The data was published by stock market database FiinPro Platform after studying 832 listed companies on three stock exchanges which had published their financial reports as of November 1. Among the profitable firms, 15 percent had already reached their profit target for the whole year. Total net profit of the firms rose 23 percent year-on-year to over VND73.6 trillion ($3.17 billion). The top three sectors with highest profit growth were telecommunications, insurance and banking. The banking sector alone recorded VND22.8 trillion ($982.6 million) in profit, up 45 percent year-on-year, thanks mainly to a strong performance from Vietcombank. The real estate sector managed to post 20 percent profit growth to VND11 trillion ($474.13 million) despite forecasts of challenges this year. Vinhomes accounted for almost half of the profit. Without Vinhomes, the real estate industry’s profit would only have grown by 3 percent year-on-year due to tightened legal regulations on … [Read more...] about 85 pct of listed firms report Q3 profits
Real effective exchange rate
The State Bank of Vietnam (SBV) will hold its benchmark refinancing and discount rates at 6.25% and 4.25%, respectively, in addition to maintaining its 14% credit growth target for the remainder of 2019, experts forecast. Headquarters of the State Bank of Viet Nam in Ha Noi. The SBV will maintain its 14 per cent credit growth target for the remainder of 2019. — Photo SBV “We expect the SBV to keep its monetary policy on hold for the remainder of 2019. Monetary policy transmission in Viet Nam remains weak and this informs our view for the SBV to continue to manage ﬁnancial risks through non-interest rate measures such as loan directives and macro-prudential measures,” analysts from Fitch Solutions told Viet Nam News. On the one hand, the analysts said, Viet Nam’s ﬁve-year government bond yield stands at 3.85 per cent, below the SBV’s discount rate of 4.25 per cent, and this continues to suggest that monetary policy transmission is still … [Read more...] about VN central bank to keep monetary policy on hold through 2019
A beer production line at Sabeco (SAB). SAB lost 1.9 per cent on Monday. — Photo sggp.org.vn HÀ NỘI — Shares retreated in the final minutes of trading on Monday as investors looked to take profits after the market had gained substantially in recent weeks. The benchmark VN-Index on the Hồ Chí Minh Stock Exchange slid 0.56 per cent to close at 1,016.75 points. More than 210.4 million shares were traded on the southern bourse, worth nearly VNĐ4.6 trillion (US$198 million). The southern index gained 0.68 per cent last week. Pillar stocks suffering from selling pressure included giant IT-real-estate-manufacturing-retail conglomerate Vingroup (VIC) (-1.3 per cent), brewery Sabeco (SAB) (-1.9 per cent), PetroVietnam Gas JSC (GAS) (-1.3 per cent), Masan Group (MSN) (-3 per cent), Vietinbank (CTG) (-1.6 per cent), Mobile World Group (MWG) (-2.2 per cent), Vietcombank (VCB) (-0.2 per cent), VPBank (VPB) (-1.1 per cent), … [Read more...] about Profit-taking sends stocks down
WB forecasts Vietnam's economic growth to stabilise around 6.5 percent this year - Illustrative image (Source: VNA) Hanoi (VNA) – The World Bank (WB) forecasts Vietnam’s economic growth to stabilise around 6.5 percent in 2018 in its East Asia-Pacific Economic Update released on April 12. The growth is projected to rise further in the short run, if the global recovery remains intact, the bank said. According to the report, while inflation is predicted to remain moderate thanks to a benign global price environment, strong wage growth may ultimately lift core inflation. External balances are projected to benefit from robust exports and FDI inflows. However, the report stressed that there are significant challenges, despite the generally favourable medium-term outlook. “Domestically, a slowdown in structural reforms could weaken the ongoing recovery and weigh on Vietnam’s medium-term potential growth. There is also a risk that fiscal consolidation may erode … [Read more...] about Vietnam’s economy to grow by 6.5 percent in 2018: WB report
Forty percent of bonds issued by banks are bought by securities companies, but analysts believe that the real bond holders are commercial banks. According to SSI, in the first eight months of the year, banks issued VND56 trillion worth of bonds, or half of the total bond value of the market. According to SSI, 40 percent of bank bonds (VND22.9 trillion) were sold to securities companies. However, analysts said they cannot find any reason for securities companies to hold bonds. Moreover, the companies cannot retail the VND23 trillion worth of bonds to individual investors. The interest rates of 6-7 percent per annum are not attractive to individual investors. Kim Chi VN banks told to be careful with corporate bonds Commercial banks’ purchase of real estate corporate bonds is considered indirect lending to real estate firms, experts say. VN banks, securities firms step up bond purchases A recent study by SSI Securities Corporation found that banks and securities … [Read more...] about Who are the buyers of bank bonds?