Despite concerns from economic experts about the undetermined scale and scope of Viet Nam’s undocumented market transactions, authorities are adamant that the illicit economy is under control and will soon be regulated heavily. — Photo dantri.com.vn Despite concerns from economic experts about the undetermined scale and scope of Viet Nam’s undocumented market transactions, authorities are adamant that the illicit economy is under control and will soon be regulated heavily. In its latest move, the Ministry of Planning and Investment (MPI) is expected to finalise and submit to the Prime Minister’s Office a scheme on underground economic sectors today. Under the direction of Deputy Prime Minister Vuong Dinh Hue, the report details the sectors’ structure and statistics, based on the General Statistics Office’s (GSO) findings. Vo Tri Thanh, former deputy director of the Central Institute for Economic Management (CIEM), said that since 1990, the GSO estimated the size of the underground economy to be more than 10 per cent of GDP. About 10 years ago, reports of evaluations conducted by other agencies and organisations measured the amount of cash outside official circulation. The results showed that the value of this area was about 30 to 35 per cent of GDP. However, economic experts raise questions on the authenticity of the data. Nguyen Duc Thanh, director of the Institute for Economic and Policy Research (VEPR), said that a re-calculation of the informal economy was necessary for the Government to grasp specific data and set out a suitable development strategy. However, he argued… [Read full story]
The State Bank of Viet Nam's probable decision to stop gold borrowing and lending activities at local commercial banks has sparked heated debate among banking insiders. Most experts believe that under the new policy local financial institutions could lose a huge capital source that would serve economic development. Huynh Trung Khanh, chief of the representative office of the World Gold Council, said the public held an estimated 500 tonnes of gold, equivalent to US$ 17 billion. If the central bank no longer mobilised or used gold this huge capital volume would be frozen, Khanh said. The country has more than…... [read more]
Government officials said last week that proposed increases in electricity prices were reasonable and would not have an adverse effect on the economy. Minister of Industry Hoang Trung Hai said that the average new electricity price would be VND852 ($0.053) per kWh, an 8.8 per cent increase on the current price.Hai said that the increases would come into effect in early June if approved by Prime Minister Phan Van Khai. "The increase is expected to be applied to households but not to enterprises which are using electricity for business and production activities," Vice Minister of Industry Bui Xuan Khu said.The…... [read more]
Last week, Viet Nam News asked readers for their thoughts on a new decree, effective from January 1, which stipulates that artists who wear revealing clothes or lip-sync on-stage or are offensive in other ways, will be subject to harsh penalties. Here are some responses. Brett Palser, Australian, HCM City Without sounding like an old stick-in-the-mud, I don't think it would be a bad thing if a few other countries also did something like this. Just look at the antics of some of the younger performers these days who act-up just to get attention. With these kinds of penalties, perhaps…... [read more]
An entry to a spring-themed photo contest is sparking widespread debate throughout Vietnam. An entry to a spring-themed photo contest is sparking widespread debate throughout Vietnam. The photo in question, showing two flower vendors paddling through the flooded Hoi An Ancient Town in central Vietnam, is under fired by many who believe it was inappropriately staged and an insult to local flood victims. Those in support of the photo say the photo truly depicts the situation in Hoi An and the undeterred optimism of the flower vendors who refused to allow the natural disaster to affect their livelihood. The controversial…... [read more]
A 30-second clip on Youtube capturing a fight between a traffic policeman and a driver in Ho Chi Minh City has sparked a debate about who was in the wrong. >> Cop beating traffic cop on HCMC street >> F..k you, pay the road bribes In the clip, a man wearing a striped shirt, white trousers, and a blue helmet for some reason let out a string of oaths against the policeman and then pushed and beat him on the chest. The police swore back, demanded him to speak properly and pushed him down. The fight attracted many people, none…... [read more]
