Target market for real estate business

Illustration photo. Photo: VNA Experts noted that while the first quarter of 2021 recorded some positive signals for real estate recovery, May and June’s increase in coronavirus cases has put a dampener on the national economy and the real estate market in particular. Nevertheless, the latest outbreaks may still create an opportunity for real estate developers who have proved their value and strength in quality products. With social distancing and different measures being utilised to combat the pandemic, investors are being prevented from entering or leaving the country. As a result, investors, developers, and buyers are remaining cautious when making any decisions. The limited income source of the majority of people at this time has lowered purchase power. Most transactions currently are mainly long-term investors, while short-term speculators have temporarily disappeared from the market to wait for incoming opportunities. When the market recovers, mid and lower-end …

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Vietnam, EU review bilateral trade deal implementation Minister of Industry and Trade Nguyen Hong Dien and European Commission Vice-President and EU trade commissioner Valdis Dombrovskis have co-chaired the first meeting of the EU-Vietnam Free Trade Agreement (EVFTA)'s Trade Committee. The meeting, held in online format, aimed to review the implementation of the deal and discuss issues related to trade and investment in both bilateral and multilateral frameworks. Participants adopted Decision No. 01 of the committee on its operation mechanism, which comprises regulations on its function, membership, secretariat, decision-making procedure, and information transparency. Both sides agreed to coordinate closely to speed up the implementation of the deal and cope with matters that may pose negative impacts on the operation of businesses of both sides, thus maintaining and developing the supply chain amid COVID-19 pandemic. At the meeting, the two sides also mentioned a number of …

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Animal feed exports see surge in H1 Luc Ngan lychee of Bac Giang province is protected geographical indication in Japan. Vietnamese firms are urged to pay more attention to register for intellectual property protection in foreign markets. (Photo baochinhphu.vn) Vietnam’s animal feed exports hit nearly 523.88 million USD in the first six months of 2021, up 52.7 percent year-on-year, according to the General Department of Customs. China remains the biggest importer of Vietnam’s animal feed, with turnover reaching 188.3 million USD in the reviewed period. In June alone, China spent 36.62 million USD on importing animal feed from Vietnam, up 47.3 percent from the same period last year. Vietnamese exports of animal feed to Cambodia in January-June rose 41.7 percent to 74.81 million USD, maintaining Vietnam’s second largest importer. Meanwhile, the US surpassed India to become Vietnam’s third biggest importer of livestock feed with turnover hitting 56.42 million …

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Agriculture sector remains fairly resilient to COVID-19 While the COVID-19 pandemic has devastated the tourism industry and hit industrial production hard, agriculture and community-based agro-forest production have proven resilient in the tourism-intensive central region. Despite an average reduction at 30 per cent of revenue, farmers in suburban Đà Nẵng, Quảng Nam and Quảng Ngãi have maintained stable incomes compared to other sectors thanks to food chain distribution channels. Traditional fishing and self-sufficient farm production have helped residents in the Chàm Islands off the coast of Hội An, the Lý Sơn Islands off Quảng Ngãi Province and gardeners in rural areas of Cẩm Thanh Commune in Hội An and Hòa Ninh and Túy Loan villages in Đà Nẵng keep going throughout the pandemic. Restaurants, cafes and souvenir shops in Hội An – the most popular tourist destination in central Việt Nam – have closed, but farmers in organic gardens in Cẩm Thanh are still supplying people in …

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Over 1 million tonnes of goods channelled through Quang Ninh’s Mong Cai border gate A site for goods examination of the Mong Cai International Border Gate in Mong Cai city, Quang Ninh province. Despite serious impacts from the COVID-19 pandemic, border trade activities in Mong Cai city of northern Quang Ninh province, which borders China, have been well maintained with a surge in the volume of import and export goods compared to the figure in 2020. According to the Mong Cai International Border Gate Management Board, as of July 18, the total volume of commodities imported and exported through the border gate had reached more than 1 million tonnes, up 89.2 percent over the same period last year. The collected fees were totalled at more than 34 billion VND (1.47 million USD), up 58 percent year-on-year and equal to 62.7 percent of the yearly target. Specifically, the number of vehicles crossing Bac Luan bridge border gate reached 28,358, including 12,806 …

