Draft law on special economic zone continues to be put on hold

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The National Assembly will hold off on voting on the adoption of the controversial draft law on special administrative-economic zone until the next meeting of the legislative body in May next year.

General Secretary of the National Assembly Nguyễn Hạnh Phúc made the announcement late Friday, explaining that the time will be spent on further study and research to consolidate the law.

Nguyễn Khắc Định, chair of the NA Legal Committee, said the draft law is a new and unprecedented project, providing a never seen before breakthrough in mechanisms and policies in the context of intensive economic integration, which needs to incorporate feedback from the public and experts alike.

The process of drawing feedback has already been started by the Government, NA Secretary Phúc said.

On May 23, 85 per cent of NA deputies voted for the passing of the draft law, which was first presented by the Government to discuss in the NA in October 2017.

However, heavy protests from the public against certain controversial items in the law, including leasing of land to foreign investors for up to 99 years, have prompted the NA to push the adoption process.

Source: VNS

Developing airports: new playing field for billionaires

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A series of new airport projects and upgrading of existing airports have been suggested with total investment capital of billions of dollars.

The Cam Ranh complex, worth VND4 trillion, was developed under the BOT (build, operation, transfer0 mode by a joint venture of private investors.

The modern complex with high investment rate has given a push to the local economy. Many resort tourism projects, valued at billions of dollars, located 10-30 kilometers from the airport, have been implemented.

Van Don, one of the three locations expected to become an SEZ (special economic zone), has also become a ‘hot spot’. Sun Group, a giant real estate developer, has inaugurated the Van Don International Airport, capitalized at VND7.2 trillion.

This is the only airport in Vietnam to be entirely exploited by private investors.

Recently, the mountainous province of Lao Cai asked for permission to build Sa Pa 4C standard airport with the capacity of 1.5 million passengers and investment capital of VND5.8 trillion under the mode of BOT.

Lao Cai wants to have an airport because it is seeing increasingly high number of travelers to Sa Pa, a famous destination for tourists. An airport and air routes will help attract travelers to the locality, where modern projects are ready, including the 5-star Mgallery Sapa, cable car system developed by Sun Group, Sapa Jade Hill by Truong Giang and Bitexco’s chain of seven projects.

Not only Lao Cai, many other provinces and cities are also rushing to seek permission for airport development. Binh Thuan province has drawn up an airport project worth VND5.6 trillion, while Vung Tau has Go Gang and Loc An to serve the Ho Tram Strip tourist complex.

Most recently, Quang Binh provincial authorities and FLC Group asked for the Ministry of Transport’s nod on the project on upgrading Dong Hoi Airport into an international airport which would raise its capacity from 500,000 to 10 million passengers by 2020.

The list of tentative airports being considered by the Ministry of Transport also includes An Giang Airport, capitalized at VND3.4 trillion, Lai Chau VND8 trillion, and the super-project Long Thanh Airport capitalized at tens of billions of dollars.

According to the Civil Aviation Authority of Vietnam (CAAV), 94 million passengers went through airports in 2017 in Vietnam and the number of air passengers may reach 142 million by 2020. That is why more and more investors want to join the fastest-growing aviation market in Southeast Asia.

According to a report on Vietnamnet

Japan: Members of 12 Vietnamese families separated following deportations of illegal residents

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Members of 12 Vietnamese families living in Japan were separated from other family members when the government deported them in February, according to Justice Ministry documents and information obtained by Kyodo News.

Among the affected Vietnamese is Hoang Van Hiep, a 52-year-old man recognized by the government as a refugee, who is now living alone with his Japanese-born 5-year-old son after his wife, 46-year-old Nguyen Thi Loan Phuong, was deported along with 46 other Vietnamese aboard a chartered plane. Japan Times reports.

According to the ministry, the deportation of the Vietnamese, aged between 8 and 49, took place on Feb. 8 on a flight from Tokyo’s Haneda airport to Hanoi. They had stayed illegally in Japan for durations of up to 21 years and five months.

In a telephone interview, Phuong said immigration officials forcibly pulled her son from her lap in a room at the Tokyo Regional Immigration Bureau, took him away, and detained her about a week before she was deported.

“My son was crying. I still cannot forget his crying voice,” she said.

Hiep, who works from 8 p.m. to 5 a.m. at a noodle-making factory in Gunma Prefecture, said he has been struggling to raise his son since Phuong, who had been living here as a housewife, was forcibly repatriated.

His wife, who had previously been deported from Japan, came back to the country in 2007 using her sister’s passport, and married him.

Hiep said returning to Vietnam to be reunited with his wife is impossible as he is a refugee and their son can only speak Japanese.

“My wife certainly violated the immigration law, but she regrets it,” he said. “All I want is just to live with my wife and son.”

Japanese people assisting foreign workers condemn the family separations, saying Tokyo is no different from the U.S. government, whose immigration policy that led to thousands of children being separated from parents has drawn strong criticism inside and outside the country.

“On humanitarian grounds, the government should issue a special residence permit to illegal residents who have been living with their families in Japan for a long time,” said Motoko Yamagishi, secretary-general of the Solidarity Network with Migrants Japan.

The number of illegal residents has grown since the 1980s as they take on factory and construction jobs, with many deciding to settle here and start families. Supporters of foreign workers say they are shoring up industries suffering labor shortages.

Responding to a request for comment about family separations caused by the deportation of foreigners, the Justice Ministry said in a statement that “under international customary law, a state is allowed to freely decide whether to accept foreigners into its country or not, and what kind of conditions should be attached if it accepts them.”

Japan uses chartered airplanes and handcuffs to deport groups of foreigners after they refuse to abide by repatriation orders.

After resorting to the method for the first time in 2013 when it sent 75 Filipinos back home, Tokyo has conducted this type of deportation once or twice every fiscal year, although information on criteria for choosing the subjects of group deportations has not been released.

Past deportations have also involved family separations.

Call centre gang raided in Vietnam, 16 Thais arrested

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Tourist Police Bureau deputy commissioner Pol Maj Gen Surachate Hakparn has announced a trans-national raid in Ho Chi Minh City, Vietnam.

Thai PBS reports that sixteen Thai and two Taiwanese nationals were arrested in a raid on a condominium by Thai and Vietnamese police where a so-called “call centre” gang had been operating.

