A joint Vietnam-Slovakia business exchange was held in Hanoi on 27 January to increase economic, trade and investment cooperation between the two countries, VOV news reported. Addressing the event, Vice Chairman of the Vietnam National Assembly Nguyen Duc Kien affirmed that the Vietnamese government attaches great importance to strengthening ties with Slovakia and it’s time for the business communities of the two countries to boost investment cooperation. He hoped that businesses would discuss specific measures to seek their investment opportunities, establish partnerships and enter their huge European and ASEAN markets. Slovak National Council Speaker Pavol Paska pointed out both countries’ potential and said they can cooperate in energy, transport, health care and national defense. Slovakia supports bilateral cooperation and it believes that such cooperation will bring about good results, said speaker Paska. Representatives of 10 Slovak economic groups and businesses introduced their potential fields in transport, pharmacy and construction to nearly 40 Vietnamese businesses. The event was co-hosted by the Slovak Embassy and the Vietnam Chamber of Commerce and Industry. (neurope.eu)

A large number of new bank shares are expected to go on sale this year as commercial banks try to raise capital for meeting higher requirements from the central bank.

Listing shares on the country’s stock market will be the main method to raise capital, bankers said.

“Small banks are rushing to list their shares, hoping they can boost capital through the stock market,” said Le Xuan Nghia, vice chairman of the National Financial Supervision Commission. “A new wave of capital raising and equitization has arrived.”

The State Bank of Vietnam requires commercial banks to raise their registered capital to at least VND3 trillion (US$162.5 million) by December this year, which is triple the current minimum level of VND1 trillion.

In an attempt to make sure all lenders meet the requirement, the central bank has ordered them to report on their plans to raise capital by the end of March. Commercial banks have also been asked to propose their own solutions in case they fail to raise enough capital by the deadline.

A government decree stipulates that if a financial institution is unable to meet the minimum capital requirement set for each period, it will face penalties or have its license revoked.

Economist Le Tham Duong of the Ho Chi Minh City Banking University said there are various methods to raise capital, including issuing shares, convertible bonds or mergers and acquisitions.

But a deputy director of a commercial bank, who wished to be unnamed, said M&A is not an option for local lenders as it’s really difficult to apply for a new license now. Listing shares, therefore, is the easiest way to raise capital.

‘Pressure’

Among Vietnam’s six listed banks, Hanoi-based Saigon-Hanoi Bank is the only lender with registered capital of less than VND3 trillion.

Some partly-private banks are seeking approval to list on the stock market, including Can Thobased Western Bank and HCMCbased Navibank.

Around 20 banks in Vietnam have registered capital of between VND1 trillion and VND2 trillion, which means they have to double or even triple their capital.

It may be a “mission impossible” for lenders, analysts said in a Vietnam Economic Times’ report last week. An expert was also quoted as saying it was hard to raise capital, but harder still to put the new capital to good use.

Economist Le Tham Duong told Thanh Nien when capital is increased two or threefold, lenders will be put under pressure to make sure their profits grow by the same extent so they can still pay high dividends to shareholders.

But with credit constricting even more than last year, it would be hard for commercial banks to expand their business and make good money in 2010, he added.

Vietnam plans to tighten bank lending and reduce credit growth this year to around 25 percent from 38 percent in 2009 as the government wants to prevent inflation.

The DFJ VinaCapital Fund on Jan. 28 signed a contract with TS24 Company to become its strategic partner.

The fund will contribute 2 million USD to help the investors improve its data and management systems, and its human resources.

It will also help diversify services, including tax declaration and payments on its Tax Online website.

The company will be able to prepare financial reports and deal with taxes on personal and corporate income, value-added taxes, natural resources and special consumption.

TS24 general director Nguyen Phan Viet Thuy said he was confident in the potential market of more than 10 million individuals with tax codes and another 500,000 enterprises.

It has signed an agreement with the card company with the card company DongA Bank VNBC for taxpayers to use cards issued by DongA Bank and other banks who join its ATM network for online payments.

DFJ VinaCapital, a 32 million USD joint venture between the IT group Draper Fisher Jurvetson and VinaCapital, specialises in making investments in the internet, telecommunications and media businesses.

Apart from this fund, VinaCapital also manages three others, the Vietnam Opportunity Fund (VOF), VinaLand Ltd (VNL) and Vietnam Infrastructure (VNI), which are listed at the Alternative Investment Market (AIM) of the London Stock Exchange.

Genoa, Italy, this year will seek investment opportunities and strengthen trade exchanges with Vietnam through improved information channels, implement joint economic, cultural and educational projects, and join activities in celebration of the 1,000th anniversary of Thang Long – Hanoi.

Genoa City leaders made the announcement at a recent meeting with Vietnamese Ambassador to Italy Dang Khanh Thoai. They added that Italian businesses want to invest in Vietnam. However, their current investment in this potential market is still modest because they lack information.

As a developed industrial city with a big seaport, Genoa is ready to step up co-operation with Vietnam in shipbuilding, sea transport, vocational training and import and export activities.

Ambassador Thoai invited Genoa to take part in the celebrations of the 1,000th anniversary of Thang Long-Hanoi, both in Vietnam and Italy. Accordingly, a committee called “Genova City celebrates the 1,000th anniversary of Thang Long-Hanoi” has been set up to organise events such as exhibitions and music performances.

Russian investors can join in setting up oil refinery and metallurgy businesses, executing power projects, building hotels and business centres, providing machinery and equipment as well as manufacturing cars in Vietnam , Mr Petrov said.

