Vietnam received 1.09 trillion won in financial aid from Korea

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By Jhoo Dong-chan

Vietnam was the largest recipient of funding from the Economic Development Cooperation Fund (EDCF) provided by the Export-Import Bank of Korea (Korea Eximbank) over the past five years, the bank said Sunday.

Established in June 1987, the EDCF has promoted economic cooperation between Korea and emerging economies. It assists partner countries by providing funding for their industrial development and economic stability.

The Korea Eximbank said the state-run bank provided 5.73 trillion won ($4.8 billion) through the EDCF in Asia over the past five years. It invested 1.07 trillion won in the region in 2017 and 913 billion won last year.

Of the recipient countries, Vietnam received 1.09 trillion won over the past five years, the highest on the list followed by Myanmar with 867.2 billion won and Bangladesh, 828.2 billion won.

Vietnam gets over W1 tril. in financial aid from Korea

“Reflecting the country’s rapid economic growth rate, Vietnam has been the world’s most active player in establishing its industrial infrastructure,” said a Korea Eximbank official.

“It is carrying out a number of infrastructure projects, building roads and railways. Korea Eximbank has financed the country’s projects via the fund.”

Of its entire EDCF financing projects across the world, Korea Eximbank invested 3.87 trillion won in emerging economies’ road and rail projects and 1.13 trillion won on those related to water resources and sanitary facilities over the past five years.

By financing categorizations, most emerging economies got the EDCF investment through project loans.

A project loan is the funding of long-term infrastructure or industrial projects and public services financed by a government or corporate body. The debt and equity used to finance the project are paid back from the cash flow generated by it.

Of the Korea Eximbank’s 138 EDCF cases over the past five years, 106 cases, or 76 percent, were project loans worth 7.91 trillion won.

The Korea Eximbank said it will expand its EDCF investment in Southeast Asian countries in line with the Moon Jae-in administration’s New Southern Policy.

“The Korea Eximbank aims to expand EDCF investment in Asia ― up to 60 percent of its entire fund by 2022,” said Korea Eximbank Chairman Eun Sung-soo during a press conference in January.

This article was first posted on Korea Times

Man jailed for 10 years for raping 12-year-old girl

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A court in the northern province of Hai Duong sentenced a man to 10 years in jail on Friday for raping a 12-year-old girl.
Tran Van Duc, 35, stopped the girl when she was cycling home from school on February 16, forced her into a graveyard and raped her.

He left her there and fled. The police arrested him the same day after the parents found the girl and reported to the police.

Besides the imprisonment, the court also ordered Duc to pay the victim VND70 million ($3,000) in compensation.

According to official data, out of 1,600 cases of child abuse in Vietnam last year, 80 percent involved sexual assault, many in places considered safe such as home and school.

In most cases, the perpetrators were someone close to the children or having authority over them, such as neighbors, relatives or teachers.

Source: Vnexpress

Grab fined for foreign loan violation

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The State Bank of Vietnam (SBV) has just fined ride-hailing firm Grab VND120 million (USD5,217) for breaking regulations on borrowing from foreign lenders.

According to the state bank, Grab broke regulations on the time required to submit applications for registering foreign short-term loans, which have been extended into medium and long-term loans where the total loan term is over one year. The regulations are based on Circular 3 issued by the SBV, dated February 26, 2016.

The SBV issued a decision to impose the fine on Grab for violating regulations in the monetary and banking sector and asked that Lim Yen Hock, representing Grab in Vietnam, be subject to the fine.

The central bank will force Grab to pay the fine in due time.

According to the circular, the borrower must send the registration file within 30 days of signing the agreement to extend a foreign short-term loan to a medium- or long-term loan.

In late 2018, Grab was also fined VND900 million (USD39,130) for operating the GrabPay service without a permit from the SBV.

Source: Dtinews

Officers break up Laos-Vietnam drug ring, confiscate 100,000 narcotics pills

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Officers in the north-central Vietnamese province of Quang Binh have arrested a Laotian suspect and confiscated 100,000 pills of synthetic drugs as they broke up an illicit ring that smuggled narcotics from Laos into Vietnam.

