Trang Tien Plaza reopens after renovation

The Trang Tien Plaza reopens its doors on December 22 after four months of renovation.

The Trang Tien Plaza reopens its doors after four months of renovation. Apart from the luxurious brands, popular brands have also added to the mall to satify the demands of various customers. - Photo trangtienplaza.vn

Nguyen Hong Loan, general director of Trang Tien Investment and Commerce Company Ltd., was quoted by cafef.vn as saying that the architecture of all the booths is more modern. She added that each booth has its own special feature, which will contribute to the comfortable shopping environment for the customers.

New retailers, including Banana Republic, Mango Man and Adidas, are also present at the mall, she shared. The plaza has a new food court as well.

Le Lan Phuong, deputy general manager of Trang Tien Plaza, told cafef.vn that apart from the luxury brands, popular brands have also been added to the mall to satisfy the demands of various customers.

The Plaza is offering discounts of up to 50 per cent on many items to mark its reopening. In addition, customers will have the opportunity to win valuable gifts through a raffle draw.   

The Trang Tien Plaza has been a commercial symbol of Ha Noi capital city for the past century. The shopping mall closed its doors last August, which was only 16 months after it reopened in April 2013.

Nhon Hoi petrochemical complex given incentives

The Nhon Hoi petrochemical complex project, invested by Thailand’s PTT Group, will enjoy a 10 percent corporate income tax for 15 years, an incentive that was agreed by the Prime Minister recently.

According to the Law on Corporate Tax, a corporate tax rate of 22 percent was applicable from January 1, 2014. The rate will be reduced to 20 percent from January 1, 2016.

In a decision issued recently, the Government leader agreed to include the pro ject (known as Victory project), located in the central province of Binh Dinh, as part of a development planning of the oil and gas sector.

The People’s Committee of the host Binh Dinh is asked to request the project developer use the cutting-edge equipment and technology that ensure environmental standards when it comes to considering the licensing.

The project will enjoy tax exemption for its import of crude oil as well as machines and equipment that are yet domestically produced, among other things.

The 20 billion USD complex is designed to refine 20 million tonnes of crude oil a year when it becomes operational, expecting in the 2021-2025 period.

The capacity is three times more than the Dung Quat refinery, the first and only currently operating in Vietnam.

With its feasibility study approved in early October this year, the complex is expected to have a groundbreaking ceremony in 2016.

The agro-forestry-fisheries sector is forecast to bring home 30.8 billion USD from export this year, up 11.2 percent from 2013 despite lacklustre demand in markets all over the world.

The sector also posts an estimated 9.5 billion USD in trade surplus, a rise of 7.7 percent, according to the Ministry of Agriculture and Rural Development.

Seafood is predicted to rake in 7.92 billion USD, marking a yearly growth of 18.4 percent with the US making up 21.81 percent of the total export value, becoming the leading seafood importer of Vietnam.

Wood and wooden products enjoy an expansion of 11.1 percent in earnings with 6.2 billion USD. The US, China and Japan are the biggest buyers who account for 66 percent of the total sales abroad.

During the year, an estimated 1.73 million tonnes of coffee are sold for 3.62 billion USD, up 33.4 percent in volume and 33.2 percent in value, mostly going to Germany and the US.

Higher revenues are also reported by exporters of vegetables (1.47 billion USD, up 34.9 percent), pepper (1.2 billion USD, 34.1 percent), and cashew nuts (2 billion USD, up 21.1 percent).

Rice and rubber, on the contrary, earn less with 3 billion USD and 1.8 billion USD, down 1.9 percent and 28.9 percent, respectively.

To raise gross agro-forestry-fisheries export value to 31 billion USD next year, the ministry will actively work to implement multilateral and bilateral agreements in place, including the World Trade Organisation and regional free trade commitments.

It will stand side by side with exporters by updating them on foreign markets’ latest trade policies and jointly devising feasible market strategies for added-value products.

To extend commercial reaches, the ministry will also promote marketing activities and promptly deal with any technical and trade barrier.

Stock market capitalisation tops $55 billion

The stock market's capitalisation was worth about US$55 billion as of November 30.

The capitalisation value in the first 11 months increased 19 per cent over the same period last year, accounting for 33 per cent of the gross domestic product (GDP).

According to the State Securities Commission, there are currently 841 listed companies and those that have registered to list shares; almost 800 unlisted companies; 43 fund management companies; and 83 securities firms.

