Sunday, September 5, 2010

Navibank plans to list 100 million shares in Hanoi

Navibank plans to list 100 million shares in HanoiNam Viet Commercial Joint-Stock Bank, the Vietnamese lender known as Navibank, plans to list 100 million shares on the Hanoi Stock Exchange as early as next month, Chairman Nguyen Vinh Tho said.

Navibank had planned to list shares on the Hanoi bourse in late June, Dau Tu Chung Khoan magazine reported April 16, citing Chief Executive Officer Le Quang Tri. The Ho Chi Minh City-based lender traded as high as VND11,000 Monday in the over-the-counter market, according to FPT Securities Joint-Stock Co.

The Southeast Asian nation’s benchmark VN Index declined 1.5 percent today to 447.92, the lowest since Dec.18. It has dropped 9.3 percent this month, the worst performance among 93 benchmarks tracked by Bloomberg.

“The outlook for the Vietnamese stock market is more positive for September than this month because earnings of listed companies in the third quarter are expected to be better,” Tho said Monday in a telephone interview.

Navibank forecasts pretax profit will double this year to VND400 billion ($20.5 million), according to Tho. Total assets may rise to VND30 trillion from more than VND19 trillion last year, he said.

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Government urges JV plan for Phu Bai Airport

HCMC – The Government has told the Ministry of Transport to urgently submit a joint venture plan involving foreign investment in developing Phu Bai International Airport in Thua Thien-Hue Province.

In Document 5217/VPCP-KTN, Deputy Prime Minister Hoang Trung Hai ordered the ministry to work with relevant agencies over completion of such a joint venture plan and submit it to the Prime Minister in response to a recent proposal by the Thua Thien-Hue People’s Committee.

Last month, the province wrote to Prime Minister Nguyen Tan Dung, asking him to urge the ministry to finalize the joint venture plan for the 527-hectare airport in the central region.

The province said Middle Airport Corp. had held several rounds of talks with Singapore’s Changi Airports International Pte. Ltd. (CAI) for establishing a joint venture to build Phu Bai into a modern international airport.

The Singaporean airport investment firm was the first foreign investor interested in Phu Bai Airport development and has signed a memorandum of understanding with the Middle Airports Authority of Vietnam in Hanoi in February 2008.

CAI executives had told the Daily after the MOU signing ceremony that the form of its investment in Phu Bai Airport would depend on further discussions with the Vietnamese side as well as studying the potential and operation of this airport.

In August last year, the Prime Minister approved in principle a joint venture of Vietnamese and foreign investors to develop Phu Bai Airport, with the Vietnamese side holding a controlling stake.

The transport ministry was told to collaborate with related agencies and Thua Thien-Hue Province to map out plans to set up the joint venture for submission to the Prime Minister before negotiations with the foreign partner.

The order came after the Prime Minister passed a master plan to upgrade Phu Bai Airport between now and 2020, with a vision towards 2030, at a total investment cost of VND12.5 trillion (around US$642 million).

The master plan envisages capital will come from different sources to develop Phu Bai into an international airport able to receive modern aircraft including Airbus A320s, A321s, Boeing B767s and B777-200 LRs.

The airport is expected to handle five million passengers a year in 2020 compared to over 500,000 passengers as currently, and nine million passengers in 2030. The annual cargo volume will reach 100,000 tons in 2020 and 200,000 tons in 2030.

The airport will have parking plots for more than 20 and 43 aircraft in those years respectively. The plan also outlines expansion of the current runway in the next decade before a second runway will be built, possibly after 2030.

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Saturday, September 4, 2010

Government urges JV plan for Phu Bai Airport

HCMC – The Government has told the Ministry of Transport to urgently submit a joint venture plan involving foreign investment in developing Phu Bai International Airport in Thua Thien-Hue Province.

In Document 5217/VPCP-KTN, Deputy Prime Minister Hoang Trung Hai ordered the ministry to work with relevant agencies over completion of such a joint venture plan and submit it to the Prime Minister in response to a recent proposal by the Thua Thien-Hue People’s Committee.

Last month, the province wrote to Prime Minister Nguyen Tan Dung, asking him to urge the ministry to finalize the joint venture plan for the 527-hectare airport in the central region.

The province said Middle Airport Corp. had held several rounds of talks with Singapore’s Changi Airports International Pte. Ltd. (CAI) for establishing a joint venture to build Phu Bai into a modern international airport.

The Singaporean airport investment firm was the first foreign investor interested in Phu Bai Airport development and has signed a memorandum of understanding with the Middle Airports Authority of Vietnam in Hanoi in February 2008.

CAI executives had told the Daily after the MOU signing ceremony that the form of its investment in Phu Bai Airport would depend on further discussions with the Vietnamese side as well as studying the potential and operation of this airport.

In August last year, the Prime Minister approved in principle a joint venture of Vietnamese and foreign investors to develop Phu Bai Airport, with the Vietnamese side holding a controlling stake.

The transport ministry was told to collaborate with related agencies and Thua Thien-Hue Province to map out plans to set up the joint venture for submission to the Prime Minister before negotiations with the foreign partner.

