Bad debts is which account

Customers at Vietcombank (VCB) branch in the Central Highlands province of Kon Tum. The total operating income of 27 listed banks in the first quarter of 2022 increased by 8.2 per cent compared to the previous quarter.-VNA/VNS Photo In the past three months, banking shares witnessed sharp declines and were among the most negatively impacted on the stock market. Most banking stocks decreased by over 30 per cent and there was no single bank seeing positive growth. The decline was attributed to stricter control of credit flows, increasing bad debts mainly caused by real estate businesses, corporate bond inspection at banks and inflationary pressure which have affected investor sentiment. However, after a series of deep declines, many banking stocks are rebounding strongly in recent sessions. This brings hope to many investors in this industry group. In a newly released report, FiinGroup said that the total operating income of 27 listed banks in the first quarter of 2022 … [Read more...] about Banking shares plummet to attractive prices

The deal, which includes a combination of credit cards and personal loans, represents the largest single acquisition made by Collectius to date and signifies a growing need for debt restructuring solutions in the country as loan defaults become more common. The NPLs were a joint acquisition by Collectius and the International Finance Corporation (IFC), a member of the World Bank Group. Both parties partnered in 2020 to launch the $60 million Distressed Asset Recovery Platform Programme that focuses on the acquisition and resolution of distressed assets across emerging markets. This programme helped many customers across the region meet their financial obligations and regain creditworthiness. IFC is also a minority equity shareholder in Collectius. In addition, Collectius recently acquired NPL portfolios from a leading super app in Southeast Asia, as part of a regional deal that covers five countries including Vietnam. Through these NPLs acquisitions, Collectius now serves more … [Read more...] about Collectius acquires more than $800 million of non-performing loans in Vietnam

About 2.47 quadrillion VND was raised for the State budget in the primary G-bond market over the last 12 years. (Photo: VNA) Hanoi (VNA) – The Government bond market of Vietnam officially became operational at the Hanoi Stock Exchange (HNX) on September 24, 2009. Since then, about 2.47 quadrillion VND (108.5 billion USD) has been raised for the State budget from the primary market to support socio-economic development in the country. More than 206 trillion VND worth of G-bonds has been raised for the State budget annually, accounting for almost 10 percent of total investment in society in 2020 and 28.3 percent of that by the State sector last year. Bond issuance volume up, interest rates down The HNX said that in order to mobilise the above mentioned sum of money, it has organised more than 2,600 auctions, with 60 - 70 percent of the bonds offered successfully sold on average. Notably, interest rates in the G-bond market have declined considerably over the past 12 … [Read more...] about Over 108.5 billion USD raised from primary G-bond market in 12 years

At shareholders' meetings in recent years, the common discussion of commercial banks is that they often set credit growth targets much higher than the credit growth target of the whole banking system. However, how much is set depends on the credit limit granted by the State Bank of Vietnam. Usually at the beginning of the year, the State Bank of Vietnam grants a credit room to each commercial bank depending on their state as healthy banks. From the middle of the year onwards, the operators begin to adjust the credit room for commercial banks, based on developments in the economy, operations, and health of the bank. This is to say, that looking at the actual needs of the market, commercial banks can predict their credit growth, but they can only do so within the level allowed by the State Bank of Vietnam. Every year, around the middle of the second quarter onwards, commercial banks mostly step up and race to send applications to the State Bank of Vietnam to ask for more credit room. … [Read more...] about State Bank of Vietnam unwilling to dismantle credit room

In any case, public debt will not hit the limit of 65 per cent of GDP, said the Ministry of Finance Vietnam’s real GDP grew 5.03 per cent on-year in the first quarter of 2022, extending the 5.22 per cent pace in the last quarter of 2021 as the services sector rebounded after more parts of its economy were reopened with the relaxation of mobility and distance restrictions. The manufacturing sector continued to take the lead, and most significantly, the overall services sector expanded 4.58 per cent on-year, from 1.22 per cent in the previous quarter and 3.62 per cent in the first quarter of last year. It was clear that service activities were able to benefit from the lifting of COVID-19 restrictions imposed during the second half of last year. Recent data suggests that Vietnam’s underlying growth momentum remained intact in the second quarter of this year. The manufacturing sector continued to power on, registering a 9.24 per cent on-year gain in the first five months, from … [Read more...] about Vietnam steady but external risks weigh