The provincial border guard unit confirmed on Saturday it had apprehended Thao Phet, 50, who lives in Bolikhamsai Probince, Laos.

The suspect was riding his pickup truck along a trail in Laos’ Khammouane Province and heading toward the Laos-Vietnam Border on Friday afternoon.

He was spotted by Quang Binh border guards and police in Khammouane Province, before attempting to escape in the vehicle.

The officers chased him down and were eventually able to arrest the man.

They also found multiple plastic bags containing 100,000 pills of synthetic drugs that were hidden in the pickup truck.

This is the second largest drug case that Quang Binh border guard officers have busted since the beginning of 2019.

They previously apprehended four armed Laotian men in late March, seizing a total of 110,000 pills of synthetic drugs.

Source: Tuoitrenews

Vietnamese striker parts ways with Korean club, headed for France

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Striker Nguyen Cong Phuong has ended his contract with South Korea’s Incheon United early to play in France.
He will first join the Vietnamese team at the upcoming King’s Cup in Thailand next Wednesday.

Phuong had been loaned by Hoang Anh Gia Lai to Incheon for one season. But Hoang Anh Gia Lai’s JMG Global Academy managed to get him a trial at a second-tier French team, Nguyen Tan Anh, the club’s manager, told VnExpress. No further information has been revealed on what Phuong will be doing in France.

“We discussed with Incheon United and got their approval. After the King’s Cup, Cong Phuong will go to France,” Anh said.

In his final match at Incheon in the K-League on Saturday, he did not come off the bench.

In the previous 14 matches he only played 352 minutes and failed to score, having only three shots at goal.

But not everything was doom and gloom, and he did cause an impression within the team and garnered some praise from South Korean sports commentators.

Phuong has flown directly to Thailand to join the national team ahead of their match against Thailand on June 5.

He has been a main player in the national team in recent major tournaments, including Asian Games 2018 where they finished fourth and the ASEAN Football Federation Championship where they won the cup.

Source: Vnexpress

Da Nang International Fireworks Festival kicked off

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The 2019 Da Nang International Fireworks Festival kicked off in Vietnam’s central Da Nang city on Saturday.

Teams from Belgium, Brazil, China, Britain, Finland, Italy, Russia, and Vietnam are to describe the beauty and culture of typical rivers in their countries during the month-long festival themed “Stories by the Rivers,” Vietnam News Agency reported.

They will come together for a pyrotechnic competition in five nights themed “Origin”, “Seed”, “Love”, “Colors” and “Going out to Sea.” The festival, which lasts from June 1 to July 7, will also feature art performances and street carnivals every weekend.

The Vietnamese team lights up the Han River in the central city to kick off the 2019 Da Nang International Fireworks Festival (DIFF). This is the 10th edition of the annual festival. @VNExpress

After Vietnam and Russia performed during the curtain-raiser on June 1, Brazil and Belgium will take the stage on June 8. Italy and Finland will play the third night on June 15, while China and Britain will perform on June 22. The top two teams will be selected for the final on July 6.

According to the Da Nang Department of Tourism, the city welcomed nearly 7.7 million holidaymakers in 2018, up 15.5 percent against 2017, including roughly 2.9 million foreign tourists, up 23.3 percent.

What is the VAT calculation on sale of imported goods?

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The calculation of VAT does not involve a flat rate for all kinds of products in Vietnam or any other country. The VAT percentage depends on several parameters including the country you live in and the products you are selling.

In a lot of countries, the VAT rate varies with the business type. For instance, in the United Kingdom, a business owner who is running a journalism business would not be paying the same VAT as someone owning a cloth brand. Thus, business owner should make sure that the correct percentage of VAT is applied.

Determination of VAT on Imported Goods

These days, economies of all countries are expanding at a rapid rate. Companies expand their business domains by selling locally manufactured as well as imported products. However, in case of imported products, certain exclusive factors are involved in the calculation of VAT.

Import Duty

Business owners have to pay import duty on products that they import. The payable price depends on various factors including the product category, country of important and price. The VAT applied on the product can only be calculated if the important duty has been determined. Various custom regulations are applied including the weight of the product. Once the important duty has been calculated, the further steps of VAT calculations can be performed.

