Corporate

Anh was speaking at the conference "Corporate bond market: Trust and responsibility" held by BizLive yesterday. He said corporate bonds are a flexible capital channel which allows firms to raise proceeds without causing dilution of ownership. Between 2017 and 2021, the market grew at an annual rate of 46 per cent, indicating a huge demand for the financial instrument. The corporate bond market still has ample room for improvement, according to Nguyen Tu Anh, Director of the General Economic Affairs Department, Communist Party Economic Commission. However, fast growth normally goes with high risks. After some scandals, the Government had to take tough action to keep the market in order. The director underscored two possible solutions to restore trust in the market. The classic solution is to develop strict regulations to keep all risks at bay. This solution is not advisable as it goes against the principle of risk-return trade-off. The second solution is to develop … [Read more...] about Corporate bond market has ample room for improvement

The editors of the magazine honoured Citi for its strong corporate banking focus in Vietnam. “ Citi is considered the main bank of choice for top-tier local companies, financial institutions, and the largest multinational companies in Vietnam in search of global reach and local expertise. For instance, the bank has long served the Fortune 500 companies that have made the biggest foreign direct investment in Vietnam and has facilitated annual international trade flows of more than $90 billion in Vietnam,” Asiamoney noted. On the corporate side, the publication recognised the bank’s innovative cross-country financial solutions for its clients. One example is Citi’s role as the sole lead arranger and lender on a $200 million six-year, fixed-rate, dual-tranche secured amortising loan for Bitel – a subsidiary of the leading Viettel Group in Peru. This landmark transaction showcased the breadth of Citi’s capabilities required to execute the deal, including a local … [Read more...] about Citi named Vietnam’s Best Corporate Bank 2022 by Asiamoney

Sacombank has rolled out a 2 per cent interest rate subsidy package to help corporate customers recover post-COVID. — Photo courtesy of the bank Sacombank has deployed a 2 per cent interest rate subsidy lending package to help corporate customers restore production and business activities in response to the Government’s Decree 31/2022/ND-CP and the State Bank of Vietnam’s Circular 03/2022/TT-NHNN. It will provide the subsidy for loans to businesses, cooperatives and business households operating in sectors specified under Decision No 27/2018/QD-TTg issued in 2018 by the Prime Minister on economic sector classification. The sectors include aviation, transportation and warehousing; tourism; accommodation and food and beverage services; education and training; agriculture, forestry and fisheries; processing and manufacturing; software publishing; computer programming and related operations; and information services. It also applies to developers of social and workers’ housing … [Read more...] about Sacombank offers 2 per cent interest subsidy on corporate loans to spur post-Covid recovery

With domestically issued bonds, enterprises can only change their terms and conditions if these are approved by the issuer and at least 65% of bondholders, says the decree. The decree also adds a way to identify professional securities investors who are allowed to invest and trade in private placements of corporate bonds. Such investors must have financial capacity and expertise in securities. They must hold listed stocks worth at least VND2 billion, and their portfolio value should not include margin lending and resale. The new decree has been issued in the context of rapid growth of the corporate bond with many disturbances and violations. The government wants to increase the size of the corporate bond market from last year’s 11.5% of GDP to at least 20% by 2025. The total value of bonds issued in the country last year is estimated at VND682 trillion. … [Read more...] about Minimum corporate bond par value raised 1,000 times

The move aims to leverage the market-leading strengths of each company to provide customers with transformative digital insurance experiences. As a leading technology platform offering tailor-made, embedded insurance solutions, Saladin is working with BaoViet to design and implement an end-to-end operating procedure compatible with the specific requirements of the partner’s industries. Saladin is responsible for coming up with a multi-tasking technology platform, capable of digitalising the entire purchase journey, from contract management to claims and complaints handling. Nguyen Quang Hung, deputy CEO of Bao Viet Insurance and Le Thi Thanh Van, CEO of 10X Consulting and Technology Co., Ltd., signed the strategic partnership agreement With the ambition of becoming a market leader in Vietnam for embedded insurance products and services, Saladin and BaoViet have been utilising insurance technology to provide added value to clients in the freight forwarding … [Read more...] about Saladin and BaoViet Corporation enter strategic partnership

