Vietnam Industrial Production Rises 5.9% y/y in January
Vietnam’s index of industrial production (IIP) has increased 5.9% year-on-year in January, driven up by an 8.2% expansion of the manufacturing and processing sector, according to the General Statistics Office (GSO).
The IIP growth in the month was 20.6% in Thai Nguyen, 14.4% in Hanoi, 8.2% in Ho Chi Minh City, and 8% in Binh Duong, among the largest manufacturing hubs in the country.
Vietnam Retail Sales, Services Revenue Climbs 3.5% m/m ahead of Tet Holiday
Retail sales and services revenue in Vietnam was estimated at 297.7 trillion dong ($13.3 billion) in January, rising 3.5% from December 2015 and 11.7% from a year earlier, GSO data showed.
Of the amount, retail sales increased 4.1% month-on-month and 12% year-on-year in the month, as the Tet Holiday falls in early February.
Vietnam Allows GrabCar to Pilot Contract Project
The Vietnamese government has allowed Malaysia’s GrabTaxi to apply connection services to contract based passenger cars with fewer than nine seats in the country this month under a pilot project, the Thanh Nien newspaper reported.
Under the project, called GrabCar, GrabTaxi will “regularly report the list of transportation entities and vehicles” that use its ride-hailing app to help the authorities “manage tax payment and other regulatory responsibilities,” according to a press release.
U.S. Remains Vietnam’s Largest Export Market
The U.S. stayed firm as Vietnam’s largest export market in January, with $3.1 billion worth of Made-in-Vietnam goods shipped to that market, rising 17.3% year-on-year.
The runners-up were the EU with $2.7 billion, China with $1.7 billion, ASEAN with $1.5 billion, Japan with $1.3 billion and South Korea with $750 million.
More Industrial Parks to Come Online in Binh Duong
Prime Minister Nguyen Tan Dung
has approved to plan to develop industrial parks (IPs) in the southern province of Binh Duong, under which thousands of hectares will be added.
The 600-ha Binh Duong Riverside ISC, 200-ha Tan Lap I, 1,000-ha VSIP III and 500-ha Vinh Lap IPs will be added to the national IP zoning plan by 2020. In addition, three IPs will be expanded.
Vietnam Dong Firmer against U.S. Dollar
The U.S. dollar has been weakening against the Vietnamese dong over the past few days as the Fed hinted a delay in raising interest rates.
Vietcombank quoted the greenback at 22,230-22,300 dong a U.S. dollar, down 60 dong from Wednesday. This is the lowest price of the greenback since October 12, 2015.
As many as 13,794 businesses in Vietnam suspended operation and shut down in January 2016, up 28% from a year earlier, as firms usually close down at the start of a fiscal year [January 1], according to the General Statistics Office (GSO).
Meanwhile, as many as 8,320 businesses were granted licenses for establishment in the month, representing a 21.2% year-on-year rise. Their registered capital soared 87% to 59.3 trillion dong ($2.65 billion).
Vietnam imported some 7,000 completely-built unit automobiles worth $175 million in January 2016, down 50% in volume and 55.9% in value from December 2015, according to the GSO.
The ruling Communist Party of Vietnam (CPV) on January 28 announced the list of the new 19-member Politburo, comprising the highest-ranking officials of the country.
The Politburo is headed by incumbent Nguyen Phu Trong
, 72, who has been re-elected as party chief for his second term.
Strong increases in tourists from South Korea, China and European countries helped the international arrivals rebound in January, according to GSO data.
International tourist arrivals to Vietnam reached 805,100 in January, representing increases of 5.8% from December 2015 and 12.3% from a year earlier.
Vietnam posted a state budget deficit of 11.4 trillion dong (roughly $509 million) in the between January 1 and 15, the GSO reported.
During the first half of January, the country collected 35.5 trillion dong ($1.58 billion) for state coffers, or 3.5% of the year’s plan.
Meanwhile, state budget expenditures totaled 46.9 trillion dong ($2.08 billion). Of the sum, 7.5 trillion dong ($334.8 million) was spent on investment, 33.3 trillion dong ($1.48 million) on regular spending and six trillion dong ($267.86 million) on repaying debts and aids.