Retail financing and leasing of vinfast vehicles

Illustrative image (Photo: Bao Viet) Hanoi (VNS/VNA) - Experts have predicted that the health and vehicle insurance sectors will continue to serve as the primary growth drivers for non-life insurance in Vietnam this year. Data from the Vietnam Insurance Association reveals that non-life insurance and health insurance comprised the largest proportion of the insurance industry's premium revenue last year, accounting for approximately 33.2%, with revenue of 22.41 trillion VND. This represented a 24.3% increase from the same period in 2021. In the meantime, vehicle insurance generated a revenue of 18.1 trillion VND, comprising 26.8% of the overall market revenue and witnessing an 11.9% growth rate over the same period in 2021. Health and vehicle insurance products are expected to continue to increase this year, especially when the awareness of people and economic organisations about the role of insurance continues to be improved. Regarding health insurance, the … [Read more...] about Health, vehicles main growth drivers for non-life insurers in 2023

A customer examining a vehicle insurance product at Bao Viet Insurance Group’s office. The potential growth of vehicle insurance is high car travel increase. — VNA/VNS Photo Experts have predicted that the health and vehicle insurance sectors will continue to serve as the primary growth drivers for non-life insurance in Viet Nam this year. Data from the Vietnam Insurance Association reveals that non-life insurance and health insurance comprised the largest proportion of the insurance industry's premium revenue last year, accounting for approximately 33.2 per cent, with revenue of VND22.41 trillion. This represented a 24.3 per cent increase from the same period in 2021. In the meantime, vehicle insurance generated a revenue of VND18.1 trillion, comprising 26.8 per cent of the overall market revenue and witnessing an 11.9 per cent growth rate over the same period in 2021. Health and vehicle insurance products are expected to continue to increase this year, especially when the … [Read more...] about Health and vehicles to be main growth drivers for non-life insurers in 2023

Nguyen Van Thanh, general director of GSM (left), and Vu Hoang Yen, general director of Be Group, signed a cooperative agreement on March 21 in Ha Noi. — Photo coutersy of Vinfast Vingroup's Green-Smart-Mobility JSC (GSM) and Be Group JSC, a technology company, signed a cooperative agreement on March 21 to introduce electric cars and motorbikes to Vietnam. The agreement outlines that GSM will directly invest in Be Group to support its goal of becoming a multi-service consumer platform and the top technology transport service in Vietnam. GSM will also assist Be Group's drivers in converting petrol vehicles to electric vehicles (EVs) conveniently and easily. This new service aims to enhance the quality of service and optimise business efficiency for Be and its drivers. In the project's first phase, GSM will partner with local VPBank to offer exclusive preferential policies for Be's drivers to purchase or rent VinFast's electric cars or electric motorbikes at attractive prices. … [Read more...] about GSM works with Be to deploy electric car and motorbikes service

Land law adjustments aim to protect entities as well as the real estate market, photo Le Toan In a seminar to collect opinions from enterprises and experts regarding amendments to the Law on Land held last week in Ho Chi Minh City, Seck Yee Chung, a representative of the Vietnam Business Forum’s Trade and Investment Working Group, said that Article 35.d of the draft law provided that domestic companies only have the right to mortgages with their land and properties attached to the land at credit institutions licensed to operate in Vietnam. “This means that companies in Vietnam cannot mortgage their factory or land through foreign lenders, which creates great challenges for them to access competitive financing resources outside the country,” Chung said at the seminar, which was organised by the International Finance Corporation (IFC) and Ministry of Natural Resources and Environment (MoNRE). “Foreign lenders will look for security assets of Vietnamese companies to secure their … [Read more...] about Land law points further scrutinised

Le Huu Minh (L), deputy managing director of Volkswagen Vietnam, and Trinh Bang Vu, head of the retail lending division at Shinhan Bank Vietnam, at the signing ceremony for the preferential lending programme for buyers of Volkswagen cars on March 23. — Photo courtesy of the bank Shinhan Bank Vietnam Limited has partnered with Trend Motor Vietnam Co., Ltd to launch a preferential loan programme exclusively for people buying Volkswagen cars that provides financing of up to 80 per cent of the value of a new vehicle. Customers who borrow to buy the German carmaker’s Touareg, Teramont, Tiguan, T-Cross, and Polo models get the loan interest-free for the first six months and at a fixed rate of 10.9 per cent a year for the remaining 54 months. They can opt for terms in line with their financial ability, with maximum financing of 80 per cent of the price and loan tenure of up to eight years. The programme will be in effect at all dealers across the country until June 30, 2023. … [Read more...] about Shinhan Bank Vietnam offers special programme for Volkswagen buyers

Christanto Suryadarma, sales vice president for Southeast Asia at Zebra Technologies, told VIR at a press briefing on March 21, “There are many industries that we can participate with in Vietnam to modernise and automate. Transportation logistics is a key, and we are already gaining customers in this field. We are also starting to see some good use cases in healthcare, and we want to continue growing that." "Recently, we also saw interest from the Vietnamese government in terms of safety and security, looking at how they can equip security and police officers with our technology to improve safety and productivity,” he added. Christanto Suryadarma, sales vice president for Southeast Asia, Zebra Technologies Retail and manufacturing are now the two best performing industries for Zebra Technologies in Vietnam. For example, in retail, the company sees many retailers automating and digitalising using its solutions. Moreover, the nation is now a strategic location for … [Read more...] about Zebra Technologies eyes potential of logistics, healthcare, and public sectors in Vietnam

The absence in adjustment of power rates, tuition, and hospital fees contributed to an extremely low growth rate of GDP in 2020–2021 or an excessively high one in 2022, as well as relatively moderate inflation throughout 2020–2022. In the first two months of 2023, average core inflation climbed to 5.08 per cent, outpacing the average consumer price index (CPI) growth of 4.6 per cent. Dr. Vu Dinh Anh - Market Price Research Institute Ministry of Finance For 2023, public investment is seen as an economic boost. Investment capital generated from the state budget in February 2023 was anticipated to be almost $1.3 billion, an increase of 36.9 per cent compared to the same month last year. The expected amount of newly registered foreign direct investment up to February 20 was $1.76 billion, which was 2.8 times more than that in the same period in 2022. Slowdown in industrial development and a lack in investment capital are barriers that must be resolved to prevent a downturn … [Read more...] about Focused spending can set a solid base for positive outcome

Last year 440,000 cars were manufactured in Vietnam and 176,590 were imported. But imports from the Association of Southeast Asian Nations member countries, mainly Thailand and Indonesia, doubling the period before 2018. According to data from the General Department of Vietnam Customs, last year the two countries accounted for 144,703 cars, or 83% of imports, that cost US$2.5 billion. Foreign carmakers with factories in Vietnam import 80-90% of their cars sold in the market. Imports of cars and car parts are expected to skyrocket in the next 10 years when the import tax is gradually reduced to 0% under the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and the European Union-Vietnam Free Trade Agreement. "In the context of integration, if the Government and ministries do not quickly have appropriate policies and solutions to encourage and support the development of the domestic auto industry, Vietnam will become a market for foreign firms, and … [Read more...] about Vietnam at risk of becoming captive market for imported cars: industry ministry