Monday, November 24, 2008

Watchdog proposes housing fund probe




A slum in Ho Chi Minh City’s District 8. The local Housing Development Fund may come under scrutiny for not fulfilling its duty.
Ho Chi Minh City’s anticorruption watchdog Sunday proposed that the city’s People’s Committee should investigate their Housing Development Fund.
The city’s Anti-Corruption Steering Committee said they suspected misconduct in the fund because it was performing poorly despite a VND300 billion (US$17.70 million) investment.
The fund was not fulfilling its’ duty, the committee said, adding that it had only loaned money to a limited number of city residents to buy houses.
The HCMC Housing Development Fund was founded as part of the administration’s affordable housing policy.
Initiated by the HCMC People’s Committee two years ago, the city’s affordable housing project aims to provide 30,000 apartments by 2010 to low-income people falling under three categories: government employees, residents displaced by investment projects, and those living in substandard accommodations.
Low income housing, however, is still out of reach for many city residents as they have to meet many conditions.
Meanwhile, around 500,000 out of the metro’s eight million inhabitants desperately need affordable housing, estimates show.
The Ministry of Construction in September submitted to the government for approval a “less conditions” plan to build 184,000 apartments for sale and lease from next year until 2015 to meet the housing needs of 30 percent of poor households in urban areas.
Reported by Minh Nam

Central villagers fear losing homes to floods




Recent floods have isolated hundreds of families in Binh Dinh Province’s Phu Cat and Tuy Phuoc districts and destroyed homes and property.
Every year in November the flood season in Vietnam’s central region fills residents with fear of hunger and homelessness.
One local Cao Thi Thu Thao was forced to stay at a neighbor’s house with her five-month-old baby when her house collapsed into the Kon River a week ago.
Her fisherman husband Vo Trong An only earns VND20,000 (US$1.18) a day ruling out any chance of owning another house soon.
Nguyen Thi Huong, 75, in Phuoc Son Commune, Tuy Phuoc District lost the house she had been living in by herself for several years. Huong collected her rice seed by seed after her rice barrel broke open in the rising waters.
The floods wrecked 43 houses in Phuoc Son Commune and 42 houses in Phuoc Hoa Commune in the district, the head commune officials said.
Most of those families are poor and “unable to rebuild their houses,” said Ton Ky Hai of Phuoc Son Commune.
Hai said the commune could only offer some food and temporary refuge for victims and is asking the province and state authorities to help.
Around 600 families in Phuoc Hoa Commune are threatened by floods every rainy season, according to the commune head Nguyen Ngoc Xuan.
The damage bill from the recent floods in Binh Dinh Province came to at least VND48 billion ($2.84 million).
One hundred and twenty private houses were destroyed, prompting authorities to ask for VND18 billion ($1.06 million) support from the state budget.
In the meantime, many in Tuy Phuoc District work by transporting people around on boats despite the dangerous currents.
Le Van Ngot of Phuoc Nghia Commune said he transported workers, students and sellers, charging VND5,000 (30 cents) a person and VND5,000 a motorbike.
He earns VND200,000 ($11.80) a day but rowing in the cold makes him “too tired to eat” at the end of the day, Ngot said.
Most boat owners including Ngot don’t carry lifebuoys and there have been some tragic accidents over the years.
“I just work for a few days. It’s not permanent so I don’t need to buy lifebuoys,” Nguyen Van Tam said.
Others said it was the authority’s responsibility to buy lifebuoys not theirs.
Rising sea
In Quang Nam Province, more than 100 families along the coast in Duy Hai Commune, Duy Xuyen District have been watching with trepidation as the sea moves closer to their homes.
Cua Dai Sea has encroached 50 meters into the mainland since Friday’s heavy rains.
Commune head Vo Van Toan said the problem had worsened every year since the 2006 floods.
Local man Nguyen Tan Truc, lives only 20 meters from the water edge. He said can’t sleep at night and wakes up every time he feels big waves. “It’s so frightening!”
Truc said he needs to move but has “no money.”
There are 18 families in the commune who have been offered safer places but they couldn’t afford new houses, the commune head said.
Truc’s neighbor Bui Van Minh said he had no idea what he would do if the sea took his home.
The National Center for Hydro-meteorological Forecasting Sunday said heavy rains today will raise river levels from Quang Binh to Quang Tri provinces and from Khanh Hoa to Phu Yen provinces.
Provinces from Quang Binh to Phu Yen should be prepared for more floods and landslides, according to the center.
Reported by Thanh Nien staff

