Read more In 2020, Dong Thap’s regional GDP grew to US$ 3.7 billion with an annual average GDP growth of 6.4 percent over the past five years. In brief. The LOI 2020 maintains an initial list of Conditional Business Lines of which a number of business lines have been removed and added, reducing the number of Conditional Business Lines to 227 under the LOI 2020 in comparison to 243 under the LOI 2014. Vietnam to halve 2020 GDP growth target due to ... and foreign direct investments. Parties to contracts need to liquidate these contracts in accordance with the civil law and other relevant laws. The U.S. Dollar And A Morphing Investment Climate By Marc Chandler - Nov 22, 2020 2. Vietnamese Dong - data, forecasts, historical chart - was last updated on February of 2021. One US bank Kirchenbauer called was offering one million Vietnamese dong for $56.90, which works out to 17,574 VND per dollar. A September report from The Economist has stated that the Vietnamese government will continue to privatize more businesses in the coming year. Land Rental Incentives 56 D. Taxation and Customs I. Vietnamese equities, as measured by the MSCI Vietnam Index, have underperformed the broader market with a total return of -6.1% over the past 12 months compared to … Adding a new form of investment incentive is “Rapid depreciation, increase of deductible expenses when calculating taxable income”. 2020 Vietnam has recently started to attract the attention of investors from all over the world – thanks to its location in the heart of Southeast Asia, ever-evolving urbanisation, stable growth rate, continual innovation, socio-economic ambitions and greater economic integration. He’s talking about currencies around the world and trade. The LOI 2020 has added two business lines to the list of Prohibited Business Line: firecracker businesses, and debt collection services. 2019 by Cekindo / Last update on 31.12. Under the LOI 2014, debt collection services were on the list of conditional business lines. Vietnam’s growth prospects will depend on how well and how quickly the authorities will bring the new coronavirus outbreak under control and how quickly international and national vaccinations will proceed, according to the World Bank (WB). However, he found the exchange rate much higher at Vietnam’s Agribank. “Besides, it is projected that FDI and remittance inflow to Vietnam would also weaken in 2020 due to the global economic slowdown, providing less support to the dong,” Hieu added. Significant changes arising from the Law on Investment 2020 include: The new LOI has introduced the approach that foreign investors are entitled to access Vietnam in the same manner as local investors, except for the list of restricted business sectors (being referred to as the “Negative List” approach). Vietnam real effective exchange rate 1994 2019 data 2020 vietnamese dong predicted to continue weakening fitch thb to vnd forecast up 754 646 baht dong ysis research report trump s victory raises concerns on vnd trade aud vnd australian dollar to dong forex forecast with currency sgd to vnd forecast down 16616 30 singapore dollar dong. The minimum wage in the province is VND 3,040,000 (US$131) per month, which is relatively lower compared to other regions in the country. Get in touch with us Reach us Monday – Friday: 8.30am to 5.30pm (UTC+7), © Acclime Vietnam document.currentScript.insertAdjacentHTML('afterend', ''); | Privacy policy. In March and April 2020, the Vietnamese government passed measures, including cash payments and supplemental cash for companies, to help pay salaries for workers and offer unemployment insurance. In 2020, Dong Thap’s regional GDP grew to US$ 3.7 billion with an annual average GDP growth of 6.4 percent over the past five years. Investing in Vietnam, Engaging the world The announcement added: “Binance will list Binance VND (BVND) and open trading for BUSD/BVND and USDT/BVND trading pairs at 2020/12/18 12:00 […] Investment projects use outdated technology, potentially causing environmental pollution, or are resource intensive; Investment projects in cases where the investors must transfer without compensation of assets to the Vietnamese State or Vietnamese parties. Ton Dong A Corporation has been honoured with the Vietnam Value Award 2020 Nguyen Thanh Trung, general director of Ton Dong A said that along with the pride from the award, honoured enterprises are reminded of their responsibility to do better and build Vietnamese brands for customers in both international and domestic markets. Foreign investors must also satisfy any relevant requirements for a business sector that any investors must satisfy (regardless of ownership), which can include permits, certificates and practice certificates. Taxation 25 26 2 Doing business in Vietnam 2020. The LOI 2020 clarifies that investors can apply to extend the operational duration of the project in accordance with the maximum permitted for initial applications. The Law of Investment 2020 (“LOI 2020”) was approved by the National Assembly of Vietnam on 17 June 2020, and takes effect from 1 January 2021, replacing and supplementing the Law on Investment 2014 (“LOI 2014”). Binance has announced support for Binance Vietnamese Dong [BVND], a BEP2 stablecoin pegged to the Vietnamese Dong [VND]. “The VND may move within the range of 0.5 per cent on either side,” VNDirect forecast, adding there will be more upside risks for the dong in 2021. BVND will be available for direct purchase and redemption at a 1BVND = 1 VND rate. These are: The LOI 2014 sets a maximum term for an investment project of 50 years, with some cases permitting a maximum period of 70 years, but there is no specific regulation on extending the project once this period expires. Cryptocurrency exchange VNDC is launching a Vietnamese Dong-pegged stablecoin that is 100% backed by collateral held by Hong Kong-based regulated trustee First Digital Trust. Could a 1 to 1 value ever actually exist? The Vietnamese dong – one of the world’s highest denominated … The economy of Vietnam has actually not been doing too bad as their exports have been increasing. I think they are working on getting rates as close to this as possible. 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The threshold for the definition of a foreign invested company has been reduced from “51% or more” under the old law to “more than 50%” under the LOI 2020. Per-capita GDP averaged US$2,370 over the same period. This will take effect on 1 January 2021. Following the release of the abridged version of the decree guiding the implementation of the Investment Law 2020 ("New Investment Law") in… The La Gan wind power project, with an estimated capacity of nearly 3.5 GW, is being developed by Copenhagen Infrastructure Partners (CIP), Asiapetro and Novasia off the coast of the south central province of Binh Thuan. USDVND | A complete Vietnamese Dong currency overview by MarketWatch. Some would argue that because the Vietnamese Dong is one of the weakest currencies in the world that it is a good investment. The LOI 2020 regulates activities related to business investment into Vietnam, and investment activities from Vietnam to other countries. DFDL is pleased to announce the publication of the Vietnam Investment Guide – 2020 Edition. Setting up an industrial park and a logistics centre this year is part of a development plan for 2021-25 that Hau Giang province in the Cuu Long (Mekong) Delta has just unveiled. This new law aims to simplify administrative procedures and conditional business lines, synchronise with international commitments in investment activities of which Vietnam is a member, and to better facilitate investment activities into Vietnam. 