Credit expected to rise in 2015 with help from agriculture sector

Credit growth next year is targeted to reach 13–15 per cent, State Bank of Viet Nam's Credit Department Director Nguyen Tien Dong told Thoi Bao Kinh Doanh (Business Times).

Dong shared that the government will encourage enterprises in the agricultural and rural development sector to increase their production and expand their businesses to help reach the target.

The lending demand in the sector is expected to gain the highest growth of 15 per cent next year, he disclosed.

The economic recovery next year is forecast to remain slow due to the lack of significant change seen in lending demand. Experts advised that apart from the support to be obtained from the agricultural and rural development industry, the commercial banks will also have to boost medium- and long-term lending for the supporting and engineering industries to meet the annual growth target.

Many banks, such as Oceanbank, TP Bank, Techcombank and VP Bank, have thus far introduced preferential lending packages, which target supporting and engineering firms.

The central bank has also oriented commercial banks to boost medium- and long-term lending. It highlighted the immense importance of sustainable investment in the production and business of firms, especially the small- and medium-sized ones.

Tran Hoang Ngan, a member of the National Assembly's Economic Committee, also shared that it is necessary to meet the medium- and long-term loan requirements of firms. This is said to be important for the recovery of the business community.

Firms disclosed that they continue to face difficulties in accessing medium- and long-term loans.

Vinavico Chairman Mai Hong Bang revealed that many banks offered short-term loans to his company. However, his business needs medium- and long-term loans to invest in mining equipment.

SBV's Dong said that the central bank had recently issued Circular 36 to boost medium- and long-term lending. This circular states that medium- and long-term loans must account for some 36–37 per cent of commercial banks' total outstanding loans.

Dong Nai exports exceed target

The southern province of Dong Nai reported a record export value of more than US$13 billion in 2014, surpassing its target by $500 million and posting a 19 per cent year-on-year increase.

Overall, foreign investments made up the lion's share of the figure with almost $11.3 billion, while the private sector accounted for $1.5 billion.

The locality's biggest importers were the US, Japan, South Korea and China. Major exports include footwear, garments and textiles, wood products and machinery parts, according to Dong Nai's Department of Industry and Trade.

Major products exported to these markets include garments and textiles, which made up 14.7 per cent; computers and electronics were 6.9 per cent; timber and wooden products were 8 per cent; plastics were 5.6 per cent, chemicals were 4.3 per cent; and footwear and fisheries were both 3.7 per cent.

Local exporters have successfully entered new markets in Greece, Uruguay, Sweden, Colombia, Switzerland, Slovakia and Israel.

Dong Nai also enjoyed a trade surplus of nearly half a billion US dollars this year.

The province forecasts its export turnover in 2015 will rise 15 per cent to reach $14.4 billion, almost doubling the figure for 2010.

Dong Nai, together with Binh Duong, Tay Ninh, Ba Ria-Vung Tau, Binh Phuoc, Long An and Tien Giang provinces and HCM City, form Viet Nam's southern key economic region.

The province, HCM City, and Binh Duong are amongst the most attractive FDI destinations in Viet Nam.

Scarcity drives up prices for Tet treats

The supply of speciality fruits in the Cuu Long (Mekong) Delta for the coming Tet (Lunar New Year), which falls in mid-February, will be scarce because unfavourable weather has affected output, according to farmers.

In recent days, the price of speciality fruit like Nam Roi grapefruit, green-peel and pink-flesh grapefruit and Hoa Loc mango has risen because of low supply.

Nguyen Van Khanh, who grows Nam Roi grapefruit in Hau Giang Province's Chau Thanh District, said the price of Nam Roi grapefruit was VND3,000 a kilo higher than the same period last year.

Nam Roi grapefruit is selling for VND13,000-16,000 a kilo.

Traders at Nam Roi grapefruit orchards have left deposits in advance to buy fruit for Tet at VND20,000-30,000 a kilo, but orchard owners do not have much to sell, Khanh said.

This year, only 20 per cent of the flowers of Nam Roi grapefruit bore fruit, as bad weather affected output.

Dam Vinh Hung, owner of Huong Mien Tay, a fruit exporting firm in Ben Tre Province, said the price of speciality fruits would increase significantly this Tet because of scarce supply.

The price of green-peel and pink flesh grapefruits are estimated to reach VND60,000-80,000 (US$2.8 –3.8) a kilo during Tet, he said.

Green-peel and pink-flesh grapefruit are now selling at VND35,000 ($1.6) kilo at orchards.