Calculation of VAT (example)

Consider that an imported product has a commercial invoice price of £ 200. The price would be increased after the import duty has been added to it.

Total Product Price = Commercial Invoice Price + 10% (Commercial Invoice Price) + 20% of Product Price (ImportDuty)

The VAT would be applied on the total product price. This price would obviously depend on the commercial invoice price of the product, important duty and other factors. Business owners should be well aware of these factors so that they know about the correct evaluation of VAT values.

Core Factors that affect VAT of imported goods

The calculation of VAT for local goods is not the same as VAT for imported goods. When you talk about calculating VAT of imported goods, various intermediate factors have an impact. Given below are some core factors you have to pay attention to.

1. Import Duty Applied

If you have a look at the formula mentioned above, you would see that import duty is a factor used for this calculation. The VAT value depends on the total product price and this price depends on the import duty. Thus, the VAT value is calculated on the basis of various factors including the import duty.

2. Commercial price on invoice

When a product is imported, it comes with an invoice on which the product price is mentioned. The VAT value has a direct proportionality relationship with the commercial price of the product. Products that have high commercial invoice price have a higher value for VAT. Similarly, low priced products have a low VAT value. As someone who has to pay VAT, it is important to know about each factor that has an impact on the VAT price.

3. Nature of product

In most countries, VAT is not applied at a flat rate and depends on the product type. Some product types have a higher import duty so the VAT price increases automatically. Business owners should know about the import duty applied on the product that they are dealing in. Each product type has a different rate of import duty which has an impact on the evaluation of VAT. Before you start paying VAT, you should know about the import duty applied according to the product type. Other than that, it is important to have a proper idea of the VAT formula. It obviously helps in checking whether you are paying the correct amount or not.

VAT calculations using a dependable online calculator

It is an obvious fact that software tools have strong impacts on our lives in various ways. How does it feel when you have to add the prices of 20 products without using a calculator? Even if you are good at mathematics, the feeling would not be that good. People prefer using a calculator so that they do not have to spend so much time and put in so much effort.

The Calculators.tech VAT calculator is a reliable tool which helps users in calculating this form of tax. The link to this calculator is given below.

https://www.calculators.tech/vat-calculator

Values that have to be entered as Input
The overall user interface of this tool is very simple. When you open the link, you would be required to enter the product price and tax percentage as the input values. There is no lengthy procedure of going through several web pages without the need being there.

Output Values produced

Based on the input values being entered by the user, two output values would be generated. When you enter the product price and tax percentage, the gross price and tax amount would be shown on your screen.

Conclusion

The use of online calculators is important when you are required to perform complex calculations. The calculation of VAT is not simple by any means so the first thing you need to do is get your hands on a quality VAT calculator. This calculation is all about efficiency and accuracy. If the correct input values have not been entered, the generated output values would be incorrect as well.

The VAT calculator by calculators.tech is an impressive tool. It offers several benefits to users which other tools do not put on offer. First of all, the tool is online and completely free of cost. You can use the tool for as long as you want without paying any charges. Along with that, as the tool is online, no downloads or installations are needed for this purpose. Simply click the link and you can use the calculator.

Accuracy is another benefit offered by this tool. There are no chances of ending up with incorrect results. The tool is 100% dependable and no errors are made in the process.

Things You Need To Know About The Deadly African Virus That’s Killing Asia’s Pigs

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A deadly swine disease is spreading across eastern Asia, infecting thousands of pigs and threatening the world’s largest hog industry. Since emerging in China in August, African swine fever has been detected in Mongolia, Vietnam and Cambodia.

The first outbreak in North Korea was reported in late May on a cooperative farm north of Pyongyang, about 20 kilometers (12 miles) from the Chinese border.

1. What is African swine fever?

A highly contagious viral disease which, in its most virulent form, can be 100% lethal to domestic pigs and wild boars. There is no vaccine. It is characterized by high fever, loss of appetite, hemorrhages in the skin and internal organs, with death coming in 2-10 days on average. Diarrhea, vomiting, coughing and breathing difficulties are other symptoms.

