Banking & Finance

While the inflationary pressure, especially driven by hikes in prices of oil and food, devalues some currencies, Vietnam’s inflation target would remain unchanged.

UOB has trimmed their 2020 forecast for Vietnam to 3.5%, from 5.2% made earlier given the sharply weaker second-quarter performance.

There is a long road to go for government agencies to fully comply with transparency requirement in the Law on State Budget, said an expert.

Core inflation in the first six months of 2020 rose by 2.81% year-on-year.

The disbursed amount, however, remains significantly lower than expected.

This is mainly due to the government bond segment growing 10.5% quarter-on-quarter in the first quarter, to reach US$53.3 billion.

The fact that the country could realize ADB’s economic forecast is already a no small feat, said the ADB's country director for Vietnam.

With many successes in economic development, Vietnam is an example for other emerging economies, said World Bank Country Director in Vietnam Ousmane Dione.

Locals could make a bet via a bank account, e-wallet or mobile phone bill.

The implementation of the National Single Window helps save costs for enterprises for almost all procedures compared to the previous traditional approach.

The resolution would take effect after 45 days since the signing date and be applied for this year’s tax payment period.

Such increases have created a burden on the citizens, while multinationals are taking advantage of Vietnam’s incentive policies to avoid taxes.

The country would remain the fastest growing economy in Southeast Asia, which is expected to bounce back to 6.8% in 2021.

Credit demand in Vietnam is expected to stay low in the foreseeable future as the Covid-19 pandemic continues to be complicated globally, said a central banker.

Foreign investors have been net buyers so far this month -- a first since January -- amid a stable currency.

In a worse scenario where GDP would expand 3.6% this year, Vietnam's fiscal deficit is forecast at 5.02% of GDP and public debt at 56.4%.

While a number of supporting policies are in place, the effectiveness of some programs is not up to expectation, said Minister of Planning and Investment Nguyen Chi Dung.

People’s mobility, on average, is almost back to normal in Vietnam.

So far, total amount of deferrals of tax payment and land rental fees under the government’s support programs stood at VND37 trillion (US$1.58 billion) as of May.

The tax cut would benefit businesses with revenue in 2020 of less than VND50 billion (US$2.16 million) and a workforce not exceeding 100 employees.