Supermarkets and traders in HCM City have placed orders to buy Hoa Loc mango with orchard owners in Tien Giang Province's Cai Be District, but many orchard owners declined the orders because of a poor harvest.

Nguyen Van Sang, who owns 20ha of Hoa Loc mango in Cai Be District, said: "My orchard can supply about two tonnes for Tet compared to 20 tonnes last Tet."

Villages that produce speciality goods like dried shrimp, dried fish and rice paper in the delta have increased their production for Tet.

Duong Tien Khanh, who makes dried fish in Tra Vinh Province's Duyen Hai District, said he has increased his output two to three times higher than normal.

For Tet, many people want to eat dried fish because they get tired of eating meat, he said.

"The orders of dried fish have increased in Tet in recent years," he said.

In Vinh Kim dried shrimp village in Tra Vinh Province's Cau Ngang District, dried shrimp producers are concerned about the shortage of fresh river shrimp for their production.

Nguyen Thi Xuan Hong, owner of the Vinh Kim dried shrimp establishment, said the demand for dried shrimp for Tet was very high.

"A trader in HCM City has ordered eight tonnes of dried shrimp, but I worry because of the shortage of fresh river shrimp for production," she said.

The price of Vinh Kim dried shrimp is at VND700,000 – 1.4 million ($33 - 66) a kilo and will be likely higher during Tet, she said.

In the delta, the prices of many fried fish species such as dried snake-head fish and dried snakeskin gourami have also begun increasing.

The price of dried snakeskin gourami has risen from VND300,000 ($14) a kilo to VND 400,000 ($19) a kilo.

In An Giang and Dong Thap provinces, dried fish producers this year have introduced new products made from walking catfish and broadhead catfish.

In An Giang Province, the price of fresh fish used to make dried fish has risen by 10-12 per cent against the same period last year.

Tran Van Duc, who makes dried fish in An Giang's Tan Chau Town, said despite the increase in price of fresh fish, he had tried to keep the price the same as last Tet.

In addition, more than 150 rice paper producers in My Long rice paper village in Ben Tre Province's Giong Trom District have begun production for Tet, increasing their output two to three times higher than on normal days.

Many traders in HCM City and Can Tho have travelled to the village to order rice paper for Tet.

VN sees trade deficit in first half of December

Viet Nam recorded a trade deficit of more than US$474 million in the first half of December.

According to the General Department of Customs, the nation's total trade hit approximately $12.1 billion during the reviewed period. This amount represents a month-on-month decrease of 9.7 per cent but a year-on-year increase of 14 per cent. The recent trade deficit lowered the country's surplus, which was acquired in the past 11 months, from $2.88 billion to $2.39 billion.

Of the total trade amount, exports experienced a monthly drop of 17 per cent to reach $5.82 billion. The key items affected included telephones and their components, textiles and garments, footwear and wood and wooden goods. Meanwhile, imports also witnessed a modest decrease, reaching $6.29 billion.

The department blamed the country's import-export turnover slump, which was experienced in the first half of December, for the drop in export value of the foreign-invested sector.

The latest addition has been noted to bring the country's trade value total to approximately $140.3 billion as of mid-December, in which the foreign-invested sector contributed 43 per cent or roughly $80 billion.

The Ministry of Industry and Trade predicted that Viet Nam would likely experience a trade deficit next year after three consecutive years of trade surplus.

The ministry anticipated the export revenues next year to increase by roughly 10 per cent to $163 billion. However, the import payments are expected to rise, which would result in a trade deficit of $6 billion to $8 billion or 5 per cent of the export revenues.

Deputy Industry and Trade Minister Do Thang Hai attributed the country's trade surplus in previous years to the increase in exports from foreign-invested companies.

However, this would change next year as exports from these companies have gradually declined and are not expected to increase as much as before, he disclosed.

Figures from the ministry showed that the export growth rates of foreign-invested companies have fallen from 31 per cent in 2012 and 22 per cent in 2013 to 12 per cent this year. Rapid and consecutive decreasing rates indicate that the production capacity of foreign-invested companies has gradually declined.

Auto showroom opens in Lam Dong

Truong Hai Automobile Company (Thaco) held a groundbreaking ceremony for a trade centre and auto showroom in the Central Highlands province of Lam Dong's Bao Loc City last week.

The US$6.2 million project covers an area of 4,000sq. m.The basement is for vehicle parking and supporting areas, the ground floor is for a supermarket and showroom and the two top floors are for restaurants and cafes.