2. Does it threaten human health?

No. The virus infects pigs, warthogs, European wild boar, American wild pigs, bush pigs, giant forest hogs and peccaries. Still, the disease can have a significant impact on food security through decreased and lost production, as well as on food safety through the movement of disease-infected carcasses that may not be adequately chilled or frozen, leading to bacterial contamination. Culling infected animals and imposing strict containment measures are the only tools available to limit further spread.

3. What’s the concern?

Economics and trade. China has more than 400 million pigs, or over half the world’s swine, and Vietnam has about 27 million. Pork is the principal source of dietary protein in China and accounts for about a third of meat expenditure in Vietnam. The culling of pigs to stem the disease’s spread, along with restrictions on the movement of animals, have hurt the livelihoods of pig producers, cut pork production, pushed prices higher and driven consumers to other sources of protein. In Mongolia, about 10% of the pig population have died or been destroyed due to outbreaks in six provinces since January. The virus was detected in a number of Chinese processed pork products intercepted at airports from Japan to Australia, leading several countries to ban such goods. In the European Union, where African swine fever emerged in 2014, outbreaks have spread across the region at a rate of about 200 kilometers a year, causing an estimated several billion euros in annual losses. It’s estimated that the introduction of the virus into the U.S. would cost producers more than $4 billion in losses.

4. Where else has the disease shown up?

It’s endemic, or generally present, in sub-Saharan Africa and the Mediterranean island of Sardinia. Over the past several decades, the disease has emerged, and then been eliminated, in parts of Europe, the Caribbean and Brazil. In Europe, outbreaks have been reported this year in Belgium, Bulgaria, Hungary, Latvia, Moldova, Poland, Romania, Russia and Ukraine. In Africa, Zimbabwe and South Africa are tackling the virus. In China, the Veterinary Bureau has reported infections across 28 provinces, regions and municipalities, including in areas near Beijing, Shanghai, Chengdu, Macau and Hohhot. Vietnam has reported some 366 outbreaks in 20 provinces and cities, with more than 46,600 pigs culled. Chinese scientists studying the genetic evolution of the virus have said it closely resembles a pan-Russian strain.

5. How has China dealt with past disease outbreaks?

When the rotting carcasses of more than 16,000 pigs — some of which were reportedly diseased — were found in early 2013 in the tributaries of the main river running through Shanghai, threatening the region’s water supply, millions of small piggeries were closed in a nationwide program aimed at shifting pork production to larger, more efficient farms. It resulted in one of the largest culls in history — a reduction in hog numbers equivalent to the disappearance of the entire U.S., Canadian and Mexican pork industries in less than two years.

6. How does the virus spread?

It’s found in all body fluids and tissues of infected domestic pigs and spreads via direct contact with infected animals or ingestion of garbage containing unprocessed infected pig meat or pig meat products. It can survive in feces for several days and possibly longer in urine. Animals that recover from the illness can carry the virus for several months. Unprocessed meat must be heated to at least 70 degrees Celsius (158 degrees Fahrenheit) for 30 minutes to inactivate the virus. Analysis of China’s first 21 outbreaks found that feeding pigs swill, or food scraps, was linked to more than 60% of cases. Blood-sucking flies, ticks and other insects possibly spread the virus between pigs, as can contaminated premises, vehicles, equipment or clothing. Brazilian researchers blamed the outbreak there on trade and tourism.

7. What’s China doing this time round?

The government said it faces an “arduous task” to control the spread of the disease, with outbreaks in neighboring countries making prevention and tracing complicated. China has culled about 1.13 million hogs, banned transport of live hogs outside affected provinces and closed trading markets. The more stringent measures required by farms to implement are favoring larger operations with more than 1,000 head, accelerating consolidation in the industry. Many such farms are planning to integrate their businesses to incorporate breeding, fattening, slaughtering and distribution.

8. How are markets reacting?

The U.S. Department of Agriculture estimated in April a decline in Chinese hog production this year of 134 million head — equivalent to the entire annual output of American pigs — and the worst slump since the department began counting China’s pigs in the mid 1970s. That could mean a 10% reduction in Chinese pork production this year, leading to a 41% jump in pork imports and a 15% increase in foreign beef purchases, the USDA said. Wholesale pork prices in China are already 20% higher than a year ago. On the Dalian Commodity Exchange, soybean meal prices have slipped almost 5% over the same time on concern the disease will cut demand for the animal-feed ingredient. China’s stock market is predicting that the Year of the Pig will bring windfall profits to China’s large publicly owned swine operators. WH Group Ltd., the world’s biggest pork company, have climbed 22% this year, while shares in Muyuan Foodstuff Co., a pig breeder and animal feed producer, have more than doubled.