Supermarkets use different kinds of bags for packaging goods Moreover, the southern metropolis targeted that small traders at traditional markets will reduce by 50 percent of non-biodegradable plastic bags in packaging and storing products for customers. The city is oriented toward reducing the use of non-biodegradable plastic packaging products by 65 percent by the end of 2023. However, statistics show that the rate of using environmentally friendly bags in traditional markets is still very low. According to the Ho Chi Minh City Department of Industry and Trade, the demand for plastic bags in distribution systems is currently estimated at 16,548 tons a year, of which the volume of plastic bags accounts for 93.6 percent or about 15,490 tons. The number of plastic bags in traditional markets is 1,176 tons per year. Environmentally friendly bags account for 18 percent or more than 200 tons and the rest are non-biodegradable plastic bags. The number of plastic bags used in modern … [Read more...] about Effort to encourage use of eco-friendly bags in traditional markets unsuccessful

In the first six months of 2022, Vietnam Airlines has resumed flights to 14 countries and territories, including the UK, France, Germany, Australia, the US, Japan, Korea, Thailand, Malaysia, Singapore, Laos, Cambodia, Taiwan, and Hong Kong. Lately, the airline has opened a new route to India and is preparing the necessary conditions to immediately reopen flights to China, Myanmar, and Russia when the conditions permit. The national carrier is expected to resume flights to Indonesia in July and key international routes to Japan, Korea, and Australia in November at the same flight frequency as in 2019. It hopes that it will be able to restore the entire international flight network, equivalent to that in 2019 by the end of 2023. The gradual restoration of international flight routes is an opportunity for Vietnam Airlines to improve the usage efficiency of resources, increase revenue, improve production and business results, reduce losses, and aim at profits in the following years. … [Read more...] about Vietnam Airlines plans to restore its entire flight network by the end of 2023

The Saigon 2 Bridge (left) is built in the form of PPP. (Photo: SGGP) However, ever since the PPP Law took effect, this model has not attracted enough investors, although there is a lot of room for mobilizing social resources to invest in public projects. Rights not defined Under the PPP model the State and private investors jointly sign a contract to share benefits, risks, and responsibilities of construction of works or provision of public services. Both these entities are equal partners under the civil law in the project contract. However, the PPP Law does not clearly define the rights and obligations of each of these two entities. According to the PPP Law, the competent agencies specified in Clause 1 in Article 5 are the Ministry, the provincial People's Committee, and the agency established by the Government or the Prime Minister. These are state management agencies, but when they appear as partners, the mode of operation bears the imprint of public authority, leading … [Read more...] about Public-Private-Partnership model fails to draw investors

A section of the North-South Expressway under construction. The project's progress is affected by unusual weather and price hikes in fuel and construction materials. — VNA/VNS Photo Việt Hùng. HÀ NỘI — The progress of the North-South Expressway is facing difficulties, especially in four specific component projects that must be completed by December 31, due to unusual weather factors and price hikes in fuel and input materials. Weather and increasing prices of materials are obstacles to the construction progress, forcing the Ministry of Transport to frequently direct project management boards and contractors to expedite the works to complete contracts on time, the ministry said. The deadline for the four components projects of Mai Sơn-Highway 45, Cam Lộ-Sơn La, Vĩnh Hảo-Phan Thiết, and Phan Thiết-Dầu Giây is the end of this year but this might be seriously affected if the weather is not favourable. According to Lieutenant Colonel Trần Hữu Hoàn, who is the manager of the 13-XL … [Read more...] about Unusual weather, price hikes delay progress of North-South Expressway

The event was jointly organized by the Vietnam Youth Support Center under the Ho Chi Minh Communist Youth Union Central Committee, Artillery Regiment 58 under Division 308 of Army Corps 1 and the Training Battalion under Division 371 of the Air Defense - Air Force Service. The military semester program aims to provide youths with necessary life and social skills. To this end, youths will learn the traditions of the heroic Vietnam People’s Army, and be educated about patriotism, sharing spirit, responsibility, and showing of their inner feelings with family and society. They will be taught on how to develop independence, communication skills, conduct and teamwork skills as well. In addition, participating youths will have a chance to take part in sports, cultural, healthy entertainment activities and even production to develop good habits and help them feel more confident in future communication. The program is hoped to change bad habits of youths formed during the long period of … [Read more...] about Military semester program 2022 starts