Bureau Chief, Vietnam
John's Feed
Jun 27, 2011

Inflation, high rates batter Vietnam’s small businesses

HANOI, June 27 (Reuters) – As Vietnam fights to beat back
raging inflation, many of its small and mid-sized businesses –
disadvantaged even in good times — are struggling to survive
the battle.
    Just ask Ngo Thi Bau, general director of Nguyen Tam Foci
Garment Co Ltd, which a Vietnamese consumer magazine for years
dubbed one of Vietnam’s 100 strongest brands.
    This year, plunging revenue has led Bau to lay off 60
percent of her Ho Chi Minh City-based firm’s 400 workers. Her
business has been battered by sharply higher consumer prices and
the sky-high interest rates — up to 20 percent — that
borrowers now face.

“It’s impossible to make a profit in manufacturing,” said
Bau.

Jun 19, 2011

Vietnamese demonstrate against China for third weekend

HANOI, June 19 (Reuters) – Several dozen Vietnamese
protested in front of the Chinese embassy and marched through
Hanoi for the third Sunday running after Beijing sent one of its
biggest maritime patrol ships into the disputed waters of the
South China Sea.

The demonstration comes amid the biggest flare-up in tension
in years over competing sovereignty claims in the sea, home to
key shipping lanes and fisheries and potentially large deposits
of oil and gas.

Jun 14, 2011

ADB sees room for Vietnam rate hike as inflation set to slow

HANOI, June 14 (Reuters) – The Asian Development Bank sees a
bit of room left for policy rate hikes in Vietnam, but expects
monthly inflation to start to come down this month and
double-digit annual inflation to begin to ease in August.

Vietnam has been grappling with some of the highest
inflation in the world. It has ratcheted up key interest rates
since late last year and pledged a raft of other measures,
including lower credit and money supply growth and fiscal
tightening.

Jun 13, 2011

Vietnam to hold navy drills, says China upsets stability

HANOI, June 13 (Reuters) – Vietnam’s navy was due to hold
live-fire drills off the central coast on Monday but a senior
naval source sought to downplay the exercises to avoid
exacerbating escalating tensions with China over territorial
disputes in the South China Sea.

China and Vietnam have hurled accusations at each other for
weeks over what each sees as intrusions into its territorial
waters by the other in a swath of ocean crossed by key shipping
lanes and thought to hold large deposits of oil and gas.

Jun 12, 2011

Vietnam allows second anti-China protest in Hanoi

HANOI (Reuters) – Vietnamese authorities tolerated a second day of anti-China protests in the capital on Sunday as more than 100 people demonstrated against what they see as bullying behavior by Beijing in an escalating dispute over maritime territory.

In a park in front of the Chinese Embassy the demonstrators waved flags, sang patriotic songs and chanted “Down with China!” and “The Spratlys and Paracels belong to Vietnam,” referring to archipelagos in the South China Sea.

Jun 11, 2011

Vietnam welcomes international help as sea dispute escalates

HANOI (Reuters) – Vietnam said on Saturday live-fire naval drills scheduled for Monday were “routine” and said it would welcome efforts by the international community, including the United States, to help resolve disputes in the South China Sea.

Tensions in the region have risen in the past two weeks, with China and Vietnam trading accusations of violating sovereignty in the Sea, home to important shipping lanes and potentially large oil and gas reserves.

Jun 9, 2011

Vietnam eyes more rate hikes as IMF urges tougher inflation stance

HA TINH, Vietnam, June 9 (Reuters) – Vietnam must raise
interest rates further if high inflation persists, a central
bank official said on Thursday, as the International Monetary
Fund urged Hanoi to take a tougher stance against soaring
prices.

Confidence in the government’s policies was “fragile”, the
IMF said, and it was essential that the government send “a
strong signal” that it will remain committed to macro-economy
stabilising measures beyond 2011.

Jun 9, 2011

IMF says Vietnam needs further interest rate hikes

HA TINH, Vietnam, June 9 (Reuters) – Vietnam’s economy faces
“significant challenges” and authorities need to raise policy
interest rates further to cope with an upward trend in
inflation, the International Monetary Fund said on Thursday.

The government should also do more to reduce the fiscal
deficit in support of tighter monetary policy, the Fund said in
a statement at a donors’ meeting with the government in Vietnam.

Jun 9, 2011

IMF says Vietnam needs further policy rate hikes

HA TINH, Vietnam, June 9 (Reuters) – Vietnam’s economy faces
“significant challenges” and authorities need to raise policy
interest rates further to cope with an upward trend in
inflation, the International Monetary Fund said on Thursday.

The government could also do more to reduce the fiscal
deficit in support of tighter monetary policy, the Fund said in
a statement at a donors’ meeting with government in Vietnam.

Jun 4, 2011
via Global News Journal

Party wins big in Vietnam, but with a few twists

Photo

As has happened every few years since the mid-1940s Vietnam’s Communists won parliamentary elections last month by a landslide, claiming 91.6 percent of the chamber’s 500 seats, officials announced on Friday. No surprises there. The Communist Party has a constitutionally-mandated monopoly on power.

We noted in a story on election day that the vote was rigged to retain party control although the outcome would allow for the legislature’s role in policymaking to continue to grow incrementally.