Work starts on $9.8 billion steel mill in central Vietnam




The construction of the US$9.8 billion Ca Na Steel Mill Complex in the central province of Ninh Thuan began Sunday.
The four-stage steel project, being developed by Malaysia’s Lion Corporation and the Vietnam Shipbuilding Industry Corporation (Vinashin), is due for completion in 2025.
The complex will be built on 1,650 hectares and will include coal and steel processing plants, two thermal power plants and a seaport.
The investment for the first phase, from 2008 to 2010, is estimated at nearly $2.75 billion.
When it becomes fully operational, the Ca Na Steel Mill Complex will have an annual capacity of 14.42 million tons and a workforce of 50,000.
Reported by Thien Nhan

VN-Index to test a new low, analysts predict






Vietnam’s major stock market in Ho Chi Minh City is on a downward trajectory to 300 points, stock experts have predicted, saying the extension of its plunge would give investors the chance to snap up some bargains.
The VN-Index fell on every trading day last week to close at 318.96 points last Friday, its lowest level in almost three years. Trading volume was fairly low, averaging 13 million trades each day, compared with an average of 16 million a day the previous week.
The benchmark index, a gauge of 166 leading companies and four closed-end funds, has lost 65 percent of its value this year.
“The market is now in need of positive news on the economy,” said HCMC-based investment fund An Phuc investment director Le Van Thanh Long, adding he expected the economy to remain gloomy over the next six months.
“The market is set to test a new low. I expect the VN-Index will fall below 300 points,” Long told Thanh Nien Daily.
He said the slightly stronger buying in the last two trading days of last week was a positive sign. “However, many investors are still standing on the sideline, waiting for share prices to drop more.”
Trading volume was a mere 10.8 million shares last Monday, 12 million last Tuesday and 10 million last Wednesday before rising to 15.7 million shares last Thursday and 17.6 million last Friday.
But Long said the level of 300 points or a little bit lower would offer investors a golden opportunity to buy shares at attractive prices.
FPT Securities Co.’s broker Nguyen Hai Son said last week’s stock market performance was dull because institutional investors weren’t buying. “They are worried about the capital gains tax, which will take effect in January next year,” Son said.
Under the Personal Income Tax Law, stock investors will have to pay tax of either 0.1 percent on every sale of securities or 20 percent on the whole year’s net profit.
Analysts from Kim Eng Securities Co. said domestic stock markets had tracked the US markets closely over the last three months. The company’s analysts predicted the VN-Index will slump to 250 points and the Hanoi exchange’s HaSTC-Index will hit 65 points if the US’s Dow Jones Industrial Average falls to 7,300.
The Dow Jones Industrial Average and Nasdaq in the US hit their lowest levels in more than five years last week and the broad-market Standard & Poor's 500 fell to its weakest since 1997.
Although the market ended Friday on a high note, with a big rally inspired by the news that president-elect Barack Obama had chosen New York Federal Reserve chief Timothy Geithner as Treasury Secretary, the losses for the week were still staggering.
In the week to Friday, Dow index tumbled 5.31 percent to 8,046.42.
Sell PPC, buy low-price shares
Pha Lai Thermal Power Joint Stock Company (PPC)’s announcement that it will delay a dividend payment this year triggered concerns about the company’s health.
The company, Vietnam’s largest listed power supplier, said on the exchange’s website last Wednesday it would struggle to pay dividend this year as its official-development assistance debts from the Japan Bank for International Cooperation (JBIC) had expanded as the Japanese yen strengthened against the dong.
JBIC loaned Pha Lai 36.2 billion yen at the end of last year, according to the Kim Eng Securities Co. The debt was then equal to VND5,153 billion (US$304 million) and the dong was only 142.34 per yen. The dong weakened to 174.84 per yen last Thursday.
“Pha Lai may suffer a loss of VND60.5 billion ($3.6 million) by repaying 1.86 billion yen in this quarter and may have to book a contingent liability of VND1.12 trillion ($66 million) for the remainder of the outstanding debt. The firm’s net profit in the first nine months of the year is a mere VND793.3 billion ($47 million), so its net profit for the year may be a minus figure,” said analyst Ngo Thuc Vu from Kim Eng Securities last Thursday. The dong reached VND178 per yen last Friday.
Stock website Vietstock, in which IDG Venture holds a 10 percent stake, has also predicted the VN-Index will fall to a new low this week.
Reported by Tuong Chau