The order came after the Prime Minister passed a master plan to upgrade Phu Bai Airport between now and 2020, with a vision towards 2030, at a total investment cost of VND12.5 trillion (around US$642 million).

The master plan envisages capital will come from different sources to develop Phu Bai into an international airport able to receive modern aircraft including Airbus A320s, A321s, Boeing B767s and B777-200 LRs.

The airport is expected to handle five million passengers a year in 2020 compared to over 500,000 passengers as currently, and nine million passengers in 2030. The annual cargo volume will reach 100,000 tons in 2020 and 200,000 tons in 2030.

The airport will have parking plots for more than 20 and 43 aircraft in those years respectively. The plan also outlines expansion of the current runway in the next decade before a second runway will be built, possibly after 2030.

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Labor structure remains little changed

HCMC – Vietnam’s labor structure remains little changed despite strong economic growth, with over half of the workforce still engaging themselves in agriculture where underemployment is a big concern, according to a seminar in HCMC last week.

As of end-2008, a total 23.6 million laborers, or 52.5% of the workforce, were still working in agriculture characterized by low productivity and low efficiency, said Nguyen Ba Ngoc, deputy director of the Institute for Labor and Social Sciences under the labor ministry.

Ngoc told the seminar in HCMC on Thursday that laborers in the manufacturing sector accounted for 20.83% of the total, and those in the service sector the remaining 26.55%.

The formal unemployment figure in the country, according to Ngoc, is a low 2%.

While agriculture draws the majority of the workforce, as many as 1.43 million people were underemployed, with 97% of them living in the countryside, he said. Meanwhile, many manufacturing facilities are facing a critical shortage of skilled laborers.

The biggest problem is that labor supply falls far short of demand, which indicates that training in Vietnam has not kept pace with socio-economic development. Another problem is that many people cannot find jobs after training, which also shows the country’s vocational system has not attended to labor demand.

Tran Van Thien, director of the HCMC Human Resource Development Institute, lamented the low productivity among Vietnamese laborers. Compared with other countries in the region, Vietnam’s productivity level is only 61.4% the average of ASEAN, 22% of Malaysia and 12.4% of Singapore, Thien said.

Thien therefore suggested changes in human resource training in the coming years to raise Vietnam’s productivity.

Lin Lean Lim of the International Labor Organisation (ILO) told the seminar that Vietnam should have better forecasts on labor demands in the coming years, and identify the fields that training should focus on.

In addition, policies should be made to encourage Vietnamese students to return home after furthering their studies overseas.

The seminar was held by the labor ministry to provide inputs for a scheme on labor market development for the 2011-2019 period.

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Saigon Co.op promotes Vietnam-made goods sales

Shoppers flood a Co-opMart store in HCMC - Photo: Quoc Hung
HCMC - Vietnam’s leading supermarket chain operator Saigon Co.op late last week announced to spend more than VND45 billion on a sales promotion program for Vietnam-made goods at its stores to offer more benefits to customers.

The program will be kicked off late this month until September 26 at 46 Co.opMart supermarkets and 12 Co.op Food stores. Besides, the supermarket will also launch mobile stores stocked with essential commodities, with prices slashed by up to 50% for sale to workers and poor people.

Nguyen Thi Hanh, general director of Saigon Co.op, said the chain would offer a discount program at 46 Co.opMart and 12 Co.op Food stores and, which will slash prices from 10% – 50% for around 1,500 items.

Under the program, customers of Co.opMart supermarkets and Co.op Food stores will have chances to receive gifts and join lucky draws for valuable prizes including 46 Attila scooters and 4,000 gifts. Around 400 local enterprises are expected to join this year’s promotion month of Saigon Co.op.

This is part of the promotion program called ‘Pride of Vietnamese Products’ under the city’s sales promotion month aimed to accelerate the consumption of local products, contribute to economic growth and attract more foreign visitors to the city for shopping.

Supermarkets in the country are now lending a helping hand to local producers of quality goods by prioritizing local commodities on their shelves. The proportion of Vietnam-made goods on the shelves has reached 90-95%.

At Co.opMart stores, 95% of food products and 90% of non-food products displayed along the aisles are made in Vietnam, according to a report just sent by Co.opMart to the HCMC Industry and Trade Department.

According to Bui Hanh Thu, deputy director of Saigon Co.op, foreign products dominated in the past, but domestic products have been gradually making strides.

“Vietnam made goods are now dominating many categories of products,” Thu stated. “For example, 95% of ready-made clothes at Saigon Co-op now are domestically-made products. Meanwhile, previously, 40% of the products were imports.”

Vietnamese goods have regained local consumers’ confidence thanks to their good materials, diversified designs and competitive prices.

According to a survey conducted by TV Plus Company, 58% of Vietnamese consumers have shown keen interest in locally-made products since a campaign entitled “Vietnamese people use Vietnamese goods” was launched by the Ministry of Industry and Trade more than one year ago, compared to 23% previously.