Pol Maj Gen Surachate said the raid was jointly conducted by Thai and Vietnamese anti-technology crime police after it was learned that a call centre gang had operated from a condominium at the Central Park in the southern Vietnamese capital.

During the raid authorities arrested 16 Thai nationals who were hired to make telephone calls from the centre to their targets in Thailand and two Taiwanese nationals who supervised the centre’s operation.

According to police, the gang began its operation about two months ago by making phone calls to victims in Thailand posing as officials of anti-narcotics agencies or the Anti-Money Laundering Office to deceive them into transferring money to certain bank accounts to settle legal cases being brought against them.

He said a number of victims had tranferred about 50 million baht to the gang during the past two months. The 18 suspects are still being held in Vietnam for further questioning. The 16 Thai gang members will be sent back to Thailand next week fo face legal action, Pol Maj Gen Surachate said.

US’ Senator John McCain, Hero of Vietnam War, Dies at 81

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Whenever America was in a fight during his long lifetime, John McCain was in the thick of it.

McCain, who has died at the age of 81, was a naval bomber pilot, prisoner of war, conservative maverick, giant of the Senate, twice-defeated presidential candidate and an abrasive American hero with a twinkle in his eye.

According to a report by Stephen Collinson on CNN, the Arizonan warrior politician, who survived plane crashes, several bouts of skin cancer and brushes with political oblivion, often seemed to be perpetually waging a race against time and his own mortality while striving to ensure that his five-and-a-half years as a Vietnam prisoner of war did not stand as the defining experience of his life.

He spent his last few months out of the public eye in his adopted home state of Arizona, reflecting on the meaning of his life and accepting visits from a stream of friends and old political combatants.

In a memoir published in May, McCain wrote that he hated to leave the world, but had no complaints.

“It’s been quite a ride. I’ve known great passions, seen amazing wonders, fought in a war, and helped make peace,” McCain wrote. “I’ve lived very well and I’ve been deprived of all comforts. I’ve been as lonely as a person can be and I’ve enjoyed the company of heroes. I’ve suffered the deepest despair and experienced the highest exultation.

“I made a small place for myself in the story of America and the history of my times.”

McCain had not been in Washington since December, leaving a vacuum in the corridors of the Senate and the television news studios he roamed for decades.

In recent months, he was not completely quiet, however, blasting President Donald Trump in a series of tweets and statements that showed that while he was ailing he had lost none of his appetite for the political fight.

The Arizona Senator repeatedly made clear that he saw Trump and his America First ideology as a departure from the values and traditions of global leadership that he saw epitomized in the United States.

McCain had been planning his funeral services over the last year and his family made clear that Trump is not invited, a position that has not changed, two family friends said Saturday. Former rivals and Presidents Barack Obama and George W. Bush were asked to give eulogies, people close to both former presidents and a source close to the senator told CNN earlier this year.

McCain’s two losing presidential campaigns meant he fell short of the ultimate political prize, one his story once seemed to promise after he came home from Vietnam and caught the political bug. In the end, he became a scourge of presidents rather than President himself.

At the time of his death, he was largely an anomaly in his own party — as one of the few Republicans willing to criticize Trump and a believer in the idealized “shining city on a hill” brand of conservatism exemplified by his hero Ronald Reagan that has been dislodged by the nativist and polarizing instincts of the current President. He was also a throwback to an earlier era when political leaders, without betraying their own ideology, were willing on occasion to cross partisan lines.

In a Washington career that spanned 40 years, first as a Navy Senate liaison, then as a member of the House and finally as the occupant of the Senate seat he took over from Barry Goldwater, McCain was a conservative and a foreign policy hawk. But he was not always a reliable Republican vote, and sometimes in a career that stretched into a sixth Senate term, he confounded party leaders with his maverick stands. He defied party orthodoxy to embrace campaign finance reform, and excoriated President George W. Bush’s defense secretary, Donald Rumsfeld, for not taking enough troops to Iraq.

After Obama ended McCain’s second White House race in 2008, the senator blasted the new President’s troop withdrawals from Iraq and Afghanistan, causing critics to carp that he had not yet reconciled the bitterness he felt in defeat. McCain had supported the invasion of Iraq carried out by the Bush administration in 2003, but admitted in his memoir “The Restless Wave” that the rationale, that Saddam Hussein had weapons of mass destruction was wrong.

“The war, with its cost in lives and treasure and security, can’t be judged as anything other than a mistake, a very serious one, and I have to accept my share of the blame for it,” he wrote.

More recently, as death approached, he became a strident critic of Trump, who had once said he didn’t consider the Arizona senator a war hero because he had been captured.

McCain questioned why Trump was solicitous of Vladimir Putin, whom he regarded as an unreformed KGB apparatchik.

In one of his final public acts, he blasted Trump’s cozy summit with the Russian President in July, blasting it as “one of the most disgraceful performances by an American president in memory.”

“The damage inflicted by President Trump’s naiveté, egotism, false equivalence, and sympathy for autocrats is difficult to calculate. But it is clear that the summit in Helsinki was a tragic mistake,” he said in a statement.

In July 2017, McCain returned from brain surgery to the Senate floor to lambaste “bombastic loudmouths” on the television, radio and internet and plead for a return to a more civilized political age, when compromise and regular order forged bipartisan solutions.

Then, in September, in a poignant speech that seemed designed to echo down the ages after he was gone, McCain reminded his colleagues they were a check on executive power: “We are not the President’s subordinates,” he said. “We are his equals.”

In a final act of defiant independence, McCain, with a dramatic thumbs-down gesture on the Senate floor in September, cast the vote that scuttled the GOP’s effort to repeal and replace Obamacare, causing fury within his party — a move that prompted Trump, to the fury of McCain’s family to repeatedly single him out in campaign rallies.

When the President signed McCain’s last legislative triumph in August, the John S. McCain National Defense Authorization Act, he did not even mention the Arizona senator.

‘I wasn’t my own man anymore; I was my country’s’

John Sidney McCain III, the son and grandson of Navy admirals, entered the world on August 29, 1936, in the Panama Canal Zone, a birthplace that years later would cause a brief campaign kerfuffle over whether he was a natural born citizen and thus eligible to be elected president.

His habit of insubordination despite his military pedigree emerged at the Naval Academy, where he graduated fifth from the bottom of his class.