The centre, which has a capacity of 1,000 people, is scheduled to be complete in the first quarter of 2016. It aims to contribute to the development of infrastructure for the tourism and commerce sectors, as well as the economic development goals of the mountainous city and southern area of the province.

Poultry processor built in Long An

A poultry factory opened in southern Long An province's Duc Hoa District last Saturday.

The US$2.82 million factory, invested by Ba Huan Co. Ltd., covers seven ha. It includes a slaughterhouse with a capacity of 1,500 – 2,500 birds per hour and food processing zone with a capacity of five to 10 tonnes per day.

Generator firm expands VN presence

The US-based Cummins Power Generation (CPG) recently signed a contract with Viet Nam's Truong Loc and Nguyen Huy companies to provide electric generators and energy solutions for the Vietnamese market.

This was part of the company's plan to expand in Viet Nam, as the rapidly growing economy was becoming increasingly attractive to investors, according to Hubert Goodman Jr., Cummins DKSH General Director for Southeast Asia.

CPG is a leading world provider of power generators with a network covering over 190 countries and territories. Its 2014 revenue from power generators in the Vietnamese market is expected to hit $16 million, $2 million more than last year.

Techno park to boost support industry

The HCM City industrial authority is pinning its hopes on the new Vie-Pan Techno Park (VPTP) as the southern economic hub goes to great lengths to accelerate its sluggish support industry.

The park, which opened in early December in Hiep Phuoc Industrial Park, Nha Be District, is the first of its kind in Viet Nam. It provides pre-fabricated workshops of various sizes.

According to Vu Van Hoa, head of the HCM City Export Processing and Industrial Zones Authority, Japanese small and medium-sized support enterprises only needed 300-1000sq.m of working space, which the VPTP provides.

Hoa said the park would help enterprises form a network where they could exchange technology and business, thus boosting the industry's development.

Tat Thanh Cang, Vice Chairman of the HCM City People's Committee, said that this kind of park would help local companies establish closer links with foreign companies in terms of technology transfer. Eight enterprises so far had confirmed that they would invest in the park and two were already licensed, Hoa said.

Sanko MDF, specialising in water and oil pipes, will be the first company to go into production by the end of December.

Up to 50 percent of Vietnamese companies in the city's industrial zones are engaged in the support industry but their products have low added value and most are not part of any global supply chain.

Vice Chairman Cang said the city would revise mechanisms and policies relating to finance, land and trade and investment promotion to assist small and medium-sized enterprises operating in the industry.

The city's long-term goal was to multiply the VPTP model and establish a strong support industry, contributing to industrialisation and modernisation, Cang said.

Quang Nam Rubber sets up new subsidiary

Quang Nam Rubber (VHG) recently announced that it is giving its land use right, worth VND99 billion (US$4.6 million), to a VND100-billion ($4.7 million) subsidiary called Develyn Investment.

Notably, the aim of establishing a new firm is to sell it to a partner for no less than VND25,000 ($1.17) per Develyn Investment share. The sale will be completed when Quang Nam Rubber's holding is reduced to 25 to 35 per cent.

Fertiliser company to list on HNX

PVFCCo Southeast Fertiliser, which has a charter capital of VND125 billion (US$5.87 million), has filed to list 12.5 million shares on the Ha Noi Stock Exchange, coded as PSE.

PVFCCo Southeast Fertiliser is an affiliate of the Phu My Fertiliser (DPM), which is listed on the HCM City Stock Exchange.

Last year, the company earned nearly VND3.34 trillion ($156.8 million) in revenue and VND31.4 billion ($1.47 million) in net profits.

Indian group conducts investment survey in Ha Nam

A delegation from the Tata Indian group led by its managing director Indronil Sengupta has made a fact-finding tour of Ha Nam to study building a factory to make Titan watches in the province.

At a working session on December 22, Vice Chairman of the provincial People’s Committee Vu Dai Thang introduced its potential, strength and investment policies. The province has abundant human resources, and six industrial zones with good infrastructure where nearly 200 foreign businesses are operating.

Businesses investing in the province will be provided with good conditions, including electricity and water supply, labour recruitment support and security.

Thang introduced two IZs – Chau Son in Phu Ly City and Dong Van in Duy Tien district for Tata group to choose.

Indronil Sengupta appreciated the provincial investment environment, especially 10 commitments for investors and affirmed that the province meets Tata requirements for building a factory.

Tata - one of the biggest groups in India – has operated in many countries in the world, including Vietnam.

