Business highlights – March 28- April 3

Export shows signs of slowdown in Q1

Despite an unexpected growth in March, the export turnover in Q1 was lower than that of the same period last year, according to the Ministry of Industry and Trade (MoIT).

In March, export turnover was estimated at US$14.2 billion, representing a month-on-month surge of 40.6%, reported Mr. Vu Ba Phu, Director of the Ministry of Industry and Trade's Planning Department on March 28 in Ha Noi.

In Q1, total export turnover fetched US$33.8 billion, up 4.1% against the same period last year.

The FDI sector gained US$27 billion in export turnover (up 5.8% against the same period last year); the domestic sector with US$10.8 billion (up 0.3%).

VN’s economy to grow 6.7% in 2016: ADB

The Vietnamese economy will remain stable in 2016 with a growth rate of 6.7%, followed by a modest slowing of growth to 6.5% in 2017, according to the Asian Development Bank (ADB)’s “Asian Development Outlook 2016” report, released on March 30.

Speaking at a press conference in Ha Noi, ADB Country Director for Vietnam Eric Sidgwick said that the report is a flagship ADB publication which provides its assessment of recent economic developments in Asia and the Pacific and medium-term macro-economic projections for the region.

He noted that Viet Nam’s economic growth will be driven by continued high foreign direct investment, rising domestic consumption and demand, and pro-growth policy settings.

VN’s aquatic exports up 1.7% in Q1

Viet Nam’s aquatic export value in the first quarter of this year hit US$1.36 billion, up 1.7% year-on-year. The demand for prawns in the world market in 2016 is forecast to increase between 3.5-5% compared to 2015, and this is likely to bring an opportunity to Viet Nam to raise exports.

Viet Nam aims for US$4 billion in shrimp exports this year.

Insurance market: Insured value hits US$526.5 billion in 2011-2015

The insurance market saw a total insured value reaching VND11.7 quadrillion (US$526.5 billion) from 2011-2015, said an official during a press conference in Ha Noi on March 29.

Of the sum, VND10 quadrillion (US$450 billion) was paid by enterprises from different sectors, while VND1 quadrillion (US$45 billion) was recorded in the life insurance sector and VND700 trillion in heath insurance.

Garment-textile firms urged to gear up for global value chain

Viet Nam’s garment-textile sector still plays a passive role in the global supply chain (GVC) as they mainly specialize in straightforward production stages without studying market demands, heard a workshop in Ha Noi on March 29.

Addressing the event, which aims to disseminate the Asia-Pacific Economic Cooperation (APEC) forum’s plans and strategies on the GVC, Deputy Minister of Industry and Trade Nguyen Cam Tu said that local businesses have taken no initiative in seeking partners and expanding the market.

QNB: VN listed among fastest emerging markets

The Qatar National Bank (QNB) said that under the leadership of newly-appointed high-ranking leaders, Viet Nam maintains one of the fastest emerging markets (EMs) in the world.

The prospects of Viet Nam’s economy show positive signs, suitable with reports of the QNB in December 2015 with the economic growth of 7% in 2016 and 7.5% in 2017.

VN to have new airlines - Vietstar Airlines

The Ministry of Transport has suggested the PM granting a business license on aviation transport for Vietstar Airlines mutiroles Corporation (Vietstar Airlines).

Deputy Transport Minister Nguyen Nhat was quoted as saying that Vietstar Airlines has a charter capital of VND 800 billion (US$40 million) and will provide transport services for passengers and cargo.

In the first phase (about five years), the airline will exploit a fleet of three Boeing 737/Airbus 320.

By Thuy Dung