Sept dollar credit growth up strongly in HCMC

HCMC – Outstanding loans in foreign currency, mostly the U.S. dollar, at credit institutions in HCMC by the end of this month are forecast to expand 36% from late last year to VND186.1 trillion, according to central bank figures.

The figures from the central bank’s HCMC branch show September dollar credit growth at commercial banks in the city is seen reaching 6.1% month-on-month, up from the 1% recorded in August.

Banks have reported an 8.5% rise in September dollar mobilization from August after they hiked dollar deposit rates early this month. Meanwhile, the amount of dollars raised in August was down 4% month-on-month.

Therefore, banks in the city may have raised a total of VND181.25 trillion by late this month, up 8.4% from late 2009. So outstanding dollar loans continue surpassing mobilization in September and part of the reason is that foreign banks have ample cheap dollar funds from their mother banks and foreign institutions.

In contrast to the dollar mobilization, HCMC banks’ Vietnam dong fund raising in the first nine months this year has been higher than credit growth. By late September, the volume of dong deposits is projected to amount to VND530.7 trillion, up 21.7% from late last year, and outstanding loans VND463.3 trillion, up 9.4% from late 2009.

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TransViet joins global travel management firm

Taiwan eyes Vietnam tourists

The Taiwan Tourism Bureau stages a traditional dance show of Taiwan at a press conference held in HCMC on Monday to introduce the Charming Taiwan in Vietnam - Photo: Mong Binh

HCMC - TransViet Travel, a member of TransViet Group, has partnered with GlobalStar Travel Management, a worldwide network consisting of more than 75 market leading enterprises around the world and representing over US$13 billion in sales.

Doan Van Truong, sales manager of TransViet Travel, said his company had become the only entity in Vietnam to join the worldwide travel management company, and that this would enable the local firm to handle more inbound guests and those corporate customers of the network in Vietnam.

TransViet Travel now is able to use the GlobalStar brand to attract clients and win more guests via introductions and proposals by the global company, which can create solutions to fit individual needs and delivers quality services in a multinational environment, Truong told the Daily on the phone on Monday.

Truong said the name of TransViet had been widely recognized at home and overseas through United Airlines and other some 10 foreign airlines that have chosen the local business as their general sales agent in Vietnam.

TransViet Travel has emerged as a leader in business travel in Vietnam after over 15 years of existence on the domestic market.

TransViet Travel said in a statement that joining GlobalStar Travel Management would bring the company more opportunities to expand its corporate client base and strengthen the position of a Vietnamese company in the global front.

Mark van Iersel, director of marketing and partner recruitment at GlobalStar, said in the statement that the company had seen an increase in demand for a local travel management corporation in Vietnam. “We feel that with the addition of TransViet Travel we can now meet our client demands by adding the best national choice in Vietnam.”

* The Taiwan Tourism Bureau will organize a two-day festival in HCMC from on Tuesday to highlight tourist attractions among Vietnamese travelers who are looking for new destinations for their leisure and business trips.

Suzy Yeo, who is a representative of the bureau, told reporters in HCMC on Monday that Taiwanese and Vietnamese travel companies would participate in the event entitled “Charming Taiwan” at the Now Zone shopping center in the city.

The participating companies will introduce their tours featuring cityscape, white-sand beaches, resorts and spas, a wide selection of foods, and shopping malls in Taiwan. Visitors can watch video clips about Taiwan as well as enjoy its foods, tea, games and traditional dances.

Yeo said the bureau expected at least 1,000 Vietnamese people would come to the event on the two days to explore what Taiwan could offer to local travelers.

Tank Lin from the bureau told the Daily after the press conference that this agency promoted Taiwan’s tourist attractions in Vietnam as the number of Vietnamese leisure and business travelers was increasing.

Lin put the number of Vietnamese visitors to Taiwan at 20,000 a year. He said Taiwan was small but presented charming offers, from scenery to foods and culture.

Ben Young, chairman of the travel firm Simba, said week-long package tours to Taiwan cost around US$750. But, Yeo said the price would change depending on hotel accommodations and services included in the tours.

The bureau put on the two-day festival in order to gauge the market demand and map out plans to promote Taiwanese attractions in Vietnam.

