declaration was implemented in all 63 provinces and cities nationwide. The tax watchdog also cooperated with 50 commercial banks to facilitate electronic tax payment and refund.

Gov’t affirms FDI’s important role in Vietnamese economy

The foreign direct investment (FDI) sector continues to be an important economic driver, contributing to making Viet Nam more prosperous, Deputy Prime Minister Pham Binh Minh said.

At the connections for development forum 2021 with the theme ‘Presenting opportunities and challenges from the movement of FDI flows in the new context’ co-organised by the Ministry of Foreign Affairs and newspaper Vietnam Economic Times on Monday in Ha Noi, Minh said since 1987, along with the process of renewing and opening up the country’s economy, the Law on Foreign Investment had been enacted. The country had seen three FDI waves, which had made the FDI sector present in many important industries and contribute significantly to the overall socio-economic development of the country.

As of December 2020, over 33 years of developing and attracting FDI, Viet Nam has 33,070 FDI projects with registered capital of more than US$384 billion, of which about $231.86 billion has been disbursed.

In order to successfully attract FDI in the new context, the Deputy PM said the Government would focus on solving four issues.

Firstly, Viet Nam would be determined to maintain a stable socio-political environment, considering it a competitive advantage of the country in the context that the world has many unpredictable uncertainties and it is difficult to forecast the COVID-19 pandemic.

Second, the country would focus on improving the quality of institutions and legal policies towards enhancing transparency, soundness, safety and efficiency as well as improving the governance and macroeconomic management of the State to attract high-quality FDI inflows and enhance the competitiveness of the economy.

In addition, the Government would encourage and support domestic enterprises to enter into joint ventures, contribute capital and purchase shares of FDI enterprises in projects using high and new technologies and supporting industries to master technology, manage and develop national products.

Third, the Government would prioritise investment in infrastructure development to create smart and efficient connections to help reduce transaction costs and enhance the competitiveness of businesses, investors and the entire economy.

In particular, the Government would encourage investment in education and science and technology, considering it an engine of growth for the country in the coming decades.

Finally, together with investment attraction, provinces and cities would organise and support investors to build their projects effectively and promptly through reforming the business environment and administrative procedures, especially in land clearance.

Minh expected the measures would help reduce investment costs for investors and strengthen their confidence besides supporting domestic enterprises to develop and participate more deeply in the global production and distribution chains.

Vietnam not impacted by ban on importing 13 types of Algerian fruit

The Algerian Ministry of Trade has recently informed the Vietnamese Ministry of Finance about the updated list of suspended fruit imports into Algeria during the harvest time, according to the Vietnam Trade Office based in Algeria.

In total, there are 13 types of fruit, including oranges, tangerines, apricots, cherries, peaches, plums, grapes, pears, apples, almonds, figs, pomegranates, camellia, and quince, which are subject to the list.

The decision has been made with the aim of protecting domestic production, along with intensifying control over imported fruit as part of efforts to avoid billing over real value, whilst simultaneously ensuring food safety quality for the health of consumers.

Due to the nation not exporting these types of fruit to the North African country, there will no effect for Vietnamese farmers. In fact, this ban was initially introduced and applied by Algeria back in July, 2020, whilst they are among one the few countries globally not to be a member of the World Trade Organization (WTO).

COVID-19 crisis may be opportunity for Vietnam’s agricultural trade: Experts

The COVID-19 pandemic has rocked the global economy and created unprecedented trade uncertainty and challenges for all sectors, but from the crisis may come opportunity for Vietnam’s agricultural trade, experts have said.

At a workshop held by the Institute of Policy and Strategy for Agriculture and Rural Development (IPSARD) and the Australia – Vietnam Economic Reform Programme (Aus4Reform Programme), Do Lien Huong from IPSARD said that although the agricultural sector suffered a decline in agricultural trade last year, it maintained a trade surplus of 10 billion USD.

There are challenges for Vietnam’s agriculture since the country has no particular support policies for the sector while demand in traditional trade partners such as China and the US are falling.

“The pandemic highlighted shortcomings in the agricultural sector and imposed stringent requirements on uniform policies as well as production and cultivation methods,” Huong said.

She stressed that the agricultural sector could find new markets if changes are made in a timely manner.

According to Deputy Secretary General of the Vietnam Association of Seafood Exporters and Producers (VASEP) Nguyen Hoai Nam, the shipment of seafood in 2020 fell 1.9 percent year-on-year due to increasing input costs and labour shortages.

In the first quarter of 2021, however, seafood exports inched up 6.9 percent from the same time last year.

Nam said that Vietnamese firms may have opportunities to promote exports and gain greater market share in the time to come as large markets such as the US, Japan, and China are increasing imports while competitors like India and Thailand are struggling with spiralling pandemic outbreaks.

Regarding the production and trade of fruits and vegetables, Chairman of the Vietnam Fruit and Vegetable Association Nguyen Thanh Binh said production and shipments have fallen since 2019 as a result of the US – China trade war and COVID-19, but he believed they will bounce back this year.

It is necessary to promote production links and form a sustainable value chain to improve food safety, quarantine, and origin traceability, he suggested, adding that localities and businesses should focus on large-scale production and the application of advanced technologies and good practice standards such as VietGAP and GlobalGAP.

Other experts held that State agencies should provide businesses with full market information and raise awareness about import-export activities.

In addition to expanding markets and adjusting the export market structure, the State should also outline measures to stimulate the economy and support companies in production and business.

According to Director of the Legal Department at the Vietnam Chamber of Commerce and Industry, Dau Anh Tuan, Vietnamese enterprises expect support from the State, including exemptions from corporate income taxes, extensions on tax payments, and reductions or extensions on social security payments, among others./.

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Workplace productivity improvements needed for economic competitiveness: Expert

Vietnam must look to improve national workplace productivity if it wants to promote its economic competitiveness and growth, according to Chairman of the Vietnam Chamber of Commerce and Industry (VCCI) Vu Tien Loc.

Loc made the statement at a workshop held by the VCCI and the Japan International Cooperation Agency (JICA) in Hanoi on April 28, part of activities launched by VCCI to improve workplace productivity at businesses.

According to Loc, Vietnam’s workplace productivity has improved remarkably in recent years, posting a rise of 5.8 percent each year in the 2016-2020 period and exceeding the target by 0.8 percent.

The country’s growth model has gradually reduced a dependence on the exploitation of natural resources, raw material exports, low-cost labour, and credit expansion, and begun relying on the application of science, technology, and innovation, he said.

According to the International Labour Organisation (ILO), Vietnam’s workplace productivity in the 2011-2020 period rose 5.11 percent, 2 percent higher than the average in ASEAN.

Its productivity has improved significantly but is still low compared to countries such as China and India, it noted.

Kenichi Ohno from the National Graduate Institute for Policy Studies of Japan said with the support of international organisations such as the Asian Productivity Organisation (APO), a number of productivity improvement programmes have been implemented in Vietnam over recent years, contributing significantly to boosting workplace productivity.

Vietnam should learn from Japan’s experience and tools as well as those of other Asian countries to improve its workplace productivity.

The Japanese Government and business community are willing to cooperate and support Vietnam in effectively improving productivity, he said.

Participants at the workshop also highlighted the important contribution of the digital economy to productivity and efficiency in the economy, saying that this is a new driver of rapid improvements./.

Measures to bring Vietnamese goods to the world sought

Ways to facilitate Vietnam’s development of cross-border e-commerce were discussed at a workshop on exporting Vietnamese products to the world with Amazon on April 28 in Hanoi.

The workshop was held jointly by the Vietnam E-commerce and Digital Economy Agency at the Ministry of Industry and Trade, the Hanoi Department of Industry and Trade, and Amazon Global Selling.

Lai Viet Anh, deputy head of the agency, said Vietnam has the fastest cross-border e-commerce growth rate in the world.

Cross-border e-commerce continues to be an effective way for Vietnamese businesses to open their doors to global supply chains and minimise risks when traditional supply chains are disrupted or stagnant due to the COVID-19 pandemic, she added.

Last year, despite the impact of the pandemic, Vietnam’s business-to-consumer e-commerce sales grew by 18 percent to 11.8 billion USD, accounting for 5.5 percent of the country’s total retail sales and service revenue. It is eyeing annual growth of 25 percent during 2021-2025, to hit 35 billion USD.

To help Vietnamese goods connect effectively with the global market, Anh stressed the need for enterprises to engage in and adapt to the trend, besides measures carried out by competent agencies.

Assessing cross-border e-commerce as an effective export channel, acting director of the Hanoi Department of Industry and Trade Tran Thi Phuong Lan said that sales via e-commerce platforms are also one of the fastest ways for businesses, especially those of small and medium size, to build their own brands for bringing goods to the world.

Gijae Seong, Vietnam Country Manager at Amazon Global Selling, said his company hopes to contribute more to the development of cross-border e-commerce in Vietnam.

Joining hands with the Ministry of Industry and Trade in helping Vietnamese businesses develop cross-border e-commerce, Amazon Global Selling officially launched a programme aimed at enhancing support for Vietnamese sellers on their journey to the world by providing them with cross-border e-commerce knowledge, helping them set up and operate stores on Amazon, and improve their competitiveness./.

Vietnam Grand Sale 2021 to offer discounts up to 100 percent

The Vietnam Grand Sale 2021 will take place nationwide from July 1 to 31, with discounts of up to 100 percent, heard a press conference in Hanoi on April 28.

Director of the Ministry of Industry and Trade’s Vietnam Trade Promotion Agency Vu Ba Phu said merchants can register to introduce products and services in line with regulations.

Apart from exhibitions, they can also join traditional festivals in localities to develop tourism and e-commerce and encourage cashless payments.

Last year, over 27,450 promotional programmes were held in response to the event, nearly 1,000 of which offered discounts of 80-100 percent, 1,100 60-79 percent, and some 2,500 50-69 percent.

Discounts were mostly on apparel, consumer goods, electronics, and telecommunications via supermarkets, retail networks, and electronic transaction floors.

According to the General Statistics Office, the total retail of goods and services reached 431.9 trillion VND last July, up 3.3 percent against June and 4.3 percent year-on-year.

Experts said the event will help raise public awareness about Vietnamese goods and services and provide a means for suggesting support policies for participating firms./.

Measures sought to expand export markets for farm produce

Minister of Agriculture and Rural Development Le Minh Hoan asked agencies within the ministry, local authorities and departments of agriculture and rural development of localities to focus on measures to seek new export markets for Vietnamese farm produce, stressing that this is a decisive factor in the country’s agricultural economic development.

Addressing a national conference in the Mekong Delta city of Can Tho on April 28, the minister underlined the need to pay special heed to building orientations for domestic and international market development for agricultural products.

Jointly held by the Ministry of Agriculture and Rural Development, the Ministry of Science and Technology, and the municipal People’s Committee, the conference aimed to identify measures to effectively implement plans to restructure the agricultural sector in the 2021-2025 period.

Hoan said it provided a venue for ministries, localities, and businesses to share their experience and discuss ways to improve the value chain of Vietnamese farm produce in the time to come.

According to the minister, Vietnam is ranked 17th in agro-forestry-aquaculture exports in the world, with turnover hitting 41.2 billion USD in 2020, accounting for 1.95 percent of the global total. Therefore, there is major space for Vietnam to boost such exports.

Relevant ministries, sectors, localities and business associations were urged to work hard on addressing bottlenecks so as to develop agricultural product markets in the time to come. They were asked to continue negotiations to remove technical and trade barriers in key markets such as the US and the EU, while promoting negotiations to facilitate the export of fresh fruit and vegetables, aquatic products, birds’ nests, and meat to China, as well as expanding exports to Japan, the Republic of Korea, India, the Eurasian Economic Union, Africa, and ASEAN, and for the Halal market.

Attention should also be paid to planning domestic production to create agricultural products that meet the requirements of fastidious countries, participants said.

They emphasised the need to strengthen trade promotion activities, bolster the application of technology in agricultural development, raise the quality of farm produce for export, while share experience, global market trends and issues relating to brand building and protection, and geographical indications with businesses operating in agriculture./.

Deputy PM lauds contributions of Japan’s financial, credit organisations

Deputy Prime Minister Pham Binh Minh on April 28 hosted a reception for Masahiro Yoshimura, General Manager of Business Development Department at Japan’s Sumitomo Mitsui Financial Group (SMFG), who is also in charge of managing Sumitomo Mitsui Banking Corporation (SMBC).

At the meeting, Minh said the Vietnam-Japan relationship is developing fruitfully across spheres, and Japan is now Vietnam’s largest ODA supplier with about 27 billion USD.

Japan is also Vietnam’s second foreign investor with accumulated investment amounting to 60.3 billion USD, making up 15.7 percent of total foreign investment in the country.

Japan is the fourth largest trade partner of Vietnam, with bilateral trade reaching 60 billion USD last year, the official added.

Minh attributed the achievements to contributions in terms of both finance and operational experience of Japanese financial and credit organisations over the past time, including SMFG.

The Vietnamese government appreciates the role of SMBC that has operated in Vietnam over the past nearly two decades, providing financial and banking services, as well as support for many major energy and infrastructure projects in the country with combined funding of about 20 billion USD.

Minh expressed his hope that SMFG and SMBC in particular will develop further and expand its investment and business in Vietnam, while continuing to work as a bridge for Japanese firms in the Southeast Asian nation.

The Vietnamese government also encourages the participation of credit organisations with financial potential, experience and capacity to help local credit organisations, the Deputy PM said, adding that he welcomed SMBC’s investment in FE Credit – a consumer finance division of VPBank, and noted his belief that the cooperation will be a success.

For his part, Yoshimura pledged that SMFG will continue to prioritise its efforts and resources to business development in Vietnam, saying he believes that the group will contribute to the growth of relations between the two countries.

He said SMBC’s investment in FE Credit is the biggest foreign invested project in the banking sector in Vietnam, which has demonstrated SMFG’s commitments to contributing to the country’s development as well as the bilateral ties for a long run.

Currently, Japan ranks third in terms of its presence in Vietnam’s banking sector, with six branches, two financial companies and 10 representative offices./.

Room for Vietnam – US post-pandemic cooperation considerable: Experts

Vietnam and the US have huge potential to boost cooperation in trade and supply chains after COVID-19 is brought under control, experts said at a conference held by the Investment and Trade Promotion Centre of Ho Chi Minh City (ITPC) and the American Chamber of Commerce in Vietnam (AmCham Vietnam) on April 28.

According to ITPC Director Nguyen Huu Tin, Vietnam and the US have enjoyed impressive strides forward in economic cooperative ties, with the US being Vietnam’s largest export market and Vietnam being the US’s 6th-largest importer.

The US has shifted to purchasing products from emerging countries, including Vietnam.

Vietnam has affirmed its position as an important trade partner of the world’s largest economy, Tin said.

For the first time in 26 years of relations, the US is Vietnam’s largest export market, he said, adding that two-way trade in the first quarter topped 25.9 billion USD, up 33.5 percent year-on-year, with Vietnam’s exports estimated at 22.2 billion USD.

The two governments and business communities have made efforts in the past to bolster cooperation in a practical fashion and based on the complementary nature of the two economies.

Vietnam is stepping up its economic reform and international integration while enhancing win-win cooperation with the US. Meanwhile, the US has attached much importance to ties with Vietnam and encouraged its companies to set up value chains with the country and expand investment.

Thanks to the good control of COVID-19 in Vietnam, Vietnamese firms have a huge advantage over foreign rivals struggling to fight the pandemic, Tin stressed, while suggesting that improving business and production capacity and capitalising on the US market will provide opportunities for Vietnam’s economy to develop further in the time to come.

Evaluating the cooperative potential between Vietnam and the US, Alexander Tatsis, Economic Officer at the US Consulate General in HCM City, said they have witnessed advancements in their trade and foreign relations over more than two decades.

He highlighted that the US’s demand for high-quality Vietnamese products has been increasing due to changes in the global supply chain, and US firms sees Vietnam as a potential, safe investment destination post-pandemic.

Meanwhile, AmCham Vietnam Executive Director Mary Tarnowka said that Vietnamese staples like tropical fruit, rice, and fish sauce are now popular in the US.

Pointing to the complementary nature of the two economies, she underscored that Vietnam has good production capacity in the fields of agriculture, seafood, and wood processing, among others, while the US is the world’s leading materials supplier and has the strongest purchasing power.

Vietnam is an important link in the global supply chain, and the country’s development has positive impacts on the US market, she said.

Ken D. Duong, Director of the TDL International Law Firm, suggested Vietnamese firms select suitable measures to effectively access the US market, adding that small businesses should export products via popular e-commerce platforms in the US, as this helps them cut costs at a time when the number of online shoppers is increasing amid COVID-19.

Medium and large-scale firms should establish representative offices or find distributors in the US, he said.

It is also necessary for enterprises to protect their trademarks by registering them not only in the US but also in target markets, he recommended./.

Vietnam’s economic growth likely to expand 6.7 pct in 2021: ADB

Vietnam’s economic growth is expected to rebound to 6.7 percent this year despite the recent resurgence of the COVID-19 pandemic in nearby countries, and rise to 7 percent in 2022, according to the Asian Development Bank (ADB).

In its Asian Development Outlook (ADO) 2021 released on April 28, the ADB said Vietnam’s economic growth will be boosted by export-oriented manufacturing, increased investment, and expanding trade.

The growth momentum is expected to continue, thanks to ongoing reforms to improve the business environment and Vietnam’s participation in multiple free trade agreements (FTAs) involving almost all advanced economies.

Rising international oil prices and increased domestic consumption is expected to push inflation up to 3.8 percent this year and 4.0 percent in 2022, the report said, adding that faster-than-expected recovery in China and the US would significantly expand Vietnam’s trade and growth prospects.

The report said Vietnam can maintain inclusive growth by softening the pandemic’s impact on poverty and incomes.

The ADB also raised its 2021 economic growth projection for developing countries in Asia amid ongoing COVID-19 vaccine campaigns and the sharply increasing export demand in the world market.

The developing region in Asia, comprising 45 countries in Asia Pacific, is forecast to grow 7.3 percent by 2021, and 5.3 percent in 2022.

Meanwhile, the growth rate forecasted for the Southeast Asian region is 4.4 percent, down from the earlier projection of 5.5 percent due to the instability in Myanmar. The Philippines, the slowest economy in Southeast Asia last year with a 9.6-percent contraction, is forecast to grow 4.1 percent this year./.

Bamboo Airways opens three new domestic routes to Quy Nhon

Bamboo Airways officially announced on April 28 its opening of new routes from the Mekong Delta city of Can Tho, Da Lat city in the Central Highlands’ province of Lam Dong, and Thanh Hoa city in the north-central province of Thanh Hoa to Quy Nhon city in the south-central province of Binh Dinh.

There will be five flights weekly on the Can Tho – Quy Nhon route, four on Da Lat – Quy Nhon, and three on Thanh Hoa – Quy Nhon.

Quy Nhon’s Phu Cat Airport now hosts a total of seven routes, catering to 60 flights on a daily basis.

Vice Chairman of the Binh Dinh Provincial People’s Committee Lam Hai Giang said the opening of the new routes marks a new stage of development in provincial air passenger transport and tourism, toward its goal of welcoming 4 million arrivals by air in 2021 and 8 million by 2025.

Quy Nhon hosts more than 5 million tourists annually. Most local hotels are already fully booked for the upcoming National Reunification Day (April 30) and May Day (May 1) holiday./.

Vietnam racks up nearly 1.9 billion USD in trade surplus in four months

Vietnam posted a trade surplus of nearly 1.9 billion USD in the first four months of the year, according to the Ministry of Planning and Investment’s Foreign Investment Agency.

The foreign-invested sector enjoyed 14.4 billion USD in trade surplus while domestic firms reported a trade deficit of 12.5 billion USD.

