WEEKLY NEWS HIGHLIGHTS 11– 20 May 2019
Macroeconomics
Opportunity of Vietnam in America – China trade war Tensions have been rising in the trade war between America and China when America applied tariffs of 25% on $200 billion worth of products from China on May 10. This has caused a negative impact on China. According to Dr. Tran Toan Thang, National Center for Socio-economic Information and Forecast, Ministry of Planning and Investment, “The America and China trade war have created good opportunities of investment and trade for Vietnam as the investment capital will likely leave China for Vietnam”. According to the General Statistic Office, total registered investment capital reached $7.45 Billion in the first 4 months, increased by 28.6% compared with the same period in 2018. Foreign Direct Investment (FDI) reached $5.7 Billion in the first 4 months, increased by 7.5% compared with the same period in 2018. In addition, total contributed capital in the first 4 months reached $7.14 Billion, 3.2 times as high as the same period in 2018. Specifically, the manufacturing sector attracted the most FDI with total newly registered capital reaching $3,95 Billion which account for 74,1%. For more information: LE QUOC HUNG Managing Director Mob: +84 906 787 134 Email: quochung@vietvalues.com.vn
NGUYEN VAN TUAN Financial Analyst Mob: +84 905 873 099 Email: nguyentuan@vietvalues.com.vn
Real Estate
Vietnam real estate investment trend in 2019 forum At the event on May 16, according to Mr. Nguyen Tran Nam, Chairman of Vietnam Real Estate Association, there was huge demand for real estate and solvency of customer was very good. However, the supply has declined in recent times, especially in the two largest cities, Hanoi and Ho Chi Minh City because projects have been stopped for inspection. In addition, the People’s Committee have restricted granting of licenses to new projects and credit for real estate investors has been tightened. Recently, investment capital has remarkably flowed to coastal areas such as Mui Ne, Van Don, Da Nang, Phu Quoc, of which condotel has attracted the most customers.
According to Mr. Matthew Powell, Director of Savills Hanoi, the Vietnam real estate market is highly rated. In particular, the industrial real estate attracted more customers, as indicated by the increasing FDI flow to the manufacturing sector. Besides, investment in hotel also attracted foreign investors. Vietvalues Appraisal and Consultant Ltd Company | Suite 1202, Citilight Tower, 45 Vo Thi Sau, District1, HCMC | +84 (28) 3820.6616