Dong Nai posts record export turnover in 2014

Southern Dong Nai province reported a record export value of more than US$13 billion in 2014, surpassing the set target by US$500 million and posting a 19% year-on-year increase.

Overall, the foreign-invested sector made up the lion share of the figure with almost US$11.3 billion, while the private sector accounted for US$1.5 billion.

So far, the locality’s biggest importers are the US, Japan, the Republic of Korea and China. Major exports include footwear, garment & textile, wood products and machinery parts, according to the Dong Nai’s Department of Industry and Trade.

Local exporters have successfully made entrance into several new markets including Greece, Uruguay, Sweden, Colombia, Switzerland, Slovakia and Israel.

The province forecasts its export turnover in 2015 will rise 15% year on year to reach US$14.4 billion, almost doubling the figure of 2010.

Dong Nai, together with Binh Duong, Tay Ninh, Ba Ria-Vung Tau, Binh Phuoc, Long An and Tien Giang provinces and Ho Chi Minh City, form Vietnam’s southern key economic region.

The province, Ho Chi Minh City, and Binh Duong are amongst the most attractive FDI destinations in Vietnam.

BIDV, Japanese bank ink MoU

The Bank for Investment and Development of Vietnam (BIDV) has signed a Memorandum of Understanding (MoU) with Japan’s Hiroshima Shinkin bank to support Japanese businesses operating in Vietnam.

Under the deal, the local bank will be Hiroshima Shinkin’s first partner in Vietnam and is expected to provide banking products and services to small- and medium-sized enterprises that are customers of the Japanese bank.

They include payment accounts, credit, wage payments, consultancy on the trade and investment environment in Vietnam, taxation, and recruitment.

The foreign bank plans to organise a business mission to visit Vietnam in March next year to explore investment opportunities.

Hiroshima Shinkin was established in 1945 to provide services such as corporate finance, foreign exchange and individual savings accounts for small and medium-sized enterprises and workers in Hiroshima city, Chugoku region and western Honshu Island.

The bank was graded A/Stable long term issuer rating by Japan Credit Rating Agency Limited (JCR) in June 2014.

Moscow hosts workshop on SMEs market entry strategy

Although the Russian market has huge potential for Vietnamese small and medium sized enterprises (SMEs), it also poses challenges and pitfalls that need to be addressed before diving into it.

Often international businesses fail in Russia due to the reason they are not fully aware of the unique challenges and the difficulties the market presents and the entry strategy plays a pivotal role in ferreting out the hidden obstacles.

That was the message from those in attendance at a workshop on December 21 in Moscow that aimed to dialogue on the opportunities, potential and advantages of Vietnamese SMEs doing business in Russia.

Speaking at the event, Vietnam Ambassador to Russia Nguyen Thanh Son applauded the Vietnam Business Association in Russia for organizing the workshop, which provides Vietnamese entrepreneurs much needed support to successfully manage their SMEs.

The participants talked about the problems they have encountered and offered practical solutions to overcome them. Many suggested simplified administrative procedures were needed while other focused more on technical matters aimed at making the business climate more conducive to their needs.

As a result, there was general consensus that the seminar was a success and came up with a number of effective recommendations that if implemented would strengthen trade and investment between the two countries.

Russia is also a potential market for Vietnamese goods and services because it has been one of the country's traditional markets, and a huge community of overseas Vietnamese (OVs) who are living and studying there, many attendees said.

US power corporation expands investment in Vietnam

The US-based Cummins Power Generation (CPG) recently signed a contract with Vietnam ’s Truong Loc and Nguyen Huy Companies to provide electric generators and energy solutions for the Vietnamese market.

This was part of the corporation’s efforts to expand operations in Vietnam, its priority market in the Asia-Pacific region, said a representative from CPG’s distributor in Vietnam – Cummins DKSH at the singing ceremony.

It’s time for CPG to expand operations in Vietnam as the country is emerging as a rapidly growing economy that is more attractive to investors, according to Hubert Goodman Jr, Cummins DKSH General Director for Southeast Asia .

CPG is a leading world provider of power generators with its network covering over 190 countries and territories.

In 2014, its revenue from power generators in the Vietnamese market is expected to hit US$16 million, US$2 million more than last year.

Amiana Nha Trang receives World Luxury Hotel Award

Amiana Resort Nha Trang has received the global prestigious World Luxury Hotel Award 2014 in the Luxury Honeymoon Hotel category.

Built on a legendary land and inspired by the romantic stories of “Hon Chong & Bai Tien”, Amiana Resort is the perfect setting for family, long-stay work, and honeymoon.

