ECONOMIC HIGHLIGHTS €“ APRIL 18-24

PM to chair meeting with businesses

PM Nguyen Xuan Phuc will host a meeting with businesses in 2016 on April 29, 2016 that focuses on the theme “Viet Nam’s businesses – the nation’s economic development force”.

The meeting will aim to deliver the PM’s message that is: businesses are a driver behind economic development. The Government will create the most favorable conditions for establishing start-up and enhancing the development of businesses in terms of quantity and quality.

Measures are proposed to set up a mechanism to facilitate enterprises' operation and address difficulties and obstacles for businesses.

VN, Laos, Cambodia open 4th negotiation round on trade deal

The fourth negotiation round on the Trade Promotion and Facilitation Agreement in the Cambodia-Laos-Viet Nam (CLV) Development Triangle Area opened in Viet Nam’s Central Highlands province of Dak Lak.

Officials from the three countries are to focus on resolving remaining difficulties and obstacles to soon reach consensus on clauses and finalise the agreement on schedule as set by leaders of the three countries.

Foreign Ministry hosts conference promoting Asia-Europe partnership

The Foreign Ministry opened a conference on “Enhancing the comprehensive Asia-Europe Partnership in the 21st century” in Ha Noi on April 20 to review two decades of the Asia-Europe Meeting (ASEM) and make proposals on the grouping’s track in the third decade.

Addressing the event, Deputy PM and FM Pham BinhMinh said ASEM has developed into a key platform for policy dialogue and cooperation between Asia and Europe after 20 years, benefiting its member states in terms of maintaining peace and security, economic recovery and tackling global issues.

FTAs can keep economy on track

Although the World Bank has lowered Viet Nam’s growth forecast for 2016, it remains optimistic about the country’s economic prospects resulting from free trade agreements later this year.

Last week, the World Bank issued its East Asia and Pacific Economic Update, in which it reduced its projection for Viet Nam’s growth rate in 2016. The January estimate of 6.6% was reduced to 6.2%.

Foreign enterprises to join petroleum retail market

Some foreign enterprises will be permitted to distribute petrol in Viet Nam when they invest in oil refinery projects in the Southeast Asian nation.

Accordingly, Japanese oil producer Idemitsu Kosan which invested in the Nghi Son refinery project in the northern province of Thanh Hoa with Petrol Viet Nam will be able to distribute petro from 2017.

In addition, the Viet Nam National Petroleum Group (Petrolimex) inked a strategic deal with JX Nippon Oil and Energy on the US$8 billion Nam Van Phong oil refinery project.

VN posts US$1.36 billion trade surplus in Q1

Viet Nam registered a trade surplus of US$1.36 billion in the first quarter of 2016.

According to General Department of Vietnam Customs statistics total import-export turnover of the country in Q1 reached US$76.17 billion, a year-on-year increase of 1.1% (US$817 million).

Exports for the first three months rose 6.6% to US$38.77 billion while imports declined 4% to US$37.4 billion.

Dong Nai attracts huge foreign investment into auxiliary industry

Since early 2016, the southern province of Dong Nai attracted 33 foreign projects, including 15 projects in auxiliary industry and two ones in mechanics and garment, according to the Management Board of Dong Nai industrial zones.

The province attracted US$580 million in Foreign Direct Investment (FDI) in three months while setting the target of attracting US$1 billion in FDI for the whole year.

MoIT proposes Philippines boost rice purchases

The Ministry of Industry and Trade (MoIT) has asked the Philippine government to boost its imports of rice and give priority to renegotiating a government to government trade deal set to expire at the end of the year.

At a recent conference, Minister Tran Tuan Anh of the MoIT told Secretary Fredelita C Guiza, the new Presidential Assistant for Food Security and Agricultural Modernization, that fresh demand from the Philippines is important to help underpin export prices in the region.

HCM City industrial output rises 5.7%

HCM City's Industrial Production Index increased by 5.7% in the first quarter, the highest growth rate in the past five years.

A report from the city’s Department of Industry and Trade shows that the processing and manufacturing sectors grew by 5.8% in the period.

The IPP of four main industrial sectors grew at 5.3% year-on-year.

Vietcombank to raise charter capital

The largest local commercial bank, Vietcombank (VCB), will increase its charter capital to over VND39.7 trillion (US$1.78 billion), said chairman Nghiem Xuan Thanh at the bank’s recent general shareholder’s meeting.

Thanh said the added capital of VND9.3 trillion was from the issuance of 933 million bonus shares for the existing shareholders of the bank.

He said that after raising charter capital, the bank will offer foreign investors about 360 million shares or a 10% stake.

Source: VGP