In the first four months to April 20, foreign investors pumped 12.25 billion USD in Vietnam, equal to 99.3 percent of the amount recorded in the same period last year.

Of the amount, nearly 8.5 billion USD was poured into 451 new projects, up 24.7 percent in value and down 54.2 percent in project numbers year-on-year.

Meanwhile, more than 2.7 billion USD was added to 263 existing projects, down 10.6 percent and 21.5 percent, respectively.

The remaining investment capital, over 1 billion USD, was used for capital contribution and share purchases in a total 1,151 transactions.

Foreign investors landed investment in 17 sectors, with processing and manufacturing absorbing the largest amount of capital (5.2 billion USD), followed by power generation and distribution (5.1 billion USD), real estate (778 million USD), and whole sale and retail sale (464 million USD).

Among 67 countries and territories having investment in Vietnam in the period, Singapore took lead with 4.8 billion USD, Japan came second with more than 2.5 billion USD, and the RoK was the third largest investor with 1.5 billion USD.

Localities that attracted the most FDI were Long An (3.3 billion USD), Can Tho (over 1.3 billion USD), and Ho Chi Minh City (1.1 billion USD).

Minister of Planning and Investment Nguyen Chi Dung said that the ministry will work to complete mechanisms with a view to improving business climate for foreign investors, and set up preferential mechanisms to attract investment into the fields of high technologies and source technologies./.

Quang Nam province develops sustainable marine tourism

The central province of Quang Nam has been paid due attention to the development of tourism infrastructure as the locality is looking to develop sustainable sea and island tourism products.

According to Director of the provincial Department of Culture, Sports and Tourism Nguyen Thanh Hong, Quang Nam is working to create strong “brand” names for its sea and island eco-tourism models.

Quang Nam is home to renowned Hoi An ancient city, a UNESCO cultural heritage site. Over the years, Hoi An has been a top global travel destination and considered as a living museum of history and architecture.

Besides, it houses Cu Lao Cham (Cham Island) which was recognised as a World Biosphere Reserve by UNESCO in May 2009 thanks to its diverse eco-system and ancient cultural and historical sites.

Secretary of the Party Committee of Hoi An city Tran Anh said sustainable sea and island tourism development has been an inevitable choice of the ancient city.

The city successfully restore local coral reefs to serve scuba diving of visitors, particularly foreigners, he said, adding with support of advanced technologies, locals in Tan Hiep commune assisted marine reserves to recover more than 6,000 coral reefs./.

Cat Linh – Ha Dong metro line to begin commercial operation from May 1

Hanoi’s first metro service running from Cat Linh to Ha Dong will start commercial operation from May 1 as directed by the Prime Minister.

Safety problems in the project have been removed, according to a report from the Ministry of Transport, adding ACT – French safety consultants – which is hired to oversee the final stages of the metro project – is expected to complete safety certification for the railway on April 28.

Travel on the Cat Linh – Ha Dong Urban Railway will be free for the first 15 days of operation.

After that, a one-way ticket will cost 15,000 VND (0.65 USD). Then, the operation unit will notify passengers of the price of monthly and quarterly tickets soon.

The Cat Linh – Ha Dong Urban Railway project started in 2008 with a total investment of 18 trillion VND (782.6 million USD) and was initially expected to be completed in 2016. However, it has missed its completion deadline several times.

The Cat Linh – Ha Dong line runs 13.5km with 12 stations, encompassing Cat Linh, La Thanh, Thai Ha, Lang, Thuong Dinh, Ring Road 3, Phung Khoang, Van Quan, Ha Dong, La Khe, Van Khe and Yen Nghia.

Meanwhile, Management Authority for Urban Railways Ho Chi Minh City said that two three-car trains and four six-car trains for the first metro line (Metro Line 1) in the southern hub are expected to arrive in the city between May and July.

The two three-car trains will be shipped from Japan on May 1 and reach Ho Chi Minh City in nine days. The remainders will be delivered to the city in June and July.

The trains will be on trial run from Quarter 4 this year. Within the same time, other tasks like operations, training, technology transfer, and examination will be in progress.

Metro Line 1, which is 20 kilometres long with 3 sub-stations and 11 stations, is 83 percent complete and is expected to officially open for use in 2022. It is built at the total cost of more than 43.7 trillion VND./.

CPI in April records decline of 0.04%

The General Statistics Office (GSO) unveiled on April 29 that the consumer price index (CPI) in April slipped by 0.04% compared to the previous month but rose by 1.27% from the figure recorded last December.

This latest decline in the CPI can largely be attributed to a plentiful supply of goods coupled with a low consumption demand for electricity and water.

CPI in April climbed by 2.7% against the same period from last year, while the average CPI during the initial four months of the year saw an increase of 0.89%, the lowest rise since 2016, with core inflation increasing by 0.74%.

Among the 11 main groups of consumer goods and services throughout April, a CPI decline was recorded in four categories, including restaurant and food services (down 0.13%), housing and construction materials (down 0.43%), post and telecommunications (down 0.2%), and cultural, entertainment, and tourism services (down 0.11%).

Elsewhere, the surge in the CPI could be seen in six groups, including transportation (up 0.87%), beverage and tobacco (up 0.14%), and household appliances (up 0.11%), while prices remained stable in other groups, such as garment and footwear.

According to the GSO, there are a number of other factors behind the CPI increase during four-month period, including rising rice prices and the increasing consumption demand for sticky rice and other forms of delicious non-glutinous rice during the Lunar New Year festival, known locally as Tet.

These moves have served to make rice prices during the reviewed period climb by 7.76% against the same period from last year. Experts also attributed the CPI hike to rises in the prices of food, oil and gas, and educational services.

Along with reasons for the CPI increase, experts said the slight CPI decline was also affected by the Government’s deployment of support packages for residents and businesses negatively impacted by the novel coronavirus (COVID-19) pandemic.

In addition, railways, airlines, and travel firms have also offered attractive discounts to stimulate tourism demand, causing travelling ticket prices to decline.

April witnessed local gold prices move in tandem with global gold prices, while the US dollar in the global market rose amid a tightening control of interest rates in the United States, along with improved prospects relating to the implementation of the COVID-19 vaccination programme in Europe.

Workshop examines export opportunities for farm produce post COVID-19

Localities and businesses must focus on developing large-scale production by applying advanced technology and organic farming practices in order to generate high-quality products for processing and export, experts have said.

Do Lien Huong, deputy head of the Department of Market Research and Commodity Development, revealed that rice exports have significantly increased in recent times due to the rising global demand. In contrast, seafood and fruit exports have endured a downward trajectory due to disruption occurring in supply chains and high transportation costs.

Huong noted that despite agricultural trade witnessing a decline, it should not be considered a concern as food items remain essential goods amid the ongoing impact caused by the novel coronavirus (COVID-19).

Nguyen Hoai Nam, vice secretary general of the Vietnam Association of Seafood Exporters and Producers (VASEP), said that seafood exports last year faced falls of 1.9% compared to 2019 as a result of the COVID-19 impact.

The most influential factors include the high input costs and a serious shortage of workforce caused by social distancing measures which have ultimately led to a sharp decrease in production capacity, Nam confided.

Despite these drops, local seafood exports during the first quarter of 2021 recorded signs of recovery, securing a growth rate of 6.9% compared to the same period from last year. This recovery can largely be attributed to a sharp increase in export turnover in most products and major markets.

Nam predicted that while Asian countries such as India and Thailand are struggling with the COVID-19 pandemic, the United States, Japan, and China are poised to increase imports in the coming months, offering Vietnam plenty of opportunities to boost production and exports. Yet, he also noted seafood exports would be affected by high transport and input costs.

For fruit and vegetables, Nguyen Thanh Binh, chairman of the Vietnam Fruit and Vegetables Association, revealed that the import-export turnover of the products has suffered a decline since 2019, due to the dual impact of both trade wars and COVID-19.

Vietnamese production and consumption of fruit and vegetables is expected to rebound and enjoy strong growth momentum moving forward, Binh stated.

He went on to underline the need to promote regional connectivity as it forms a sustainable and highly-effective production value chain, whilst also applying high technology and Good Agricultural Practice, such as VietGAP and Global GAP in farming.

The State should provide timely market information and launch economic stimulus measures to support enterprises in order to help them weather the COVID-19 crisis, Binh noted.

The workshop was co-hosted by the Institute of Policy and Strategy for Agriculture and Rural Development (IPSARD) in conjunction with the Australia supports Vietnam’s economic reform program (Aus4Reform).

HCM City needs a push to become a global financial centre: conference

With a favourable business environment and rapid and steady economic growth, HCM City meets all essential conditions to become a global financial centre, a conference heard in the city on Tuesday.

The city contributes around 22.3 per cent to the country’s GDP and 27 per cent to the national budget, and attracts 34 per cent of the country’s FDI.

It has excellent financial infrastructure with numerous banks, financial intermediaries, investment funds, and financial firms that play a vital role in attracting and distributing capital.

Dr Tran Du Lich, member of the Government Advisory Group, said the city is a gateway to major financial centres and capitals in Southeast Asia, and the idea of turning it into a regional and international financial centre is not new.

However, the growth of the financial sector, especially HCM City’s, has not been consistent and the dependence on the banking system for capital has been significantly distorting the financial markets, he explained.

Key characteristics of international financial centres include a deep, liquid and sophisticated capital market, and competitive tax and regulatory regimes designed to attract foreign investment in financial services.

HCM City must become a development locomotive for the country and the key economic regions in the south, and drive the development of the Mekong Delta and the Central Highlands.

It needs to strengthen its competitiveness in terms of institutions, human resources and infrastructure.

It should continue to aim for sustainable growth by improving its competitiveness and growth quality through healthy economic restructuring, and ensure a favourable business environment for enterprises and encourage start-ups, innovation and smart-city measures.

Lich said the plan to make HCM City a regional and international financial hub should be stated clearly in the national strategic economy to ensure the National Assembly and Government could develop policies and specific mechanisms.

To turn HCM City into a financial centre requires three phases, with the first phase from now until 2025 used to complete all the necessary infrastructure for the financial centre, he said.

In the second phase until 2035 the key mission would be to complete its institutional, human resources and urban infrastructure requirements, he said.

The third phase from 2035 should develop an international financial market, he added.

Experts said with strong support from the Government and local authorities, HCM City would graduate from being a national financial centre to a regional and then international centre in future years.

Viet Nam-US trade has new opportunities post-pandemic

Viet Nam plans to further enhance trade and investment cooperation with the US, especially after the COVID-19 pandemic ends, said a city official.

Speaking at a seminar on Wednesday Viet Nam – US Trade, Nguyen Huu Tin, director of the Investment and Trade Promotion Centre in HCM City (ITPC), said: “US-Viet Nam trade has made impressive progress in recent years, with the US currently being Viet Nam’s largest export market.”

Last year, Viet Nam ranked sixth in the world and third in Asia in exports to the US, after China and Japan, he said.

The US is shifting from imports of goods from traditional exporters to other emerging countries, including Viet Nam. “Viet Nam is gradually asserting its position as the leading partner of the world’s largest economy,” he said.

Tin attributed the achievement to “an open, dynamic and practical cooperation” of the two countries’ governments and business communities.

The US has encouraged American enterprises to establish production and value chains between the two countries.

Viet Nam can benefit from its control of COVID-19 by enhancing trade with its partners, Tin said. Vietnamese businesses should grasp the “golden opportunity” to innovate and improve production and business capacity to exploit the US market, he added.

FDA registration

Nguyen Ba Thien Thu, chief representative of Registrar Corp, an FDA consulting firm, explained that the US Food and Drug Administration (FDA) regulates food, beverages, drugs, medical devices and cosmetic products available for commercial distribution in the US.

“Local businesses need to understand the FDA standards for exporting goods to the US market,” she said.

The FDA regulations include safety and sanitary requirements for products exported to the US. To export food to the US, businesses are required to register wirh the FDA, while complying with the new labeling regulations and the Food Safety Modernisation Act (FSMA) by FDA.

Some local businesses are facing problems reaching required standards and quality, especially on completing procedures for FDA certification.

In the future, local enterprises must have FDA certificates for their products to be exported to the US.

To reach FDA standards, Vietnamese enterprises must have input materials that meet those standards. The US market has high technical and high product quality requirements.

Experts said Viet Nam should complete its system of standards and regulations to improve the quality of exports to the US. This will promote the competitiveness of Vietnamese products in the global market.

The event was organised by the Investment and Trade Promotion Centre in HCM City.

Experts impressed by Vietnam’s renewable energy adoption

The UK’s Financial Times on April 26 ran an article highlighting that the expansion of Vietnam’s wind and solar farms is proving crucial to powering its economic growth.

According to data from Irena, an inter-governmental renewable energy organisation, Vietnam’s production from solar and wind increased 237 percent and 60 percent, respectively in 2020, raising the share of these sources to a quarter — almost a decade ahead of schedule, it wrote.

With an average speed of more than 10 metres a second, Vietnam’s territorial waters rank in the top 10 percent of the windiest places on the planet.

The seas off the provinces of Binh Thuan and Soc Trang where developers plan to build multibillion-dollar offshore wind farms are also relatively shallow, with depths of 20 metres to 50 metres.

The author quoted Thu Vu, an energy finance analyst at the Ohio-based Institute for Energy Economics and Financial Analysis as saying that Vietnam’s renewable energy adoption is impressive. The higher cost of offshore units relative to onshore or nearshore wind, the expert noted.

Ian Hatton, Chair of Enterprize Energy, a UK-renewable energy company, said in order to reduce cost, Vietnam must improve its infrastructure, build substations, and lay cables along the seabed for offshore production, or finding alternative solutions. Enterprize is experimenting with converting wind energy and seawater to hydrogen.

He also noted an example of the dilemma facing low- and middle-income nations such as Vietnam. Accordingly, if they produce enough energy to meet demand without improving transmission infrastructure, additional capacity could be squandered.

But William Gaillard, Vice President of wind turbine manufacturer Vestas, believed that Vietnam has “shown a path for others to follow, adding that the combination of an attractive feed-in-tariff with ambitious installation targets and a transparent permitting process has been a critical factor in unlocking this market./.

Source: VNA/VNS/VOV/VIR/SGT/Nhan Dan/Hanoitimes

The Ministry of Industry and Trade has decided to continue imposing anti-dumping duties on certain aluminium products originating from China with a tax rate from 4.39 per cent to 35.58 per cent after carrying out the first review.

On September 28 last year, the Ministry of Industry and Trade issued a decision to impose anti-dumping duties on some aluminium products originating from China with a rate from 2.49 per cent to 35.58 per cent.

The ministry initiated the investigation into the anti-dumping case in January 2019. The investigation found injuries to the domestic aluminium industry. Specifically, most domestic producers suffered losses, many production lines had to stop operating and a large number of workers lost jobs.

The major cause was found to be the dumping of aluminium products originating from China at margins of 2.49 per cent to 35.58 per cent.

In mid-2020, the ministry received an inquiry to conduct the first review on anti-dumping duties on Chinese aluminium products.

After the review, the ministry issued a decision on April 20 this year which took effect five days later to continue levying anti-dumping duty on some aluminium products originating from China.

On the same day, the ministry also issued a decision after carrying out the first review about the imposition of anti-dumping duty on some painted flat-rolled alloy and non-alloy steel products originating from China and the Republic of Korea. Accordingly, the anti-dumping duties of 2.56 per cent to 34.27 per cent were imposed.

April industrial production expands 24.1 per cent

Viet Nam’s index of industrial production (IIP) in April rose by 24.1 per cent year-on-year, driven by the positive impact of free trade agreements (FTA), according to the General Statistics Office.

The IIP in the first four months of 2021 enjoyed a year-on-year increase of 10 per cent, boosted by the growth of manufacturing and processing (12.7 per cent), electricity production and supply (6.6 per cent), and water supply and waste and wastewater treatment (7.5 per cent).

Key industries that recorded high increases include metal production (37.9 per cent), motorised vehicle production (32.9 per cent), and furniture production (17.6 per cent).

On the contrary, the mining sector posted a decrease of 5.7 per cent against the same period last year.

The number of labourers working in industries as of April 1 rose by 1.5 per cent month-on-month, and 1.8 per cent year-on-year.

To address inventory and promote production in the future, the Ministry of Planning and Investment proposes localities continue reforming administrative procedures, simplifying specialised inspection procedures, and implement the Prime Minister’s Decision approving the Action Plan on improving competitiveness and developing logistics services.

Sectors are advised to focus on supporting the development of the domestic markets, studying consumption stimulus policies for locally-made products, and developing supporting industries.

Vietnam could lead SE in renewable energy development: German newspaper

Vietnam will soon lead Southeast Asia in renewable energy development, Germany’s Energiezukunft highlighted in its latest article, describing the country’s energy transition as very impressive.

Vietnam is experiencing a solar boom, with 11.6 GW of power of this kind added to the national grid last year, according to the International Renewable Energy Agency.

Only 105 MW of solar electricity was installed in the country in 2018, and the figure rose to 5 GW in only a year later, and even to 16.5GW in 2020, the article said, adding this is a considerable increase as compared to other nations at the same time.

As demand for energy in this Southeast Asian country is forecast to shoot up dramatically in the coming time, big players in the field have invested heavily in solar energy plants. Last summer, a 45 MW plant was put into operation in the central province of Ninh Thuan by Sharp Energy Solutions Corporation, contributing some 76 MWh per year. The firm is carrying out another five 245 MW plants in the country.

The successful solar energy story in Vietnam was sparked by a special market mechanism, which drew much interest from investors. Under the purchasing power at fixed prices, investors would sell the renewable energy they create to the grid at a fixed price – one that would more than cover the cost of investing in renewable energy facilities.

Vietnam could carry out more bidding mechanisms for solar projects, in which all renewable energy projects which are not subject to the fixed price mechanism are able to join.

The Vietnamese Government is planning to double the power capacity in the next 10 years. Accordingly, 29 percent of the nation’s electricity will come from renewable energy source by 2030, and 18 percent from hydropower.

Capacity of renewable energy is envisioned at 45 GW, much higher than the previous plan of 27 GW – the level which is achievable within 2021 or next year as the latest.

Although the energy transition is taking place rapidly, coal-generated electricity accounted for 28 percent of the nation’s total power. However, renewable energy will take the lion’s share by 2045./.

Ca Mau develops high-quality rice farming

The Mekong Delta province of Ca Mau will step up the application of advanced technology to expand high-quality rice material farming, according to Director of the provincial Department of Agriculture and Rural Development Le Thanh Trieu.

Under the province’s planning, local farmers will cultivate rice on an area of some 110,000 ha, with an average yield of 4.7 tonnes per ha by 2025. Ca Mau will strive for a rice output of 520,000 tonnes by 2025, which is expected to then remain stable until 2030.

Trieu said the focus will be sharpened to develop organic rice materials that meet both domestic and international standards as well as promote the value chain of the food.

In the meantime, the shrimp – rice rotary cultivation model will be developed with a view to increasing the amount of certified organic shrimp, he added.

Farmers are encouraged to shift to growing high-quality rice varieties that are resilient against disease.

Figures from the department show that the local rice growing area increased to 117,390 ha in 2020 from 112,534 in 2017. The yield surged by an average of 0.64 tonnes per ha to 4.54 tonnes in 2020.

The department turned 50,000 ha of ineffective fields into cultivating high-yield rice that is resilient to climate change. In particular, it has successfully planted the grain under international organic standards./.

Bac Giang moving towards digital transformation

The northern province of Bac Giang is striving to develop information technology infrastructure for digital transformation and also the development of smart urban areas.

According to Vice Chairman of the provincial People’s Committee Mai Son, Bac Giang targets its digital infrastructure being able to provide an average of 14 GB of data each month per broadband subscriber by 2025, with the figure to increase to 27 GB by 2030.