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Gold price surges on high demand

SJC gold is still the benchmark for bullion trade in Vietnam. The local gold price hit new record of VND30.74 million per tael on Monday - Photo: Le Toan

HCMC – Local gold prices on Monday continued hitting new records on higher demand as Saigon Jewelry Holding Co. (SJC) quoted selling price at VND30.74 million per tael, increasing VND280,000 per tael from late last week.

Ton The Vinh Quyen, sales director of Sacombank Jewelry Co., said on Monday morning alone the company sold 3,000 taels while the buying volume was modest. A tael equals to 1.2 toy ounces.

Crowds of gold buyers made local gold prices suddenly increase on Monday morning while global prices rose slightly. Buying here eased in the afternoon.

Quyen said if the global gold price exceeds the level of US$1,300 an ounce, it would continue rising in the future. However, he expected the gold price to decline after the consecutive record highs in recent days.

Nguyen Cong Tuong, deputy head of sales at SJC, said the trading volume of the company on Monday was much higher than late last week. He said the buyers were mainly investors who borrowed gold from banks to sell in the past and now had to buy gold again to cut losses.

Meanwhile, Nguyen Thi Cuc, deputy general director of Phu Nhuan Jewelry Co. (PNJ), said as gold demand increased, gold traders had to compete with each other for sources, making a shortage in short term and pushing the price up.

Local gold price is about VND200,000 higher than global price. Cuc said given the difference, enterprises did not want to import gold, but her company had sent an import proposal to the central bank to import immediately when the price is higher.

Gold was traded at US$1,297.3 an ounce by 5:00 pm on Monday on European market, rising US$0.3 an ounce from late last week.

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Gold price surges on high demand

SJC gold is still the benchmark for bullion trade in Vietnam. The local gold price hit new record of VND30.74 million per tael on Monday - Photo: Le Toan

HCMC – Local gold prices on Monday continued hitting new records on higher demand as Saigon Jewelry Holding Co. (SJC) quoted selling price at VND30.74 million per tael, increasing VND280,000 per tael from late last week.

Ton The Vinh Quyen, sales director of Sacombank Jewelry Co., said on Monday morning alone the company sold 3,000 taels while the buying volume was modest. A tael equals to 1.2 toy ounces.

Crowds of gold buyers made local gold prices suddenly increase on Monday morning while global prices rose slightly. Buying here eased in the afternoon.

Quyen said if the global gold price exceeds the level of US$1,300 an ounce, it would continue rising in the future. However, he expected the gold price to decline after the consecutive record highs in recent days.

Nguyen Cong Tuong, deputy head of sales at SJC, said the trading volume of the company on Monday was much higher than late last week. He said the buyers were mainly investors who borrowed gold from banks to sell in the past and now had to buy gold again to cut losses.

Meanwhile, Nguyen Thi Cuc, deputy general director of Phu Nhuan Jewelry Co. (PNJ), said as gold demand increased, gold traders had to compete with each other for sources, making a shortage in short term and pushing the price up.

Local gold price is about VND200,000 higher than global price. Cuc said given the difference, enterprises did not want to import gold, but her company had sent an import proposal to the central bank to import immediately when the price is higher.

Gold was traded at US$1,297.3 an ounce by 5:00 pm on Monday on European market, rising US$0.3 an ounce from late last week.

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ANZ launches service to high-class clients

Hans-Peter Borgh (R), ANZ head of Affluent Banking in Asia Pacific, gestures while introducing the private lounge to meet customers of the Signature Priority Banking at the bank’s transaction office at the Kumho Asiana Plaza on Monday - Photo: Thuy Trieu

HCMC – ANZ Vietnam on Monday launched a suit of banking service called Signature Priority Banking, targeting affluent retail customers in Vietnam.

Signature Priority Banking provides full banking and wealth management services for customers in Vietnam who has assets greater than US$50,000 in terms of deposit, investment, and insurance products at the bank.

Hans-Peter Borgh, ANZ head of Affluent Banking in Asia Pacific, told a press meeting on Monday that the middle-income class in Vietnam was growing very fast in recent years and he forecast the number of clients using Signature Priority Banking of ANZ would also grow strongly in the future.

According to ANZ’s research, middle-class families in Vietnam was seven million in 2003 and the number will grow to 25 million by 2013, Borgh said. He also added that “the core of our service is a relationship manager who is dedicated to understanding each customer’s entire banking needs, from their preference for every day transactions to their wealth management plans for the future.”