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Vietnamese economy records growth of 6.61% in second quarter The nation’s economy enjoyed annual growth of 6.61% in the second quarter of the year, with the country’s economic growth for the remainder of the year projected to reach between 4.5% and 5.1%, according to industry insiders. The event was co-hosted by the Vietnam Institute for Economic and Policy Research (VEPR) under VNU University of Economics and Business (UEB) and Konrad-Adenauer Stiftung (KAS) via online platform. According to details provided by the quarterly report, growth in the agro-forestry-fishery, service, and industrial sectors recorded an increase in the first half of the year with the FDI sector playing a crucial role in economic growth through exports. Furthermore, due to the impact of the COVID-19 pandemic, local businesses have been forced to bear additional production costs due to a rise in raw material prices coupled with land rental. Inflation during the course of the second quarter and the …

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Shares to move sideways with low liquidity The market will continue to move sideways this week with low liquidity to gradually form a strong enough accumulation base before returning to the uptrend, analysts said. The VN-Index was maintaining the recovery span from the support area of ​​1,286-1,261 points with low liquidity, which was a typical sign for an accumulation period, said analysts from SSI Securities Joint Stock Company (SSI). “The current bottom-fishing demand is still weak, so it was likely that the VN-Index will continue to move sideways with low liquidity,” they said. “The VN-Index may return to the uptrend if the index surpasses the resistance area of ​​1,340 points with the volume rising to the 50-day average,” they said. The benchmark VN-Index on the Ho Chi Minh Stock Exchange (HoSE) inched 0.42 per cent higher to close last Friday at 1,299.31 points. The southern market index had lost 3.6 per cent last week. An average of 599.9 million shares were …

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How likely is it that Japanese companies will target Vietnamese businesses in the coming time? Masataka “Sam” Yoshida, head of the Cross-border Division of RECOF Corporation and CEO of RECOF Vietnam Co., Ltd Japan’s outbound merger and acquisition (M&A) transactions bottomed out in the second and third quarters of 2020, and picked up speed in this year’s second quarter. North America contributed most transactions and saw a rise of 60 per cent on-year, but Asia also advanced with 53 transactions, up 43 per cent. Vietnam kept its second position among ASEAN countries, only after Singapore, and recorded nine transactions in the second quarter, up 80 per cent. This includes the $1.4-billion investment by SMBC Consumer Finance in FE Credit (VP Bank subsidiary) which took almost half of the total invested volume of all transactions in the region in Q2. So, we cannot deny that this deal was unique and exceptional within and that the other eight transactions were …

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Many hotels are for sale, especially in the main centres of Ho Chi Minh City, Hanoi, and Danang, photo Le Toan The detrimental impact of the pandemic has brought many hotels on the verge of a financial crisis, and more Vietnamese hoteliers are now seeking foreign investors to sell their assets in the wake of current COVID-19 outbreaks. Vietnam has been an alluring investment destination for hotel investments to both local and foreign investors. The interest to participate in hotel mergers and acquisitions (M&A) is very high, and most international hotel investment groups and funds have been looking at Vietnam. “They see both the short- and long-term potential of the country for hospitality and real estate. In several cases, investors are willing to accept a period of negative cash flow while waiting for recovery,” said Mauro Gasparotti, director of Savills Hotels APAC. However, Gasparotti added, the main obstacle for M&A was never the lack of investment demand but …

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The section of the North-South Expressway running through Thanh Hoa province Transport infrastructure firms are proposing three main capital sources for implementing public private partnership (PPP) projects, including state budget capital, equity capital, and capital raised from other resources. For the latter, the issuance of corporate bonds is being endorsed by leaders at all levels and experts alike. According to Nguyen Viet Huy, deputy director of the PPP Department under the Ministry of Transport, issuing corporate bonds is a legitimate solution helping to open the door for investors to participate in implementing highway projects under PPP method. Huy raised the example of Deo Ca Group, a major developer of transport infrastructure projects in central Vietnam, which succeeded with the implementation of capital-intensive projects with limited access to credit like the Deo Ca Tunnel project or the Bac Giang-Lang Son and Trung Luong-My Thuan expressway projects BY using …

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