This information was released at the Asia Bond Monitor report by the Asian Development Bank (ADB) on Wednesday. In Vietnam, the Government bond market increased 31.6 per cent from a year earlier. - VNA/VNS Photo According to the report, long-term bond yields in emerging East Asia declined between June 15 and August 24 amid mounting risks and a dimming economic outlook, even as financial conditions eased modestly. Yields of 10-year local currency Government bonds dropped while yield curves flattened. Both are typically signals that investors expect slower economic growth. Currencies in the region continued to depreciate against the US dollar amid the weaker outlook. Financial conditions in emerging East Asia eased moderately from mid-July to mid-August, when equity markets rallied, risk premiums narrowed, and portfolio inflows returned amid speculation that the US Federal Reserve would slow the pace of interest rate hikes. However, ongoing and renewed risks have … [Read more...] about Long-term bond yields decline in emerging East Asia

Hoan My Binh Duong Private Hospital is the only Vietnamese representative to win the Hospital Management Asia Awards 2022 in Bangkok. — Photo courtesy of the hospital A project called ‘Transforming Business Sustainability to Create Safe Pregnancy Care Accessibility during COVID-19 Lockdown’ by Hoan My Binh Duong Private Hospital has won the excellence award from Hospital Management Asia. Hoan My Binh Duong, a member of Hoan My Medical Corporation, surpassed 267 projects nominated from 12 countries in the Asia Pacific region to bring home this award, and is the only Vietnamese representative to win the award. The jury highly appreciated the project for its effectiveness, practicality and especially its humanitarian significance in caring for and protecting pregnant women in a healthy and safe manner when many localities, including Binh Duong, were locked down due to the COVID-19 outbreak last year. Since July last year, the hospital has converted its function from a general … [Read more...] about Hoan My Binh Duong Private Hospital wins international award

AB InBev launches 100+ Labs in Viet Nam to drive the local start-up ecosystem and enable global exposure to Vietnamese start-ups. — Photo courtesy of the company AB InBev is collaborating with 5Desire to launch the 100+ Labs in Viet Nam to drive the local start-up ecosystem and enable global exposure to Vietnamese start-ups. The programme will enable mentorship, training opportunities, paid pilot opportunities worth US$15,000 in Viet Nam, and a golden ticket to the global AB InBev 100+ Accelerator programme which offers funding to start-ups up to $100,000. The 100+ Accelerator has supported 70 companies in over 20 countries to solve supply chain challenges with the most pressing sustainability challenges globally. “The 100+ Labs aims to deliver systemic change through collaborations with new age scientists, innovators, entrepreneurs, and companies,” said Ashwin Kak, director of Procurement and Sustainability for India and Southeast Asia at AB InBev. “For the 2022 edition, we … [Read more...] about AB InBev launching 100+ Labs in Viet Nam to support startups

An employee of SeABank providing services to a customer. SeABank has reported many outstanding business achievements in the first half of this year. — Photo SeABank Global integrated risk assessment firm Moody’s Investors Service (Moody’s) has raised the long-terrm local and foreign currency deposit and issuer ratings of the Southeast Asia Commercial Joint Stock Bank (SeABank) (SSB) to Ba3 after four consecutive years of maintaining the rating at B1. This was a part of the rating actions that Moody’s recently took on 12 Vietnamese banks, eight of which saw upgradation in the long-term local and foreign currency deposit and issuer ratings by one notch. In April 2022, Moody’s upgraded SeABank’s baseline credit assessment (BCA) from B2 to B1 with a positive outlook. The rating upgrades demonstrated positive assessments of Moody’s about the bank’s improved economic strength, financial capacity, liquidity and resilience against external shocks. This also affirmed the bank’s … [Read more...] about Moody’s raises SeABank rating to Ba3

Sugarcane groups meet supply snag Soc Trang Sugar Corporation (SOSUCO) is worried about preparing sugarcane for the 2022-2023 season after several agreements fell through this season. According to general director Tran Ngoc Hieu, SOSUCO signed agreements with households in the Mekong Delta province of Soc Trang to collect sugarcane for 2021-2022, covering an area of nearly 2,000 hectares. The agreement regulated that the farmers had to commit to selling their entire sugarcane output to the company. “But when other traders came calling and offered higher prices, the households broke the agreement,” Hieu said. The company offered purchase prices for the 2021-2022 crop at VND1.1 million ($48) per tonne of clean sugarcane. The company was also in charge of paying fees for gathering sugarcane from fields and transporting it to the factory. The VSSA has asked the General Department of Vietnam Customs to keep a closer watch on the sugar trade and clamp down on smuggling. … [Read more...] about Sugarcane producers hit supply snag