HA NOI – The Government yesterday directed the State-owned shipbuilding giant Vinashin to report its existing bank credit debt and propose debt solutions. Vinashin must deliver the report by next Monday. Deputy Prime Minister Hoang Trung Hai instructed relevant ministries and agencies to stabilise production and operations, pay its employees and restructure personnel. The group's managers and member companies conduct online meetings every week to review tasks and to solve emerging problems. The group was instructed to provide social insurance to its employees. More than 5,000 Vinashin workers, or almost 10 per cent of its workforce, lost their jobs when the company failed to pay VND234 billion (US$12 million) in salaries and social insurance in June. Newly-appointed Vinashin General Director Nguyen Quoc Anh said that Viet Nam's shipbuilding industry had potential. He said the group was working to overcome the hard times. The Government Office reported that Vinashin's total … [Read more...] about Vinashin instructed to report debt solution
Report debt to credit agency
VietNamNet Bridge – The unexpected report about the banks’ bad debts to the real estate sector has been released by the National Finance Supervision Council, which shows that the actual bad debts are much higher than the figures announced before by government agencies. Actual bad debts 1.8 times higher than previously reported By the end of 2011, the total outstanding loans provided to fund real estate projects had reached 348 trillion dong. The figure, according to the National Finance Supervision Council, is 1.8 times higher than the figure released by commercial banks before, at 200 trillion dong. The Ministry of Construction and the State Bank of Vietnam were the two ministries which released the figure of 200 trillion dong, affirming that the real estate credit is not a worrying problem. Also according to the council, the actual bad debts of commercial banks are 8 times higher than the figures released by the banks themselves. This shows that since … [Read more...] about Banks’ bad debts to real estate sector worse than initially reported
VietNamNet Bridge – The commercial banks which have the bad debt ratios higher than 3 percent of their outstanding loans will have to sell bad debts to the Vietnam Asset Management Company (VAMC). VAMC’s General Director Nguyen Huu Thuy The Ban Viet Securities Company has cited a report of the State Bank of Vietnam as showing that only 30 out of the 124 operational commercial banks reportedly have the bad debt ratios higher than 3 percent. Of the listed banks, except Vietcombank, which reportedly the bad debt ratio at 3.2 percent at the end of the first quarter of 2013, other banks, including ACB, Military Bank, Eximbank, Vietinbank and Sacombank all reported their bad debt ratios below the safely line of 3 percent. Some analysts believe that with the current regulations, credit institutions would “fabricate figures” to force their bad debt ratios to below 3 percent in order not to have to sell debts to the State Bank. Nguyen Tri Hieu, a banking expert, … [Read more...] about Which banks will sell bad debts to VAMC?
SBV: Bad debt to fall to 3% at year-end Tu Hoang By Tu Hoang - The Saigon Times Daily HANOI – Bad debt of the banking sector is the biggest bottleneck of the economy and the State Bank of Vietnam (SBV) will continue taking drastic measures to slash bad debt to 3% at the end of this year, said SBV governor Nguyen Van Binh. Binh said over VND311 trillion (US$14.2 billion) worth of bad debt in the local banking network was settled in the 2012-2014 period, or equivalent to 67% of the total bad debt at the end of September 2012. In the first two months of this year, extra bad debt totaling some VND7.9 trillion was settled, Binh said in a report sent to National Assembly (NA) deputies before the legislature opens its session in Hanoi today. Of the total figure, Vietnam Asset Management Company (VAMC) had purchased over VND137 trillion of bad debts at prices of more than VND111 trillion as of the end of December 2014. In the year to April 17, VAMC had bought an additional VND13.7 … [Read more...] about SBV: Bad debt to fall to 3% at year-end
Greece's new leftist government and its international creditors failed to agree on a way forward on the country's unpopular bailout and will try again on Monday, with time running out for a financing deal. In seven hours of crisis talks in Brussels that ended after midnight, euro zone finance ministers were unable to agree even a joint statement on the next procedural steps. Both sides played down the setback, insisting there had been no rupture. But Greek stock prices, which whipped higher after hours in New York on talk of an accord, sagged with disappointment when it emerged that Greece's laconic new Finance Minister Yanis Varoufakis had walked away from a draft deal to extend current credit terms after conferring with fellow Greek officials. "We had an intense discussion, constructive, covering a lot of ground, also making progress, but not enough progress yet to come to joint conclusions," Jeroen Dijsselbloem, the chairman of Eurogroup finance ministers, told a midnight news … [Read more...] about Greece, euro zone fail to agree on debt, to try again on Monday