87 /GP-BTTTT International reg: Registered as a newspaper at the Post Office, London, Serial No. Vietnamese dong to strengthen in 2021: VNDirect Securities have 324 words, post on bizhub.vn at November 19, 2020. On 17 June 2020, the new Law on Investment (“New Investment Law”) was passed by the National Assembly of Vietnam. The Conditional Business Lines list will detail, for each business sector, conditions on. COVID-19 has increased the number of layoffs in the Vietnamese economy. Bamboo Airways has announced the addition of 3.5 trillion VND to its charter capital, bringing the total amount to 10.5 trillion VND (457.3 million USD). There are no waivers on labor requirements to attract foreign investment. Pimpy’s Investment Chat: July 3, 2020 Trump has been talking about a level playing field and free trade. The Vietnamese Dong is expected to trade at 23015.00 by the end of this quarter, according to Trading Economics global macro models and analysts expectations. The Vietnamese dong is not expected to rise in value or be significantly re-valued in the foreseeable future, according to Forbes. In January 2015 the State Bank of Vietnam devalued the dong to help Vietnamese exporters who rely on a competitive currency, reports Bloomberg. The LOI 2020 regulates activities related to business investment into Vietnam, and investment activities from Vietnam to other countries. ... consumer goods and services in the first eight months of 2020 declined by 4.5% to 3,225 trillion dong. However, it should be known that the currency of Vietnam has actually been devalued over the past few years. The ownership percentage of charter capital by foreign investors, The capacity of investors and partners participating in investment activities, Other specific conditions prescribed in laws, Projects employing people with disabilities in accordance with the law on people with disabilities, Projects with technology transfer on the list of technologies encouraged for transfer under the law on technology transfer; technology incubator or science and technology business incubator in accordance with regulations of law on high technology and law on science and technology; enterprises producing and supplying technologies, equipment, products and services serving the requirements of environmental protection in accordance with the law on environmental protection, Projects for creative start-up, innovation centers, research and development centers, Investment in and distribution of product chains of small and medium-sized enterprises; business investment in technical facilities supporting small and medium-sized enterprises, incubators of small and medium-sized enterprises; business investment in a working area to support small and medium-sized enterprises in their creative start-ups in accordance with the law on supporting small and medium-sized enterprises, Any increase in foreign ownership ratios of a target company that has business lines included in the list restricted business lines, Increases to foreign ownership ratios in a target company from 50% or less to more than 50%, Increases to foreign ownership ratios in a target company where foreign ownership is already greater than 50%, Capital contribution or acquisition of a target company, which holds land use rights for land located within national security areas, including islands, border and coastal areas. Per-capita GDP averaged US$2,370 over the same period. On the back of Vietnam’s impressive containment of the coronavirus disease (“COVID”) pandemic thus far and its ability to ensure a safe and stable investment environment in the last two decades, Vietnam is planning to harvest the benefits of the after COVID economic rebound. Following LOI 2020, more projects are added to the list of beneficiaries of investment incentives which are: In addition, the new law adds more conditions for the project incentives in which the capital is VND 6,000 billion or more, where it must disburse a minimum of VND 6,000 billion within 3 years from the date of being granted the first Investment Registration Certificate or decision on investment policies is issued. The LOI 2020 has clarified situations where preliminary M&A approvals are required. Historically, the Vietnamese Dong reached an all time high of 23650 in March of 2020. In addition, the activities of human trafficking and trading in human tissues and body parts in the 2014 LOI has been expended to include human trafficking, and trading in human tissues, body parts, human corpses and foetuses. It’s worth doing research on their economy before you jump into any currency investment, especially the Vietnam Dong. The restricted business sectors can be either Prohibited Business Lines, which foreign investors cannot yet access, and Conditional Business Lines, for which the market access for foreign investors is subject to conditions. The Law of Investment 2020 (“LOI 2020”) was approved by the National Assembly of Vietnam on 17 June 2020, and takes effect from 1 January 2021, replacing and supplementing the Law on Investment 2014 (“LOI 2014”). Vietnam Investment Review under the Ministry of Planning and Investment Licence No. By Staff Writer Last Updated Apr 12, 2020 9:37:03 PM ET. Following the new law, the project should also “have a total turnover of at least ten trillion dong per year no later than three years from the first year when a turnover is generated or employ over three thousand employees”. Decree 1 covering enterprise registration in Vietnam. The Vietnamese dong will remain stable for the rest of the year but may appreciate by 0.5 percent in 2021, VNDirect Securities Corp forecast. SLOOINP; ISSN No. However, two cases exist where they are not permitted to be extended, where: According to the LOI 2020, investing through PPP contracts is no longer regulated by the Law on Investment, but instead is regulated by a specific PPP Law. The video here explains that there is a possible revaluation of the Vietnamese Currency, the Dong, abbreviated VND. As a result, the list of Prohibited Business Lines per the LOI 2020 is 8, but this is subject to further additions via additional releases. 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