“My superiors didn’t hold me in very high esteem in those days. Their disapproval was measured in the hundreds of miles of extra duty I marched in my time here,” McCain told graduates at Annapolis in October of last year.

By 1967, McCain was in the Pacific and escaped death in a massive fire aboard the USS Forrestal aircraft carrier. Months later, he was shot down in his Skyhawk jet over North Vietnam and parachuted into a lake near Hanoi, breaking both arms and a leg, and was captured by communist soldiers. In captivity, McCain was tortured and beaten, an experience that left him with lifelong injuries, including severely restricted movement of his arms. He kept himself sane by tapping on a wall to communicate with a fellow prisoner in a neighboring cell. Later, he refused the offer of a preferential release, made because his father was an admiral, until his comrades could also come home, eventually returning in 1973 to a nation politically torn by the war.

His period in captivity set the course of his life.

“I fell in love with my country when I was a prisoner in someone else’s,” McCain said in his 2008 Republican National Convention speech.

“I loved it because it was not just a place, but an idea, a cause worth fighting for. I was never the same again; I wasn’t my own man anymore; I was my country’s.”

After turning to politics, McCain served in the House from 1983, won an Arizona US Senate seat in 1986 and established himself as a down-the-line conservative in the age of Ronald Reagan. But his political career almost fizzled before it began when he was among the Keating Five group of senators accused of interfering with regulators in a campaign finance case. He was cleared of wrongdoing, but the Senate Ethics Committee reprimanded him for poor judgment, an experience that led to him becoming a pioneer of campaign finance reform.

He didn’t forget his time in Vietnam.

In an act of reconciliation, McCain joined Democratic Sen. John Kerry of Massachusetts, a fellow decorated Vietnam War veteran, to help end the US trade embargo on its former southeast Asian enemy in a process that led to the eventual reopening of diplomatic relations.

By 2000, McCain set his sights on the White House and ran as a maverick Republican, holding court for hours in candid back-and-forth sessions with reporters on his campaign bus, dubbed the “Straight Talk Express.” In years to come, he would joke that his adoring press pack was his “base.”

After skipping Iowa over his long opposition to ethanol subsidies, McCain forged a victory over establishment favorite and then-Texas Gov. George W. Bush in New Hampshire after a string of town hall meetings with voters.

But his effort hit a brick wall in South Carolina, where the campaign turned negative and McCain’s independent streak hurt him in a state with more core conservatives and fewer independents. Bush got back on track with a primary win that set him on the road to the nomination.

The maverick of the Senate

Back in the Senate, McCain heard the call of war again, as American foreign policy was transformed after the September 11, 2001, terror attacks, and he became a forceful proponent of the US use of force overseas. He backed US interventions in Afghanistan and Iraq. When Americans tired of war, McCain warned that more troops were needed, demanding a surge in forces that Bush later adopted.

When it appeared that his hawkish views were at odds with the electorate and could damage his nascent 2008 presidential bid, McCain answered: “I would rather lose a campaign than a war.”

But, influenced by his experience of torture in Vietnam, McCain was a forceful critic of the enhanced interrogation techniques used by the CIA on terror suspects, believing they were contrary to American values and damaged the US image abroad.

It was a typical example of the Arizona senator adopting a position that appeared antithetical to his political interests or ran counter to the perceived wisdom of his party.

After the Keating Five scandal, he joined a crusade with Democratic Sen. Russ Feingold of Wisconsin to introduce new restrictions on “soft” and corporate money in political campaigns.

Later, McCain teamed up with his great friend, late Massachusetts Democratic Sen. Edward Kennedy on a bill that would provide a path to citizenship for undocumented immigrants. The measure failed, however, over building grassroots antipathy to such a move in the GOP, which would later play a major role in the Trump campaign in the 2016 election.

McCain set his sights on the White House again during Bush’s second term. By 2007, his campaign was all but broke. But he fired up the Straight Talk Express again and pulled off another famous comeback, barnstorming to victory once more in the New Hampshire primary.

This time, he also won South Carolina, and beat a fading Mitt Romney and Rudy Giuliani in Florida before effectively clinching the nomination with a clutch of wins on Super Tuesday.

That November, McCain came up against the historic appeal of a much younger and more eloquent rival, Obama. Mocking the Illinois senator in ads as “the biggest celebrity in the world,” McCain questioned whether his popular foe was ready to lead.

Seeking to rebrand himself in a change election, McCain stunned the political world by picking little-known Sarah Palin as his running mate. The Alaska governor delivered a spellbinding convention speech, and for several weeks it seemed as if McCain’s gamble worked.

But a series of gaffes turned Palin into a figure of ridicule and undercut McCain’s contention that his ticket, and not Obama’s, was best qualified to lead in a dangerous world. McCain, however, would not say that he regretted picking Palin.

But in his new memoir, “The Restless Wave,” and in a separate documentary, McCain said he wished he had ignored the advice of his advisers and listened to his gut and chosen Sen. Joe Lieberman of Connecticut, a Democrat-turned-independent, calling it “another mistake that I made.”

But McCain also rose above the ugliness of the campaign. On one occasion, he cut off a supporter at a town hall event who said she could not trust Obama because she thought he was an Arab, amid conspiracy theories suggesting that the Democrat had not been not born in America.

“No ma’am, he’s a decent family man, citizen, who I just happen to have disagreements with on fundamental issues, and that’s what this campaign is all about,” McCain said.

He dealt with his defeat by throwing himself back into life in the Senate. In later years he described how it felt to lose, telling anyone who asked, “After I lost … I slept like a baby — sleep two hours, wake up and cry.”

But his relationship with Obama was tense, with the President snubbing his former foe in a health care summit in 2010 by telling him “the election’s over.”

The Arizona senator emerged as a fierce critic of Obama’s worldview, prompting Democrats to complain that McCain was the embodiment of a Republican reflex to respond to every global problem with military force, which had led America into misadventures like the war in Iraq.

McCain’s robust foreign policy views were reflected on the walls of his Senate conference room, which featured letters and photos from the likes of Reagan and Margaret Thatcher, leaders who didn’t suffer critics gladly.

Still, McCain was also a throwback, enjoying friendships with rivals across the political aisle, and indulging in the back-slapping bonhomie of the Senate, where he invariably held court to a crowd between votes.