It also envisages that each 100 local people will be connected to 75-100 IoT devices by 2025 and 150-200 by 2030. Consideration is also being given to the construction of an information technology industrial park.

Son said that priority will be given to building and upgrading local fibre optic lines to serve the development of broadband services and smart urban areas.

The province is striving to expand its broadband infrastructure to all villages while having more than 80 percent of households connected to cable internet by 2025.

Half of the local population are to have e-payment accounts within the next four years and all residential areas will have 5G coverage.

By 2025, the locality will prioritise digitalisation in key sectors such as education, health care, transportation, agriculture, and the environment, and develop the provincial capital Bac Giang city into a smart and modern urban area.

According to Secretary of the provincial Party Committee Duong Van Thai, as digitalisation is an inexorable trend, the local Party Committee is working to issue a resolution on digital transformation right this month, having asked local authorities at all levels to join in the process.

Bac Giang province is home to 1,422 base transceiver stations (BTS), with 3G and 4G services covering the entire province. There are more than 1.77 million mobile phone subscriptions and over 1.25 million internet subscribers.

Total telecommunications revenue in 2020 topped 1.9 trillion VND (82.17 million USD). There are 658 IT and telecommunications enterprises in the province who earned over 153 trillion VND in revenue last year./.

Ba Ria-Vung Tau expanding IPs to welcome investment

New waves of investment coming to the southern province of Ba Ria-Vung Tau will push up demand for land rentals at local industrial parks (IPs), which in turn will need to be expanded.

According to the provincial IPs management board, the province is home to 16 IPs covering a total area of 9,054 ha.

Together they house 469 valid projects worth more than 20.09 billion USD, with occupancy rates standing at 52.35 percent.

Nguyen Anh Triet, head of the board, noted that the upcoming expansion of local IPs is in line with a Government decree as well as State regulations on the management and planning of IPs and economic zones.

The board proposed the addition of eight more IPs on more than 8,120 ha in the 2021-2025 period.

In response, Chairman of the provincial People’s Committee Nguyen Van Tho asked relevant departments and sectors to tightly monitor the establishment and expansion of local IPs, taking into consideration their investment effectiveness and impact on the environment and social welfare.

Nguyen Khac Thanh, General Director of Tin Nghia – Phuong Dong Industrial Park Joint Stock Company, said an immediate expansion is necessary to meet investors’ demand./.

Kien Giang province eyes 12.7 percent export growth in Q2

The Mekong Delta province of Kien Giang is aiming at 218 million USD in export revenue in Quarter 2, a year-on-year surge of 12.7 percent.

With this figure, total earnings from exports in the first half will likely top more than 355 million USD, accounting for 47.3 percent of the annual plan and up 2.3 percent year-on-year.

According to the provincial Department of Industry and Trade, the locality pocketed more than 136 million USD from exports in Quarter 1, down 15.5 percent year-on-year.

Of the total, rice brought home 42 million USD, seafood over 45 million USD, leather shoes 27 million USD, fruit and vegetables 5.66 million USD, and other products 15.17 million USD.

COVID-19 made it difficult for local firms to ship products to traditional markets, and processors also faced a shortage of raw materials due to climate change and diseases, the department said.

However, with sound business strategies, many companies were successful in fulfilling contracts and were able to ship products to markets on the road to recovery.

Local companies also received legal documents on the application of the Sanitary and Phytosanitary Measures (SPS) of WTO member states, which could affect the shipment of Vietnamese agricultural products.

The department also provided support and worked to remove bottlenecks in capital, materials, workers, trade promotion, and market development for local producers./.

HCM City lures $1.14 billion in FDI in four months

HCM City reported a foreign direct investment (FDI) influx of USD1.14 billion in the first four months of 2021, a year-on-year decline of 12.92 per cent.

Approximately $360 million was channelled into 100 new projects, primarily in commerce ($225.1 million ) and real estate ($125.8 million).

Meanwhile, $403 million was added to 30 existing projects and another $377.6 million was used for capital contribution and share purchases in a total 547 transactions.

Foreign investors pumped most of the capital in processing and manufacturing with $322 million, making up 28.2 per cent, followed by commerce with $321.2 million, real estate ($196.3 million), science and technology activities ($175.4 million), and education-training ($30.3 million).

Among 55 countries and territories investing in the city during the period, Japan took the lead with $494.4 million, Singapore second with $281.6 million, and the Republic of Korea was third with $97.7 million.

Hua Quoc Hung, head of the management board of industrial and export processing zones of HCM City, said the southern hub’s processing and industrial zones had lured $237 million as of late April, an increase of 26 per cent against the same period last year.

The municipal People’s Committee has devised a plan to meet with FDI businesses in a bid to improve investment climate and support the firms, as well as introduce major projects and the city’s investment plans for the next five years.

Japan’s Sumitomo Mitsui Finance Group acquires 49% stake in FE Credit

VPBank on Wednesday signed an agreement to sell a 49 per cent stake in FE Credit to Japan’s Sumitomo Mitsui Finance Group (SMFG) in a transaction that values the non-bank lender at US$2.8 billion.

SMBC Consumer Finance Company (SMBCCF), a subsidiary of SMFG, bought the stake.

Through this transaction, FE Credit is expected to receive support in capital resources, management capacity and experience in the consumer finance sector in Asia from SMBC Group, especially SMBCCF – a leading consumer finance company in the Japanese market. At the same time, this transaction will add a large amount of capital to VPBank, contributing to enhancing the bank’s financial potential to capture new investment opportunities in the market.

For SMBC Group, the investment in FE Credit is part of the group’s mid-term strategy to expand its business base in Asia. SMBC Group expected that this investment would create synergy in both sharing and acquiring business know-how of its partners.

FE Credit is currently the leading consumer finance company in Viet Nam with approximately 50 per cent market share, 20,000 service referrals nationwide, and over 13,000 employees. During the development process, FE Credit has consistently carried out the mission of “meeting the need to access official credit capital of all classes of the population in order to improve the quality of life”. With small loans, FE Credit is especially focused on serving middle and low income earners – a segment which has not yet been served by banks – to help reverse their dependence on “black credit”. FE Credit has served nearly 11 million Vietnamese people through its unsecured loan products and services so far.

SMBC is one of the three largest financial and banking groups in Japan, with total assets of over $2.1 trillion as of December 31, 2020. The group operates globally in retail banking, corporate banking, and investment banking, with a presence in more than 40 countries. SMBCCF is the leading consumer finance company in the Japanese market with more than 900 branches nationwide. In the Asia region, SMBCCF has established subsidiaries in Taiwan, Hong Kong, Thailand, and China.

M&A expected to soar in second half

Despite a drop in mergers and acquisitions during the pandemic, a breakthrough is expected in the second half of the year thanks to some billion-dollar deals in the making.

The foreign direct investment (FDI) report of the Ministry of Planning and Investment’s Foreign Investment Agency (FIA) in the first four months showed significant decreases in capital contributions and share purchases, with 1,151 instances (down 64.1 per cent) and a total investment of $1 billion (down 57.8 billion).

This can be explained by the fact that the economy and investment activities in the country were not yet impacted by COVID-19 in the first few months of 2020, so FDI and M&A activities were still quite dynamic during that time. Specifically, $827.3 million was poured into the economy through capital contribution and share purchases in the first two months of 2020, and the figure surged quickly to $2 billion in the first quarter and $2.48 billion in the first four months.

However, after one year hit by the pandemic, the FDI mobilisation and M&A deals’ value in the first four months of 2021 has reflected the worry of foreign investors.

“Amid the economic and financial instabilities during the past year, it is understandable that investors are holding their money and think a lot more before making any large investment decisions,” Nguyen Viet Cuong, an FIA senior expert, explained, but saying that FDI mobilisation in the first four months of 2021 was acceptable, compared to other countries.

“While there was a decline in the number of deals and M&A deal value in the first four months, the value of capital contributions and share purchases has soared by 10-30 per cent on-year,” added Cuong.

The average value of capital contributions and share purchases in the first quarter and four months of this year was estimated at $1,1 million and $870,000, respectively, while they were $793,000 and $772,000 last year.

According to the FIA, between January and April, industries like processing and manufacturing; real estate; wholesale, retail, vehicle repair; science and technology and professional activities have seen hundreds of M&A deals with hundreds of millions of dollars in value.

Singapore and South Korea were the biggest M&A investors with $265 million and $258 million these months, followed by Thailand, Taiwan, and Japan.

PDP8 expected to be tabled for government approval in June

The Ministry of Industry and Trade has been asked to revise and adjust the Power Development Plan 8 to submit to the government in June.

At the meeting between ministries and relevant authorities, which was hosted by Le Van Thanh, Deputy Prime Minister cum head of the National Steering Committee for Power Development, the Ministry of Industry and Trade (MoIT) was asked to review the draft Power Development Plan 8 (PDP8).

This masterplan was not approved in late March under the 2016-2020 government term as expected, though the MoIT on behalf of the Appraisal Council presented the report on the assessment of the draft PDP8 for the period of 2021-2030, with a vision to 2045. Accordingly, the Appraisal Council reached a conclusion that the draft PDP8 met the conditions to be submitted to the government for approval.

Previously, on March 18, the Appraisal Council organised the second meeting to vote to approve the appraisal report and the content of the masterplan. Four members agreed with the appraisal report and the master plan in full, while 22 others said they would approve the report and the masterplan if the latter was adjusted.

The report on assessment also mentioned that although the Ministry of Natural Resource and Environment approved the environmental impact report of the master plan, however, it is still necessary to adjust other contents of the master plan.

EVN, PetroVietnam and National Power Transmission Corporation (EVNNPT) have also expressed concerns about the content of the draft PDP8. Notably, the masterplan does not evaluate primary energy (energy sources found in nature that have not been subjected to any human engineered conversion process) or the proportion of local and imported primary energy in order to ensure national energy security as well as problems relating to imported materials namely liquefied natural gas (LNG) and imported coal, among others.

In addition, according to the above groups, the designed power transmission system has a large capacity to accommodate the registered renewable energy generation capacity and future potential. However, there will be problems if renewable energy and power transmission projects are not implemented synchronously, which will cause waste for both the investors and the state. Thus, EVN, PetroVietnam, and EVNNPT requested further adjustments to the draft to better suit current realities

Furthermore, numerous power grid projects were named without deciding on an actual location, which may impact the land clearance process and prolong the time for land clearance compared to the timelines stipulated in the draft PDP8.

Ninh Binh proposes to build airport and remove thermal power plant

Ninh Binh People’s Committee has proposed building an airport to support tourism development and simultaneously removing a thermal power plant.

In a report submitted to the prime minister, the province requested adding its own airport to the national airport planning in 2021-2030 with a vision to 2050.

According to the proposal, the airport would be constructed in 2021-2025 from private capital, with state investment only needed to construct infrastructure connecting to the airport.

The province has highlighted two potential locations for the project, in Kim Son and Yen Khanh districts.

The airport in Ninh Binh would be able to handle planes the size of A320 and A321 models to welcome tourists. According to the province, Ninh Binh has great potential to develop its tourism sector with a diverse landscape including Trang An Landscape Complex and Hoa Lu Ancient Capital, among others.

The province forecast that by 2025, it would welcome 8-9 million passengers, including 2.5 million foreigners.

The province has submitted a similar proposal early this year to the Ministry of Transport.

According to the draft master plan on the development of the national airport network to 2030 with a vision to 2050, the Civil Aviation Administration of Vietnam has proposed to have 26 airports by 2030, 14 of which will be international airports. The number could reach 30 by 2050.

At present, Vietnam has 22 airports in operation, nine of which are international and 13 domestic. Seven airports are located in the north, while seven others are in the central region. The remaining eight ones are located in the south.

Along with the airport, the province is seeking the prime minister’s approval to stop the operation of the 100MW Ninh Binh Thermal Power Plant and remove the 220kV substation from the province. The thermal power plant has been operating since 1974.

Singaporean startup pours $15 million into Vietnam’s cashback market

E-commerce cashback platform ShopBack has injected around $15 million into Vietnam with a view to creating a new shopping habit for local shoppers.

Truc Nguyen, country manager of ShopBack Vietnam said that the startup unveiled its beta launch in Vietnam in late 2019 and made an official debut last August. It has continuosly improved the app and invested $15 million in the local market. To date, VND22 billion($956,520) in cashback has been given out to ShopBack users in Vietnam.

“Depending on the market conditions, user demand, and readiness of our technical and product partners, we will expand our offerings and raise more investment to make cashback a new shopping habit in Vietnam,” she said.

ShopBack is backed by e-commerce group Rakuten Group Inc., one of the better-known companies that dole out cash-back rewards for online purchases. Other investors into the startup are EV Growth, Temasek Holdings, and Credit Saison, among others. ShopBack has raised a total funding of $134 million since 2014.

The increasing number of internet users, rising internet penetration, and steady increase of the e-commerce share of total retail sales in Vietnam makes it a core and high-potential market for ShopBack. Vietnam presents a tremendous opportunity for the startup to grow and succeed in the digital space, with large marketplaces such as Shopee, Lazada, Tiki, and Sendo – all of whom are its merchant partners – experiencing record-breaking growth in the past years.

The country manager said that it will focus on increasing the number of partners and clients in the next 2-3 years. With the current growth trajectory, ShopBack is likely to reach 2 million users in Vietnam.

In line of booming e-commerce demand, Vietnam has welcomed more online cashback platforms such as Finhay, Cashbag, Catback, and ShopBack. However, there are aslo some fraud cashback scams that customers need to be aware like consumer rewards app MyAladdinz. There is a key difference between legitimate players from fraudulent ones, which are operated like multi-level platforms. They require shoppers to submit money to the apps to receive rewards, after a short time they will shut down and steal all users’ money.

Proactively welcoming the fourth FDI wave

The COVID-19 pandemic is changing the global economic structure, breaking production and circulation chains, promoting new technology development and “rectifying” investment flows. In that context, attracting foreign direct investment (FDI) into Vietnam also needs to be adjusted to suit the new situation.

Entering its 33rd year of implementing the open-door policy to attract foreign capital, up to now, FDI inflows have become one of the important drivers of Vietnam’s economic growth with a significant increase in theircontribution to GDP.

By the end of 2020, the whole country has 33,070 valid FDI projects with total registered capital of over US$384 billion, the implemented capital having reached US$231.86 billion, equalling more than 60% of the total registered. FDI is present in all 63 localities in the country and is invested in 19 out of 21 industries in the national economic sub-sector. The FDI sector accounts for a large proportion of total industrial production value and the total export value of Vietnam, and revenues to the State budget have steadily increased over the years.

However, along with the positive contributions, the limitations of foreign capital flows have also been clearly revealed. Of which, the biggest limitation is the low level of connection and spread of the FDI sector to the domestic investment sector; the attraction and transfer of technology from the FDI sector to the domestic investment sector not meeting expectations, and limitations in attracting FDI in a number of priority industries and sectors and from multinational corporations. In addition, there has been a phenomenon ofsome enterprises not strictly following the law on investment or regulations on environmental protection.

According to some economic experts, the impact of the COVID-19 pandemic is an opportunity for Vietnam to actively attract new generation FDI in a more selective manner, with quality, efficiency, technology and environmental protection as the main evaluation criteria. In order to catch up with the flow of the fourth wave of FDI taking place globally, Vietnam needs to be more adaptive, proactive and creative.

At the macro level, the Government will focus on solving a number of major issues. These are to maintain the stability of the macroeconomic, socio-political environment, a competitive advantage of Vietnam in attracting FDI; focus on improving the quality of institutions, policies and laws in order to implement the policy of foreign investment cooperation with priority and selection associated with the goal of improving competitiveness, building an independent economy and prioritising investment in infrastructural development.

At local level, it is necessary to organise and support effectively and promptly investors to build projects with the fastest speeds, the shortest times and the highest levelsof effectiveness through the reform of business and administrative procedures, especially procedures for land and land clearance, and so on.

Enhancing tourism development in the new normal state

The complicated development of the COVID-19 pandemic has left both types of international tourism, inbound and outbound, almost paralysed; therefore, domestic tourism has been identified as the salvation to gradually restore the country’s smoke-free industry.

The importance of domestic tourism

According to travel experts, the COVID-19 epidemic has caused the tourism sector to be full of hardships but also offered an opportunity for the sector to look back and learn lessons from the crisis. One of the most important lessons is to re-realise the importance of domestic tourism in order to balance development policies among different types. Vu The Binh, Standing Vice Chairman of Vietnam Tourism Association said that previously, domestic tourism was not considered a key branch, so did not received proper attention. The demand, preferences, trends, favourite products of Vietnamese tourists or tourism services serving Vietnamese people have not been clearly shaped. The relevant agencies should develop a strong domestic travel market even after the pandemic is controlled completely.

The statistics of the Vietnam National Administration of Tourism showed that the number of domestic tourists was only 30 million in 2011 but increased to 85 million (nearly tripling) in 2019, equal to an average growth rate of about 15% per year. Trip time as well as spending of domestic tourists is increasing by an average of 3.7 days and VND1-1.6 million. In 2015, the domestic tourists only contributed VND158 trillion to the total revenue of the sector and VND334 trillion in 2019, with an average increase of about 20.5% per year. This showed that during 2011-2019, before the pandemic appeared, domestic travel saw positive growth. Currently, Vietnam is controlling the epidemic quite well and a series of companies and travel service providers are offering promotions to stimulate demand, so the purchase of domestic tours and products has increased sharply. Airlines must continuously increase supply capacity and open more domestic routes. Many accommodation establishments in “favourite” tourist destinations have to announce “out of rooms” during the upcoming holidays. These are proof that domestic tourism is a potential market. If effective exploitation policies are implemented, this market will ensure the sustainable development of the whole sector.

In response to urgent requirements about the need to have a specific strategy to promote domestic tourism, towards increasing the resistance of Vietnamese tourism, Vietnam Tourism Association, in collaboration with the Ninh Binh Provincial Department of Tourism and Tourism Association, held the 2021 National Domestic Tourism Forum themed “Domestic tourism – The driving force to restore Vietnam tourism in the new normal state”. The event featured the participation of leaders from travel management agencies and nearly 500 enterprises around the country. At the forum, Minister of Culture, Sports and Tourism Nguyen Van Hung affirmed that in recent years, Vietnamese tourism sector has taken the number of visitors and revenue from the international market as a measure of the tourism development’s effectiveness. This is about to change. The tourism sector needs to go firmly on both international and domestic feet.

Linking and diversifying products

According to the tourism sector’s leader, four groups of measures should be implemented to develop domestic tourism. Firstly, travel businesses should soon restructure themselves and recalculate important and key aspects of domestic travel business. Secondly, it is essential to re-study the domestic tourism market. Thirdly, the linkages should be strengthened on the basis of developing unique tourism products and contributing to spreading their values. Lastly, relevant agencies should focus on gradually forming culture in destinations.

It is a fact that with international travel businesses having also shifted their attention to domestic tourism, the competition in this “territory” has become even more fierce. That situation requires tourism service providers to enhance their linkages and coordination to share benefits while finding ways to self-position their travel brands through the development of diversified but unique tourism products. According to Director of the Travel Department under the Vietnam National Administration of Tourism Nguyen Quy Phuong, the COVID-19 pandemic has significantly changed the needs and tastes of tourists regarding safety, experiences of nature and the ecosystem, small groups, short time, and technology applications. Therefore, the localities and enterprises should proactively innovate, create and develop new products in line with the customers’ demand.