Vu Van Toan, General Director of Amiana Resort said that it is a sincere honour to be presented the prestigious award.

“Amiana Resort continuously strives to be an ideal destination whatever your business or purpose and this certifies us as a leading luxury location. With this award we can proudly say that Amiana is genuinely a world renowned resort destination”, he added.

The World Luxury Hotel Awards is a recognized global organization providing luxury hotels with recognition for their world class facilities and service excellence.

Awards are presented to luxury hotels in different categories on a country, continent and global basis.

It aims to encourage and raise service standards within the luxury hotel industry.

Vietnam to slap two taxes on Uber

The Vietnamese Ministry of Finance is considering asking Uber to pay two types of taxes on the revenue it generates in Vietnam, a ministry official said Sunday.

The move is to ensure the rights of interests of all parties involved in the operations of the ridesharing app: the government, Uber and passengers, the official, who wished not to be named, told Tuoi Tre(Youth) newspaper.

Uber will be requested to pay a three percent value-added tax and a two percent corporate income tax, the same rates levied on transport businesses, according to the official.

San Francisco-based Uber obtained the license for its Vietnamese business, Uber Vietnam Co. Ltd., on October 14 but the company is merely in charge of support activities such as marketing, market expansion, or training.

Other important tasks, including signing contracts with drivers, charging passengers and repaying local transport firms, are done by Uber International Holding B.V., located in the Netherlands.

The Amsterdam-based company is thus to be held responsible for the tax liabilities in Vietnam rather than Uber Vietnam Co. Ltd., Nguyen Quang Tien, deputy head of a standing committee on tax reform under the General Department of Taxation, told the Vietnam News Agencyon Thursday.

Tien said local tax officials last week worked with Uber International Holding B.V. to determine the earnings the ridesharing app generates in Vietnam.

Uber currently has three sources of incomes, including the Uber account registration fee (VND5,000) for passengers, ride cancelation charges, and fares paid by passengers via Visa Card, MasterCard and AMEX, Tien elaborated.

Under the contract it closes with drivers, Uber will grab 20 percent of the fares while the transport firms will take the remaining 80 percent.

“Uber has said the VND5,000 account registration fee is in fact for verifying if the passengers’ credit card is valid, and will be refunded once the verification is completed,” Tien told the news agency.

“Uber suggested the fee should not be counted as Uber International Holding B.V.'s income in Vietnam.”

As for the fares paid by passengers, the Vietnamese transport companies are responsible for declaring and clearing them with the local taxman, according to their contracts with Uber.

“This means although the Vietnamese firms will receive 80 percent of the fares, they are responsible to pay taxes on behalf of Uber,” he said.

“Meanwhile, Uber will be able to retain the entire 20 percent of their share.”

Tien asserted to the Vietnam News Agency that it is totally possible to oversee Uber’s tax activities as their data is stored simultaneously in overseas and Vietnam-based servers.

Uber, which connects passengers and drivers via a smartphone app, has grabbed national headlines as it has won over many passengers for its fast and cheap rides, all while facing legal challenges in Vietnam.

It started offering services in the Southeast Asian country on July 31, with car rides now available in both Hanoi and Ho Chi Minh City.

Uber customers use the app to request rides and track their reserved vehicle's location, with information including the fare and estimated arrival time made known before they get in the car.

The complete fare is automatically billed to the customer's credit card at the end of a ride.

Uber is a controversial service in many of the 250 cities worldwide the company has a presence in, mostly because it can offer lower fees due to the absence of regulations.

Vingroup opens Almaz centre in Ha Noi

Vingroup officially opened a luxury cuisine and conference centre at Vinhomes Riverside in Long Bien District, Ha Noi, on December 20.

The group representative said that the centre was named Almaz, which means "diamond" in Russian. It offers local people luxury restaurants and conference rooms, as well as entertainment and shopping areas, added the company representative.

The Almaz Convention Centre, which spans over 4,400sq.m and has a maximum capacity of 1,600 people, is equipped with modern facilities and has been constructed in accordance with international standards. The centre is a suitable choice for conferences, various cultural activities and even weddings.   

Meanwhile, the Almaz's restaurants offer not only outstanding food but also an impressive location by the river near the centre.

For instance, Singapore's famous restaurant brand TungLok Heen launched its first restaurant in Viet Nam at Almaz. Other food brands include Topaz Italiano with Chef Alessandro Giacint, European restaurant Ruby with a three-star Michelin chef and Japanese restaurant Kimono Elegance. The local restaurant in Almaz, which features famous local chefs, offers dishes from three parts of Viet Nam.