Sometimes things got testy with his Democratic pals, including when he confronted Hillary Clinton and fellow Vietnam War veteran Kerry during hearings of the Senate Armed Services Committee while they served as secretaries of state under Obama.

‘He served his country … and, I hope we could add, honorably’

The Republicans’ recapture of the Senate in the 2014 midterm elections gave McCain a chance to rewrite the final chapter of his career.

He at last took the gavel of the Armed Services Committee, an assignment he had long coveted. His prominent position was seen as one reason he ran for re-election in 2016.

But he knew his time was limited.

“Every single day,” McCain told The New York Times in 2015, “is a day less that I am going to be able to serve in the Senate.”

Still, despite saying he was “older than dirt,” McCain made few concessions to his age. Even after turning 80, he maintained a punishing schedule of world travel, conferring with top leaders and heading to war zones in trips that left his younger congressional colleagues exhausted.

He would blitz Sunday talk shows, direct from Arizona in the dawn hours. When Trump was elected, McCain took it upon himself to reassure world leaders, visiting multiple countries in the first six months of 2017 before his diagnosis.

His sidekick, GOP Sen. Lindsey Graham of South Carolina, told CNN the hectic pace had taken a toll.

“You know he just wore himself out traveling all around the world,” Graham said.

McCain, who was divorced from his first wife, Carol, in 1980, is survived by his wife, Cindy, and seven children, including three sons who continued the family tradition of serving in the armed forces and a daughter, Meghan, who is a presenter on ABC’s “The View.” His mother, Roberta, aged 106, is also still living.

For his military service, he was awarded the Silver Star, the Bronze Star, the Legion of Merit, a Purple Heart and the Distinguished Flying Cross.

He faced his final diagnosis with characteristic courage, telling CNN’s Jake Tapper that “every life has to end one way or another.”

Asked how he wanted to be remembered, McCain said: “He served his country, and not always right — made a lot of mistakes, made a lot of errors — but served his country, and, I hope we could add, honorably.”

McCain, who will be remembered as much for his combative nature as his political achievements, summed up the meaning of a life forged in the example of his political hero Theodore Roosevelt when McCain stood before the flag-draped coffin of his friend and foe, Sen. Kennedy, in 2009.

His late colleague from Massachusetts died from the same form of brain cancer that eventually killed McCain. Both men died on August 25.

“Ted and I shared the sentiment that a fight not joined was a fight not enjoyed.”

CNN’s Dana Bash and Jeff Zeleny contributed to this report.

Vietnam Airlines increases Indonesia flight for football fans

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The Vietnam Airlines have been increasing the number of flights between Vietnam and Indonesia to serve the rising number of football fans who want to watch the quarterfinal match against Syria in the Asian Games.

Vietnam Airlines has opened two new direct flights from Hanoi to Jakarta and one flight from HCM City to Jakarta.

The Hanoi-Jakarta flights will take off at 9.50 am from August 27 and the return trip will be at midnight the next day. The HCM City-Jakarta flight will take off at 11.20 am on August 27 and the return trip will also be at midnight.

Vietnam Airlines will co-operate with several tourism firms in Hanoi, Danang and HCM City to provide a travel package for the fans to fully enjoy the quarterfinal. The package will include flights, match ticket, tour guide and food.

The Vietnam U23 team won 1-0 against Bahrain to reach the quarterfinals of the Asian Games in Indonesia on August 23. Vietnam Airlines sent congratulation to the team and said they would arrange more flights for the football fans to support the team.
The team will play against Syria on August 28.

Nhat Minh report on Dtinews

Higher penalty will be given to delayed and canceled flights

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Stronger sanctions are needed to stop the delay and cancelation of flights, said Minister of Transport Nguyen Van The at a meeting on co-ordinating take-off and landing times, known as slots, held in Ha Noi on Thursday.

The said the delay and cancellation of trips is an urgent problem in society. It’s necessary to develop solutions strong enough to solve this, especially to serve the coming national day, which falls on September 2, New Year and the Lunar New Year holidays.

At the meeting, Director of Civil Aviation Authority of Viet Nam (CAA) Dinh Viet Thang said there are many reasons for the delay and cancelation of flights. Weather causes 17.3 per cent and errors by airlines 63 per cent.

At Tan Son Nhat Airport, the capacity is 50 flights per hour but the airport allocates just 44 flights an hour. The airlines with on-time arrivals and departures for at least 80 per cent of the flights will receive priority to select slots next year.

The requested the transport ministry’s units and agencies study sanctions in a more serious way, issuing clear penalties for every delay and cancellation.

“It’s necessary to invest in the application of technologies and infrastructure to ensure safety for night flights, complete the coordination process at the airports, and clearly define the responsibilities of each section,” said The.

The requested the CAA deploy immediately some solutions and make changes in the quality of services as of October 1 this year, preparing to serve passengers during the upcoming holidays, ensuring they do not have to wait too long at the airports.

According to CAA statistics in the first seven months of this year, the total number of flights operated by four airlines, including Vietnam Airlines, Vietjet Air, Jetstar Pacific and Vasco, is 177,510 flights, of which 26,578 were delayed and canceled.

Source: VNA

 

Regulation on sale promotions might help foreign retailers crush smaller competitors

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Experts have voiced their concern about the capability of Vietnamese retailers, wondering if they can compete with powerful foreign retail groups flocking to Vietnam.

The Decree 81 guiding the implementation of the Commercial Law stipulates that the promotional value can be equal to up to 100 percent of the prices of promotional goods instead of 50 percent as stipulated in the old Decree 37.

Manufacturers and retailers are gearing up to prepare for the huge sale promotion campaign on the occasion of National Day, September 2.

A representative of Saigon Co-op, which holds the largest market share in the south, said on Nguoi Lao dong that the retail systems belonging to Saigon Co-op plan big discount rates for some strategic products. Big C, Lotte Mart and Aeon have also said they have got ready for the campaign.

In the campaign, retailers will, for the first time, be able to offer the discount rate of 100 percent for products.

Experts have applauded the new decision, saying that this will benefit customers because they can buy goods at best products, and benefit retailers and manufacturers as well, because they can apply the most suitable pricing policies to attract customers.

However, the experts warned that the new regulation may pave the way for unhealthy competition. Big retail chains may dump prices to lure customers and then corner the market. As a result, small retail chains will be swallowed by the big ones.