Vietnamese Ambassador Bui Dinh Dinh applauded the organisation of the seminar, saying that similar activities will help promote traditional friendship and strategic partnership between the two countries.

Last year, two-way trade recorded a year-on-year rise of 4 percent, fetching more than US$1.7 billion in 2009, said Ambassador Dinh.

Deputy Minister of Planning and Investment Cao Viet Sinh briefed the participants on the country’s political stability and social security, a high economic growth and huge investment demand which made Vietnam a destination for foreign investors. He called for closer cooperation between Russian and Vietnamese businesses for mutual benefits.

Russian businesses discussed issues related to investment in manufacturing construction cranes, energy projects, realty market and housing, training officials, a free economic area in Vietnam and the framework of ASEAN.

Audit, Tax and Advisory services provider, KPMG has committed to closely assist the Vietnamese government to continue to improve its investment environment.

The commitment was gained during a four day working visit of Chairman of KPMG International, Mr. Tim P. Flynn in Vietnam.

Mr. Tim P. Flynn, along with the delegation of KPMG International and KPMG Vietnam had meetings with Deputy Prime Minister Nguyen Sinh Hung and some other government agencies.

KPMG exchanged opportunities, potentials and prospects of the investments into Vietnam. The two sides also discussed how KPMG will continue to contribute to the development of a healthy financial market in Vietnam, including the capital market and the securities market.

Mr. Tim P. Flynn’s visit showed the strong commitment of KPMG to Vietnam, as well as the wish that KPMG’s activities will further contribute to the development of Vietnam economy, especially in terms of promoting investment opportunities into Vietnam, developing human resources development, and improving local management competence.

Philand Ranch Ltd., a company engaged in the development of master planned communities and other real estate developments in Vietnam and Southeast Asia

, announced today it has completed the final planning stages for construction at Pointe91, the first phase of the Philand Ranch master planned community to be developed in Chu Lai, Quang Nam Province in Central Vietnam.

Philand Ranch is a majority-owned subsidiary of PHIGroup, Inc., whose business scope includes the development and management of real estate properties, mining interests, and consulting, merger and acquisition advisory services.

The company is now prepared to begin breaking ground for initial construction at Philand Ranch in Central Vietnam.

Influenced by the continuity and livability of Irvine Ranch in California and Summerland in Las Vegas, this new development will eventually encompass 10,000 acres in Quang Nam Province. The 118 acre first phase, Pointe91, introduces a new five star resort area, executive housing, mid-range cabana residences, a marina and unfettered access to hiking and walking trails, beaches and the South China Sea. It also includes an economic free zone, industrial parks, a free trade zone and educational and conference facilities.

The concept is simple — whole community planning. The development creates places where people can live, work and play in safety and comfort, build family ties, recreate together with family and friends near the water, enjoy a short commute to work while enjoying the very best in home construction and land planning. This new community brings an unprecedented new standard of living in Central Vietnam with opportunities for residents, tourists and guests. The development is expected to bring thousands of new jobs, new industry and commercial ventures and much needed housing as well as economic opportunities to the area for decades to come.

Intercontinental Hotels Group will build the group’s first Holiday Inn franchise in Viet Nam’s capital city of Ha Noi.

The MB Real Estate Joint Stock Company (MBLand) completed legal procedures for the project.

Scheduled to open in 2013, the new hotel will be part of the MBLand’s tower and mixed-development complex that will house hotels, offices and a commercial centre. The complex will be located on Chua Boc Street, Dong Da District.

The 9,400sq.m tower will include 21 floors on a construction area of 75,000sq.m.

As planned, three traffic routes that link the big streets of Truong Chinh, Xa Dan and Nguyen Luong Bang will be built around the tower.

A subway station will also be set up at Chua Boc Street, in front of the MBLand tower. The station, if built, would help ease traffic congestion in the street.

The construction is expected to begin early next year.

The opening of the franchise will meet the growing demand for hotel rooms in Ha Noi. The city is expected to attract 2 million international travellers and 7 million domestic visitors next year.

VietNamNet/Viet Nam News

Ba Ria – Vung Tau province started the construction of the Cai Mep – Thi Vai road connecting all seaports along the Thi Vai river on December 4.

The project has a total investment of over VND 6.3 trillion.

The 21.3 kilometre road runs from the general container port Cai Mep Ha in Tan Thanh district, Ba Ria – Vung Tau province to the Phuoc An port in Long Thanh district, Dong Nai province.

Six bridges, 4.7 kilometre in combined length, will be built on the road.

The project is divided into two phases. In the first phase, the road and bridges in Ba Ria – Vung Tau province will be built with a total investment of over VND 2.8 trillion. This phase is scheduled to be over by 2012. In the second phase from 2012 to 2015, the 3.254 kilometre long Phuoc An bridge will be built with a total investment of over VND 3.5 trillion

The road is of extreme important significance in transporting goods for 41 ports (14 ports are being exploited, 14 others are being built and 13 remaining ports are being prepared to invest with a total registered capital of around VND 100 trillion) and six industrial parts along the road section in Ba Ria – Vung Tau.

The Asian Commercial Bank (ACB) has won a prize recognising it as the best bank in Vietnam for the fifth time this year.

The prize was given by The Asset – a Hong Kong-based international financial magazine. The selection of the prize winner was based on a benchmark survey of readers and the magazine’s assessment of the bank’s performance in terms of risk management and profit, capital ratio, asset quality, and credit risk reserve fund, as well as its business plan, customer service quality and other criteria.

Earlier, ACB won similar prizes from Asiamoney, FinanceAsia, Euromoney and Global Finance magazines./.