Features of the new banking service of ANZ include Signature Priority Banking debit card with access to more than one million locations worldwide and credit card, and 24-hour phone and Internet banking. Other conveniences include full banking and wealth management services such as savings, current accounts, structured products, and bancassurance, and access to investment specialists, and regular seminars on investment strategies organized by the bank.

Entering Vietnam in 1993, ANZ now has a foreign-owned bank in Vietnam with 10 outlets nationwide. The Signature Priority Banking service has been introduced in Hong Kong, Taiwan, Singapore, Indonesia, and China.

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Vietnam, Czech Republic vow to expand cooperation

Vietnam and the Czech Republic have agreed to prioritise cooperation in
financial-banking, science-technology, trade, agriculture and biology,
transport, infrastructure construction and labour.

The agreement
was reached at the second session of the Vietnam-Czech Republic
Inter-governmental Commission on Trade and Scientific Cooperation in
Hanoi on September 28.

Czech Deputy Minister of Industry and
Trade Milan Horvoka, who is leading the Czech delegation to the session,
said that the two sides agreed to add the financial and tourism fields
to the list of projects.

Vietnamese Deputy Minister of Industry
and Trade Le Danh Vinh stressed that the two sides need to promote
information sharing through different channels, encourage businesses to
open representative offices or branches and set up companies in each
country.

The Ministry of Industry and Trade always facilitates
Czech businesses to increase cooperation in industry and trade in
accordance with Vietnam ’s laws and policies, he added.

During
the session, the two sides informed each other of their respective
country’s economic development and reviewed the implementation of
agreements signed at the previous session.

Two-way trade between
the two countries saw a steady growth in recent year. The figure rose
from 100 million USD in 2005 to 294 million USD in 2008 and reached 300
million USD one year later.

Considering Vietnam
as a traditional market with many advantages, Czech enterprises have so
far invested about 35 million USD in production of glass, crystal,
electrical appliances and construction materials.

In 2010, Vietnam and the Czech Republic are celebrating the 60 th anniversary of diplomatic ties./.

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ADB raises VN’s economic forecast to 6.7 pct

The Asian Development Bank (ADB) increased Vietnam ’s economic growth
forecast for 2010 from 6.5 percent to 6.7 percent while lowering the
inflation projection to 8.5 percent.

In its Asian Development Outlook 2010 Update (ADO Update) released in
Hanoi on Sept. 28, ADB also revised upward Vietnam’s GDP growth to 7
percent in 2011 from its April forecast of 6.8 percent.

“ Vietnam has consolidated its macroeconomic stability, and as a
result we are making upward adjustments in our growth forecast for both
2010 and 2011, while lowering the projections for inflation,” said Ayumi
Konishi, ADB Country Director for Vietnam .

According to ADB Senior Expert Lei Lei Song, Vietnam is performing well in the context of the global crisis.

“The shift from strong fiscal and monetary stimulus implemented during
the global recession to a more balanced policy stance helped to
stabilise financial and economic conditions and, together with the
global economic recovery, paved the way for solid economic growth this
year,” he said.

According to the General Statistics
Office, Vietnam ’s GDP growth rate reached 6.5 percent in the first
nine months of 2010.

Vietnam ’s neighbouring
economies, such as China , continue their robust growth next year,
which will help Vietnam ’s economy grow, Song added.

China ’s robust growth will demand more Vietnamese exports,
contributing to the Southeast Asian country’s growth, he said.

Vietnam ’s exports to China will continue to surge in the future, according to the senior expert.

Director
Konishi said as Vietnam is a low-middle-income country in the next
ten years, the country will have to face different challenges, including
how to raise the efficiency of the economy.

One of
the issues Vietnam should focus on in its economic development
strategy for the next 10 years is to identify its role in the ASEAN
bloc, he said, suggesting the country produce higher value products in
its efforts to speed up national industrialisation and modernisation.

He also recommended that Vietnam pay attention to taking measures
to narrow income gap in its development plan and attach environment
protection to development.

According to Yumiko Tamura, ADB
Principle Country Specialist, who is also Country Deputy Country
Director, developing Asia countries, including Vietnam , are
recovering with speed and vigour.

ADB forecast that these countries will see average growths of 8.2 percent in 2010 and 7.3 percent in 2011./.

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