Do Quoc Huy, marketing director of the Vietnamese owned Saigon Co-op, said if enterprises sell products at below cost prices, this will lead to unhealthy competition. Therefore, it is necessary for management agencies to control the input prices of products and apply heavy sanctions to deter violators.

Huy also thinks that in the long term, the regulation on 100 percent promotion value will bring advantages to big retailers.

Saigon Co-op is one of ‘big retailers’, and so is Vinmart. However, there are only several Vietnamese retailers like these. The majority of big players in the market are foreign invested.

The Hanoi Supermarket Association, which has dissolved, once estimated that 50 percent of the retail market share belonged to foreign groups. Some experts believe the real figure was higher.

More and more foreign retailers have flocked to Vietnam recently. They have not only opened hypermarkets and shopping malls, but also small supermarkets and convenience stores.

Vu Vinh Phu, a retail expert, estimates that each sale point in foreign retail chains has revenue 5-7 times higher than Vietnam’s supermarkets. Therefore, once foreign retail chains have the right to raise promotion value, they will have more ‘weapons’ to struggle with Vietnamese ones.

Kim Chi report on VNN

Locals ignore fast food losses

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As fast food giants Lotteria and KFC report losses despite dominating the domestic market, their attractiveness to customers shows no signs of abating.

Giants report business losses

Active in Vietnam since the 1990s with a 26-per-cent annual growth rate, KFC has expanded its scale to 140 stores across the country and holds 60 per cent of Vietnam’s fried chicken market. Lotteria, entering the country since 2004, has also quickly cemented its position holding 60-70 per cent of the hamburger and sandwich market with 220 stores nationwide.

Taking advantage of being fast food pioneers and offering acceptable priced dishes, good service, and clean spaces, KFC and Lotteria have continued to hold their positions in the market, despite new players, including McDonald’s, Jollibee, and Burger King, all competing for customers.

The latest financial reports of KFC and Lotteria recorded revenues of trillions of VND. KFC in 2015 and 2016 reached an average revenue of VND1.2 trillion ($53.1 million) per year with a 10-per-cent gross margin. Lotteria achieved revenues of VND1.46 trillion ($64.6 million) and VND1.3 trillion ($57.52 million) in 2015 and 2016, respectively, with a gross margin of nearly 60 per cent.

According to a 2016 Euromonitor report, the two giants’ business results are unsurprising because the fast food segment ranked second in the Vietnamese food market. However, more surprisingly, both fast food firms reported business losses despite earning huge revenues in Vietnam.

Attributing the problem to rising costs, Lotteria recorded after-tax losses of VND118 billion ($5.2 million) in 2015 and VND135 billion ($5.97 million) in 2016. KFC also recorded an after-tax loss of VND25 billion ($1.1 million) in 2015 and a tiny after-tax profit of VND15 billion ($663,716) in 2016, blaming the high cost of materials imported from its parent company in the US. High costs for selling and importing materials and machines are common reasons behind firms, especially foreign firms, reporting losses. Even global giant Coca Cola has experienced losses attributed to high overheads, despite a 20-year presence in Vietnam.

With the huge revenues as well as hundreds of stores across the country, the two fast food giants’ reports of business losses raise questions about the real causes, and about whether rapidly diversifying fast food options are reducing consumer interest in KFC and Lotteria.

Vietnamese fast food market becomes more dynamic

Over the last 10 years, fast food brands have sprung up across Vietnam. It is very easy to find a fast food store with modern furniture, glass doors, and cool air conditioning. The density of fast food outlets is increasing, not only in the commercial centres and big cities, but also in other provinces. Fast food companies have proactively conducted franchising to open more and more new stores in lucrative sites. In addition, the growing footprint of Vietnamese brands has made the fast food market more dynamic.

VietMac rice burgers, after exploding onto the local market in 2012 but then quickly trading down, now have a presence at 300 out of 600 Vinmart+ stores, Vingroup’s leading retail brand. Besides Vinmart+, its products are available at Shop and Go, Family Mart, Cafe, Fivimart, Aeon, Seika Mart, Minh Hoa Mart, among others.

Besides rice burgers, the proliferation of banh mi store chains such as iBanhmi, Bami Bread, and Banh Mi V+ has become a new fast food wave flooding the domestic market.

With the advantages of reasonable price and traditional taste, which appeal to a large number of Vietnamese people, it is expected that the new players will break the monopoly of the two giants over the next few years to become the first choice for many customers wishing to experience Vietnamese fast food.

In fact, despite Vietnamese fast food’s advantages in competing with street foods, its scale is small compared to experienced giants like KFC and Lotteria. For instance, iBanhmi, Bami Bread, and Banh Mi V+ have 2, 16, and 17 stores, respectively. Undiversified dishes and under three years in the market are the main reasons why domestic fast food chain has not yet taken off in the promising market and is not achieving similar revenues to KFC and Lotteria.

Business losses are unbelievable

VIR has observed that even after 8.00P.M, fast food stores are still crowded with customers, mainly teenagers and families with children. Dieu Linh, a customer waiting in line in one Lotteria store in Van Quan in Hanoi’s Hadong district, told VIR that she had waited for over five minutes but still not ordered.

Due to understanding the tastes of children and teenagers, since entering the Vietnamese market, KFC and Lotteria have targeted middle-income families with children and teenagers, and have received huge interests from these customers for their eye-catching promotions and diversified menues.

32-year-old Hong Hanh from Hanoi’s Dong Da district told VIR, “My two kids are really keen on fried chicken from KFC and Lotteria. When they get high marks in school, or on birthdays, they want to be taken there to eat. I often to queue up to wait for food at these stores, I think they can make large profits.”

Pricing is one of the inevitable factors deciding on the choice of fast food stores. With VND60,000 ($2.65), consumers can enjoy a food and drink set in a clean space and air conditioning in fast food stores, instead of spending at least VND100,000 ($4.42) per person for food in local restaurants and around VND500,000 ($25) per adult in high-end restaurants.

26-year-old Phuong Thao, also from Dong Da district, said, “My colleagues and I often order fast food from KFC and Lotteria for lunch or dinner. The dishes do not really suit my appetite, but the prices are reasonable, the space is clean, and the delivery is good. These stores are rather crowded when we come so I can not imagine how their business experience looses.”

