Henig: Top 10 FDI attractors in first two months
06:15 | 04/03/2023
(VEN) – According to the Ministry of Planning and Investment, in the first two months of 2023, Vietnam attracted foreign investment in 39 provinces and cities nationwide.
Bac Giang Province topped the list with registered capital exceeding US$824.3 million, accounting for 26.6 percent of the total and up 8.4 times compared with the same period last year.
Ho Chi Minh City ranked second with 103 new projects with total registered capital of more than US$369.1 million, accounting for 11.9 percent of the total. In third position was Binh Duong Province with about US$342.06 million.
Other provinces on the top-10 list include Quang Ninh, Dong Nai, Hai Phong, Bac Ninh, Ba Ria-Vung Tau, Hung Yen and Tay Ninh. Tay Ninh Province came in last with US$81.13 million in foreign investment.
Viet Anh LINK
Henig Credit crunch burdens real estate market
06:00 | 03/03/2023
(VEN) – Credit plays a major role in the recovery of the real estate market, but in light of major debts, experts are advising that capital be provided only for reliable projects.
Huge real estate debts
According to data compiled by the State Bank of Vietnam’s (SBV) Department of Credit for Economic Sectors, the outstanding loan balance for real estate businesses amounted to VND825 trillion in 2022, the vast majority for urban area construction and housing development projects.
Meanwhile, Hanoi Stock Exchange data show that the individual bond balance of real estate businesses reached about VND419 trillion late last year. This means that real estate businesses raised a total of VND1.24 quadrillion from credit institutions and through bond issuance in 2022 – but by the end the year, many had accumulated debts to the tune of 4-5 times their equity capital.
According to some economists, capital flowed smoothly and continuously from banks (credit institutions) and individuals (bond buyers) to businesses in recent years, but since the second half of 2022, the capital flow stopped. The other two capital mobilization channels – securities market and bonds – have not made up the credit shortfall, leaving property businesses thirsty for capital.
At a recent real estate credit conference, bank representatives rejected a series of proposals on debt structure and easing of credit access conditions, among others by real estate enterprises. SBV Governor Nguyen Thi Hong even affirmed that the central bank would strengthen inspection of banks that lend capital to their backyard businesses, corporations and projects.
Speaking at the conference, economist Associate Professor Dinh Trong Thinh said asking banks to rescue real estate businesses is highly risky for the whole banking system, as banks must comply with risk management standards to protect their interests, shareholders and depositors.
Dr. Le Xuan Nghia from the National Financial and Monetary Policy Advisory Council said credit plays a big role in the recovery of the real estate market, but capital should only be poured into good projects with major recovery potential.
Credit is crucial for the current real estate market but although it does not advocate credit tightening, the banking industry must be cautious to avoid safety risks.
The SBV chief said real estate solutions should be offered by all ministries, sectors and localities working together with the State Bank.
Economists said real estate businesses need to restructure product/project segments and focus on low-cost commercial housing projects, and housing serving real housing needs.
Associate Professor Thinh said real estate businesses need to cut prices and make them affordable to more buyers, enter joint ventures to find additional capital sources for projects that are about to be completed, and negotiate with bondholders to extend bond debt payment.
Sharing the same opinion, financial expert Dinh The Hien affirmed that no one can support the market when it is in recession, and real estate businesses can recover only when supply meets demand.
From December 12-15, 2022, the Prime Minister signed four public notices on credit promotion, corporate bonds, solving real estate market problems and easing labor force difficulties. The Government formed a working group to ease difficulties for the real estate market, with the participation of ministries and sectors, and held a nationwide online conference on real estate market development.
Ngan Thuong LINK
Breitling One of the gentlemen I’ve known since I was a teenager worked putting out reports for…companies that invest based on policy. They don’t sit out the market and wait for something to happen. If a policy goes in…they follow that and they invest in it. How do you think senators congressmen get so rich? It’s though policy. They know where the next big thing is coming from. Anyways…I’ve talked to these guys about it [the dinar over the years]. It’s not that they didn’t believe in it, there was other investments in their mind that had less of a risk. [Post 1 of 2….stay tuned]
Breitling A couple days ago I get a call from one of these guys and he’s like ‘Hey, you still into this IQD thing?’…I’m like, ‘Yeah, I watch it and follow that stuff.’ He goes, ‘Cool, I just bought a ton of dinar.‘ He started telling me the strategy that Iraq had…Very very good news. We’re at a different place today. Sort of hit that reset button. Iraq is on a completely different strategy. I’m excited. The information I got was cool but I’m excited because this is genius what they’re doing and how they’re doing it. Hang in there. Be happy. [Post 2 of 2]
MARKETS A LOOK AHEAD: Important Updates. Markets, Economy, MORE!
Greg Mannarino: 3-5-2023
Stocks to crash 30% in 2023, only these equities will thrive – Pierre Lassonde
Kitco News: 3-4-2023
The stock market is poised to crash 30% in 2023 as the U.S. enters a ‘significant’ recession, according to Pierre Lassonde, Chairman Emeritus of Franco-Nevada and CEO of Firelight Investments.
Lassonde claims that inflation will hit 10% by 2026, and that he is positioning himself with gold, silver, and commodities — including copper, which he forecasts will hit $7 by 2028.
He also discusses his gold forecast, de-dollarization, and gold mining stock picks with Michelle Makori, Lead Anchor and Editor-in-Chief at Kitco News.