In recent times, several units have built new tourism products that have attracted a large number of visitors such as tours to the Yoko Onsen Quang Hanh hot springs, Ha Long Bay by seaplane, Hoa Lo Prison at night, and air balloon experiences in Hanoi’s Ba Vi District. The introduction of these new products has contributed to creating an exciting atmosphere for the domestic tourism market, bringing more options to travellers. To promote domestic tourism in Vietnam, tourism development orientations must ensure security, safety and principles of respect for the environment, harmony with nature, respect for local culture and identity, proactive adaptation to the epidemic and sustainable development.

In addition, the experts noted that the Government, ministries and agencies should make policies and solutions to remove difficulties for the enterprises, especially small and medium-sized ones, in facing COVID-19 outbreaks. The direct assistance includes financial support, tax exemptions and concessional loans. The indirect supports are human resources training, the promotion of common destinations. The joint efforts from all tourism service providers, management agencies and relevant ministries will create a positive ecosystem for boosting domestic tourism development, thus ensuring the operation and growth of the tourism sector in the new normal state.

Hanoi works to ‘refresh’ tourism image to lure visitors

As one of the country’s tourism markets, Hanoi is rolling every effort to ‘refresh’ the image of tourism to lure domestic visitors, with a focus on creating new experiences and strengthening connection with other localities to develop more attractive tourist products.

A night tour at the Hoa Lo Prison historical site was launched to provide visitors with a unique experience with a combination of sounds and lights which change as they walk through different rooms inside the prison-turned-museum.

Visitors will be filled with a range of special emotions, from sympathy for prisoners in the gruesome conditions of a colonialist prison to respect for their resolute resilience and fighting spirit for national independence.

According to head of the site’s management board Nguyen Thi Bich Thuy, Hoa Lo Prison welcomes hundreds of visitors every year. The site has also chosen as a venue for extracurricular activities of many schools to educate their students about the country’s revolutionary tradition and patriotism.

The management board has coordinated with travel agencies to launch two night programmes at the site, which have received much appreciation from visitors.

In addition to the night tour at Hoa Lo Prison, many other new tourist products have also been launched to welcome back visitors to the capital city, including tours to explore Thang Long Imperial Citadel, Indochinese styled buildings in Hanoi, and places of interest along Red River such as Chem and Soc temples, Bo De Pagoda, Bat Trang pottery village, and Me Linh flower village.

Of which, the tour to Indochinese-styled buildings, which is designed by travel company Hanoitourist, helps visitors to gain a closer insight into typical buildings constructed in Hanoi in early 20th century, namely the Sofitel Metropole Legend, the Hanoi Opera House, the National Historical Museum, and the Government Guest House.

Meanwhile, the Hanoi Tourism Department in coordination with tourism departments of Ninh Binh, Quang Ninh, Sa La, Thua Thien Hue, Da Nang, and Ho Chi Minh City recently debuted the ‘Hanoi+’ tours, which connects Hanoi with tourist attractions in the neighbouring localities.

In order to provide travellers with high-quality tourist products at affordable prices, Hanoi’s tourism sector has actively worked with, airlines, railway sector, travel associations, hotels, restaurants and management boards of tourist attractions in implementing programmes on restructuring the hospitality sector and stimulating domestic travel demand.

Director of the Hanoi Department of Tourism Dang Huong Giang said that after more than a year facing numerous many difficulties caused by COVID-19 pandemic, travel businesses want to grasp opportunities for recovery.

Therefore, the department receives enthusiastic cooperation from those operating in the tourism sector, she stated, adding that airlines have launched generous discounts for passengers, particularly for travel agents who buy tickets in bulk.

The active participation from the businesses has contributed to the building of tourism products at attractive prices while ensuring quality.

The recent Hanoi Tourism and Cuisine Festival 2021 brought together travel agents and transport businesses from 12 localities which have strong advantages of tourism, including Khanh Hoa, Binh Dinh, Da Nang, Thua Thien Hue, Quang Binh, and Ha Giang, among others. Around 1,000 tour packages were on sale at the event with prices seeing discounts of up to 25%.

However, after a year of falling in “hibernation” and facing great losses due to COVID-19, thousands of travel businesses and accommodation establishments have remained closed. Many of them have hesitated to “restart” because of worries that the risks may return.

Since then, as stated by Director of Flamingo Redtours Company Nguyen Cong Hoan, travel businesses are seeking for the State’s support, particularly in terms of tax and land lease payment extensions so that they are able to return to the market.

Vietnamese tourists pay stronger attention to sustainable tourism

According to a survey by Booking.com, one of the world’s leading digital travel companies, nearly 100% of Vietnamese tourists want to stay in eco-friendly accommodations at least once.

The survey was conducted with 29,349 participants from 30 travel markets found that 81% of global travellers aspire to stay in eco-friendly and environmentally sustainable accommodations at least once. Accordingly, almost 1,005 Vietnamese tourists aged 18 years and over who participated in the survey expressed their desire for these kinds of accommodations. Meanwhile, the figure is 98% in Thailand, 90% in Singapore and 81% in the Republic of Korea.

Previously, an online survey conducted by Booking.com in July 2020, with the participation of 20,934 people from 28 countries and territories around the world, showed that over 53% of global visitors, including 59% from Vietnam, 68% from Thailand and 60% from Chinese Taipei, admitted that they pay more attention to sustainable tourism as a result of the COVID-19 pandemic.

According to Anthony Lu, Country & Mekong Region Head (China) at Booking.com, its study proved many restrictions enacted globally have inspired 59% of Vietnamese travellers to prioritise sustainable travel in the future. This is a positive sign that travellers will be more considerate before they make decisions about their future travels, while also being aware that any sustainable actions they take will help correct their impact on the environment. No matter how small or simple, Vietnamese visitors are believed to have a great impact on the environment and the tourism sector.

The Covid-19 pandemic has made global residents to re-evaluate their effects on their surroundings, towards sustainable travel in the future after travel restrictions are removed.

In fact, Vietnam is an advantageous country for sustainable tourism development. The country possesses nine world biosphere reserves recognised by UNESCO and over 30 national parks, including six ASEAN heritage parks that maintain their ecosystems, diversity and values of population. Notably, Vietnam owns 400 hot water resources, ranks 27th out of 156 nations with seas in the world with 125 beaches, most of which are beautiful. It is also among the 12 countries with the most beautiful bays (Ha Long and Nha Trang).

Over the years, tourism activities in Vietnam have been held towards sustainable tourism, with many resorts receiving international green certificates such as EarthCheck and Green Growth 2050, including Banyan Tree Lang Co in Hue City, Caravelle Saigon, Angsana Lang Co, Avani Quy Nhon, Anantara Mui Ne Resort and Spa, Harbour View Hai Phong and Anantara Hoi An Resort.

Long An wants companies to invest in Ring Road 3

The Long An government has proposed allowing companies to invest in a section of the Ring Road No. 3 project that will run through the Mekong Delta province aimed at speeding up the construction of the key traffic route, according to the provincial government.

The section will be 6.65 kilometers long, have six lanes and cost VND4.63 trillion. Of the total investment, site clearance will cost VND1.6 trillion, Thanh Nien Online reported.

The provincial government had earlier passed a plan allowing the Investment and Industrial Development Corporation (Becamex IDC Corp.) and Vietnam-Singapore Industrial Park Joint Venture Co. to study and map out a 1/2,000 master plan for the Becamex-VSIP Service-Industrial and Urban Area project in Ben Luc District. The project is set to cover some 2,300 hectares, with some 4.7 kilometers of the Ring Road No. 3 cutting through.

As such, the investors proposed allowing them to implement the site clearance works for the 4.7-kilometer section and invest in two parallel lines in line with the master plan.

The solution was appropriate, said the Long An government, proposing the Ministry of Transport ask the Government and relevant ministries and departments for opinions so that Long An Province can hold tenders and choose investors to speed up the project.

Due to its limited budget, the province also proposed the Ministry of Transport use the capital from the central budget to develop the remaining 1.95 kilometers of the section of the Ring Road No. 3.

The Ring Road No. 3 project was approved by the prime minister in 2011. The 89.3-kilometer-long Ring Road 3 will pass through Dong Nai, HCMC, Binh Duong and Long An. As planned, the ring road would be completed by 2020, but a mere 16.3 kilometers of the road running through Binh Duong Province has been completed, accounting for 17.9% of the total length.

Number of newly-established firms in Jan-Apr hits new record

In the first four months of 2021, nearly 44,200 new enterprises were established, up 17% over the same period last year and the highest-ever recorded for the period, according to the Business Registration Department under the Ministry of Planning and Investment.

The result was positive as the number of newly-established enterprises fell over 13% in the same period last year due to the pandemic, news site VnExpress reported.

The retail, wholesale and auto and motorbike repair sectors saw the highest number of newly-established enterprises at nearly 14,700, followed by the construction sector with 5,700 companies and the processing and manufacturing sector with 5,600 firms.

However, the real estate, healthcare, social welfare, service, education and logistics sectors reported the highest growth in the number of new enterprises.

New firms registered total capital of nearly VND628 trillion, also an all-time high for the period.

According to the Business Registration Department, the increase in newly-established firms highlighted the recovery of the economy and enterprises’ confidence in the country’s economic development prospects in the coming periods.

However, the number of enterprises withdrawing from the market in the first four months of the year also increased to some 51,500, mainly the small ones. Of the total, 28,350 businesses temporarily stopped operations for a certain period and 16,400 others completed procedures for disbandment.

Firms withdrawing from the market were mainly those in the healthcare, education, mining, property and agriculture sectors. More than 91% of enterprises suspending their operations and 89% of dissolved firms had charter capital of less than VND10 billion and operated for less than five years.

According to the Business Registration Department, they were vulnerable to the pandemic. Many enterprises have chosen to suspend operations to review the development of the market, seek new business plans or wait for the Government’s support policies.

HCMC plans to borrow US$100 million from WB for eight programs

The HCMC government has proposed borrowing US$100 million from the World Bank (WB) to provide capital for its eight policy programs as the city’s budget is not enough for its development demand.

The municipal government has asked the standing board of the municipal Party Committee for its opinion on the second development policy operation program (DPO-2). This program includes eight policy sub-programs relating to the standardization of the shared database, announcement of vector-based zoning plans, increase of wastewater drainage and treatment service prices and organization of tenders for State-owned commercial housing assets for production and business purposes, among others.

According to the municipal government, the Government approved over VND42.2 trillion for the city this year, including VND14.8 trillion in official development assistance loans and VND27.4 trillion from the city’s reciprocal capital, Thanh Nien Online newspaper reported.

Meanwhile, the capital needed is over VND47.8 trillion. Thus, the city will face a shortage of over VND20.4 trillion.

In April 2020, the Ministry of Finance disbursed loans for the DPO-1 program and VND2.86 trillion was provided for 153 projects.

Vietnam’s outward investment in Jan-Apr soars 7.9 times

Vietnam’s outward investment in the first four months of 2021 reached nearly US$546 million, surging by 7.9 times compared with the same period last year, according to the Ministry of Planning and Investment.

Specifically, 18 projects worth US$142.8 million received investment licenses and nine projects got additional capital of US$403.2 million.

Data of the ministry showed that Vietnamese companies invested in 10 sectors in foreign countries between January and April. The science and technology sector attracted the largest investment with US$279.8 million, accounting for 49.6% of the total.

Retail ranked second with US$147.8 million, accounting for 27.1%, followed by agriculture-forestry-aquaculture and supporting services.

Vietnamese companies invested in 15 countries and territories, with the United States absorbing US$302.3 million of the registered capital (accounting for 55.4%), followed by Cambodia with US$89.1 million (16.3%), France, Canada, Germany and the Netherlands.

As of April 20, Vietnam had 1,417 valid outward investment projects worth US$21.8 billion. The biggest investment was poured into mineral exploitation, accounting for 36% of the total, followed by the agriculture-forestry-aquaculture sector with 15.4%.

Laos was the biggest recipient of Vietnamese investment to date, accounting for 23.1% of the registered capital, followed by Cambodia with 13% and Russia with 12.7%.

Vietnam’s outward investment in 2020 was more than US$590 million, increasing 16.1% year-on-year.

It needs objective remarks for rice export decline

There are different remarks over the good harvest and export prices of rice in the Mekong Delta but the strong decline in rice export volume. In all, subjectively, businesses have been paying more attention to improving rice quality to meet the strict standards of many markets; while objectively, the global demand for food reserves has been increasing and the prices of Thai and Indian rice have made record highs in recent years. In this context, Vietnam can “leisurely” wait for positive rice export results in the upcoming months. However, the real scenario is not quite so.

The scenario may not unfold as expected because of the following reasons.

First, it’s not known what the basis for the remark “The high global demand for food reserves has pushed up the world’s rice price”(1) is but two most prestigious agencies for global rice, including the U.S. Department of Agriculture (USDA) and the Food and Agriculture Organization (FAO), have quite different remarks.

According to the latest forecast by the USDA, the global rice reserves early this year were large, at nearly 178 million tons. Though the volume grew insignificantly against the year-earlier period, it increased by more than 14 million tons from the same period in 2019 and was enough to meet the consumption demand over 129-130 days. Obviously, this is a scenario contrary to the period when the global rice reserves were thin, only enough to meet the consumption demand over half the time above (64-68 days in 2006-2009). For the consumption demand for up to 80 days, the time the reserves can meet this demand is equivalent to seven years (2005-2011), which was the period of the global rice price fever.

Further, the USDA also argued that the global rice growing area this year has increased quite strongly, resulting in an increase of 10 million tons of rice, not standing “the same” as in 2020.

In this situation, the global rice imports this year are forecast at only 43.7 million tons, up 1.33 million tons from 2020, while imports in 2020 were 1.65 million tons lower than 2019. As a result, the global rice imports have been on a downward trend against the record imports of 47.2 million tons in 2018.

The statistics and the forecast of FAO, albeit somewhat different, also show a similar trend in general.

Therefore, one cannot refer to certain particular phenomena to assess the global rice supply and demand as mentioned above. This is also the unpersuasive point mentioned in the scandal over rice export quotas in Vietnam early last year.

Second, the price increase by Thai rice exporters is true, but possibly because of force majeure causes, while the information about the increase of Indian rice price “past the records in recent years”(1) needs verification.

India’s rice exports in the first two months of this year increased exponentially, certainly because of the strongest price decline since the end of the global rice price fever.

According to official statistics of India, the country’s rice exports in the first two months reached 3.63 million tons, surging 84.2% year-on-year, but the average price was only US$460 per ton, the lowest since 2008.

Notably, while exports of fragrant rice fell, exports of non Basmati rice surged 162.1%. The average price of Basmati rice in the first two months was US$855 per ton, the lowest since 2017, and white rice US$353 per ton, a record low since 2008.

Meanwhile, the increase in the price of Thai rice since 2020 is due to reasons beyond the imagination of Thai rice traders, in addition to other reasons similar to those of Vietnam. They are the heavy crop losses in early 2020 due to record droughts in decades, floods which have pushed up production costs, the Thai Government’s diverse rice supports to stabilize prices and the appreciation of the baht. The synergy of these factors slumped rice exports and increased rice storage strongly in 2020. The storage is forecast to continue at a very high level this year.

This situation in Thailand, coupled with the strong price rise of Vietnamese rice, may force some customers to turn their back on Vietnamese rice and switch to the abundant supply of Indian rice with soft prices, especially white rice.

Third, the increase in the price of Vietnamese rice due to the improvement of the rice quality or Vietnamese rice exporters’ increased attention to rice quality improvement and traceability to meet strict standards of export markets like the EU, the U.S. and South Korea is certainly something true and worth cheering in terms of quantity, but it may be doubtful in terms of quality.

Statistics of the USDA show that five years ago, the fastidious markets of Europe, America and Australia accounted for 11.3% of the total of 50.8% of Vietnamese white rice exports and only 2% of the total of 44.6% of Vietnamese fragrant and glutinous rice exports (the total rice exports is 100%). However, in 2020, the share of white rice exports to these markets plunged drastically to 6.9% while the share of glutinous and fragrant rice exports increased to only 2.7%.

Nevertheless, this statement is not meant to completely negate the efforts of the rice industry, but on the contrary, it needs recognition for enterprises which have developed rice material areas and sustainable rice value chains to build a brand for rice. Still, with the possibly vast remaining rice area, it’s too optimistic to say that more and more attention is being paid to the rice quality, and so it may not be sound to say that this is the reason for the rice price increase.

Source: VNA/VNS/VOV/VIR/SGT/Nhan Dan/Hanoitimes

People work at an auto plant. The improvement in Vietnam’s manufacturing sector in April 2021 was the strongest since November 2018 – PHOTO: VNA

New orders rose at a sharper rate, with firms responding by upping their rate of job creation and ramping up purchasing.

Input costs continued to rise sharply, leading to the fastest increase in selling prices in nearly a decade. Meanwhile, there were some signs that supply-chain disruption had started to ease during the month.

The Vietnam Manufacturing Purchasing Managers’ Index (PMI) increased for the third straight month, posting 54.7 in April following a reading of 53.6 in March. The manufacturing sector was boosted in April by signs that customers were willing to commit to larger orders than they previously did, given the general improvement in demand and control of the Covid-19 pandemic.

The total new orders increased for the eighth straight month running and at the fastest pace in close to two and a half years.

New export orders also continued to rise amid an improving international demand climate. Higher new orders led to a similarly-sized expansion of manufacturing output, with production also up at the fastest pace since November 2018.

Companies boosted production by increasing workforce numbers. Staffing levels were expanded for the third month running and to the greatest extent since December 2018.

This increased capacity, however, was not sufficient to prevent a first rise in backlogs of work in 15 months due to the strength of new order growth.

Besides raising staffing levels, firms also posted a sharp and accelerated expansion of purchasing activity. Respondents indicated that the increase in input buying was both in response to higher new orders and as part of efforts to build reserves to support production growth in the months ahead.

Efforts to expand inventory holdings were generally successful in April, with both stocks of purchases and finished goods increasing. In both cases, the rate of accumulation was solid and faster than at the end of the first quarter.

There were some signs that recent severe disruption to supply chains eased in April. While suppliers’ delivery times continued to lengthen, the latest deterioration in vendor performance was modest and the softest since last September.

Supply shortages and rising shipping costs continued to feed through to higher input prices. The rate of cost inflation remained substantial and was only slightly slower than that seen in March. In turn, firms raised their selling prices sharply, with the rate of inflation quickening to the fastest for close to a decade.

Expectations that the pandemic will remain under control led to higher demand, and the introduction of new product lines, supported ongoing confidence among firms regarding the 12-month outlook for production.

“The Vietnamese manufacturing sector hit the ground running at the start of the second quarter. Output and new orders each rose to the greatest extent since late 2018, and there were encouraging reports that customers were often happy to place larger orders amid greater confidence in the sustainability of the current expansion,” said Andrew Harker, economics director at IHS Markit.

“Inflationary pressures remained elevated, with output prices increasing at the fastest pace for almost a decade. There were some signs, however, that the severity of the difficulties in supply chains may be easing, which will hopefully reduce some of the upward pressure on prices,” Harker added.

Binh Phuoc seeks to bolster investment from US

The Becamex IDC Corporation together with the People’s Committee of southern Binh Phuoc province held an online conference on May 5 with investors from the US.

Addressing the gathering, Vice Chairman of the provincial People’s Committee Huynh Anh Minh said trade and investment promotions remain restricted as the COVID-19 pandemic wreaks havoc across the world.

The conference, therefore, holds significant and practical meaning for Binh Phuoc and the US business community and affirms the province’s determination to expand cooperation and attract investment and the attention from US firms.

Binh Phuoc hopes to bolster cooperation with US investors in the fields of industrial engineering, electromechanics, the agricultural processing industry, supporting industries, and high-tech agriculture, among others, he said.

He also pledged that Binh Phuoc will improve its investment climate to ensure transparency, revise policies, and create favourable conditions for businesses operating in the province.

