VietNamNet Bridge – More and more foreign invested enterprises (FIEs) have reported losses, though they continue to enjoy attractive investment incentives. Economists say this is ‘abnormal’.

There are 21,400 FIEs in Vietnam
A Ministry of Finance’s (MOF) report presented at a recent working session with Deputy PM Vuong Dinh Hue showed a high proportion of unprofitable FIEs.
There are 21,400 FIEs, which account for 3 percent of total existing enterprises in Vietnam. FIEs maintained high growth rates in revenue and profits from 2011 to 2017. In 2017 alone, FIEs’ turnover soared by 28 percent compared with the year before, while their asset growth rate reached 22 percent and stockholder equity 14 percent. Tiếp tục đọc “FDI paradox: the bigger incentives FIEs get, the bigger losses they incur”



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HANOI – Five days before US President Donald Trump and North Korean leader Kim Jong-un met in Hanoi for their second summit, two former Vietnamese ministers of communications were arrestedand charged with “violations related to management and use of public capital.” The two officials are alleged to have approved a state-owned telecom company’s purchase of a private television provider for over four times its estimated value, at a loss to the state of around $307 million.
Tiếp tục đọc “Vietnam and the Dilemma of New Wealth – Việt Nam và thách thức từ giới nhà giàu mới nổi” →