Vietnam 20241031: Verdant, Stoic, Lush

Mekong Memo Vietnam Weekly: Business, politics, finance, trade & legal news.

Business stories from Southeast Asia directly to your inbox.

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Headlines:

Emirates Expands Vietnam Connections

Digital Banking Revolution Picks Up Steam

Market Gains Despite Foreign Selling

Trade Surplus with Philippines Hits Record

Railway Investment Opportunities Open Up

Saudi Aramco Eyes Vietnamese Energy Market

HCMC Land Prices Set New Records

Democracy Activist Faces Prison Term

Retirement Plans Shift

Japanese Long-Term Investment M&A in Focus

Expressway to Cambodian Border by 2030

Rising Power Costs and New Capacity Plans

Alcohol Leads to 40k+ Deaths Annually

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Emirates Expands Vietnam Connections

Emirates has signed agreements with Vietnam Airlines and VietJet to improve connectivity between Dubai and Vietnamese cities Ho Chi Minh City and Hanoi. The memorandums of understanding were signed at the Vietnam-UAE Business Forum in Dubai, with Emirates looking to expand codeshare partnerships and offer more travel options. The deals are a new phase in Emirates' commitment to Vietnam, a market it has served since 2012.

Read more: TTR Weekly (Partnership Details), Asian Aviation (Aviation News), Travel Daily News (Commercial Cooperation)

Digital Banking Revolution Picks Up Steam

Smart banking is evolving into a strategy for sustainable development in Vietnam, with digital transactions now accounting for over 90% of all banking activity. More than four fifths of Vietnamese adults have payment accounts, and commercial banks report digital channel usage rates of 97-98%. The State Bank of Vietnam says there is a need for better security measures as banks connect with external systems. Fintech companies are emerging as important capital providers for small enterprises that struggle to access traditional bank loans due to collateral requirements.

Read more: Vietnam News (Digital Banking), Vietnam News (Fintech Growth)

Market Gains Despite Foreign Selling

The VN-Index rose 0.56% to 1,261.78 points, its second consecutive gain with improved liquidity. Trading volume on the Ho Chi Minh Stock Exchange reached VNĐ18.8 trillion, up 74% from the previous session. Foreign investors continued their selling streak for a fourth consecutive session, with net sales exceeding VNĐ5.2 trillion on the HoSE.

Read more: Vietnam News

Trade Surplus with Philippines Hits Record

Vietnam's bilateral trade with the Philippines is set to exceed $8 billion in 2024, generating a trade surplus over $3 billion. Exports to the Philippines grew 20.7% in the first nine months, with rice exports up 53% to $1.98 billion. Other strong performers include steel products (120% growth), cameras (71%), and electronic components (64%).

Read more: VIR