At the conference, Vietnamese Ambassador to the US Ha Kim Ngoc underlined that the US is among Vietnam’s leading trade partners, with bilateral economic and trade cooperation maintaining growth levels despite the adverse impact of COVID-19.

Binh Phuoc is currently home to 13 industrial parks (IPs) covering 4,686 ha. To satisfy economic development demand and attract investment in the 2021-2030 period, the province eyes the expansion of three IPs and the establishment of four others, raising the total area to 10,000 ha.

Prominent among these will be the Becamex – Binh Phuoc Industrial and Urban Complex in Chon Thanh district, which has drawn 49 projects with registered capital of nearly 1 billion USD.

Becamex Binh Phuoc is set to build the 1,000-ha Dong Phu Urban IP in the time to come./.

115 trillion VND for tax payment extension

The total value of taxes and land lease fees under the Government’s recently-issued decree on the extension of deadlines for tax payment is 115 trillion VND (4.97 billion USD), heard a press conference of the Government on May 5.

Minister-Chairman of the Government Office Tran Van Son said Decree No. 52/2021/ND-CP aims to support enterprises, organisations, family businesses and individuals who are affected by the COVID-19 pandemic.

Under the Decree, a five-month extension will be given to value-added tax of the assessment periods of March, April, May, June, the first quarter and the second quarter this year. This means the payment of VAT of March assessment period will be extended to September.

Timeframe for payment of value-added tax of July and August will be extended by four and three months, respectively.

Payment of corporate income tax in the first and second quarters will be extended by three months, according to the Decree.

A six-month extension will be given to payment of land rent fees, starting from May 31, 2021.

This is the third time the Government has introduced tax and land rent payment deadlines since the first COVID-19 cases reported in Vietnam on January 23, 2020.

Earlier, the Government promulgated Decree No. 41/2020/ND-CP dated April 8, 2020 on extension of deadlines for tax and land rent fee payment and Decree No. 109/2020/ND-CP providing the extension of time limits for excise tax payment for domestically manufactured or assembled cars.

In implementing the two previous Decrees, a total of 184,900 dossiers on tax and land lease payment extension were passed with a total sum of 87.3 trillion VND./.

Capital injections loom in finance M&A

Although the pandemic is still taking a serious toll on the economy, foreign investors are banking on cross-border mergers and acquisitions in the financial industry, especially in consumer finance and retail banking, illustrating the urgency to acquire new capabilities.

Japanese financial group Sumitomo Mitsui Financial Group (SMFG) – parent of Sumitomo Mitsui Banking Corporation (SMBC) and consumer arm SMBCCF – was last week reportedly to acquire 49 per cent in FE Credit, Vietnam’s largest consumer finance company under VPBank.

Deputy Prime Minister Pham Binh Minh told Masahiro Yoshimura, general manager of Business Development Department at SMFG, at a reception last week that he welcomed SMBC’s investment in FE Credit, and noted his belief that the cooperation will be a success.

SMFG will pay $1.4 billion to buy 49 per cent at FE Credit, making it the largest deal conducted by a Japanese bank in Vietnam’s financial institution landscape. “The looming acquisition comes as Vietnam’s consumer loan market rapidly expands on the back of strong and sustained economic growth,” reported Nikkei Asia. “Sumitomo is aiming to widen its business in Asia by leveraging its digitalisation and customer management expertise.” FE Credit, after the deal, is now valued at $2.8 billion.

A representative of VPBank told VIR, “Through this transaction, FE Credit is expected to receive additional support and international expertise in capital resources, as well as management skills from SMFG, especially from SMBCCF.

“At the same time, this transaction will inject a large amount of capital to VPBank, bolstering the bank’s solid growth fundamentals and enhancing its financial capabilities to explore its huge potential as well as capitalise on the emerging financial industry in Vietnam,” the representative added.

VPBank’s Board of Directors initially forecast that a successful initial public offering could triple FE Credit’s share price compared to the book value after equitisation.

The $1.4 billion bet on FE Credit is part of SMFG’s strategy to increase its footprint in Asia. The mega deal will offer mutual benefits, where the Japanese lender fund could jump on the lucrative consumer finance bandwagon in Vietnam, and FE Credit could enhance its operations to international standards.

SMBC Group is one of the three biggest banking and financial groups in Japan, with total assets of over $2.1 trillion as of December 31 last year. The group operates in retail banking, corporate banking, and investment banking worldwide, and is present in over 40 countries.

Last December, SMFG was allegedly planning to acquire an Asian lender, specifically in Vietnam, the Philippines, and India. Accordingly, the bank would cooperate with a global investment bank on US deal-making activities.

Elsewhere, international banks including DBS Group, Mitsubishi UFJ Financial Group, OCBC, and Standard Chartered are allegedly vying to each other to buy Citibank’s retail banking business in Asia after the latter’s announcement to shut down this arm in 13 markets a fortnight ago.

“The sale process will start within a couple of weeks, they added, declining to be named as they were not authorised to speak to media. Potential bids from the regional banks and Standard Chartered, which makes most of its profit in Asia, underscores their growing appetite for businesses like credit cards and mortgages in a push to lock in long-term income growth,” Reuters noted.

“Asia is critical to our group’s strategy, and we will allocate resources to drive profitable growth,” a Citi spokesman in Hong Kong said.

At the same time, Japanese banks MUFG and Sumitomo Mitsui Financial Group, along with Brit-based Standard Chartered, are mentioned as other potential bidders. In South Korea, financial institutions OK Financial Group and DGB Financial Group are strong candidates if a bidding war to acquire Citibank’s retail subsidiary takes place.

Specifically, DBS – the Singaporean multinational banking and financial services corporation – is reportedly mulling over buying Citibank’s retail business in India, according to The Hindu Times.

“DBS has always been open to exploring sensible bolt-on opportunities in markets where we have a consumer banking franchise and where we can overlay our digital capabilities,” DBS said in a statement.

Besides DBS, Standard Chartered and Kotak Mahindra Bank and Axis Bank also show their interest in the deal in India. Meanwhile, Bloomberg reported the Bank of the Philippines – the country’s oldest lender – is mulling over acquiring Citibank’s retail arm domestically.

“We have told them that as soon as there is any information, we will take a look at it and most likely, we will be interested,” the bank’s president TG Limcaoco said, referring to Citigroup’s retail banking business.

In Vietnam, Citibank has been one of the most prestigious foreign lenders for years, providing a wide range of services from credit cards to wealth management, among others.

Citibank’s representative in Vietnam previously said that the withdrawal will not affect to its long-term commitment in this country. Citigroup’s consumer banking business in 13 markets made up for $4.2 billion of the bank’s revenue in 2020 of $74.3 billion.

Developers work around foreign cap

To meet the increasing demands of non-nationals on owning a property in Vietnam, many real estate developers are moving such buyers towards a long-lease term of 50 years instead after using up their restriction of 30 per cent of foreign ownership per project.

In the event of an area with geographical boundary equivalent to ward level with many apartment buildings for sale or lease purchase, those organisations and individuals may own no more than 30 per cent of the total units of each apartment building, and not more than 30 per cent of the total units of all the apartments.

Some projects, however, have used up the limitation such as Gateway Thao Dien, Nassim, and Thao Dien Pearl. In response, the project developers are persuading their overseas buyers to a long-lease term of 50 years instead.

According to Le Hoang Chau, chairman of Ho Chi Minh City Real Estate Association (HoREA), in several projects that that reached the ownership rate ceiling, non-nationals are being offered two options for short-term rent or long-term home lease. “In reality, there is not much difference between being in or out of the 30 per cent limitation. Foreign buyers who are consistent in wanting a property in their target projects will choose the long-lease term,” Chau said.

While current regulations include the 30 per cent cap for foreign ownership in Vietnam, no such limitation is applied for long leasing.

Some nations are currently tightening foreign ownership policy to avoid speculation, like South Korea, or trying to limit the number of homes being bought by foreigners, causing prices to soar and making it difficult for local middle- and low-income people to acquire accommodation, like in Australia.

Chau stressed that housing needs and housing ownership are different. “Most of the foreigners living in Vietnam would choose to rent a house instead of buying. This is because if they stay in Vietnam for more than 180 days each year will have to pay personal income tax. They will not buy fixed assets and then waste half a year of not using them,” Chau said.

Keeping the limitation of 30 per cent does not affect the target of attracting foreign investment while ensuring the advantage for Vietnamese in the luxury segment, he added.

According to unofficial figures, more than 320,000 foreigners live and work in Vietnam, mainly in Hanoi and Ho Chi Minh City.

Ho Chi Minh City has recorded the highest percentage of foreign buyers nationwide. According to HoREA, 17 leading real estate groups and corporations in Vietnam have sold more than 12,000 homes to foreign individuals and enterprises during the past five years.

The majority of overseas buyers come from China, South Korea, Taiwan, Hong Kong, and Singapore, while leasers are mainly from Europe, the US, Australia, and Japan. Nationwide, the HoREA predicts that around 16,000 units have been sold to non-Vietnamese buyers during this time.

Among the 17 real estate groups, 85 per cent of the total units belong to five leading ones with more than 10,000 units. Of those, Vingroup occupies around 40 per cent, with more than 5,000 units sold to foreigners.

Figures from the Ministry of Construction said that more than 4 million units were built in Vietnam in the last 10 years.

Under Decree No.99/2015/ND-CP to guide to the implementation of Law on Land 2013, the ministries of defence, public security, and construction work with local authorities to set up a list of projects eligible for foreign buyers. Developers must propose those projects and meet the required conditions so as to not harm national security.

However, many localities have not released their list of eligible projects for them, causing a prolonged process in handing out red books for buyer certification.

Only localities such as Hanoi, Ho Chi Minh City, Binh Duong, Khanh Hoa, Danang, and Ba Ria-Vung Tau have offered up lists so far.

“This slow process is confusing and brings risks to buyers if they bought a project but has not had it permitted yet,” said Nguyen Van Minh, a consultant in Ho Chi Minh City’s District 4.

Beer battle ahead shakes up goals

The country’s biggest brewers, SABECO and HABECO, have been quizzed over their ambitious profit targets and possible solutions at their annual general shareholders’ meetings as tough competition and beer consumption figures stand in their way.

Although domestic brewers have been faced with social restrictions during the pandemic and stricter regulations on road traffic to keep beer lovers safer, this year’s revenues and net profit targets show an attempted direction towards economic recovery.

The publicly-listed Hanoi Beer, Alcohol, and Beverage JSC, or HABECO (code BHN), approved its business plan at last month’s annual general shareholders’ meeting. Revenues from its main product lines of beer and UniAqua water was presented, reaching VND5.3 trillion ($230.4 million), while profits after tax amounted to VND225.4 billion ($9.8 million), down 8.5 per cent and 59.2 per cent on-year, respectively.

Although the beermaker holds the largest market share in the north, HABECO predicted that its business situation this year will still face many difficulties as the global fight against the pandemic persists.

In the context of the generally weak demand due to lowered consumers’ purchasing power, HABECO also must deal with pressure from competitors that are concentrating large resources on continuous promotions, investing heavily in their distribution systems, and bringing new products to the market that directly compete with popular segments of the company.

Ngo Que Lam, general director of HABECO, said that in the northern and north-central regions, which are the company’s main markets, the beer industry has experienced a stronger decline compared to other markets.

Despite being subject to stiff competition from international and local beer brands, HABECO however still maintains its position as the leading brewer in the market and recovered its business in the summer season and by the end of 2020 as a whole.

According to a report conducted by SSI Securities Corporation, the beer sector’s recovery momentum will continue but the demand is forecasted to not return to pre-pandemic levels before 2022.

Although Vietnam has handled the pandemic well, with catering and entertainment improving, the overall performance of the food and beverage sector is still a long way off pre-pandemic levels, and customer frequentation at restaurants, cafes, shopping centres, theme parks, and museums remains weak, representing an overall decrease of 10 per cent compared to the average rates.

Meanwhile, SABECO (code SAB) set a target revenue of VND33.5 trillion ($1.33 billion) with net profits of VND5.2 trillion ($208 million) for 2021, a 20 per cent and 7 per cent on-year increase, respectively.

Explaining the figures, Bennett Neo, general director of SABECO shared, “Our business plan for 2021 was made in January, but the goal of increasing sales by 20 per cent is not easy. Even so, the Management Board still maintains its commitment and strives to fulfil it.”

Despite the challenges from the pandemic, new regulations, and natural calamities last year, SABECO was able to post better-than-expected bottom-line results by implementing cost savings, leveraging new sales opportunities, and expanding the market by introducing new brands such as Lac Viet and Saigon Chill. With this, SABECO has also been able to meet its previously-approved 2020 dividend plan which maintained a rate of 35 per cent.

At the company’s presentation of its 2020 financial results, SABECO highlighted that while revenues and profit after tax went down 26 per cent and 8 per cent from the previous year, respectively, SABECO still managed to surpass its targets by 17 per cent and 52 per cent, respectively. In absolute figures, SABECO exceeded its revenue target by VND4.1 trillion ($178.2 million) and its net profit goal by VND1.6 trillion ($69.6 million).

“We were able to weather headwinds in 2020 by remaining fiscally prudent and operationally nimble,” said Neo. “We focused our spending on the essentials and continued to find efficiencies, where possible, while making sure that we are able to leverage on market opportunities.”

The spirit of accepting tough trials is rooted in the company’s transformation strategy that started three years ago after Thai Beverage acquired a majority stake in the state-owned brewer.

Both SABECO and HABECO showed solutions to shareholders to reach their targets, including improving the distribution network and adjustments to customer tastes, resulting in a larger market share.

Although the beer sector faced the dual pressure of the pandemic and regulations on drink-driving last year, the newly-introduced product lines could be utilised to increase market share as Vietnamese consumers begin to pay more attention to such products thanks to quality and taste, and thus are more willing to pay higher prices.

Pushing agricultural product consumption through e-commerce

A number of localities in Son La province have recently supported agricultural product consumption via social networks and e-commerce sites. The move has brought initially positive results compared to traditional methods of consumption.

One hour of livestreaming attracted more than 500,000 views, and after two days the number had increased to more than 3 million, with a total of 20 tonnes of plums sold. Online sales have contributed to promoting the Tam Hoa plum brand among many more people throughout the entire country.

Tam Hoa plums are a high yield crop, and in recent years there have been many localities planting the variety as their main crop. But due to a lack of communications and promotional efforts, they were still mostly consumed locally or in neighbouring areas. To remove the obstacles, the local government established a campaign committee to support the promotion and consumption of plums and of agricultural products in general through social networks and e-commerce sites.

Selling goods online and through e-commerce sites has many benefits, but quality must be ensured when products reach consumers. In order to guarantee the fair sale and uniform quality of agricultural products, authorities at all levels in Son La have created specific lists, giving priority to households that do not use fertilisers or chemical pesticides in the growing process./.

Questions over air titans’ funding plans

While Vietnamese airlines are looking at  fundraising on the stock market as a way to shelter from financial storms, the possibilities of making it a success remain narrow.

According to Pham The Anh, chief economist at the Vietnam Institute for Economic and Policy Research, airlines plan fundraising on the stock market as favourable conditions in the stock market are in reach. This may therefore be a good solution for them to access more financial sources for operations amid the pandemic.

However, many experts warn that it will not be easy for air carriers to mobilise tens of trillions of VND in the stock market at this time because their tickers are simply less attractive than others.

In a specific case, the Ho Chi Minh City Stock Exchange decided to issue warnings to HVN, the ticker of Vietnam Airlines, from April 15 due to business losses. An expert at FPT Securities told VIR, “HVN has fallen in recent days due to serious concerns over COVID-19.”

Also, VJC – the ticker of Vietjet – also saw a downtrend from over $5.66 per share on April 22 and $5.53 on April 27 to $5.47 on April 28.

Bamboo Airways is currently selecting an international auditing company to prepare for its initial public offering (IPO) in the United States, planned for the third quarter.

Chairman Trinh Van Quyet, also the chairman of private-run property developer FLC Group, said that the airline aims to raise $200 million in the IPO by offering 5-7 per cent of stake at a starting price of VND60,000-80,000 per share ($2.60-3.47), thus increasing its market capitalisation to $4 billion.

“The IPO in the US is part of Bamboo Airways’ efforts to expand its services globally,” Quyet said. “This is the latest development of the airline and the IPO on a local stock exchange is a backup plan, depending on market conditions.”

In similar moves, Vietjet offered nearly 18 million treasury shares on the Ho Chi Minh Stock Exchange from March 30 to April 28 to increase its working capital. Elsewhere, national flag carrier Vietnam Airlines, in which the state holds 86 per cent, has received government approval to issue additional shares worth VND8 trillion ($348 million) regardless of the issuance schedule.

Together with issuance plans, airlines are seeking government support policies on loans after Vietnam Airlines earlier received refinancing loans worth VND4 trillion ($174 million) with interest rates for refinancing loans set at zero per year.

Specifically, Vietjet seeks a loan of VND4-5 trillion ($174-217 million) with a term extending to 2023 and lending rate of 4 per cent annually. In the meantime, Bamboo Airways also seeks a loan of VND10 trillion ($435 million).

While Anh said that the government should have similar credit supporting policies for airlines to ensure equal treatment, others suggested careful consideration to ensure fair treatment, as aviation is not the only sector badly hit by COVID-19.

As a result of the uncertainty, airline expansion and restructuring plans are inevitably placed on the back-burner. Market analysts forecast that the struggling sector will start recovering at the end of this year, with expectations pinned on regular international flights for those with “vaccine passports”. But numerous obstacles abound in terms of adequacy of evidence, effectiveness, technology, and vaccine efficacy.

Vietnam emerges as top alternative for global supply chain shift

The number of US-based companies seeing Vietnam as a top sourcing market has doubled over the past four years as a result of the global investment relocation trend from China.

Hong Kong-based QIMA specialised in providing supply chain compliance solutions has just released a survey of over 700 companies across the globe. Of this, the number of US-based respondents selecting the Southeast Asian country as the leading sourcing location has doubled against four years ago, to 43 per cent in early 2021.

Similarly, 25 per cent of EU companies also listed Vietnam as one of the three leading sourcing markets in this year’s first quarter, down 15 per cent on-year but up 11 per cent against the same period of 2019.

Of all establishments switching to suppliers in new geographic regions last year to avoid COVID-19 impacts, nearly one-third revealed that the 100-million population country is one of their best options. For US-based business, the rate was even higher, at 40 per cent.

QIMA also forecast the trend to continue this year. Of the companies asked for finding new suppliers over the next 12 months, 38 per cent of US-based establishments and 28 per cent of those from the EU stated that they are planning to relocate some sourcing to Vietnam or buy more from current suppliers there. On the other hand, only 6 per cent of US-based brands and 11 per cent of those from the EU were looking for suppliers in China.

Also, US-based respondents showed some signs of dissatisfaction with Chinese sourcing. While one-third of them are planning to purchase more from Chinese suppliers in 2021, almost as many reported plans to completely stop buying from the market.

Nevertheless, words and actions often differ. Pointedly, in the survey, 73 per cent of companies said they had plans to look for new suppliers in 2020 but only 38 per cent were able to follow through on those schemes. For brands headquartered in the US, 93 per cent declared to diversify supply chains in early 2020 but only 49 per cent carried out these plans.

Indonesia speeds up foreign investment appeal with Vietnam and Singapore

Indonesia is stepping on the gas in the race for foreign investment with Vietnam and Singapore, with new incentives targeting the production of electric vehicles and batteries.

To compete with Vietnam and Singapore, Indonesia is offering plenty of made-to-measure inducements, including the latest programmes accepting carbon offset, according to Bloomberg newswire.

The 270 million population country is reviewing its carbon-offset programmes to promote investment. The Indonesia Investment Coordinating Board is drawing up a list of peatlands which can store huge volumes of CO2 emissions, and also artificial lakes that could house solar panels, according to Nurul Ichwan, deputy chairman for Investment Planning at the Indonesia Investment Coordinating Board.