To contact Bloomberg News staff for this story: Jason Gale in Melbourne at j.gale@bloomberg.net

John Bothma, foreign teacher missing in Vietnam

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John Bothma, a South African teacher missing in Vietnam.

The family of John Bothma say they last heard from him on May 18, after he arrived in Ho Chi Minh City on May 16.

A 20-year-old South African man who travelled to Vietnam to teach abroad has been missing since May 18.

According to Facebook posts made by his aunt, Santjie Dixon, his phone has been off since May 18. Dixon added that police and the embassy have been contacted and alerted to his disappearance.

His work visa, which was sponsored by the Institute for Training and Economic development (ITED), expired on Sunday.

Since his radio silence, friends, girlfriend Judy Kurash, fellow teachers, and family have been posting on social media platforms to try and find him, or at least figure out if he is safe.

Dixon told News24 that Bothma last spoke to her on May 18, after which he tried to call her three times, and had not been heard from since.

Vietnamese authorities have told Dixon that they did not have any records of Bothma leaving their borders.

Dixon is hoping that somehow Bothma catches his booked flight back to Johannesburg in early June. And despite numerous leads and social media post shares, nothing has come to fruition as yet.

Authorities have assured Bothma’s family and friends that his disappearance has been prioritised. The US consulate in Hanoi has also assisted Kurash in providing her with support and procedural explanations.

Kurash has set up a Facebook page called Find John Bothma, where all information on his disappearance and possible leads are available.

Updates to follow as more information is made available.

(Compiled by Nica Schreuder)

Water management becomes crucially important in Vietnam today

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Improved water management can help Vietnam tackle the threat of climate change, Belgium Ambassador to Vietnam Paul Jansen said at a workshop held in Hanoi on May 28.

At the workshop, entitled “Water Management in Urban Areas in Vietnam in the Context of Climate Change”, policymakers and representatives from universities, research institutions, international development partners and private firms shared knowledge and expertise in the field.

Urban resilience has always been a key issue in the developing areas of Vietnam. And now, with the growing threat from climate change, improvements to the urban infrastructure are becoming increasingly more important, Jansen said.

Vietnam is one of the countries most affected by climate change, which also influences the interplay between water and urban areas and intensifies the risks of both drought and flooding, according to experts.

In Vietnam’s rapidly expanding cities, increased development and increased rainfall due to climate change have created significant flood risks, impacting human lives and the economy and creating environmental problems.

Analysis of climate change impact, consideration of increased risk and vulnerability as well as actions for capacity building, awareness raising and infrastructure works were discussed at the workshop.

Prof. Pham Quy Nhan, Deputy Rector of the Natural Resources and Environment University, described the current reality of water usage in Vietnam.

At present, 60 percent of the population rely on groundwater for their water supply while the groundwater resource has been heavily exploited in some areas, said Nhan.

The high extraction rates are causing a rapid lowering of the water levels in key areas around Hanoi, Ho Chi Minh City and in the Central Highlands. The sustainability of these water sources is under serious threat, he said.

Groundwater is very vulnerable to pollution and has a very poor inventory and information system, he added.

Climate change will increase evaporation, reducing rainfall in the dry season above all river basins, causing irrigation water demand to increase,” Nhan said.

According to the professor, about 8.5 million urban citizens lack access to clean water while in rural areas, 41 million people do not have a supply that meets the Ministry of Health’s clean water standards.

Along with insufficient access to clean water, millions of people suffer regular and massive losses from natural disasters.

Vietnam is one of the most natural disaster-prone countries in the world, with about half of the population living on the coast and more than 80 percent at risk of direct impacts from natural hazards.

From 1997 to 2006, natural disasters caused more than 5,000 deaths, and destroyed more than 6,000 fishing boats, nearly 300,000 houses and 4 million hectares of paddy rice, with total damage in excess of 50 trillion VND (2.1 billion USD).

