Vietnam 20250731
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Headlines:
Banks Team Up to Fight Fraud
CIMB Bets Big on Digital in Southeast Asia
Canny Moves to Soften the Trade Hit Blow
Vietnam Wants More from the U.S.
Expect 7% Growth Next Year
EU-Vietnam Trade Takes Off
Green Energy Boom Hits
Nuclear Power Makes a Comeback
NDAChain for Data Protection / Digital Money
Air Cargo Gets a Boost with Long Thanh
Korean Money Floods In
Hanoi Turning Into a Dental Tourism Hot Spot
Banks Team Up to Fight Fraud
Vietnamese banks are being told by the State Bank of Vietnam to join forces on a shared anti-fraud system. Financial institutions are going to be required to have full verification protocols, including biometric data, in place to allow some kinds of transactions. The Vietnam Banks Association agrees and says there needs to be a shared fraud detection system to deal with a rising tide of questionable activities in the banking sector. They believe that digital solutions and data sharing are necessary to keep the fraud at bay.
Read more: VIR
CIMB Bets Big on Digital in Southeast Asia
Also eager to find digital solutions for banking, CIMB Bank says it needs to grow through tech adoption. The bank’s main focus is on building mobile-first services and AI applications for Vietnam and the Philippines. In Vietnam, the bank says it plans to use AI for risk analytics and to improve customer service.
Read more: VIR
Canny Moves to Soften the Trade Hit Blow
Despite Vietnam negotiating a 20% tariff rate with the US, a better deal than some have received, officials believe that more market diversification and FDI will be needed to keep up the export growth pace. Businesses are scrambling to find new avenues for exports, and the government is encouraging them to take full advantage of Free Trade Agreements and “green” credentials to fill European market demands.
Read more: The Investor (Tariff Diversification), VIR (Seafood Exports)
Vietnam Wants More from the U.S.
Vietnam and the U.S. are working through preliminary agreements to reduce market risks for Vietnamese exports, discussing a trade deal that includes lowering taxes on Vietnamese goods. Vietnam wants U.S. help to get recognized as a market economy and to be removed from export control lists, two labels that have historically impacted import duties.
Read more: VIR (US-Vietnam Trade Talks)
Expect 7% Growth Next Year
The GDP growth forecast for 2025 has been raised to 7%, the highest rate in the ASEAN+3 area. The strong economic pace in the first half of 2025 can be attributed for the optimistic outlook, even as some say there still might be another shoe to drop when the trade agreements are finalized with the United States. Infrastructure development, regional integration, and industrial development are all helping to support long-term growth.
Read more: Vietnam News (GDP Forecast), VIR (Target)
EU-Vietnam Trade Takes Off
The EU-Vietnam Free Trade Agreement (EVFTA) has resulted in an increase in trade between the regions by almost half over the past five years. Reports say that the garment and apparel industries still need more modernization to meet EU standards, but things appear to be on track. Vietnam is also working to ratify the EU-Vietnam Investment Protection Agreement. Germany is presently Vietnam's top EU trading partner.
Read more: Vietnam News (EVFTA Gains), Asia News Network (Investment Agreement)
Green Energy Boom Hits
The green energy scene remains fertile ground for investment, with projects in wind, solar, and ethanol fuels still going strong as the nation pushes toward a goal of net-zero emissions by 2050.
Read more: Vietnam Rubber Investment (Renewable Investments), VIR (Green Mobility), Vietnam News (E10 Fuel Rollout)
Nuclear Power Makes a Comeback
Vietnam Electricity (EVN) is rebooting the Ninh Thuan nuclear power project with a cash infusion of nearly $50 million. The restart, after a 2016 suspension 2016, comes alongside rising electricity demands and energy security fears. EVN's investment plans, including recovering profitability after past losses, are necessary to meet Vietnam’s commitment to mixed energy sources and generating enough power to hit the country’s growth hopes.
Read more: Vietnam Insider
NDAChain for Data Protection / Digital Money
Vietnam has launched NDAChain, a national blockchain platform that is intended to help with both data protection and identity verification. The platform is expected to be an important part of developing financial services for the masses and supporting the growth of e-commerce. The Vietnam Blockchain Association has decided to rebrand itself to reflect a new focus on digital assets in advance of the revised and upcoming Digital Technology Industry Law. The government plans to launch a pilot digital asset market and continues to work on rules to protect investors and bring more foreign capital.
Read more: Vietnam Business News (Blockchain Platform), VIR (Blockchain Rebranding), OpenGovAsia (DTIL)
Air Cargo Gets a Boost with Long Thanh
With rising export demands, airfreight capacity and infrastructure need to be expanded, particularly through projects like Long Thanh airport. The $13 billion port will significantly improve Vietnam's position in global air logistics by increasing the capacity for both more passengers and greater cargo-handling capacities.
Read more: The Loadstar (Airfreight Expansion), Vietnam News (Airport Development)
Korean Money Floods In
South Korea is still a top investor with a recent rise in trade and cash commitments. South Korean companies have created nearly a million jobs and are big players in both semiconductors and renewable energy. Bilateral trade topped $42 billion this year, and officials in both countries expect growth to continue.
Read more: VIR
Hanoi Turning Into a Dental Tourism Hot Spot
Hanoi has become a popular destination for dental tourism, luring international patients with cost-competitive services. The city has invested heavily in dental technology and infrastructure, an interesting, and maybe unexpected, add-on to tourism revenue.
Read more: VNE Express
That’s it for this week!
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