Bloomberg stated that the moves aimed to lure in electric vehicle and battery makers who want to source nickel from the country.

The Indonesian government has attempted to attract South Korea-based LG Chem that is present in Vietnam, China-based battery manufacturer Amperex Technology, and US-based electric car maker Tesla to set up shop in the country.

Ichwan said that Vietnam and Singapore offer similar incentives for overseas investors, however, Indonesia will draw in many big investment projects on account of its natural resources, large market, economic efficiency, and the directions of the country’s government.

The Indonesian administration late last year approved the Omnibus Law creating jobs for labourers in the nation. Accordingly, the law favours foreign investors pouring in large capital to develop industries, said Ichwan.

Similar to Vietnam, Indonesia has found that its traditional growth engines have all seen a downturn during the COVID-19 pandemic and the country is looking for investment into more modern industries such as manufacturing electric vehicles and batteries.

The competition for foreign capital has been heating up in Southeast Asia like Vietnam, Thailand and the Philippines which are all lowering tax rates and rolling out other incentives for foreign companies. As a result, Indonesia – the region’s largest economy – has accelerated policy reforms to encourage investment for years now.

The efforts have been paying off: in 2020, the country received Rp826 trillion ($57.2 billion) in total investment capital, up 2 per cent on-year. This is a positive sign as the nation has experienced the first recession over two decades due to the pandemic. Indonesian government targets to get Rp900 trillion ($62.5 billion) in investment this year.

Southern provinces brace for high temperature

The Hydrometeorological Forecasting Center for Southern Region stated that the southern provinces will witness hot weather throughout May, with temperatures expecting to reach 35 degrees Celsius or even higher.

May 4 was a sunny day for many areas within the Southern region as the Eastern provinces and some areas in the Western provinces experienced hot weather, with the temperature oscillating between 35 and 36 degrees Celsius at 1.00 p.m.

Throughout May 5, most southern provinces will experience sunny weather, which will gradually intensify in the afternoon, the local media reported.

The intensity of the heat in the Southern region will decline as the areas affected by the hot weather will narrow down compared to yesterday.

The highest temperature for today is predicted to oscillate between 33 and 35 degrees Celsius, with some places experiencing temperature over 35 degrees Celsius. Convective clouds are likely to develop gradually, causing thunderstorms at approximately one third of the affected area, while local areas will have moderate to heavy rain in certain areas.

Vietnam identifies three locally-infected cases of Indian coronavirus variant

Three locally-transmitted Covid-19 cases linked to Sunny Club in Vinh Phuc Province have been found infected with the Indian coronavirus variant.

The Ministry of Health today, May 4, released the results of a genetic analysis of the virus from the locally-infected cases which have been reported recently in Vinh Phuc, Ha Nam, Hung Yen and Ha Tinh provinces.

Three samples of three employees of Sunny Club in Vinh Phuc Province tested positive for the Indian variant, while six samples in Ha Nam, two samples in Hung Yen and two others in Ha Tinh came out positive for the UK coronavirus variant.

On May 2 and 3, Vinh Phuc Province reported 14 community-transmitted Covid-19 cases related to Sunny Club, which were suspected to have caught the virus from Chinese experts. After these Chinese experts completed their quarantine period at the same quarantine facility as a group of Indian experts in Yen Bai Province, they travelled to Vinh Phuc Province.

The Indian coronavirus variant is said to be more transmissible than others and reduce the efficacy of Covid-19 vaccines, the local media reported.

Danang imposes ban on beach swimming, events to prevent Covid-19 wave

Earlier this morning, May 4, a warning tape fence was placed along the over 20-kilometer-long Danang coastal road, stretching from the Nam O beach (in Lien Chieu District) to the Marble Mount area.

This is in response to the official letter by the Danang People’s Committee last night on strengthening prevention measures against Covid-19 after a case was discovered in the central city on the same day.

Specifically, gymnastics, sports, bodybuilding at the gym, yoga, billiards, indoor sports activities, sports and martial arts and swimming on the beach were banned from May 4 until further notice.

Nguyen Van Loi, owner of an establishment offering freshwater bathing and parking services near My Khe beach in Son Tra District, said that earlier this morning, many people went to the beach as usual, but they had to return because it was forbidden by the local authorities.

This is the latest beach swimming ban in Danang after the first two in March and August 2020 when the Covid-19 waves broke out.

In addition to swimming activities being banned, some other activities in Danang were also suspended, including cultural and entertainment festivals.

Those running entertainment and beauty establishments, bars, pubs, discos, karaoke and massage parlors, video game arcades, movie theaters, casinos and public internet services must also remain shut. Activities at walking streets, night markets or dining with more than 30 people have also been prohibited.

Public passenger transportation services are available, but they must carry no more than half of the allowed number of people for each type of vehicle, ensuring safety.

This morning, Le Trung Chinh, Chairman of the Danang People’s Committee, signed an official letter, proposing all students take 4-5 days off school until further notice.

Previously, the Steering Committee for Covid-19 Epidemic Prevention in Danang had announced a Covid-19 case.

Phu An Hotel where the patient worked has been shut down, while 11 people working there have also been quarantined at the hotel.

In another development, the  government of Hoi An City in Quang Nam Province also suspended visits to the ancient town, traditional crafts villages and pedestrian streets from May 4.

Prices of consumer goods about to climb

The promotional program to stimulate the purchasing power on the occasion of the Reunification Day and the International Workers’ Day is going to end, while the prices of input materials have been climbing sharply, significantly affecting the pressure of increasing the selling prices of many essential goods.

Although there have not any official statistics from the authorities yet, according to some retailers and enterprises, the purchasing power in the last holidays increased by two times compared to normal days. Many retailers reduced prices sharply on thousands of products. Particularly, fresh food discounted 10-20 percent, kitchen utensils dropped 21-47 percent, and health care products offered a discount of 50 percent for the second item.

According to the representative of Co.opmart supermarkets, because the holiday of the Reunification Day and the International Workers’ Day this year lasted for four days, the purchasing power at Co.opmart supermarket network, on average, rose two to four times higher compared to normal days. The highest increase in the purchasing power focused on fresh foods, some types of processed foods, frozen goods, beer, and soft drinks. Other products, such as household appliances and garments, were being strongly discounted, so the purchasing power also doubled compared to before.

Similarly, at Lotte Mart, Emart, and MM Mega Market An Phu, in recent days, the purchasing power has also increased significantly and increased drastically in the afternoons and evenings of the holiday, focusing on fresh food products, including meat, fish, seafood, fruits, and vegetables. Items, such as confectionery, canned food, and garments, were also interested by consumers. Ms. Nguyen An Nhien, a resident in Thu Duc City said that the holiday is a “golden” opportunity for her family to buy many items at the best prices. For instance, Emart currently offers promotions for hundreds of essential items with attractive combo gift packages applicable to food, beverages, cosmetics, clothing, and household appliances. To meet the increasing shopping demand on the occasion of the holiday, supermarkets have also enhanced their staff of all stages, at the same time, increased the source of goods to best ensure the demand of customers.

Shopping centers in Ho Chi Minh City, especially Vincom Center, Takashimaya, and Giga Mall, were always highly patronized. Besides the need for window shopping, entertainment, shopping, and dining, a large number of visitors go to the shopping centers to escape the heat, contributing to making the atmosphere of these places bustling during the holiday.

In terms of prices during the holiday, retailers had worked closely with suppliers to reduce prices by up to 50 percent for various products to stimulate consumer demand, so they have created a stable common ground of selling prices. The supply of goods for the market is plentiful and diverse. At traditional wet markets, many small traders said that the selling prices of all kinds of goods were fairly stable. The groups of items that were bought heavily at the markets included fresh food, fruits, and ready-made clothes.

According to forecasts of the domestic market management unit, in May and the coming time, the market of essential goods will not have any major fluctuation in supply and demand. However, the impacts of the global prices or the increase in import duties on some input materials in the first months of the year will affect the prices of some commodities, such as agricultural products, milk, and processed foods.

It is recorded that the prices of some items retailed at grocery stores, such as instant noodles, seasoning powder, spice powder, cooking oil, and cake flour, increased by 7-10 percent compared to those at the end of last year. Some cake flour producers explained that the prices of many input materials increased by up to 20 percent. Currently, the purchasing power in the market remains weak, if they increase the selling prices of finished products based on the prices of raw materials, it will be difficult to convince consumers. Therefore, for these manufacturing enterprises, increasing the selling prices at this time is a necessary evil.

The group of fresh food products, such as poultry meat and eggs, also increased by 10-15 percent compared to the beginning of 2021. This situation is because the price of animal feed surged by more than 20 percent and that of packaging went up by about 15 percent. Besides, the pressure to increase the selling prices of many fresh foods also comes from the increasing gasoline prices, which affected freight rates from provinces to HCMC.

A representative of the purchasing department of one of the major distribution network in HCMC said that although suppliers sent requests to increase the selling prices, mainly the group of fast-moving consumer goods, from May, to harmonize the interests of all parties, the supermarket will carefully consider the possibility of increasing the selling price of each item, as well as the group of goods, avoiding causing a disturbance in the general price level of commodities, affecting consumer psychology. Besides the increase in the prices of input materials, the prices of many product groups are higher than before because the promotional program has ended.

The selling prices of some products may increase slightly, but essential goods will certainly be plentiful and diverse. Even the group of items serving the prevention of the Covid-19 pandemic, such as hand sanitizers and masks, are also fully prepared.

To continue stabilizing the goods and services market, the domestic market management unit recommended ministries, industries, and localities to continue to closely coordinate in the management of market and prices of goods and propaganda to create consensus in public opinion with the State’s administration, and stabilize the commodity market.

Chili price sinks heavily, farmers forsake harvesting

According to the journalist of Sai Gon Giai Phong Newspaper, farmers in Phu My District and some midland and mountainous districts of Binh Dinh Province have entered the harvest of chilies. This year, thanks to favorable weather, chili plants give more fruits than in previous years. Because farmers harvest chilies at the same time, the price of chilies drops steeply.

In Phu My District, traders are buying bird’s eye chilies for only VND3,000-VND5,000 per kilogram while at the beginning of the season, the price was VND15,000 per kilogram. Many chili farmers even cannot find any trader to sell. Many households with a large area of chilies have to leave the ripe chilies in the field because they cannot afford to hire workers to pick them.

The representative of the Department of Agriculture and Rural Development of Phu My District said that the growing area of chilies in the whole district this year was about 1,262 hectares, an increase of 30 hectares compared to last year. This year, the yield of chilies is extremely high, from 1 to 1.5 tons per 500 square meters. Currently, the price of chilies is too low, so the locality has reported to the higher level to find a solution to help farmers.

Vietnam trade turnover records 10-year high growth to US$207 billion in Jan-Apr

Vietnam posted a trade surplus of US$1.29 billion during the four-month period, a positive result amid difficult global trade environment as a result of the Covid-19 pandemic.

Vietnam’s trade turnover in the January-April period rose by a 10-year high growth of 29.5% year-on-year to reach US$206.5 billion, the General Statistics Office (GSO) has said in a monthly report.

Upon breaking down, the country’s exports during the period surged by 28.3% year-on-year to US$103.9 billion, while imports were estimated at US$102.61 billion, up 30.8%.

As Vietnam reported an estimated trade deficit of US$1.5 billion in April, the overall trade surplus in the first four months of 2021 was narrowed to US$1.29 billion, but remained a positive note amid difficult global trade environment as a result of the Covid-19 pandemic.

According to the GSO, the foreign-invested sector made up 75.2% of the total exports with US$78.14 billion, representing an increase of 34.4% year-on-year, while the domestic-invested sector exported US$25.76 billion, or 24.8% of the total.

Among Vietnam’s key export staples, phones and parts earned the largest export turnover during the January-April period of US$18.4 billion, up 19.4% year-on-year and accounting for 17.7% of Vietnam’s total exports.

In addition, electronic products, computers and components have earned an estimated US$15.9 billion, up 30.8% year-on-year; followed by equipment and parts (US$12 billion and up 76.9%); garments (US$9.5 billion and up 9%).

Deputy Director of the Ministry of Industry and Trade’s Import and Export Department Tran Thanh Hai attributed Vietnam’s effective measures against the Covid-19 pandemic to its strong performance in trade.

“No disruption to business and production activities was key to help local traders fulfill their  their foreign peers’ orders,” said Hai.

Meanwhile, efforts from Vietnamese enterprises in adjusting to the new situation during the pandemic have also been decisive, he noted.

On the trade outlook for this year, Deputy Minister of Industry and Trade Do Thang Hai warned any resurgence of the Covid-19 pandemic would cause negative impacts on trade activities.

“Given the current context, safety measures to combat the pandemic continue to be the utmost priority,” said Hai.

Amid growing uncertainties surrounding the pandemic situation, Head of the Macroeconomic Policy Department under the Central Institute for Economic Management (CIEM) Nguyen Anh Duong called for enterprises to focus on markets having free trade agreements (FTAs) with Vietnam.

In the first four months of the year, the US, China, EU, ASEAN and South Korea remained Vietnam’s largest five export markets.

Meanwhile, China continued to be Vietnam’s largest supplier, selling US$33.1 billion worth of goods to Vietnam, or an increase of 47.8% year-on-year.

South Korea claimed the second place by exporting US$16.9 billion worth of goods to Vietnam, up 16.9% year-on-year, followed by ASEAN countries with US$14.1 billion, up 48.2%.

COVID-19 developments remain complicated in regional countries

The Lao Ministry of Health confirmed 46 new COVID-19 cases on May 5, mostly in Vientiane and Bokeo province with 19 and 15 cases, respectively.

According to the ministry, the decreased number of newly-confirmed cases showed the efficiency of drastic measures applied by the Lao Government.

From May 4, the Lao government decided to apply lockdown for additional 15 days until May 20.

So far, Laos has discovered 1,072 COVID-19 cases, including 99 recoveries and no death.

Meanwhile in Thailand, the pandemic is still developing complicatedly with 2,112 new cases confirmed on May 5 and 15 deaths, raising the total cases to 74,000 cases, with 318 deaths.

Bangkok is still a hot spot of COVID-19 with 789 cases.

In Indonesia, 155,000 soldiers and policemen will be deployed within the framework of Operation Ketupat Jaya 2021 from May 6-17 to minimise the spreading of COVID-19 during the Muslims Eid al-Fitr holidays from May 13-14.

Some 4,276 personnel will be stationed in the capital city and its adjoining areas. The Jakarta Police will deploy these personnel at 14 isolation points and 17 check points.

The Operation Ketupat Jaya 2021 is being conducted to block access to and from Jabodetabek, to maintain security, and to monitor the implementation of health protocols to stem the transmission of the coronavirus disease before, during, and after Eid al-Fitr, among others.

Meanwhile, spokesperson for the COVID-19 Handling Task Force Wiku Adisasmito affirmed that all forms of homecoming activities, including the local homecoming, are banned during Ramadan and Eid al-Fitr to lower the rate of COVID-19 infection.

At the same time, Malaysia’s capital city of Kuala Lumpur will re-apply movement control order (MCO) from May 7. This will be the third time the city is placed in MCO to control the COVID-19 pandemic.

Malaysian Defence Minister Ismail Sabri Yaakob said that the order is given after 17 new clusters were recorded.

The order will be applied until May 20. Food premises, such as restaurants, food trucks, hawkers and kiosks, are allowed to operate from 6am to midnight only. Dine-ins are not allowed and food served are for delivery and takeaways only.

Malaysia on May 5 logged 3,744 new cases in the last 24 hours to bring the total to 424,376. There were 17 more deaths, bringing the total fatalities to 1,591.

The MCO was applied for the first time on March 18, 2020 and the second time on January 13, 2021.

The same day, Executive Secretary of the Philippine Presidential Office Salvador Medialdea said that the Southeast Asian country will ban tourists from Pakistan, Nepal, Sri Lanka and Bangladesh from May 7-14 as part of efforts to prevent the entry of SARS-CoV-2 variants found in India.

Earlier, the Philippines banned travelers from India from April 29 to May 14.

On May 5, the country confirmed 5,685 new COVID-19 cases and 178 deaths, raising the count to more than 1 million with 17,800 deaths.

In Cambodia, Prime Minister Hun Sen on May 5 ordered to vaccinate more than 52,000 people in all areas in the red zones of Phnom Penh with COVID-19 vaccines, with the administration of the first dose to be completed soon and the second dose to commence once the stipulated time frame has been reached.

To date, more than 1.5 million people have been vaccinated with either Sinopharm, Sinovac or Covishield (AstraZenacca vaccines) since February 10.

The same day, the Cambodian Ministry of Health confirmed 672 new cases, raising the total cases to 16,971, including 110 deaths./.

Party chief commends role of banking sector in growth

Party General Secretary Nguyen Phu Trong lauded efforts and achievements made by the banking sector during the national cause of economic development as he delivered a speech at a ceremony marking the sector’s 70th founding anniversary (May 6).

Describing the sector as the lifeblood of the economy, he hoped it to continue contributing to the nation’s reform, industrialisation and modernisation.

The Party leader recommended the sector enhance the efficiency of the State Bank of Vietnam (SBV)’s management and monetary policy, while ensuring the security, safety, and effectiveness of credit organisations’ operations.

The sector should keep up its efforts to control inflation, stabilise the macroeconomy, mobilise and meet demand for credit, and offer banking services serving socio-economic growth, Trong said.

At the event held on May 5, State Bank Governor Nguyen Thi Hong underscored the SBV will closely follow orientations and policies issued under the 13th Nation Party Congress’s Resolution in directing and managing banking activities in contribution to realizing targets set in the 2021 – 2025 plan and 2021 – 2030 strategy for socio-economic development as well as the vision toward 2045.

The SBV will boost the effectiveness of its monetary policy monitoring and its capacity to adapt to domestic and global economic fluctuations so as to realize the goals of inflation control, stable macroeconomics, helping enhance the economy’s independence and autonomy amid international integration, she noted.

Restructuring, completing legal frameworks, diversifying services, and promoting administration reform and innovation are also other tasks of the sector, the SBV governor added.

On the occasion, the SBV was conferred with the Labour Order, first class./.

Source: VNA/VNS/VOV/VIR/SGT/Nhan Dan/Hanoitimes

By Hara Nguyen

Deputy Minister of Foreign Affairs Nguyen Quoc Dung on April 27 hosted a reception for Indian Ambassador to Vietnam Pranay Kumar Verma, during which he affirmed Vietnam’s solidarity and readiness to stand side by side with the Indian government and people in the fight against the COVID-19 pandemic.

Dung expressed his sympathy over hardships and damage caused by the second COVID-19 wave in India, voicing his belief that the country will soon overcome this difficult time and challenges.

He also conveyed the sympathies of Vietnamese leaders and people to their Indian counterparts.

In reply, the Indian Ambassador briefed his host on the COVID-19 situation in the South Asian nation and voiced his gratitude for the sentiments and support of the Vietnamese Government and people for India.

He affirmed that the Indian government will create the best conditions and exert efforts to ensure safety for Vietnamese citizens living, working and studying in India./.

Vietnamese nationals must not return home illegally: Vietnamese embassy

The Vietnamese Embassy in Thailand has called on Vietnamese nationals to strictly follow COVID-19 prevention measures in the host country in the face of increasing infections recorded in the country over recent days.

In an announcement on April 27, the embassy said it is working with Vietnamese and Thai authorities to arrange repatriation flights for Vietnamese citizens and has asked them not to return to the homeland illegally.

The Thai Government is introducing new restrictions to halt the country’s spiralling outbreak, the embassy said.