To prepare for and reduce impacts of climate changes, the country would need effective measures including national strategic plans, national policy framework, vulnerable community protection plans, sustainable water development and protection projects, and campaigns improving people’s awareness on water use, the professor said.

The workshop was held by the Embassy of Belgium, in collaboration with the Vietnam National University’s Institute of Vietnamese Studies and Development Science (IVIDES), the Belgian Development Agency (Enabel) and Belgian universities.

According to a report on VNA

Hue to host kite festival from June 8 to 15

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The annual kite festival will be held in Hue city from June 8 to 15 with various activities honouring the arts of kite in the imperial city.

The event will include an exhibition on artistic kites, a workshop on making and decorating kites, art performances and a fashion show.

Visitors at the exhibition can not only admire typical designs of Hue kites but can also learn the process of making a kite under the instruction of local artisans.

Folk games, a kite making and a kite-painting contest will also be scheduled as part of the event.

Notably, festival-goers can admire many kites in a wide range of different colours and shapes being released into the sky over the Noon Gate from 4pm to 6pm on June 8 and 9.

The festival aims to honour the traditional craft of kite making in Hue while promoting the city’s tourism potential to visitors at home and abroad, thus making the city more attractive among holiday makers.

According to a report on Nhan Dan

Entire commune in Dong Nai set to be built Long Thanh International Airport

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A commune in Dong Nai Province, located in southern Vietnam, will be administratively dissolved from June as the country clears land for a megaproject to build Long Thanh International Airport.

The 6,700 residents of Suoi Trau Commune in Long Thanh District will be resettled in neighboring communes in the same district. After this relocation, the Suoi Trau Commune will administratively cease to exist.

“In just a few more days, the name Suoi Trau will be a thing of the past,” said Doan Van Dung, a local resident, adding he was happy to give up his family’s land for the project.

“The sooner the airport gets built, the better,” he said.

Suoi Trau Commune is one of the last areas left within the scope of the Long Thanh airport project, where site clearance has been delayed for nearly a decade.

The 1,385-hectare commune is home to some 2,300 households with more than 6,700 residents.

“We already have officials at work to respond to residents’ requests for corrections to their personal papers once the dissolution takes effect,” said Suoi Trau chairman Nguyen Van Hiep.

Located some 40 kilometers from Ho Chi Minh City, Long Thanh is expected to alleviate the passenger load at the crowded Tan Son Nhat International Airport upon its completion.

The plan to build the airport was ratified by Vietnam’s lawmaking National Assembly in 2015, with a projected cost of US$15 billion.

The airport features a concept design that draws inspiration from the lotus flower.

Construction of the first phase is expected to start later this year and be finished by 2025, upon which the Long Thanh airport will be capable of serving 25 million passengers annually.

When built to its maximum designed capacity, the airport will handle more than 100 million passengers on a yearly basis.

“Most residents are aware that Long Thanh is a project of national importance so they have been supportive of the resettlement,” said Vo Tan Duc, chairman of Long Thanh District.

“What they expect from the government are adequate compensation for the land acquisition and better living standards at their future homes,” Duc said.

According to a report on Tuoi Tre

Vietnam banks begin switching from magnetic stripe to chip technology for their domestic debit cards

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Seven commercial banks in Vietnam on Tuesday began switching from magnetic stripe to chip technology for their domestic debit cards, the first wave of transition pursuant to a government policy that looks to completely phase out the old-school swipe cards by the end of 2021.

The seven lenders involved in the scheme’s first phase are Vietcombank, VietinBank, BIDV, Agribank, Sacombank, TPBank and ABBank.

The Vietnam Bank Card Association and the National Payment Corporation of Vietnam (NAPAS) were coordinators for the launch.

Deputy Governor of the State Bank of Vietnam Nguyen Kim Anh said at the launch event in Hanoi on Tuesday that the switch from magnetic stripe cards to chip cards is one key solution to promoting non-cash payment and preventing hi-tech crime.

Vietnam currently has about 76 million cards issued by 48 commercial banks, according to central bank statistics.