“When studying full day, my classmates and I commonly land in KFC or Lotteria near our university. Each of us spend from VND50,000 ($2.21) for a lunch set of food and drink. They gain a lot of benefits from us,” said Viet Hoang, a student of Hanoi Economy University.

Hoang Oanh and Van Anh report on VIR

40 most valuable brands of Vietnam honoured

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Forbes Vietnam held a ceremony on August 23 to honour the 40 most valuable brands in Vietnam in 2018.

The total value of those companies is estimated at nearly US$8.1 billion, an increase of about 50% compared to the 2017 list. The surge is attributed to the robust growth of Vietnam’s stock market, which drives up the average price-earnings ratio in most sectors.

Consumer good businesses still dominate this year’s list, meanwhile those in the finance-banking sector narrow the gap as more commercial banks list their shares on the stock market.

Dairy giant Vinamilk maintains its top position in the list, with an estimated brand value of US$2.28 billion, much higher than the US$1.7 billion last year. The company is followed by military-run telecom firm Viettel with US$1.39 billion.

State-owned Vietnam Posts and Telecommunications Group (VNPT) takes over third position from Vingroup, Vietnam’s largest real estate company. With a value of US$416 million, VNPT gets its name in the list for the first time.

The other brands in the top ten are the country’s biggest brewery Sabeco (US$393 million), Vinhomes, the residential property arm of Vingroup (US$384 million), Vinaphone, one of Vietnam’s big three mobile operators and belonging to VNPT (US$308 million), Vingroup (US$307.2 million), food and beverage producer Masan Consumer (US$238 million), Vietcombank (US$177.9 million), and tech giant FPT (US$169 million).

Vinhomes and Vinaphone are also newcomers in the list.

Forbes compiled the list by looking at brands’ incomes before and after tax based on their financial reports and data on the stock market.

According to a report on VNA

MobiFone gets new CEO

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MobiFone has named deputy general director Nguyen Dang Nguyen as its new CEO in place of the disgraced Cao Duy Hai.
Hai, 57, was removed last Tuesday for his role in the illegal acquisition of a TV firm in 2016 by the Ministry of Information and Communications, which runs the corporation.

Nguyen also remains deputy general director in charge of technology area.

Hai has also been sacked from the company’s board after being found responsible for “serious violations” in the acquisition of private pay TV firm Audio Visual Global JSC (AVG).

According to the Central Inspection Commission of the Communist Party of Vietnam, Hai had been personally involved in the acquisition and signed many documents in violation of laws to come up with a deal that caused a significant loss to the government.

MobiFone had made headlines in 2016 when it announced it was breaking into the pay TV market with the acquisition of a 95 percent stake in AVG.

But the Government Inspectorate concluded the deal, which had not been approved by the government, had violated investment laws and caused an estimated VND7 trillion ($307 million) loss to the government.

In a report on the deal last March inspectors said MobiFone had committed multiple violations in proposing the deal and AVG’s valuation.

The ministry and MobiFone were responsible for the serious violations of the laws in assessing, approving and going ahead with the deal, the inspectorate said.

MobiFone’s after tax profit dropped 26 percent year-on-year to VND1.95 trillion ($86.6 million) in the first half of this year as revenues fell 8 percent to VND14.7 trillion ($653.3 million).

But the country’s third largest telco has said with the new CEO taking over it expects to achieve the full year’s financial targets.

Nguyen Ha report on Vnexpress

How ‘heritage players’ are helping Vietnam build a basketball culture

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Few things capture ‘history’ like the difference between one generation and the next. Years ago, these athletes’ parents fled Vietnam. But for their basketball-loving sons, it offers the chance to live out a dream.

One day in 1980, a teenager named Nelson Nguyen left home in Da Nang, Vietnam.

He got onto a barge with hundreds of others fleeing their war-torn country, and disembarked at a Hong Kong refugee camp after three days at sea. It took two more months before he could send his parents a telegram to tell them he was alive. From Hong Kong he went to Washington, D.C., and then to southern California, where he raised a son who loved basketball.

Horace Nguyen grew up watching Kobe Bryant lead the Los Angeles Lakers to five championships. Nelson set up a hoop at home and cheered as his son played for the local rec league and travel teams, then his high school and university. As graduation approached in the spring of 2016, Horace doubted he would make a professional team – but he didn’t want to give up on his dream.

Then he heard that the Vietnam Basketball Association, the country’s first major pro league, was holding tryouts in Los Angeles ahead of its inaugural season. A few months later, Horace was flying to join the Da Nang Dragons, in a coastal city not wholly unlike L.A.: miles of palm tree-lined beaches, bright tropical sunshine, and an increasing number of sleek high-rises.

Horace Nguyen – Danang Dragon’s Guard

“When I came over to join the VBA, on both my mom and dad’s side [of the family] it was their first time watching basketball,” Horace said. “And now they’re in love.”

Basketball is becoming big business in Vietnam – and an experiment in building a sports culture essentially from scratch. Key to its sales pitch are so-called heritage players like Horace: a dozen VBA athletes who grew up outside Vietnam, mostly in the United States, and have at least one Vietnamese parent or grandparent. Many are children of refugees. Today, they’re often star players in a league whose existence underscores Vietnam’s transformation in a single generation, from war-torn and isolated to booming and internationalized.

Horace, who at 5’10” led the VBA in three-point field goals in 2016 and 2017, has become a familiar face of the Da Nang Dragons. (For part of the year, he plays for the Saigon Heat in the Association of Southeast Asian Nations (ASEAN) Basketball League, as well.) A fluent Vietnamese speaker, he helps local players connect with American teammates and coaches, and spends spare time with his grandparents and aunts. In Facebook posts, he writes that he’s playing “for the hometown.”

“When I’m putting on my jersey and playing for my team, it’s also playing for the city and my family,” he says.

Playing to prove

“Let’s go Warriors, let’s go!” chants a crowd wearing the Thang Long Warriors’ signature red. The Dragons have flown to Hanoi to play the Warriors, the capital city’s second team, and the gymnasium is packed. Dancers perform between quarters, and fans grasp for t-shirts hurled into the stands. When the game ends with a victory for the Warriors, 93-79, balloons rain down to the tune of DJ Khaled’s “All I Do is Win,” and fans flood the court for pictures and autographs.

