2016 world economic outlook

Testing for COVID-19 in Indonesia (Photo: Xinhua) Jakarta (VNA) -  Although the Indonesian Government’s National Economic Recovery (PEN) programme has accelerated the country’s economic recovery post COVID-19, the economy may still be in recession in the first quarter of this year, given the adverse impact of the pandemic. Economist of the Bank Rakyat Indonesia (BRI) Anton Hendranata said about 56.7 percent of the loans launched under the programme to assist State-owned enterprises have proven effective. He expressed his belief that the extension of fiscal incentives of the Indonesian Government this year would continue to help the economy escape from the downturn. According to him, the Indonesian economy will gain its stability and growth momentum from the second quarter, and grow strongly from mid-year. omnibus law" passed last year, remove Indonesia's negative investment list, which covers businesses not open to foreign investment, although still maintain caps on foreign investment in certain sectors. The new rules will come into effect 30 days from February 2./. VNA …

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Dinh Quang Hinh, analyst at VNDIRECT Securities JSC, noted that the local economy’s recovery “will slow down”, especially in the next two months. According to Hinh, the tourism industry may still be the most affected by the new COVID-19 wave. Reports from travel and airline businesses showed that many travellers cancelled flights and hotel reservations, and postponed their plans. In addition, the blockade in some localities such as Hai Duong province and the closure of a number of non-essential services in other cities and provinces may reduce the growth rate of several service sub-sectors, especially accommodation, catering, tourism, and entertainment. At a cocentrated quarantine area. Photo: VNA Unfeasible policies Facing the serious impact of COVID-19 on the economy, Assoc. Prof. Dr. Pham The Anh, chief economist of the Institute for Economic and Policy Research (VEPR), said that the country could not pursue macro policies in the same way other countries would do, for example through large-scale monetary easing, due to limited financial resources after years of deficits, coupled with constraints to inflation and exchange rate targets. Vietnam was one of the few countries in the world with positive economic growth in 2020. But this year, according to Anh’s observation, “the policy space is no longer wide” to support economic growth and social security. Last year, the State Bank of Vietnam lowered interest rates three times and supported commercial banks with a VND250-trillion package ($10.87 billion), which is still being deployed. In addition, pandemic prevention and social backup subsidies to ease the impacts of the crisis are also putting great pressure on the budget balance. In 2021, monetary policy, particularly interest rate tools, will see a significantly reduced effectiveness, according to the VEPR’s chief economist. Anh also warned about an asset bubble that is forming in the stock and real estate markets. Last year, property …

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The Vietnam Prosperity Joint Stock Commercial Bank (VPBank) jumps 37 spots to enter the Brand Finance’s top 250 in rankings of the world’s most valuable banks in 2021. (Photo: VNA) Hanoi (VNA) – The Vietnam Prosperity Joint Stock Commercial Bank ( VPBank ) has jumped 37 spots to enter the Brand Finance’s top 250 in rankings of the world’s most valuable banks in 2021. According to the Brand Finance Banking 500 2021 ranking , VPBank ranked 243rd in banking brand value this year. Its brand value grew 41 percent to 502 million USD this year from 354 million USD in 2019. It also represents a nine-fold increase against 2016 when the bank’s brand value was first evaluated at 56 million USD. The 2021 ranking was calculated based on a brand’s market share, growth rate, property size, financial capacity, operating efficiency and prestige, said Lai Tien Manh from Brand Finance Vietnam. In the face of COVID-19 that has taken a heavy toll on the global financial system, VPBank’s brand value growth is spectacular, he added. Ending 2020, the bank’s total asset reached 419 trillion VND (nearly 18.2 billion USD), outstanding loans exceeded 320 trillion VND, while non-performing loan rate was kept at below 3 percent. Eight other Vietnamese banks have also been named in the Brand Finance Banking 500, namely Agribank, Vietcombank, VietinBank, BIDV, Techcombank, MB, Sacombank and ACB./. VNA …

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