Chip cards are believed to help reduce risks of card-related crimes and increase payment safety for customers.

Before the transition, only international debit and credit cards in Vietnam were using chip technology while all domestic cards, popularly referred to as ‘ATM cards,’ resorted to the decades-old magnetic stripe technology, which is more vulnerable to identity theft.

A government-approved plan by the State Bank of Vietnam looks to have at least 30 percent of the active cards in the country switched to chip technology by the end of this year.

The number will rise to 60 percent by the end of 2020 and 100 percent by the end of 2021, according to the plan.

Some banks have announced they would provide the replacement for free while others said customers should expect a small fee when trading their magnetic stripe cards for chip cards.

According to a report on Tuoi Tre

San Miguel plans new $70-M brewery in Vietnam

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San Miguel Brewery Inc. is looking at the possibility of acquiring existing breweries or putting up a bigger brewery in Vietnam to boost its existing capacity in the country which has a per capita beer consumption that is more than double that of the Philippines.

In an interview after the firm’s annual stockholders’ meeting, SMBI Chairman Ramon S. Ang said that, “if we are putting up a new plant, it will have a capacity of at least 2 million hectoliters with an investment of about $70 million.”

According to a report on Philippine News, Ang said SMBI already has a small plant in Ho Chi Minh but the capacity is only at 200,000 hectoliters.

“It just a quarter of our plant in Bacolod,” noted SMBI President Robert Huang.

Related: ThaiBev to engage Sabeco operations

“We have an over capacity in some countries, except Vietnam. That is why we are looking at some breweries that we can buy in the future,” added Huang.

Ang noted that, while the per capita consumption in the Philippines is about 19 liters of beer a year, in Vietnam, the figure is at around 44 liters.

He said they are currently conducting a market study and will begin construction of the plant as soon as the study is completed. The new plant will be built on the 200 hectare property where the first plant is also located.

Ang said SMBI will also continue to invest in the Philippines where there is also an uptrend in beer consumption.

“Along with expanding our capacities, we will increase availability and visibility of our brands in all trade channels, while pursuing cost improvements and operational efficiencies,” he said.

SMBI is committed to sustain the growth momentum it has built over the past years despite challenges posed by the implementation of higher excise taxes, stricter government policies on the environment, and possible regulations on alcohol consumption.

Vietnam is considered to be one of the region’s most attractive markets for foreign investors with a steadily increasing GDP and booming foreign direct investment, a pattern which is forecasted to remain stable in the upcoming years.

Vietnam is considered to be one of the region’s most attractive markets for foreign investors with a steadily increasing GDP and booming foreign direct investment, a pattern which is forecasted to remain stable in the upcoming years.

With a forecasted annual growth rate of 6% to 2020, the beverage industry in Vietnam is amongst the highest growth fast-moving consumer goods industries. Beverage consumption is estimated to reach 81.6 billion litres in 2016 with an outlook to reach 109 billion litres in 2020. Though receiving a humble compound annual growth rate (CAGR) of 3.5% until 2020, the beer sector in Vietnam is considered to have immense opportunities for investment as the country’s consumption is in the top 10 of Asian region and has a favorable per capita consumption at 42 litres in 2020. Wine and spirits and nonalcoholic drinks sectors are also forecasted to have an 8%- and 6.1%-CAGR respectively.

Microsoft stops providing Windows licenses for Huawei

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Microsoft has stopped providing Huawei with Windows licences as part of its efforts to comply with US trade limitations against the Chinese company, The South China Morning Post reported.

Windows operating systems running on current Huawei PCs will not be affected, but Microsoft will no longer accept new product orders from Huawei.

Microsoft’s services team has also reportedly begun moving out of its Chinese headquarters in Shenzhen.

“This does not mean that Microsoft is not cooperating with Huawei any more. The suspension in business between the two companies could be just temporary,” said an unnamed Microsoft employee from these headquarters.

Microsoft has already taken significant actions against Huawei as part of its compliance with the US government order, including the removal of Huawei hardware and cloud products from its online marketplaces.

Huawei mobile chief executive for business, Richard Yu Chengdong, said earlier this week that Huawei plans on launching its own operating systems which could be compatible with Android and Windows.

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