All of this – a sports event as flashy entertainment from beginning to end – arrived in Vietnam with the Saigon Heat in 2011. Previous national basketball tournaments drew few spectators, and Vietnam’s soccer crowds, while often huge and energetic, are generally focused on the field.

A sports-entertainment company, the XLE Group, established the team to compete in the ASEAN Basketball League, founded in 2009, and to help lay the groundwork for the VBA. XLE Group founder Connor Nguyen, who was born in Vietnam and grew up in Kansas, says the company viewed fast-developing Vietnam as increasingly likely to embrace new entertainment trends.

Connor Nguyen – Founder of XLE Group

“We had to attract a lot of people to come to the game and learn basketball along the way,” says Connor. Rather than recruit talent with no ties to Vietnam, they searched for heritage players, hoping potential fans would identify with them.

Da Nang Dragons assistant coach and interpreter Nguyen Khoa Cap, who grew up playing basketball in the Mekong Delta, the rice bowl of Vietnam, says many people think of the game as a “royal sport” that requires expensive equipment to succeed. Some assume Vietnamese players were too short to be good. But the heritage players’ dynamic playing style proves that isn’t true, says Mr. Cap, who, like many Vietnamese, prefers to be referred to by his given name.

In Hanoi, as the Dragons vs. Warriors game begins, Nguyen Anh Quan’s 9-year-old son is among the young players escorting the pros onto the court. When Mr. Quan was growing up, basketball wasn’t popular, he says, but now kids learn it at school – and he and many other parents encourage them to practice, hoping it will help their children get taller.

Rules of the road

Heritage players feel cultural differences on the court and off. Because fans’ preferences haven’t yet solidified into rivalries, for example, they tend to cheer for both teams, creating what Horace calls the best atmosphere he’s ever played in.

“The fans will literally cheer about everything. Even if you’re at a home game and the other team scores they’ll cheer, or like on a dead ball where the ref called a foul already and the guy scores,” Horace says. “You can see the love and joy while they’re watching. It’s super intense, it’s nerve-wracking.”

Traffic and road rules were a shock to many foreign players: to the uninitiated, crossing the street safely amid Vietnam’s swarms of motorbikes can appear as miraculous as parting the Red Sea – and Dragons player Chris Dierker, a Michigander whose mother was born in Da Nang, crashed the first time he tried to drive one. The VBA plays other cultural differences for light-hearted laughs, inviting foreign players to eat traditional foods in a series of YouTube videos called Just Try It. They enjoy noodle dishes and sticky rice with banana, but pinch their noses as they sniff durian, reputed to be the world’s smelliest fruit, and leap from their chairs when presented with a bowl of wriggling coconut larvae.

In many ways, however, life in Vietnam is similar to life in the US. When Horace was a kid, he spent family trips to Vietnam mourning the absence of McDonald’s. But the Golden Arches opened in Ho Chi Minh City in 2014. Zach Allmon, a so-called import player for the Dragons (each team is allowed one athlete with no Vietnamese heritage), says he gets questions from home about culture shock. His response? “Man, I’m sitting in Starbucks, listening to Taylor Swift on the radio, a Range Rover is driving by. I’m in southern California.”

For some parents of heritage players, however, painful family memories shadowed their sons’ decisions to come here.

Warriors guard Mr. Le’s parents were among the roughly 2 million refugees who left in the two decades after the fall of Saigon (today, Ho Chi Minh City). They spent several years in a refugee camp in Thailand, where they met, before getting paired with a Canadian sponsor. Before Mr. Le moved to Ho Chi Minh City, he’d never been to their home country. His parents weren’t happy with the idea, but to their son, Vietnam meant opportunity, not turmoil.

“I wasn’t thinking about their history at all,” he says. “I was more focused on trying to become a professional athlete.”

When Horace told his parents he wanted to try out for the VBA, they asked if he was sure. The war, he says, “was a scar to them.” Now, though, they’re glad.

“They always joke around, especially my dad,” Horace says. “‘I fled the country for the betterment of my life and my kids’ lives and now you want to go back to Vietnam to play basketball.’ ”

Inspiring the next

On a summer Saturday, Horace is at Da Nang’s Basketball Development Center, teaching 40 kids to dribble around cones he’s set up on the floor. Though the Center is independent of the VBA, the Dragons frequently help out – one of many ways the league is turning its popularity into more players.

The XLE Group aims to introduce basketball programming to 25,000 Vietnamese schools through a partnership with the National Basketball Association, says Connor. The NBA’s second-biggest market is next door, in China, and it aims to replicate that success in Southeast Asia. Jim Wong, who oversees youth programming in Asia, says the NBA hopes to reach up to 10 million Vietnamese kids in the next decade. But since the American league is still relatively little-watched here, Nguyen and Wong agree role models will most likely come from the VBA.

After the kids’ clinic, it’s time for team practice in an unairconditioned military gym a few kilometers away. “Be healthy to build and defend the fatherland,” a banner exhorts – referencing the call by Ho Chi Minh, founding father of Vietnam’s ruling Communist Party.

As the Dragons work out, three teenagers wander in through an open door. They play for their school’s basketball team, visit every new court in Da Nang, and come to the gym almost every day to watch the Dragons practice. Pham Quoc Thai, 15, wears an orange Da Nang Dragons backpack and stands with his hands on his hips as he surveys the court.

“They are professionals,” Thai says. “It’s like we’re watching the NBA.” He praises Horace’s three-pointers and team leadership before heading outside. The soccer stadium next door is full of people cheering for a match, but Thai and his friends head for the basketball court.

According to a report on csmonitor

Hanoi learns from Yokahama to fix sewage woes

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A downpour which brings about 50-100mm of water during a two-hour period likely causes flooding in at least 15 areas in the city, said director of the city’s Department of Agriculture and Rural Development Chu Phu My.

“Flooding occurred because of high density of construction in the city’s inner districts and an improperly-managed sewage system, with pumping stations in the city unable to meet drainage demand during heavy rain,” My said.

In a workshop on sewage and wastewater treatment technology held in Hanoi yesterday, vice director of the city’s Department of Construction Hoang Cao Thang said that the seven wastewater treatment stations operating in the city could deal with about 270,000cu.m daily, meeting just 22 per cent of the city’s wastewater treatment demand.

According to the construction department, the city faced other problems relating to water drainage and wastewater treatment such as polluted surface water of rivers and lake, a lack of atlas data on drainage systems and wastewater treatment.

