Illustrative image (Source: VNA) HCM City (VNA) – The threat of macro-economic headwinds dragging global growth should be the impetus ASEAN needs to push its reform agenda harder in 2019, according to a report recently released by the HSBC Group. Amid improving intra-regional flows to offset global trade slowdown, ASEAN economies could partly offset any trade downturns if supply chain diversion to Southeast Asia materialises, but increasing the ease in which goods and services flow across ASEAN will make the transition more widespread, it said. However, more needs to be done to smooth the flow of goods and services across the bloc. This includes rolling out the ASEAN one-stop shop mechanism to all ASEAN countries, standardising the cost and time of customs clearance across Southeast Asia and enabling more free movement of professionals across the region. On the other hand, foreign direct investment into Southeast Asia has softened post-global financial … [Read more...] about HSBC: Global headwinds create impetus for ASEAN integration
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Vietnam continues to see net foreign inflows despite global volatility
The Hanoitimes - Foreign direct and indirect investment inflow to Vietnam has still maintained growth though many other Asian markets have suffered a significant capital withdrawal in the wake of the US Treasury’s interest rate hikes. Vietnam’s high GDP growth in 2018 is very supportive information for investors According to statistics from the State Securities Commission (SSC), from the beginning of this year to the end of October 9, net foreign flows into Vietnam inched up to US$2.89 billion, nearly equal to the total figure of US$2.92 billion in the entire last year. SSC’s chairman Tran Van Dung said that the number is a good sign compared to the current situation of capital withdrawal from other Asian markets. From the beginning of the year, foreign investors have withdrawn from seven Asian markets including South Korea, Thailand, Indonesia, the Philippines, India, Taiwan and Malaysia with a total value of US$27.34 billion. As of October 9, the value of … [Read more...] about Vietnam continues to see net foreign inflows despite global volatility
Firms must know global trade policy
For companies in Việt Nam, only 31 per cent said the EU policy environment has had a positive impact on their business, while 66 per cent saw no impact.— Photo tinnhanhchungkhoan.vn HCM CITY— Firms are potentially missing out on key opportunities available beyond their immediate borders by focusing on trade policy developments on a regional scale, and showing lack of awareness when it comes to the broader global trade policy environment, according to an HSBC report. According to the report, Navigator: Now, Next and How for Business, a majority of businesses appear to be ignoring or undermining the impact of important policies on their operations. For companies in Việt Nam, only 31 per cent said the EU policy environment has had a positive impact on their business, while 66 per cent saw no impact. The data was similar for the US policy environment (31 per cent for the EU and 60 per cent for the US), the two major markets for … [Read more...] about Firms must know global trade policy
Top ex HSBC trader gets 2 years in ‘front running’ fraud
The former global head of cash currency trading at the British banking giant HSBC was sentenced Thursday to two years in prison for defrauding a client out of millions of dollars, the Justice Department said. Top ex-HSBC trader gets 2 years in 'front-running' fraud, illustration photo - source AFP British national Mark Johnson, 51, also will pay a $300,000 fine following his October conviction on nine wire fraud and conspiracy charges. The foreign exchange trader "cheated his client out of millions and now he's going to prison for it," Justice Department officials John Cronan said in a statement. Prosecutors accused Johnson of a scam called "front-running," in which he used confidential information from a client in late 2011 to purchase British pounds for HSBC, ramping up the price before executing a $3.5 billion transaction for the client. Johnson and traders acting at his direction generated $7.3 million in profits for HSBC at the expense of the unidentified client, the … [Read more...] about Top ex HSBC trader gets 2 years in ‘front running’ fraud
Dong, dollar exchange rate to hit VND22,900: HSBC forecasts
The exchange rate between the dong and the US dollar will be stable and end at VND22,900 per US dollar by the end of 2018, predicts Ngo Dang Khoa, head of Global Markets, HSBC Bank Viet Nam. The prediction is based on high capital inflows and the dong’s weakness against other currencies in the region, Khoa said. In terms of capital inflows, foreign direct investment (FDI) into Viet Nam this year is predicted to be stable, equal to the level achieved in 2017; remittance will be better than 2017; the number of State-owned enterprises to be equitised in 2018 is predicted to be 41 firms higher than 2017 to reach 181 enterprises and is expected to bring in more foreign currency. At the same time, the rise of the Fed’s (US Federal Reserve) base rate of the dollar has had a dampening effect on financial markets. Few foreign investors are investing in government bonds. For the Vietnamese stock market, although the liquidity has increased in recent years, the size of the market is … [Read more...] about Dong, dollar exchange rate to hit VND22,900: HSBC forecasts