Day: July 29, 2023

The national consumer price index (CPI) in July grew by 0.45% month-on-month, fueled by higher prices of food, foodstuff and electricity, the General Statistics Office (GSO) said on July 29.

This figure represents an increase of 2.06% compared to the same period last year. The July core inflation increased 0.36% from last month and 4.11% from the same period last year.

Among the 11 groups of goods and services used to calculate the CPI, ten had higher prices than in the previous month, with the group of other goods and services reporting the highest rise of 2.84%.

Housing and construction materials rose by 0.51% month on month while transportation went up 0.11%. Post and telecommunications is the only group with prices dropping in the month, falling 0.12%.

The average CPI in the first seven months of 2023 rose by 3.12% against last year’s corresponding period while core inflation was up by 4.65%.

The GSO attributed the seven-month CPI hike to the prices of educational services which increased by 7.61% compared to the same period last year because some localities have increased school fees from September 2022 after exempting or reducing the fees in the 2021-2022 academic year.

Another contributor to the CPI hike was the prices of housing and construction materials which went up 6.58% year-on-year due to the increase in cement, iron, steel and sand prices in line with the price of input materials and high housing rents. The group of other goods and services rose by 3.71% over the same period last year, mainly because health insurance services increased following a hike in basic salary from July 2023.

The prices of culture, entertainment and tourism groups up by 3.45% as the COVID-19 pandemic was put under control resulting in an increase in people’s demand for entertainment and tourism.

In August, the gold price index fell by 0.03% against the previous month, while the US dollar index rose 0.53%./.

Source: Vietnam News Agency

Vietnam has made an important contribution to the operation of the Association of Southeast Asian Nations (ASEAN), through some initiatives aimed at addressing challenges and issues in the bloc, such as responding to the COVID-19 pandemic, accelerating the negotiation process for a Code of Conduct in the East Sea (COC) or advocating the five-point consensus on Myanmar.

This is the assessment made by Jonathan Berkshire Miller, Director of Foreign Affairs, National Security and Defence at the Ottawa-based Macdonald-Laurier Institute, an expert on international affairs related to security, defence and geoeconomics in the Indo-Pacific region.

According to Miller, cohesion is always mentioned in all areas in ASEAN, so Vietnam’s approach to maintaining cohesion on such issues like the COC is very important.

He also stressed the need for proactivity in ASEAN to respond to future crisis. Vietnam, especially during the pandemic, has taken significant proactive measures, he said in an interview with the Vietnam News Agency (VNA) on the occasion of Vietnam’s 28th anniversary of ASEAN membership (1995 – 2023).

The Canadian expert added that Vietnam has made important contributions to building the three pillars of the ASEAN Community namely the ASEAN Political-Security Community (APSC), the ASEAN Economic Community (AEC) and the ASEAN Socio-Cultural Community (ASCC)

Regarding APSC, Vietnam calls for appropriate behaviour on the East Sea issue, with responses and actions from ASEAN to achieve the goal of ensuring the security and resources of the region. According to Miller, it is necessary to have a fair share and respect for international laws as well as freedom of navigation. Through its initiative, Vietnam is also trying to promote serious political dialogues in Myanmar, he noted.

On the economic pillar, Vietnam is currently part of many regional trade agreements, including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Vietnam’s leading role is not limited to just a few of these issues, but is motivating other ASEAN members to implement certain reforms to lift their economy to a higher level, he went on.

Regarding ASCC, Miller underlined Vietnam’s respect for different ethnic minority groups and different languages in the same country, saying that the way Vietnam handles harmony between ethnic groups and highlights cultural diversity is really a positive thing./.

Source: Vietnam News Agency

The Vietnam Women’s Union (VWU), the Ministry of Public Security, and Quang Ninh provincial People’s Committee on July 28 held a ceremony to launch a campaign observing Vietnam’s Day Against Human Trafficking and World Day Against Trafficking in Person on July 30 with the theme “Reach every victim of trafficking, leave no one behind”.

The activity aims to reaffirm Vietnam’s commitment to human trafficking prevention and control.

Speaking at the event, VWU President Ha Thi Nga said that human trafficking is a global problem. The number of victims of human trafficking detected globally has decreased, especially in the Asia-Pacific region but the structure of victims is changing.

In 2004, men and boys accounted for 13% and 3% respectively of the total victims. By 2020, the percentages were 23% and 17%.

In Vietnam, human traffickers make use of the Internet and social networks to lure victims with false promises like high paid jobs or marriages with rich people in other countries.

According to statistics from the Ministry of Public Security, in Vietnam, from the beginning of 2022 until now, the crime of human trafficking tends to increase, particularly cases relating to domestic trafficking and male victims.

From 2011 to 2020, domestic trafficking accounted for 15% of the total cases, and male victims accounted for 10%. From 2018 to the end of 2022, domestic trafficking accounted for 34%, male victims accounted for 27%. However, in 2022 and the first six months of 2023 alone, the ratios rose to over 40%.

Lieutenant General Nguyen Duy Ngoc, Deputy Minister of Public Security said that in the first half of this year, the authorities received and verified information of 114 people; identified 82 people as victims of trafficking, and supported 65 victims.

He said that to improve the effectiveness of human trafficking prevention and control, it is necessary to continue to closely follow the tasks and solutions set by the Party Central Committee, the National Assembly, the Government, and the relevant agencies.