The sewage system in the city crosses other underground works like electricity/tap water and telecommunication services.

Mud dredged from wastewater treatment plants, sewers and lakes and rivers’ beds was all dumped, harming the environment.

Thang said that for years, Hanoi has called for investment for its sewage and wastewater treatment, especially via official development assistance (ODA) or Public-Private Partnership (PPP) investment projects.

In this area, he said, Japan was a partner that helped the city much.

Japan’s ODA was spent on projects including Yen Xa wastewater treatment plant and a garbage collection system in Thanh Tri District, a water drainage system in the To Lich River basin, embankments along the To Lich, Lu, Set and Kim Nguu rivers as well as sewers in the inner city.

Between 2013 and 2015, the city’s Department of Construction and Japan’s Department of Innovation Management and Environmental Sciences of Yokohama City joined the first phase of a project improving capacity building for sewage management in Hanoi.

Under this phase, Japan’s Yokohama Water Ltd Company under Yokohama City Waterworks Bureau assisted Hanoi to improve capacity to deal with mud waste, identify problems relating to mud treatment and introduce advanced technology to tackle them.

The project’s second phase commenced last December and is expected to conclude in March, 2020 with total investment of about 60 million JPY (US$541,300).

It will cover the operation and maintenance of pilot wastewater treatment plants, mud treatment, mitigation of losses from floods in pilot areas and organisation of seminars with the co-operation of member firms from the Yokohama water enterprises’ association.

Ha Thanh Tung, head of the project, said the project will also help Hanoi develop effective mud treatment plans and solutions to mitigate damage caused by flooding.

The city is also recommended to develop a Geographic Information System map database on its sewage to provide an overview of its sewage system and then.

Nomura Norikiko, head of Department of Innovation Management and Environmental Sciences of Yokohama City, said Yokohama was one of few cities in the world that developed its sewage system quickly since the 1970s to improve living conditions.

“Green space and lake/river with clean water are evidences for our success in managing environment,” he said.

“Synchronised actions are needed to create good environment as well as to protect residents in cases of natural disasters, for example heavy rains,” he said, adding that sustainable urban management required co-operation among government, organisations, businesses and schools.

According to a report on VNS

Cai luong shows feature youngsters

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The Tam Nho Cai Luong Club (reformed opera), a newly opened private art troupe in HCM City, will offer a new show featuring young artists this Saturday.

The event, Dem Tam Nho (Night of Little Silkworm), will stage popular excerpts from historical plays directed by Chi Linh.

Young talents Chi Linh, Van Ha, Kim Thoa and Thuy My, students at HCM City University of Theatre & Cinematography, play the leading roles.

Minh Truong, winner of Chuong Vang Vong Co (Golden Bell) Awards 2014 presented by HCM Television, will perform in excerpts highlighting national heroes.

“Our performance highlights patriotism and loyalty. The plays feature very old stories but will be staged in a new style to meet the demand of young people,” said the show’s art director Linh.

According to Linh, free outdoor shows at rural cultural houses of Can Gio, Binh Chanh, Nha Be, Cu Chi and Hoc Mon will also be planned.

“We face difficulties in offering a stable income to our staff. However, we love to entertain rural people,” he said.

The first show of Dem Tam Nho will open at 8pm at the HCM City Drama Theatre, 30 Tran Hung Dao Street, District 1, on Saturday.

Young actor Bao Khanh and his colleagues will stage a live show at only VND50,000 ($2.1) for students.

He will perform extracts from popular operas like Than Nu Dang Ngu Linh Ky (Goddess offers Magical Flag) and Mong Hoa Vuong (A Dream of Thrones), which are about love and women.

He will sing with support from Binh Tinh, Hoang Dang and Cong Minh, who work for leading cai luong theatres in HCM City and southern provinces.

The show will be staged at the Tran Huu Trang Cai Luong Theatre, 136 Tran Hung Dao Street, District 1, on August 31.

According to a report on VNS

Consumer credit: hundreds of lenders, thousands of debtors

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Vietnamese are increasingly borrowing money to spend on consumer goods as consumer loans had reached $5 billion by the end of 2017.

The high demand for consumer credit has prompted more and more investors to set up finance companies. The Cement Finance JSC has changed its name to VietCredit Finance Company, while EVN Finance has begun recruiting workers in large numbers to prepare for the operation.

SeABank has announced the purchase of the entire capital contribution by VNPT at VNPT Finance. SHB at the 2018 shareholders’ meeting stated it will soon implement the plan on building a finance company of its own.

Shinhan Bank has made its presence in the market by taking over Prudential Finance at $151 million. Lotte from South Korea has wrapped up the deal of taking over Techcom Finance at VND1.7 trillion.

Reports all show that finance companies have been expanding their business as they are encouraged by fat profits. FE Credit reported revenue up by 45 percent and profit up by 55 percent in 2017 compared with the year before.

Meanwhile, Home Credit’s revenue in 2017 increased by 50 percent.

Even Mcredit, a joint venture of Military Bank and Shinsei Bank, which just joined the market last year, also reported profits in the first year of operation.

Regarding the market scale, a report of the National Finance Supervision Council (NFSC) showed that the consumer credit in 2017 increased by 65 percent, much higher than the 50.2 percent increase of the year before.

Consumer credit now accounts for 18 percent of total outstanding loans, higher than the 12.3 percent of one year before.

It is estimated that the consumer credit market is valued at VND1,100 trillion, or $48.5 billion. However, if excluding the large loans provided to fund some house purchases, consumer credit for individual borrowers is valued at VND90 trillion, or $5 billion only.

Even with $5 billion, the consumer credit market is also very attractive. According to StoxPlus, about 48 percent of population with low income of less than $300 a month could be potential clients of consumer credit companies.

Analysts noted that in the last two years, some finance companies have begun pushing up lending via credit cards. The revenue from credit cards amounts to 2.8 percent of total consumer credit, which shows the great potential of the market segment, according to StoxPlus.

Some finance companies said they will focus on developing their own ecosystems. Mcredit, for example, is providing lending packages for purchase of motorbikes and home appliances by instalment, applied to soldiers in active service.

Mcredit mostly targets individual clients who are working in enterprises with which the Military Bank has relations.

According to a report  on Vietnamnet

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