Vingroup also launched a promotional programme for its Vinhomes Riverside urban area.

It offers urban customers a VND1 billion (US$46,948) package, which includes services from Vinpearl, Vinmec, Vinmart and Almaz centre.

Meanwhile, the group offers customers who purchased unfurnished apartments as well as potential urban customers a support package worth VND1.5 to VND5 billion ($70,422–234,741) with three options: furniture instalment, a Mercedes-Benz car, or a better loan interest rate.

Lam Dong to have VND132-billion trade centre

The Truong Hai Auto Company (THACO) on December 21 started building a trade centre and an auto showroom in this Central Highland city.

The VND132-billion (US$6.2 million) trade centre covers an area of 4,000sq.m and will have four storeys. The basement is for parking, and the first storeys will have a supermarket and an auto showroom. The top two storeys will have a food court, restaurants and coffee shops.

The Thaco Bao Loc trade centre is designed to accommodate 1,000 people at a time, and can meet the entertainment demands of the local people and tourists visiting the city.

Located near National Highway 20, which connects HCM City and Da Lat city, the trade centre is expected to be an ideal transition point for travellers.

The construction is scheduled to be completed by the first quarter of 2016.

HCM City posts 94% FDI surge

Foreign direct investment (FDI) into HCM City as of December 15 has reached US$3.21 billion, an increase of 94 per cent compared with the same period last year, according to figures from HCM City Department of Planning and Investment.

The figure includes registered capital of $2.84 billion for 414 new FDI projects, nearly triple last year's figure. Most of the investment was in the manufacturing and real estate sectors.

In addition, 133 operational projects have received added capital totalling $371.2 million, 53.5 per cent of the figure in 2013.

Northern central region keen to develop culture-history tourism

The northern central region will focus on developing culture-history tourism taking advantage of the rich cultural and historical heritage, it was agreed at a December 22 conference on how to implement the Master plan on the region’s tourism development to 2020 with a vision to 2030.

Sea-based tours will be another priority as the region stretches along the coastline with many beautiful beaches, with the aim of turning tourism into a spearhead economic sector by 2020, a driving force for local socio-economic development and significantly contributing to poverty reduction.

The plan has set the targets of attracting more than 2.1 million of international visitors and 11 million of domestic tourists in 2020; generating 32.8 trillion VND (1.56 billion USD) in tourism revenues.

On the occasion, the Vietnam National Tourism Administration launched a domestic tourism promoting programme with the aim of raising the number of tourists to 37.5 million in 2015.

The master plan for the northern central region was approved by the Prime Minister in 2013, with total investment of more than 165 trillion VND (7.85 billion USD).

The region comprises six provinces, namely Thanh Hoa, Nghe An, Ha Tinh, Quang Binh, Quang Tri and Thua Thien-Hue. It is home to three World Heritage sites, which are the Phong Nha-Ke Bang National Park in Quang Binh, the Ho Dynasty Citadel in Thanh Hoa and the Complex of Hue Monument in Thua Thien-Hue.

Japanese city offers ideas to Da Nang on sustainable development

Experts from the Japan International Co-operation Agency (JICA) and Yokohama have offered their expertise and ideas to Da Nang to help the central city draw a plan of action for sustainable development until 2030.

At a forum held on December 22, Da Nang Vice Chairman Nguyen Ngoc Tuan said the city would focus on improving infrastructure to facilitate the development of services, commerce and tourism.

Based on ideas and experience from Yokohama, Japan’s second largest city, the plan of action for the sustainable development of Da Nang will be developed with financial and technical assistance from JICA.

A JICA research team has conducted a survey to collect data for the purpose, focusing on three key sectors: building a well-connected city, self-reliant finance management and promoting the Public Private Partnership (PPP) model.

According to Kozo Bando, a senior engineer from Kajima Corporation, the city should use the PPP form in infrastructure development to reduce the financial burden and to take advantage of technology and financial and managerial capacity from the private sector.

He cited the Hoa Lien Water Plant as an example of the effectiveness of the PPP form, saying that the project has helped reduce financial risks for Da Nang.

Real estate inventory reduces $127 mil in one month

Real estate inventory was recorded at VND77.8 trillion from November1 to 20, a reduction of VND2.7 trillion (US$127 million) over the same period in the previous month, reported Vietnam National Real Estate Association.