Wearing a face mask is now compulsory in Bangkok and 46 other provinces. Those not doing so risk a fine of up to 20,000 THB (640 USD).

Vietnamese nationals are advised to avoid public spaces and travel, and to contact Thai authorities for support if they exhibit symptoms of the coronavirus disease.

They should contact the embassy via its citizen protection hotline on ( 66) 898 966 653 or ( 66) 2650 8979.

The embassy will continue keeping a close watch on COVID-19 developments in the country, and stay in touch with Thai authorities to remain updated.

Thailand reported 15 new fatalities from the pandemic on April 27 – a new record for the third time in four days during a growing third wave of infections.

Some 2,179 new infections were reported on the day, bringing the total number of confirmed cases in the country to 59,687. Fatalities now stand at 163.

The Thai Government will adopt a single command system to improve the efficiency of the national COVID-19 vaccination drive, with the aim of vaccinating about 30 million people over the next three months and 50 million by the end of the year.

According to a post on Prime Minister Prayut Chan-o-cha’s official Facebook page, he has met with advisers at the Government House to discuss ways to ramp up the distribution of vaccines, which is a top national priority.

The Government will do everything in its power to procure more doses to support the national vaccination drive, with a target of purchasing 10-15 million doses a month from several manufacturers, according to the post./.

Information ministry calls for use of COVID-19 tracing tools

The Ministry of Information and Communications (MIC) has issued a document guiding the use of tools to prevent, control, and trace COVID-19 cases in the community, as travel demand is forecast to soar during the April 30 – May 1 holiday.

The set of tools comprise the Bluezone app, which issues alerts on any contact with suspected cases, and the NCOVI app, which manages voluntary health declarations and a COVID-19 tracking map.

According to the MIC’s Authority of Information Technology Application, QR scanning in public places plays an important role in the fight against the pandemic. It should be carried out on Bluezone, NCOVI, and Vietnam Health Declaration.

The ministry affirmed that the widespread use of these tools will help to precisely trace areas with suspected cases.

Vietnam had reported no new COVID-19 infections for 12 hours as of 6am on April 27, with its tally unchanged at 2,852 cases, according to the Ministry of Health.

The ministry’s Medical Examination and Treatment Department said that a total 2,516 COVID-19 patients have been given the all clear. The death toll remains at 35./.

CAAV orders tightened aviation security at airports

The aviation security control must be tightened and raised to Level 1 before, during and after the four-day holiday of Southern Liberation and National Reunification Day (April 30) and International Labour Day (May 1), the Civil Aviation Authority of Vietnam (CAAV) has recently requested.

Accordingly, security measures will be enhanced at all units in the sector, including airport authorities, airports, aviation service providers and air traffic service suppliers.

They are asked to increase personnel for aviation security control, examine and supplement necessary equipment, while preparing measures to improve service quality which helps meet travel demand of people.

Under current regulations, when there are high risks to aviation security, security control measures can be tightened in three levels.

Level 1 is applied in case of nationally important socio-political events, or complicated situations of political security and social order.

Level 2 is applied when there is intelligence information about an illegal interference plot in civil aviation activities with places, targets and time undetermined; or in case of serious political insecurity and social disorder in localities.

Meanwhile, level 3 is applied when there is verified information about an illegal interference plot in civil aviation activities with specific places, targets and time; or in case of extremely serious political insecurity and social disorder in localities.

Travel demand during public holiday is expected to increase significantly.

According to a survey conducted by the Vietnam Tourism Advisory Board and VnExpress.net in March, of 3,500 respondents, 53.4 percent had plans to travel between May and September while 30.2 percent said they were ready to go on holidays in March and April.

The top 10 getaways are Da Nang, Kien Giang, Lam Dong, Lao Cai, Khanh Hoa, Quang Ninh, Binh Dinh, Binh Thuan, Ha Giang, and Quang Nam, the survey revealed.

Meanwhile, travel firms said that up to 60 percent of tours have been booked for the four-day holidays. Tourists are booking mostly short-distance trips and brief stays in Sa Pa, Ha Long, Phu Quoc, Da Nang, Da Lat, and Con Dao Island.

Vietravel said that around 60 percent of its vacation packages, which include flights, car rentals, and hotels, have been bought.

Condolences extended to Indonesia over submarine sinking

State President Nguyen Xuan Phuc has extended condolences to Indonesian President Joko Widodo over the recent submarine sinking.

Media in Indonesia reported that KRI Nanggala-402 became untraceable on April 22 during live torpedo training exercises off the Indonesian holiday island of Bali.

The 40-year-old submarine was found split into three pieces on the sea bed after five days of search efforts. All the vessel’s 53 crew have been confirmed dead.

The same day, Prime Minister Pham Minh Chinh also cabled a message of condolences to President Joko Widodo over the tragedy./.

Hanoi, Hai Duong reinforce COVID-19 prevention efforts

A woman passes through a “face mask required” sign on downtown Hanoi’s Hoan Kiem Lake

In an official dispatch, the Party Committee of Hanoi ordered the suspension of festivals and pedestrian zones in the city, and restriction of non-essential events with mass gatherings. In case the events are held, preventive measures must be in place.

If COVID-19 infections are detected, contact tracing and quarantine must be promptly rolled out to curb the spread of the pandemic.

Local people are asked to closely follow the 5K message and wear face masks in public places.

Meanwhile, leaders of Hai Duong proivnce requested relevant agencies to bolster communications to raise public awareness.

Hai Duong police will work with departments, sectors, localities and inspection groups in illegal entry prevention and supervision at concentrated quarantine facilities and homes.

People are recommended to refrain from travelling to crowded places and those with high COVID-19 risks, especially as the National Reunification Day (April 30) and May Day holidays are approaching.

Non-essential services in the province like massage parlors, karaoke, bars and discotheques will continue to be suspended until further notice, while vaccinations are asked to be sped up.

As of 5 pm on April 27, Hai Duong has neither COVID-19 patients under treatment nor people staying in quarantine for having close contact with infected people.

The province reported 726 cases in the resurgence of COVID-19 outbreaks that began on January 27./.

VBS requires strict following of COVID-19 prevention measures at places of worship

The Vietnam Buddhist Sangha (VBS) has called for the mandatory wearing of face masks and strict adherence to COVID-19 prevention regulations at pagodas and monasteries nationwide amid the ongoing complex developments of the pandemic.

Vice President and General Secretary of the VBS Executive Council, Venerable Thich Duc Thien, stressed that COVID-19 prevention measures must be enhanced at places of worship around the country.

VBS chapters in all 63 cities and provinces have been asked to strictly implement requirements, he said.

The Ministry of Health’s 5K message – khau trang (face masks), khu khuan (disinfectant), khoang cach (distancing), khong tu tap (no gatherings), and khai bao y te (health declarations) – must be seriously observed, he added.

He also called on people to report any instance of illegal entry, in order to effectively contain the spread of the virus./.

Da Nang tops ICT Index for 12th straight year

The central city of Da Nang has maintained its leading position in terms of readiness for information and communications technology (ICT) development and application, after topping the Vietnam ICT Index rankings for the 12th consecutive year.

In the rankings for 2020, the city led the way with a total score of 0.9238, followed by the neighbouring province of Thua Thien-Hue.

Compiled by the Ministry of Information and Communications since 2005 and based on UN criteria, the Vietnam ICT Index assesses technical infrastructure, IT application, online public services, and the IT industry.

It has secured a prestigious reputation over the years and serves as a foundation for the ministry and local authorities to adopt appropriate decisions and policies to develop the ICT sector and the IT industry./.

Vietnam treasures comprehensive strategic partnership with Russia

Vietnam always attaches importance to the comprehensive strategic partnership with Russia, Foreign Minister Bui Thanh Son told his Russian counterpart Sergei Lavrov on April 27.

During his phone talks with the Russian minister, Son affirmed that Russia is among leading important partners in Vietnam’s foreign policy, and congratulated the country on its success in containing COVID-19, especially in vaccine research and production.

Despite the pandemic, Vietnam and Russia have maintained exchanges, with many phone talks held between their high-ranking leaders, contributing to promoting the bilateral cooperation across spheres, Son said.

The ministers discussed Vietnam-Russia collaboration, covering politics-diplomacy, security-national defence, economy-trade, investment, energy-oil and gas, and COVID-19 prevention and control.

They also compared notes on cooperation between the two foreign ministries and coordination between the two countries at multilateral forums, including the United Nations Security Council (UNSC) and ASEAN.

Both expressed their hope to well organise activities during the Vietnam-Russia and Russia-Vietnam Year in 2021.

Minister Son used the occasion to thank Russia for supporting Vietnam’s ASEAN Chairmanship in 2020, and non-permanent membership of the UNSC for 2020-2021.

Vietnam is willing to closely coordinate with Russia and other ASEAN countries in organising activities marking the 25th anniversary of the ASEAN-Russia relations (1996-2021), Son said.

For his part, the Russian minister lauded Vietnam’s performance in external affairs, as well as the country’s increasingly impressive role in regional and international arena.

On this occasion, Lavrov invited Son to visit Russia at a convenient time. The Vietnamese minister accepted the invitation with pleasure.

Religious communities offer support to Cambodia, Laos amid COVID-19 spread

The Archdiocese of Ho Chi Minh City on April 27 called on followers to make contributions to present 4 million face masks to people in Phnom Penh, Cambodia, in a bid to ease their difficulties amid the ravaging COVID-19 pandemic.

Most Venerable Thich Tri Quang, Deputy Patriarch of the Vietnam Buddhist Sangha and Chairman of the Executive Council of the HCM City Buddhist Sangha, donated 100 million VND (over 4,300 USD) while a charitable group of the HCM City Buddhist Sangha presented 500 million VND to support disadvantaged Buddhist followers and people hit by COVID-19 in Laos and Cambodia.

Phnom Penh capital of Cambodia has been hardest-hit by COVID-19 in recent weeks, with hundreds of new cases being reported daily.

By the afternoon of April 27, Cambodia had logged 11,063 COVID-19 infections and 82 fatalities.

Meanwhile, a total of 511 COVID-19 cases were reported across 15 out of 18 provinces and cities of Laos./.

Working group heads to Truong Sa island district

A working group headed to Truong Sa (Spratly) island district and DK1 Platform on April 26 from Cam Ranh city in the central coastal province of Khanh Hoa.

A farewell ceremony for the group, including officers and soldiers of the Naval Zone 4 High Command, representatives departments and agencies, and journalists, was held by the Naval Zone 4 High Command and the provincial People’s Committee.

The delegation will present necessities to soldiers and residents in the island district, according to Rear Admiral Phan Tuan Hung, Deputy Commander of the Naval Force.

They are scheduled to visit DK1 Platform and several islands in the Truong Sa archipelago, where they will meet with officers, soldiers, and local people.

On this occasion, the delegation of National Assembly deputies of Khanh Hoa province will also present certificates of merit from the provincial People’s Committee to collectives that performed strongly in fulfilling national defence and security tasks in 2020./.

Photo exhibition marks 46th anniversary of National Reunification Day

Twenty-one prize-winning photos in a contest named “Tu Hao Mot Dai Bien Cuong” (Pride in the frontier strip) are on display at an exhibition launched in Ho Chi Minh City on April 26.

These works vividly reflect daily life and the beauty of distinctive architectural works, festivals and folk arts of ethnic minority people living along the border; and life of on-duty border guard officers who stay ready to defend the country’s sovereignty and border security.

The exhibition will run through May 7./.

Localities intensify COVID-19 prevention measures ahead of holidays

Increased pandemic prevention measures have been noticed in cities and provinces nationwide, as the Reunification Day (April 30) and Labour Day (May 1) holidays approach.

Strict fines are imposed on people without facemasks in public places in Ho Chi Minh City, the local authorities said in an urgent direction issued on April 26.

Accordingly, public-awareness-raising communications on COVID-19 and pandemic prevention and control measures have been ordered, with restrictions in place for mass gatherings. Those involved in organising illegal entries in the city also face strict punishments.

The same day, Vice Chairman of the Hanoi People’s Committee Chu Xuan Dung emphasized a high risk of new outbreaks during and after the upcoming holidays at a meeting of the municipal Steering Committee for COVID-19 Prevention and Control on April 26.

He urged the active implementation of pandemic measures that prioritise early detection, quick quarantine, and effective treatment. Wearing facemask is a must in public areas and on public transport vehicles; and events that gather a large number of people are restricted.

The capital will continue its vaccination drive correctly, safely, and efficiently, according to Dung.

Also on April 26, Minister of Health Nguyen Thanh Long had a working session with the Can Tho People’s Committee, asking the Mekong Delta city to soon complete its national-level COVID-19 treatment hospital and prepare for complicated developments of the epidemic in the future.

For the work to be done, he assigned the Can Tho General Hospital to collaborate with localities and the Can Tho University of Medicine and Pharmacy.

Can Tho also needs to establish a 400-bed COVID-19 treatment hospital in Phong Dien district that is capable of accommodating up to 800 beds when necessary, the minister underscored./.

Nation to enjoy sunny April 30-May 1 holidays

All regions across the country are expected to see sunny weather on the upcoming National Reunification Day (April 30) and May Day (May 1) holidays, according to the National Centre for Hydro-Meteorological Forecasting.

In the northern and north-central region, rains are forecast to reduce on April 29. From April 30, the weather will be good again with cool temperature, according to the centre. However, high temperature is forecast in certain areas such as northwest as well as northern and central mountainous regions.

From April 30 to May 3, the northern region is expected to enjoy sunny weather, but a hot spell is forecast for the northwest region in the daytime and rains at night.

Hanoi is predicted to enjoy sunny weather in the daytime but whirlwinds and rains at night. The central coastal, central and Central Highlands regions are expected to experience the same developments of weather.

Meanwhile in Ho Chi Minh City, the weather will be good with sunlight in the morning and potential rains, thunder and whirlwinds in the afternoon and night./.

Multiple tourism products, services launched in HCMC

HCMC is launching a series of tourism introduction programs between April 25 and August 15 to attract domestic visitors to the city, while many three- to five-star hotels are also lowering room prices by up to 65% during the period.

Apart from many tourist destinations and special eateries, various new check-in points and street food in HCMC will be introduced through these tourism programs, according to the HCMC Department of Tourism.

The city will be offering new tours, including “Throwing back at the history-Silent Footprints-Saigon Army Rangers”, telling visitors about the stories of HCMC, “Can Gio- a different Saigon” and “Back to sacred place”, in which tourists will be taken to Binh Chanh to explore historic fights against French troops.

The “Talking with typical three-generation families of artists in HCMC” program will also bring new experiences to tourists.

In addition, traditional plays of hat boi, a genre of Vietnamese traditional drama, which is over 500 years old, will be performed at the Lang Ong Ba Chieu Temple, where the tombs of Le Van Duyet and his wife lie, or the Saigon Zoo & Botanical Garden.

Aside from reducing room prices, many hotels such as Nikko Saigon, Park Hyatt Saigon and Le Meriden are rolling out staycation packages for the city’s residents.

Report claims right to autonomy and self-determination

Nearly half of women in 57 developing countries are denied the right to bodily autonomy, said a report released on Thursday.

The United Nations Population Fund (UNFPA)’s 2021 flagship report – State of World Population – was launched in cooperation with the Ministry of Home Affairs and the HCM Central Youth Union.

For the first time, a UN report focuses on the topic of bodily autonomy, without fear of violence or having someone else decide for you.

The report shows that in countries where data is available, only 55 per cent of women are fully empowered to make choices over healthcare, contraception and sexual relations.

Only 71 per cent of countries guarantee access to overall maternity care.

Only about 56 per cent of countries have laws and policies supporting comprehensive sexuality education.

Addressing the launch, Nguyễn Tường Lâm, Secretary of the Central Youth Union, said: “The theme of this year’s World Population Report “My body is my own” turns the spotlight on bodily autonomy. With the focus on comprehensive sexuality education and gender equality, the report calls for joint efforts in strengthening awareness among young people and rights to ensure that they are equipped with knowledge and skills to make their own decisions about their health.”

Naomi Kitahara, UNFPA Representative in Việt Nam, said: “A woman who has control over her body is more likely to be empowered in other spheres of her life. She is more likely to thrive, and so is her family, her community and her country.”

Bodily autonomy is measured through two sustainable development goals (SDGs) indicators, including 5.6.1 and 5.6.2. In the report, Việt Nam is cited, among 75 countries which have data, for the measurement of SDG indicator 5.6.2 – the existence of laws, regulations, or policies that guarantee full and equal access to women and men aged 15 years and older to sexual and reproductive healthcare, information and education.

Việt Nam has the indicator value of 54 per cent out of 100 per cent achievement, which is higher than Nepal (48 per cent) but lower than Cambodia (98 per cent) and Myanmar (75 per cent).

Việt Nam does not yet have a full data set for SDG indicator 5.6.1 about proportion of women aged 15-49 years who make their own informed decisions regarding sexual relations, contraceptive use and reproductive healthcare, but plans to make it available in the coming years.

The Sate of World Population report is UNFPA’s annual flagship publication. Published yearly since 1978, it shines a light on emerging issues in the field of sexual and reproductive health and rights.

Job market shows strong signs of recovery

Vietnam’s job market showed strong signs of recovery in the first quarter of 2021, opening up various opportunities for workers, especially highly-skilled workers.

Sectors seeing an increase in hiring demand in the quarter included Engineering and Manufacturing, Energy, IT, E-commerce, Electronics, Semiconductor Design, Civil Engineering, and Industrial Construction.

The combination of global supply chain shifts and the positive impact of free trade agreements will offer new prospects for Vietnam’s economy into the future, leading to a significant increase in employment opportunities and hiring demand, said Nguyen Thi Thu Phuong, Adecco Hanoi’s Recruitment Manager.

In Ho Chi Minh City, the labour market in Q1 was livelier than in the same period last year, according to the municipal Centre for Human Resources Forecasting and Labour Market Information (FALMI).

Its figures show that there were over 44,000 job vacancies and nearly 19,500 jobseekers in the southern economic hub during the period, increasing local human resources demand by 13.14% year-on-year. The majority of vacancies (70.38%) were in the services sector, followed by industry (29.51%) and agriculture (0.11%).

The centre forecasts that the city will need between 68,600 and 73,500 workers, mostly in the fields of IT, electronics and electricity; mechanics and automation; healthcare and medicine; accounting and auditing; finance, banking and securities; real estate; and tourism, lodging and catering services.

Adecco Hanoi Office Director Nguyen Thu Ha explained three main reasons contributing to the current situation. The first is the Government’s successful efforts in virus prevention and containment, she said. Second, businesses have gradually ramped up their operations and are eager to bounce back after a period of economic stagnation. Third, in terms of psychology, people now are better able to take care their health and cope with coronavirus anxiety.

FALMI said that demand for trained workers in HCM City made up 85.72% of the total, including 22.19% for university graduates or higher.

Commenting on the labour market outlook for 2021, Andree Mangels, General Director, Adecco Vietnam believed that the recovery of the economy and the global trends of digitalisation will open up opportunities for skilled workers.

A recent survey from the Adecco Group on shifts in workplace expectations in the post-pandemic world indicate that 82% of participants appreciate the strict hygiene regulations at work.

Other noticeable expectations among workers are flexibility (80%), adequate facilities for remote working (79%), investment in technology (77%), financial support policies (77%), and regular updates on business plans and performance (75%).

Kien Giang acts to protect Phu Quoc from Covid-19 transmission

The Mekong Delta province of Kien Giang has adopted multiple measures to prevent the Covid-19 transmission from hitting its island city of Phu Quoc, as scores of Vietnamese citizens working in Cambodia and other countries, which share the border with Vietnam, are forecast to return home through the Cambodia-Ha Tien border gate after these neighboring countries lifted Covid-19 lockdown.