At the same time, authorities and localities need to focus on renovating the forms and content of communication activities to raise people’s awareness about the methods and tricks of human traffickers.

Functional agencies must strengthen state management and inspections in areas that are prone to human trafficking crimes, the deputy minister said, urging authorities and localities to take synchronous solutions to prevent human trafficking, and support victims of human trafficking./.

Source: Vietnam News Agency

A tourism promotion programme called “Enjoy Da Nang 2023” kicked off on July 28 at Bien Dong (East Sea) park in the central city of Da Nang.

The programme taking place until August 1at parks and beaches in the city aims to attract tourists to the city and bring interesting experiences for both local residents and visitors.

The programme features a wide range of activities including a musical show on July 29 at East Sea park, a food festival with over 100 local and international dishes, a series of nightly art performances, a paragliding tournament “Flying over Tien Sa” in Son Tra peninsula with the participation of more than 120 pilots from professional paragliding clubs; artistic kite performance with the appearance of more than 30 kites with unique shapes, vibrant colors.

Within the framework of the programme, a marine environment protection festival will be conducted with activities including environmental clean-up at beaches, a painting exhibition, the display of garbage recycling models, and environmental protection workshops./.

Source: Vietnam News Agency

Average household debt in Thailand has reached a 15-year high due to a slower-than-expected economic recovery and high living costs, amid uncertainty over the formation of a new government, a survey showed.

Average debt stood at 559,409 THB (about 16,000 USD) in 2023, up 11.5% from the previous year, according to the survey by the University of the Thai Chamber of Commerce (UTCC).

The recovery of Southeast Asia’s second-largest economy has lagged behind others in the region as the vital tourism sector just started to recover last year from the pandemic, while soft global demand continues to stall exports.

Survey respondents thought they would continue to borrow more for at least six months, the university’s president Thanavath Phonvichai said at a briefing.

The debt levels should peak in 2024, he said, adding that despite the election, the economic recovery remains unclear, meaning people continue to face economic problems with high living costs and low incomes until early next year.

The Thai parliament on July 27 postponed a vote for the next prime minister, delaying the formation of a government and policies to boost the economy.

The economy is expected to grow between 3.0% and 3.5% this year, Thanavath said, noting that the delayed government formation would have more impact on growth next year.

The ratio of household debt to gross domestic product (GDP) stood at 90.6% at the end of March. Policymakers have expressed concerns about the high debt, particularly among low-income earners./.

Source: Vietnam News Agency

Vietnamese auto maker VinFast on July 28 held a groundbreaking ceremony of its electric vehicle factory in North Carolina, marking an important step in the company’s strategy to expand its market, develop its global electric vehicle brand and become self-sufficient in its supply in North America.

VinFast’s factory project is the first of its kind in North Carolina, and is said to be the biggest-ever economic development project in the state.

The factory has a total investment of 2 billion USD in its first phase, covering an area of 733 ha. In the first phase, the factory will focus on producing electric vehicle models VF 7, VF 8 and VF 9 to meet market demand with an expected capacity of 150,000 vehicles per year. Regarding components for production, priority will be given for suppliers from the US, Vietnam and some countries in the region.

Speaking at groundbreaking ceremony, Le Thi Thu Thuy, CEO of VinFast Auto said that the manufacturing facility in North Carolina is one of VinFast’s key projects. When it begins operations, the factory will be VinFast’s primary supplier of electric vehicles to the North American market, allowing the maker to optimize production and business activities.

VinFast hopes the construction of the factory in Chatham County will contribute to advancing the clean energy economy in the US and help to support North Carolina’s green mobility strategy, she said.

The factory is expected to start production in 2025. Last year, VinFast was awarded a 1.2 billion USD incentive package from the State of North Carolina for this project, along with critical financial support from the City of Sanford, Chatham County and the Golden Leaf Foundation.

Also on July 28, VinFast Auto Pte. Ltd. and Black Spade Acquisition Co (NYSE: BSAQ) announced that the US Securities and Exchange Commission has declared effective the registration statement on Form F-4 of VinFast in connection with its proposed business combination with Black Spade.

Black Spade has scheduled the Extraordinary General Meeting of Shareholders (“EGM”) to approve the proposed business combination with VinFast to be held on August 10, 2023.

The business combination values VinFast at an enterprise value of 27 billion USD and an equity value of 23 billion USD. The transaction is expected to close followed by the listing of VinFast in August 2023, subject to shareholder approvals and other customary closing conditions.

Dennis Tam, Chairman and Co-CEO, Black Spade Acquisition Co, said that the declaration of the SEC effectiveness is a significant step towards the successful completion of the business combination between Black Spade and VinFast.

He said they have diligently sought out a partner that aligns with their vision, and they are confident that this merger will position them for long-term success.

VinFast, a member of Vingroup Jsc, was founded in 2017. It manufactures and exports a portfolio of e-SUVs, e-scooters and e-buses across Vietnam, North America, and, soon, Europe.

The company operates a state-of-the-art automotive manufacturing complex in Hai Phong that boasts up to 90% manufacturing automation and an annual production capacity of up to 300,000 units per year in phase 1.

Black Spade, listed on the NYSE American, was founded by Black Spade Capital, which runs a global portfolio consisting of a wide spectrum of cross-border investments, and consistently seeks to add new investment projects and opportunities to its portfolio./.

Source: Vietnam News Agency