Compared to the first quarter last year, it dropped over VND50.7 trillion, equivalent to 39.47 percent.

The inventory reduction mainly concentrated in the segments of small and low cost apartments, completed projects, and areas with good infrastructure.

It includes 15,774 apartments worth VND24.1 trillion, 13,000 houses worth VND21.3 trillion, 8.6 million square meters of housing land worth VND27.8 trillion, and 1.6 million square meters of commercial land worth VND4,545 billion.

December CPI down slightly on falling fuel prices

Hanoi and Ho Chi Minh City saw a decline in inflation in December, as measured by the consumer price index (CPI), due to lower fuel prices, the Statistics Department has reported.

Ho Chi Minh City’s CPI eased 0.36 percent on a month earlier, with lower fuel prices cited as the cause, the municipal Statistics Department reported on December 22.

But it reported that the CPI rose 1.65 percent year-on-year.

Price declines for December were recorded for transportation and postal, down 3.54 percent month-on-month, followed by housing, electricity, water, fuel and construction materials, which fell  0.95 percent, culture and entertainment, down 0.22 percent, beverages and cigarettes, down 0.18 percent and other goods and services, down 0.06 percent.

Prices rose 0.7 percent for telecommunications, apparel and footwear rose 0.14 percent, pharmaceuticals and medical services were up 0.06 percent, household utensils, up 0.02 percent, while food and restaurant services grew 0.17 percent, buoyed by higher demand head of the Christmas-New Year holiday season.

In Hanoi, the CPI eased 0.23 percent in December, for a year-on-year increase of 1.55 percent, the Municipal Statistics Office reported.

In December, eight of 11 products and services in the CPI basket saw rising prices.

Telecoms saw the sharpest price rise, up 0.68 percent, with apparel, textiles and footwear up 0.54 percent, other services, up 0.51 percent, entertainment and tourism, up 0.42 percent, household utensils, up 0.26 percent, and beverages and cigarettes up 0.12 percent.

The gold price rose 0.13 percent, month-on-month, while the USD price climbed 0.43 percent.

Banks cashing in on end-of-year remittances

Banks in Vietnam have stepped up competition to win the deposits of year-end remittances from overseas workers, which are a profitable source of income.

In the race to attract customers, Vietcombank has launched a promotion using MoneyGram, UniTeller and TNMonex services. Recipients of remittances are being offered mobile phones, computer tablets and microwave ovens to open accounts.

The deputy general director of Vietcombank, Nguyen Thanh Ha, said nearly USD1.3 billion was remitted last year, with remittances expected to hit USD1.4 billion this year.

Agribank, Vietinbank and ABBank are also pushing for new customers with promotional offers, while Sacombank is offering outbound tours and several gifts to customers using their services.

A director of Sacombank, Nguyen Huy Khang, said last year the bank took in USD1.7 billion in remittances and forecasts that will increase to USD2 billion this year.

One director of Agribank, in Bac Giang Province, reported it had received USD90 million, accounted for 90% of total remittances to the province.

"Most of the money came from South Korea and Taiwan and the trend is still increasing," she said.

The State Bank of Vietnam noted recent policy changes by the government and banks have made it easier for people to transfer money. As a result, banks have become more competitive in attracting foreign transfers.

Overseas remittances are the second-biggest source of income for Vietnam, accounting for some eight percent of gross national product.

The deputy chief executive of Lien Viet Post Bank, Nguyen Anh Van, said, "The amount of remittances has an annual increase of 10%, making a positive impact on the economy and foreign currency loans. It has helped banks build up foreign currency reserves."

According to the Central Institute for Economic Management (CIEM) and Western Union, total remittances to Vietnam in 2014 are estimated at USD11-12 billion, an increase of 5-10% on 2013.

The World Bank says Vietnam is among the top ten of the world's biggest remittance recipients.

Nearly 50,000 enterprises undertake e-customs declaration

As of mid-December, 49,492 enterprises joined the Viet Nam Automated Cargo and Port Consolidated System and Viet Nam Customs Information System (VNACCS/VCIS), according to the General Department of Viet Nam Customs.

Total import- export turnover declaring through VNACCS/VCIS valued US$ 182.45 billion, of which exports fetched US$ 91.24 billion and import, US$ 91.21 billion.

So far, the VNACCS/VCIS has been deployed in all 34 local customs departments and 170 branches across the country.

Source: VEF/VNA/VNS/VOV/SGT/SGGP/Dantri/VIR