At a recent meeting reviewing the efforts to control and prevent Covid-19 infection throughout the province, Lam Minh Thanh, chairman of the provincial government, said that the province will face more difficulties in fighting the disease in the coming time since it shares a long borderline with Cambodia, where the pandemic is at its peak, and has many border crossings.

Therefore, aside from receiving and taking anti-epidemic measures for Vietnamese citizens returning home from Cambodia, Thanh asked local border guard forces to ramp up efforts to monitor vehicles operating in the locality and increase the frequency of patrols at border areas to prevent illegal entry.

The chairman also required the local competent forces to check the compliance with Covid-19 safety protocols in the province and monitor fishermen and those living and trading in border areas in order to promptly detect and prevent illegal immigrants.

Besides this, sea patrol police were asked to team up with the competent forces to direct boats operating at sea to combat Covid-19 and quickly deal with problems arising on the island.

Phu Quoc Island is a popular tourist destination in Vietnam. Recently, many local carriers have launched new air services to this island city to meet the rising travel demand among passengers after the coronavirus outbreak in the country has been brought under control.

Son La receives rice support for between-crop period

Deputy Prime Minister Le Minh Khai has signed a decision assigning the Ministry of Finance to provide over 59,800 tonnes of rice to the northern mountainous province of Son La during the between-crop period of 2021.

The rice, sourced from the national reserves, aims to support local residents in order to ensure no one suffers from hunger during the period.

The Deputy PM assigned the Ministry of Finance and the Ministry of Labour, Invalids and Social Affairs to allocate the rice to the locality, while asking the provincial authorities to ensure timely delivery to right beneficiaries in line with regulations.

In case Son La still faces difficulties after receiving the aid, the local authorities are advised to report to the two ministries for further assistance./.

Hai Phong’s Flamboyant Festival to draw tourists

Various cultural, economic, sport and tourism activities will be held in the northern port city of Hai Phong between May 11 and 15 during the annual Flamboyant Festival of the northern port city.

An art show titled Hai Phong – A Successful Destination on May 11 will be a highlight of the programme with a fireworks show.

The event aims to celebrate the anniversary of the Liberation Day of the city from French occupation (May 13, 1955).

Last year, due to the COVID-19 pandemic, the event was not held to spare funding to fight the virus. This year, with the pandemic under control, authorities decided to host the festival at a cost of some 20 billion VND (869,000 USD) contributed by local individuals and enterprises.

Local authorities of all culture, sport, tourism and art sectors in 15 districts in the city will host 66 activities during the festival.

They include photo exhibitions, a virtual contest titled “Check-in Hai Phong, My Beloved City” on Facebook; ca tru (ceremonial singing) performances; a golf tournament; exhibition of Hai Phong’s achievements in socio-economics; a cooking contest; a tourism fair; a singing contest on Hai Phong; an ao dai (traditional long dress) festival; a women’s beach volleyball tournament, and a classic car show.

According to Le Khac Nam, deputy chairman of the municipal People’s Committee, the event will promote the city’s image as a smart developing city, which is friendly to international visitors and also a successful destination for investors.

Hai Phong is 100km to the northeast of Hanoi. Flamboyant trees are planted in many streets in the city, which come into full bloom in summer (May-June), hence the name of the festival./.

Man arrested for illegal deforestation

The investigation police agency at the Police Department of the northern mountainous province of Son La on April 26 decided to arrest a 43-year-old man for his illegal deforestation.

Lo Van Quy, from Co Noi commune, Mai Son district, Son La province, will be arrested for his violation of regulations on exploitation and protection of forests and forest product management in line with Article 232 of the Penal Code.

The decision has been approved by the provincial People’s Procuracy.

Investigators said Quy hired a group of people to illegally exploit forest products and they were caught red handed in a forest in Na Pan hamlet, Chieng Dong commune, Yen Chau district.

The case is under further investigation./.

HCMC Transport Dept proposes restricting vehicles with over 30 seats downtown

The HCMC Department of Transport has proposed restricting vehicles with more than 30 seats in downtown areas, including districts 1, 3, 5 and 10.

The restriction will not be applied to buses that transport students, workers and tourists and vehicles for special purposes.

The department also proposed increasing the number of cameras installed in downtown areas and around the Mien Dong Bus Station in Binh Thanh District as many coaches frequently stop on the streets in these areas to pick up or drop off passengers.

The pickups and drop-offs of passengers have worsened traffic congestion and caused dangers to commuters in these areas. The city will publish the list of locations that allow coaches to pick up or drop off passengers.

Besides that, the HCMC Transport Department proposed that the Directorate for Roads of Vietnam upgrade the data analysis system for dashcams to effectively detect and punish vehicles that violate traffic regulations.

HCMC currently has over 110 stops for coaches to pick up and drop off passengers.

Project launched to protect children in coffee production

A project on enhancing capacity and bolstering the protection of children working in coffee production in Dak Lak was officially launched in the Central Highlands province on April 26.

Implemented from October 2020 to March 2023 at a total cost of nearly 5.7 billion VND (248,000 USD), the project covers the six communes of Ea Tan and Dlie Ya in Krong Nang district, Ea Drong and Ea Tul in Cu M’Gar district, and Cu Bao and Ea Drong in Buon Ho township.

Objectives include improving the living conditions of children in coffee growing and processing areas, to ensure they are protected and their rights are observed.

About 2,000 children are expected to benefit from the project, most of whom are from ethnic minority groups.

According to Vice Director of the Dak Lak Department of Labour, Invalids and Social Affairs Pham Phuong, Dak Lak is an agriculture province and nearly 70 percent of its population are farmers.

Coffee is the major crop, he said, adding that the project will contribute to improving awareness among children, parents, businesses, and local authorities about children’s rights, realising targets set regarding their care, especially in preventing them from leaving school during the harvest season.

Along with strengthening communications, the department will support poor children to return to school while assisting local authorities to inspect workplace safety at coffee production facilities, Phuong said.

At the same time, the department will coordinate with the Ho Chi Minh Communist Youth Union to organise contests on technology application in coffee production, with the aim of erasing work involving child labour, while cooperating with the Health Department to prevent children being injured during production.

The capacity of units in the coffee supply chain to protect children will be enhanced, he said, adding that training courses will be held for relevant parties while communications on child protection laws will be strengthened. Businesses will be encouraged to sign agreements on not using child labour and ensuring workplace safety./.

Commune on Phu Quoc Island to hold elections early

The National Election Council recently issued Dispatch No 533/HDBCQG-VP dated April 20, allowing Tho Chau island commune of Phu Quoc city to hold the elections of deputies to the National Assembly and all-level People’s Councils for the 2021-2026 tenure on May 21, two days earlier than the national election day.

This was reported by the Election Committee of the Mekong Delta’s Kien Giang province, to which Phu Quoc belongs.

Covering over 1,395 ha, Tho Chau island commune consists of eight islands and islets: Tho Chu, Hon Tu, Hon Cao Cat, Hon Nhan, Hon Kho, Hon Xanh, Hon Cai Ban, and Hon Da Bac.

Tho Chu is the largest and only inhabited island in the commune.

The elections are being held early due to difficult access and extreme weather conditions here./.

New NA Chairman receives more congratulations

Parliamentary leaders of foreign countries continued to send letters of congratulations to National Assembly (NA) Chairman Vuong Dinh Hue on his election as the top leader of the Vietnamese legislature.

NA Chairman Hue received congratulations from President of the Senate of Romania Anca Dana Dragu, President of the Belgian Chamber of Representatives Eliane Tillieux, and Speaker of the National Assembly of Mozambique Esperanca Laurinda Francisco Nhiuane Bias./.

Japan-funded project to help mitigate COVID-19 impacts on vulnerable populations

The Japanese Government will provide Vietnam with more than 2.8 million USD to finance a project on “Mitigating COVID-19 Impacts on Vulnerable Populations”, which was launched in Hanoi on April 26.

The project aims to aid the Vietnamese Government’s ongoing efforts to mitigate the negative impacts of COVID-19 on vulnerable populations and ensure national progress in achieving the Sustainable Development Goals (SDGs). It plans to intervene in four areas: gender-based violence, improvements to elderly care, sexual and reproductive health care, and support for returning Vietnamese migrants.

The project will be conducted from April 2021 to March 2022 in 14 cities and provinces: Thai Nguyen, Dien Bien, Lao Cai, Thanh Hoa, Nghe An, Ha Tinh, Da Nang, Quang Tri, Quang Nam, Dak Lak, An Giang, Can Tho, Vinh Long, and HCM City.

Addressing the launch of the new project, the Japanese Ambassador to Vietnam said the COVID-19 pandemic proved the importance of mutual understanding, the sharing of resources, and, above all, solidarity and cooperation between communities, societies, and nations in tackling the unprecedented challenges. The new project also demonstrates the good relationship between Vietnam and Japan, he added.

Though Vietnam responded to COVID-19 better than most countries, the social and economic consequences it has caused are of great concern, the ambassador went on, and vulnerable groups such as women and girls, the elderly, and adolescents have been hit hardest.

Naomi Kitahara, representative of the UN Population Fund (UNFPA) in Vietnam, said the challenges facing Vietnamese people, especially vulnerable groups, have become more complex due to COVID-19, which has deepened existing inequalities and exposed social gaps.

For Vietnam to achieve the SDGs, it is necessary to mitigate the impact of COVID-19 and ensure that all people are part of the sustainable development process so that no one is left behind. She expects the project will represent a great leap forward for Vietnam in remaining committed to fulfilling the SDGs.

The project plans to establish three one-stop shop service centres, hold 10 creative and innovative campaigns on the prevention of gender-based violence amid COVID-19, and provide training for around 500 men and women on preventing and responding to gender-based violence.

Under the project, about 1,000 elderly citizens in selected cities and provinces will be provided with high-quality health care and support services, while some 58,000 others are expected to benefit from telehealth services.

About 5,000 ethnic minority women will benefit from a mobile application offering information and consultation on sexual and reproductive healthcare, while 45 district-level public clinics will receive medical equipment to protect their health workers from COVID-19.

It will also register returning migrant workers for training courses on soft skills and comprehensive gender education, and provide them with counselling in sexual and reproductive health, the prevention of gender-based violence, and future careers./.

Vietnam ready to help Laos respond to COVID-19

Vietnam is ready to provide support within its capability to Laos in overcoming difficulties that Laos faces in COVID-19 prevention and control work, standing member of the Party Central Committee’s Secretariat Vo Van Thuong said.

The official made the pledge during a reception in Hanoi on April 27 for Lao Ambassador to Vietnam Sengphet Houngboungnuang.

Thuong expressed his delight at the development of the special solidarity between Vietnam and Laos, and affirmed that Vietnam will work together with Laos to protect and foster the ties between the two countries.

He offered sympathy to the Lao Party, State and people over the loss caused by the pandemic, noting his belief that under the leadership of the Lao People’s Revolutionary Party, the governance of the Lao Government and the solidarity of the entire political system and Lao people, the country will be able to contain the spread of the pandemic in the shortest time possible, thus ensuring the implementation of socio-economic development tasks.

The Party official appreciated the important role of the Lao Embassy in Vietnam and asked the embassy to continue working as a bridge to connect ministries, sectors and localities of the two countries towards more effective bilateral cooperation.

Ambassador Sengphet Houngboungnuang congratulated Vietnam over its great and comprehensive achievements and voiced his belief that the Vietnamese people will continue to reap even greater accomplishments in their Doi Moi (Renewal) cause and successfully realise the resolution of the 13th National Party Congress.

The ambassador also thanked the Vietnamese Party, State and people for their whole-hearted and effective help for Laos, and took the occasion to update Thuong on the situation in Laos, especially developments of the COVID-19 pandemic./.

Five COVID-19 cases recorded on April 27

Vietnam recorded five cases of COVID-19 during the past 12 hours to 6pm April 27, raising the national total to 2,857, according to the Health Ministry.

Among the new patients, four are Vietnamese citizens returning from abroad and have been quarantined immediately after arrival. The fifth patient was a staff member at a hotel which is used as a quarantine facility in the northern province of Yen Bai, where several Indian experts are quarantined after arriving in Vietnam. This staff member has also been under medical monitoring since the first day he made contact with the Indian experts.

Meanwhile, 2,516 COVID-19 patients have been given the all clear, and the death toll remains at 35.

Among patients still under treatment, 13 have tested negative for the novel coronavirus once, 15 twice and 20 thrice.

A total 38,266 people are being quarantined across the country./.

Government committee meets foreign religious practitioners in Vietnam

The Government Committee for Religious Affairs held a meeting with foreign religious practitioners on April 27 to inform about legal regulations on beliefs and religions, and the realisation of the right to freedom of belief or religion of foreigners legally residing in Vietnam.

The event was attended by officials of the Government committee, the Ministry of Home Affairs, relevant ministries and agencies, and localities’ committees for religious affairs, along with dignitaries representing 43 places and groups for concentrated religious practices of foreigners.

Vu Chien Thang, Deputy Minister of Home Affairs and Chairman of the Government Committee for Religious Affairs, said Vietnam’s strong integration into the world has attracted a large number of foreign entrepreneurs and businesses. Many of foreigners working, studying, and living in the country have beliefs or religions, thus having the demand for religious practices.

He emphasised Vietnam’s policy of respecting and protecting all people’s right to freedom of belief or religion, noting that the 2013 Constitution recognised the right as one of the fundamental human rights while the Law on Belief and Religion, adopted by the National Assembly on November 18, 2016 and coming into force on January 1, 2018, detailed this right of all people, including foreigners legally residing in Vietnam.

In fact, foreigners legally residing in the country have had their right to freedom of belief or religion ensured in line with legal regulations, Thang went on.

Local authorities have created conditions for tens of foreigners’ places and groups to practice religions at legal sites in Vietnam. Meanwhile, foreign dignitaries are allowed to preach at places or groups of concentrated religious practices. Foreigners are also permitted to bring religious publications and items to serve their practices, according to the official.

He expressed his hope that the dignitaries and representatives of foreigners’ places and groups for religious practices will not only help introduce the land, people, and religious life in Vietnam, but also correctly present the country’s relevant policies and legal regulations to other foreigners.

At the meeting, participants learned about the basic contents of the Law on Belief and Religion, the rules on exit from and entry into Vietnam, and the provision of online public services related to belief and religion.

They also discussed issues relevant to the realisation of foreigners’ right to freedom of belief or religion to help build a healthy religious life in the country./.

Kien Giang readies medical infrastructure in face of COVID-19 risk

The Mekong Delta province of Kien Giang is working to establish a temporary hospital for COVID-19 treatment in its border city of Ha Tien amid complex developments of the coronavirus in neighbouring Cambodia and illegal border crossings.

Based at the centre for culture, information, and sports in My Duc ward, the hospital will be capable of handling about 300 patients with mild symptoms in the initial phase, according to Director of the Kien Giang Department of Health Ha Van Phuc.

He noted that if the number of Vietnamese people in Cambodia returning home via the Ha Tien International Border Gate keeps increasing, the province will add 200 beds to the temporary hospital.

Eleven rooms for COVID-19 patients in a critical condition will be set up at the Healthcare Centre of Ha Tien city, while the second storey of this centre will be able to provide treatment for 39 patients in fair condition.

After new infrastructure at the Kien Giang General Hospital opens in early May, the old facilities will serve as another temporary hospital if the COVID-19 situation becomes more complex, Phuc added.

On April 19, a quick response team from the Cho Ray Hospital in HCM City was sent to assist Kien Giang in its COVID-19 response.

Dr Tran Thanh Linh, deputy head of the resuscitation and emergency department at the Cho Ray Hospital, said local authorities have thoroughly prepared pandemic prevention and control plans, including the arrangement of treatment sites, as the border areas of Ha Tien city are facing a high risk of COVID-19 transmission.

As of the morning of April 27, Vietnam had recorded 2,852 cases of COVID-19, including 2,516 recoveries, while fatalities remain at 35, according to the Ministry of Health./.

Vietnam’s largest man-made crystal lagoon to be launched

Final touches are being put on the 6.1-hectare salt-water lagoon in Hanoi’s Vinhomes Ocean Park, which will be launched during the upcoming public holiday this weekend.

Constructed by US-based Crystal Lagoons, the project is holding a national record as Vietnam’s largest salt-water lagoon recognised by the Vietnam Record Association. It is also the sixth largest man-made crystalline lagoon in the world.

Dubbed as a jewel in the city, Vinhomes Ocean Park’s crystal lagoon offers its residents and visitors a unique and exciting beach life experience with beautiful turquoise waters surrounded by 35-metre-wide white sand beach.

The sand has been brought here from Nha Trang whose beach was listed in the top 50 most beautiful white sand beaches in the world.

Once operational, the lagoon is expected to help create a unique living space for Hanoians and realise the dream of enjoying beach life every day right in the hustle and bustle capital city.

Vietnamese people will enjoy four days off during the upcoming public holiday from April 30 to May 2 to celebrate the National Reunification Day (April 30) and May Day (May 1)./.

Da Nang starts legal proceeding against illegal entry organisers

Police in the central city of Da Nang have started legal proceedings and detained 14 suspects involving in a ring of brokering and organising illegal entry to Vietnam for Chinese people.

According to Major General Vu Xuan Vien, Director of the Da Nang Department of Public Security, the suspects reside in different northern localities such as Ninh Binh, Ha Nam, Hoa Binh, Hanoi and Hung Yen.

He highlighted the joint efforts of the police of Da Nang and other localities in raiding the ring, saying this is important amid the current COVID-19 situation.

In December 2020, the police of Da Nang discovered four illegal Chinese immigrants in a seven-seat car driven by Dinh Xuan Hien, a resident of Thai Binh province. Expanding investigation into the case, the police arrested additional 14 suspects.

The investigation results showed that from December 21-29, the ring managed to bring 49 Chinese people to Vietnam and then to Cambodia for 28-30 million VND for each person.

Meanwhile, authorities in the Mekong Delta province of Kien Giang, which shares sea border with Cambodia, are tightening control over illegal entry to Vietnam, especially during the upcoming April 30- May 1 holidays and the upcoming general elections as part of efforts to prevent COVID-19 pandemic to enter Vietnam.

Senior Lieutenant Colonel Doan Dinh Tranh, Vice Political Commissar of the provincial Border Guard High Command said that Kien Giang has set up 30 posts, eight mobile teams and 11 checkpoints in Phu Quoc Island to prevent COVID-19 pandemic.

On April 23-24, local forces discovered four illegal immigration cases with 23 illegal immigrants to Phu Quoc./.

16 teams progress to next round of Bamboo Airways National Cup 2021

A total of 16 teams have made it into the round of 16 of the Bamboo Airways National Cup 2021, which is scheduled to take place in July.

The results were announced following the conclusion of two final matches as part of the national cup’s qualifying round on April 25.

Phu Dong FC and Khanh Hoa FC became the final two football clubs to have their progress to the round of 16 confirmed after recording a 1-0 win over Hue FC and a 2-0 victory over Phu Tho FC, respectively.

The most notable match in the next round of the competition will be between Hoang Anh Gia Lai FC and SHB Da Nang FC, with both teams being placed in first and second positions in the current V.League 1 table.

Hanoi FC, the current National Cup champions, are exempt from competing in the qualifying round, therefore they will face Pho Hien FC in their first match in the following round.

As V.League 1 champions of the 2020 season, Viettel FC will play Hai Phong FC in their first match of the competition.

The tournament’s next round is set to get underway in July, with the winner being granted a sum of VND1 billion, equivalent to US$43,000, in prize money, whilst also earning a place in the Asian Football Confederation (AFC) Cup 2022.

The first and second runners-up will be given VND500 million, equal to US$21,500, and VND200 million, equivalent to US$8,600, respectively.

Source: VNA/VNS/VOV/VIR/SGT/Nhan Dan/Hanoitimes