Divestments have been a major focus for the Vietnamese government as it aims to increase the efficiency of loss-making State-owned enterprises (SOE). In addition, divestments are also a significant source of revenue for the government that can help in managing the fiscal deficit and fund economic development plans. Equitization of SOEs and divestments in industries such as […]
Driven by the growth in living standards, disposable income, foreign investment, and economy, Vietnam’s fast-moving consumer goods (FMCG) market is projected to grow by five to six percent in 2018, with rural areas growing faster than cities. In addition to retaining existing consumers, attracting new ones will continue to be a priority for FMCG brands. To […]
Vietnam has progressed to become the world’s fifth largest exporter of agro-food commodities including aquatic products, rice, coffee, tea, cashews, black pepper, rubber, and cassava according to a World Bank report released in 2016. However, while increasing its stature as a global exporter, the quality of growth in the sector overall remains low. In order […]
District 2 in Ho Chi Minh City is one of the biggest urban development areas in Southeast Asia. The show case redevelopment project is the Thu Thiem New Urban Area, which is touted to become the new central business district of Ho Chi Minh City. New cities are usually built far from the city centre. […]
Vietnam’s economy continues to perform well, sustained by continued domestic reforms, a stable government, and the diversification of foreign direct investment in the country. GDP growth in the country is broad based, sustained by strong manufacturing growth and bolstered by a strong external demand. Vietnam’s medium-term outlook continues to be strong, and despite a slack […]
Vietnam’s pilot e-visa program has been extended for another two years and expanded so that tourists from 80 countries can participate. Vietnam Briefing explains who is eligible and what you need to know to travel to Vietnam on an e-visa. Vietnam recently extended its electronic visa (e-visa) policy until February 2021 and expanded the list of countries […]
As the trade conflict between the US and China continues, Vietnam has drawn increased attention from companies looking for low-cost alternatives with lower tariff exposure as a manufacturing base. In the context of tariff exposure, Dezan Shira & Associates has also received many questions recently on whether the First Sale rule is a feasible strategy for […]
Foreign companies need to be aware of a new decree on internal audit in Vietnam that goes into effect on April 1. Vietnam Briefing breaks down key aspects of the new decree for foreign investors. The government issued Decree 05/2019/ND-CP on internal audit in Vietnam on January 22, this year. It will come into effect on April 1. […]
Companies in China involved in low-value production and assembly are turning to Vietnam due to rising costs and an increase in regulations. This strategy called “China plus one” has been implemented by several companies in the last few years. However, with growing trade issues between China and the US, the trend of shifting low-cost manufacturing […]
A Representative Office (RO) offers a low-cost entry for companies seeking to gain a better understanding of the Vietnamese market. As such, this option is among the most common for first-time entrants to the Vietnamese market and often precedes a larger presence within the country. What are ROs permitted to do? ROs are permitted to […]
Tax considerations form an essential part of a corporate strategy and play a key role in determining the success of a business. For those seeking to invest into more than just one ASEAN economy, or looking for a jurisdiction to base their business, an inter-country tax comparison can help make a suitable, cost-effective decision. In […]
The government has issued Decree 15/2019/ND-CP (“Decree 15”) introducing new requirements for foreign investors in the vocational education sector. The new conditions include establishment size, investment capital, training curriculum, and opening representative offices (ROs) or branches. Decree 15 will be in effect from March 20, 2019. Amongst other factors, Decree 15 will affect the following: Establishment […]