The Hanoitimes - Local banks have provided syndicated loan value of US$2 billion so far in 2019. As capital demands of Vietnamese firms are rising sharply, local banks are increasingly cooperating with foreign financial institutions to provide offshore loans, making the business become lucrative. Local banks have provided syndicated loan value of US$2 billion so far in 2019 A series of banks, such as LienVietPostBank, SHB, OCB, VPBank, TPBank, Techcombank, have so far joined hands with JP Morgan Chase Bank, International Investment Bank (IIB), International Bank for Economic Cooperation (IBEC), International Finance Corporation (IFC) and Deutsche Bank to provide syndicated loans worth hundreds of millions US dollars. Techcombank, for example, has signed agreements with foreign banks to fund corporate borrowers. The bank provided long-term syndicated loans worth US$1.1 billion for conglomerate VinGroup alone. SHB and IIB have also signed a five-year deal on the … [Read more...] about Foreign capital flows through Vietnamese banks
Long term vs short term capital gains tax
Foreigners earning incomes from providing services in Vietnam, what are their tax liabilities? Income earned by foreigners from rendering services in Vietnam is taxed in Vietnam regardless of their residence status. However, the tax implications are different depending on various factors that are specified in this article to help the foreigners to comply with the tax regulations in Vietnam as well as mitigate the risks of additional tax, penalties and interests on late tax payment. Regulation on residence status in Vietnam According to the current tax regulation, an individual is regarded as a Vietnamese tax resident if: Being present in Vietnam for a period of 183 days or more within one western calendar year or 12 consecutive months from the date of first arrival in Vietnam; or Having a registered place of “permanent residence” in Vietnam; or Having a rented house (including hotels, guesthouses, motels, offices) with a lease term of 183 days or more in a tax year. In … [Read more...] about Foreigners earning incomes from providing services in Vietnam, what are their tax liabilities?
VietNamNet Bridge - Property developers are seeking money from other sources as bank loans are drying up. After witnessing high credit growth rates in the 2015-2017 period, outstanding loans are expected to increase by 14-15 percent this year. The State Bank of Vietnam (SBV) has controlled lending more tightly by lowering the ceiling of short-term capital that banks can use for long-term lending from 45 percent to 40 percent. However, Nguyen Ngoc Truong Chinh from Thu Duc House warned that the blocking of capital inflow into the real estate market may make it chaotic. RELATED NEWS Experts divided on Vietnam’s real estate market Foreign real estate brokers flock to hot Vietnam market Thanh Lich … [Read more...] about Realtors struggle to find capital as banks tighten credit
A member of staff at a bank change the numbers showing interest rates. Many commercial bank raised deposit interest rates in recent months. (Photo vietnamfinance.vn Hanoi (VNS/VNA) - Many commercial banks raised deposit interest rates in recent months, triggering worries about the increasing pressure on the lending rates. But some insist this was only a short-term measure. From the beginning of December, rates for deposits of less than six month terms were mostly increased to the ceiling of 5.5 percent and 5.7-7.6 percent for deposits of six to 12 month terms. For long-term deposits, rates were raised from 6.5-8 percent per year popular in the first months of this year to currently 8.5-8.7 percent. National Citizen Bank, Viet Capital Bank, Bac A Bank, VPBank, PVComBank, VietA Bank, Sai Gon Commercial Bank and Orient Commercial Bank were among those offering 7 percent interest rate for deposits of six-month term. At VPBank, depositors would be provided rates of up to 7.7 … [Read more...] about Banks raise deposit rates in short-term
In the third quarter of this year Techcombank decided to pay stock dividends for 2017 to its shareholders at a ratio of two shares for each share held. – Photo cafef.vn In the third quarter of this year Techcombank decided to pay stock dividends for 2017 to its shareholders at a ratio of two shares for each share held. The decision was part of the bank’s plan to increase its charter capital to VND34.965 trillion (US$1.2 billion). To increase its capital, Military Bank maintained a dividend payout rate of almost 11 per cent, of which 6 per cent was paid in cash and the rest in shares. In the second quarter VPBank decided to issue 925 million shares to pay dividends to its shareholders, increasing its charter capital by VND9.256 trillion ($402.434 million). Analysts said plans to hike the charter capital have been going rather smoothly at both State-owned and private banks in recent times, especially those with good performances like VIB, HDBank, VPBank, Maritime Bank. … [Read more...] about Stock dividends keep shareholders happy, enable banks to increase capital