Nguyen Thi Hong, vice chairwoman of the HCMC government, noted a shift to local goods among consumers during a conference here last month.

“Consumers had made active changes in their purchasing habits. The number of people choosing Vietnamese goods increased as they had made comparison in prices and quality between Vietnamese and foreign goods,” Hong said.

Vietnamese commodities now hold larger spaces in trade centers, supermarkets and wholesales centers including Co.opMart, Big C, Metro Cash and Carry Vietnam, Hapro, and Maximark to name but a few.

In the first half of the year, sales revenues of many supermarket chains in the country sharply increased, with an average growth rate of 30-40% in HCMC. Remarkably, the Saigon Co.op Mart system experienced a revenue growth of 70% compared to the same period last year.

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Saigon Co.op promotes Vietnam-made goods sales

Shoppers flood a Co-opMart store in HCMC - Photo: Quoc Hung
HCMC - Vietnam’s leading supermarket chain operator Saigon Co.op late last week announced to spend more than VND45 billion on a sales promotion program for Vietnam-made goods at its stores to offer more benefits to customers.

The program will be kicked off late this month until September 26 at 46 Co.opMart supermarkets and 12 Co.op Food stores. Besides, the supermarket will also launch mobile stores stocked with essential commodities, with prices slashed by up to 50% for sale to workers and poor people.

Nguyen Thi Hanh, general director of Saigon Co.op, said the chain would offer a discount program at 46 Co.opMart and 12 Co.op Food stores and, which will slash prices from 10% – 50% for around 1,500 items.

Under the program, customers of Co.opMart supermarkets and Co.op Food stores will have chances to receive gifts and join lucky draws for valuable prizes including 46 Attila scooters and 4,000 gifts. Around 400 local enterprises are expected to join this year’s promotion month of Saigon Co.op.

This is part of the promotion program called ‘Pride of Vietnamese Products’ under the city’s sales promotion month aimed to accelerate the consumption of local products, contribute to economic growth and attract more foreign visitors to the city for shopping.

Supermarkets in the country are now lending a helping hand to local producers of quality goods by prioritizing local commodities on their shelves. The proportion of Vietnam-made goods on the shelves has reached 90-95%.

At Co.opMart stores, 95% of food products and 90% of non-food products displayed along the aisles are made in Vietnam, according to a report just sent by Co.opMart to the HCMC Industry and Trade Department.

According to Bui Hanh Thu, deputy director of Saigon Co.op, foreign products dominated in the past, but domestic products have been gradually making strides.

“Vietnam made goods are now dominating many categories of products,” Thu stated. “For example, 95% of ready-made clothes at Saigon Co-op now are domestically-made products. Meanwhile, previously, 40% of the products were imports.”

Vietnamese goods have regained local consumers’ confidence thanks to their good materials, diversified designs and competitive prices.

According to a survey conducted by TV Plus Company, 58% of Vietnamese consumers have shown keen interest in locally-made products since a campaign entitled “Vietnamese people use Vietnamese goods” was launched by the Ministry of Industry and Trade more than one year ago, compared to 23% previously.

Nguyen Thi Hong, vice chairwoman of the HCMC government, noted a shift to local goods among consumers during a conference here last month.

“Consumers had made active changes in their purchasing habits. The number of people choosing Vietnamese goods increased as they had made comparison in prices and quality between Vietnamese and foreign goods,” Hong said.

Vietnamese commodities now hold larger spaces in trade centers, supermarkets and wholesales centers including Co.opMart, Big C, Metro Cash and Carry Vietnam, Hapro, and Maximark to name but a few.

In the first half of the year, sales revenues of many supermarket chains in the country sharply increased, with an average growth rate of 30-40% in HCMC. Remarkably, the Saigon Co.op Mart system experienced a revenue growth of 70% compared to the same period last year.

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PM okays VND3 trillion for nuclear power training

HCMC - Prime Minister Nguyen Tan Dung has approved a VND3-trillion project to develop human resources for the nuclear energy sector as part of the nuclear power development plan.

The plan that aims to ensure energy security and strengthen the country’s science and technology sector would train 2,400 engineers, 350 nuclear scientists, 650 engineers and 250 experts in nuclear management, safety and security by 2020.

The Government will invest in six universities currently involved in nuclear power training, comprising the Natural Science Universities of Hanoi and HCMC, Hanoi’s Polytechnic University, Dalat University, University of Electricity, and the Nuclear Training Center under Vietnam Nuclear Energy Institute.

The project would help Vietnam to achieve its skilled worker target for the nuclear power industry, the Government’s website reports.

Currently, there is a severe lack of human resources in the sector. According to the 2008 survey of the Ministry of Education and Training, there were 505 experts in nuclear science and technology working in 10 organizations.

The sector lacks highly trained scientists, while nearly all the scientists with PhDs in the field in Vietnam were over 50 years old.

Vietnam plans to have two nuclear power plants with the total capacity of 4,000 MW built in Binh Thuan Province within ten years. Of them, the Russian-invested Ninh Thuan 1 plant will break ground in 2014 to come on stream in 2020, with the total cost of VND200 trillion.

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