Deposits at banks modest due to low interest rates A person arranges stacks of Vietnamese banknotes. Capital has been poured into other sectors rather than banks due to their low deposit rates According to the Department of Credit for Economic Sectors under the State Bank of Vietnam, in the first quarter of this year, the deposit growth reached only 0.54%, well below the credit growth of 2.93% and the average deposit growth of 2.28% in the first quarter of the past seven years, Lao Dong newspaper reported. At present, the rate for savings of less than six months is 3%-4%. Meanwhile, tenors of six to less than 12 months and over 12 months enjoy a rate of 3.5%-5.5% and 4.6%-6%, respectively. Although some banks have revised up their deposit rates by 0.1-0.4 percentage points, the banks’ average deposit rate in the first quarter remained some 2 percentage points lower than that in the same period last year. If the trend continues, the banking system’s liquidity will no longer be ample this year, according to Bao Viet Securities Company. Meanwhile, the General Statistics Office stated that capital had been injected into other sectors, with life insurance premium soaring 11%. Meanwhile, the securities market mobilized nearly VND55.6 trillion, surging 42% over the same period last year. Pham Lam, vice chairman of the Vietnam Association of Realtors, attributed land fevers over the past few months partly to residents’ idle money and their expectations of higher prices of real estate products. According to Dao Minh Tu, deputy governor of the central bank, as of mid-March, banks’ outstanding loans for the property sector grew 2.13%, higher than the current credit growth of 2.04%, despite the central bank’s close control over credit for the sector. Market rebounds, VN-Index returns to 1,250 point-level Shares settled higher on Wednesday, reversing their morning course on recoveries of materials and banking stocks. The benchmark VN-Index …
Where is security key on router
Plans afoot to aid fortunes of state-owned enterprises
The plan to reshape SOEs like Saigon Newport Corporation into future leaders of their respective sectors will include 17 such corporations. Photo: Le Toan With the new government cabinet taking shape last week, the Ministry of Finance’s Corporate Finance Department (CFD) is making a new plan to offer a helping hand to state-owned enterprises (SOEs) in 2021 and beyond, before submitting it to the government for approval. The plan will cover “many new points to boost reform” which the department’s director Dang Quyet Tien said remain under discussion with aims to create a level playing field for all enterprises in the economy, as well as develop a team of huge SOEs playing a key role in driving the economy forward. One of the most important tasks is to first revise the current Law on the Management and Use of State Capital Invested in Productive and Commercial Activities of Enterprises, which took effect in 2015. According to the CFD, while the government has been trying to develop strong SOEs which play in a fairer environment and with more room created for private enterprises in that time, the law contains many vague points when it comes to implementation, making it hard to successfully reform many SOEs. For example, one of the most controversial points in the current law is the loose definition of “state capital in enterprises” – meaning after the state invests capital into enterprises, the capital is understood to be either state capital or corporate capital. In another case, after investing capital into enterprises, the state focuses on managing both the capital and the enterprises’ governance activities. Also, the current law also has regulations on fixing cap salaries and bonuses for positions at SOEs, not subject to the performance effectiveness of the enterprises. “For instance, if a leader of an SOE creates a huge profit for the enterprise, his salary and bonus cannot be raised. This is unfair as it discourages the firm’s leader from …
[Read more...] about Plans afoot to aid fortunes of state-owned enterprises
Police launch traffic safety campaign ahead of holidays
Traffic police force are on duty on a road in Hà Nội. — VNA/VNS Photo HÀ NỘI — The Traffic Police Department under the Ministry of Public Security has launched a campaign to ensure safety and order for the upcoming holidays and the elections of deputies to the 15th National Assembly and People's Councils for the 2021-2026 tenure. During the two-month operation starting from April 15 to June 14, police will strengthen patrols and strictly handle traffic violations on roads, railways and waterways. Major General Lê Xuân Đức, deputy director of the department, said police forces, vehicles and professional technical equipment have been deployed to ensure public order and traffic safety during the Reunification Day and May Day holidays, the 131st anniversary of Uncle Hồ's birthday and the elections. Inspection teams will also be set up to handle violations in key areas, for instance when buses stop, park, pick up and drop off passengers in unauthorised places. Violations of traffic regulations, particularly those concerning speed, alcohol use, overloaded trucks and vehicles with expired registrations, will result in strict fines, Đức said. On the railways, the traffic police will work with local authorities, police and the railway sector to inspect, control and handle violations as well as inspect the observance of regulations on railway traffic safety order. The traffic police will also strengthen patrols and control of key waterway routes and areas, focusing on goods transportation, mineral resource exploitation activities, passenger transportation, ports, tourism activities, festivals and entertainment on inland waterways, as well as promptly handle activities causing insecurity and disorder. They will arrange forces at key intersections during the holidays and election venues to handle traffic situations and prevent prolonged congestion, especially on routes connecting Hà Nội and HCM city, tourism sites and key transit …
[Read more...] about Police launch traffic safety campaign ahead of holidays