Phu Quoc International Airport breaks ground





Construction of an international airport was started Sunday on Phu Quoc Island in southern Kien Giang Province.
The VND12,000-billion (US$704- million) Phu Quoc International Airport is located in Duong To Commune, more than 10 kilometers away from the current Phu Quoc Airport.
Phu Quoc International Airport is expected to serve about 2.65 million passengers and handle 8,600 tons of international goods and 5,700 tons of domestic goods annually by 2020.
When it becomes fully operational in 2030, the airport will be able to serve 7 million passengers and handle 27,600 tons of goods every year. It is expected to receive as much as 20 planes at peak hours.
The existing Phu Quoc Airport can only receive 248,000 passengers per year.
Speaking at the groundbreaking ceremony Sunday, Prime Minister Nguyen Tan Dung said Phu Quoc International Airport will expedite the development of Phu Quoc District, Kien Giang Province, the southern region and the whole country.
The project seeks to improve traffic infrastructure in the locality, enabling it to become a center for tourism and services and connect with other regions in Vietnam as well as other foreign countries for trade activities, Dung said.
Vietnam currently has three international airports based in Hanoi, Ho Chi Minh City and Da Nang City, along with 13 domestic airports.
Reported by Mai Vong

President flags food security commitment at APEC summit


Vietnam is willing to cooperate with other APEC members on food security through technical assistance and sharing of agricultural production experience and techniques.
President Nguyen Minh Triet delivered the message at the first APEC Leaders’ Retreat, which opened in the Peruvian capital of Lima November 22 (local time).
The meeting, chaired by Peruvian President Alan Garcia Perez, focused on the global financial crisis, the fluctuation of food and goods prices, and the Doha round of the World Trade Organization (WTO) trade talks.
Triet called on major economies of the Asia-Pacific Economic Cooperation (APEC) forum to open their markets, restore confidence, combat all forms of subsidy, accelerate the Doha Round of WTO talks, and continue giving priority to challenges related to poverty, diseases and the environment.
To assist developing economies implement the Millennium Development Goals, Vietnam and the Republic of Korea proposed that developed APEC economies should continue providing them with official development assistance (ODA).
At the meeting, APEC leaders adopted the Lima declaration on the global economy, with resolve to speed up financial reform in member economies, reform the international financial system, combat subsidy moves and push for the signing of a WTO agreement on tax reduction next month.
Earlier in the day, Triet held talks with representatives of the US Business Alliance at APEC, which was set up in 1993 to handle the US business operations with regional economic groups.
Triet affirmed that Vietnam always welcomes US businesses to the country.
Representatives of US businesses said they considered Vietnam a dynamic economy in APEC with a transparent investment environment.
Source: VNA

Private notary offices see sparse clientele




Gia Dinh Private Notary Office is visited by few clients
Poor promotion, lack of customer trust and rigid rules have hampered the operations of new notary offices in HCMC.
Sitting with a heap of documents on her lap, Ha Tuyet Mai awaited her turn to have paperwork authenticated at the state-run Notary Department No. 1 in Ho Chi Minh City’s District 1.
Mai told Thanh Nien she had to get up very early to join the long queue at the department which was overwhelmed with droves of customers. As she spoke, Mai pointed to the notary officers who were working at breakneck speed to handle the enormous piles of papers.
When asked why she didn’t go to a private notary office to expedite the authentication process, Mai said she was unfamiliar with the availability of such a service in the city.
“I have heard of [private notary offices] located in outlying districts, but my house is in District 1 so I opted to have the documents notarized here,” she said.
Unbeknownst to Mai, the private Saigon Notary Office and Gia Dinh Notary Office had both opened up in District 1 in early November.
The debut of a third private notary office in District 1 is also in the offing after it was recently granted permission by the HCMC government.
Of the eight private notary offices licensed in HCMC, five have already started operating since August.
But like Mai, many customers remain in the dark about the existence of such private branches.
“I suppose private notary offices would charge higher fees than state-owned ones,” said Phan Nhu Thanh, a client at the public Notary Department No. 4 in Tan Binh District.
In September, the Ministry of Justice had issued a dispatch requiring private and public notary offices nationwide to charge the same notary fees.
The Notary Law also said that private and public notary offices are organizations entitled to practice notary services in Vietnam equal under the law.
But since their debut, private notary offices have averaged fewer than 100 customers a day compared to the huge clientele at state-run departments.
The poor turnouts occur despite private notary offices taking great strides to improve their services across the board.
Heads of private notary offices admit they have not done the best job in promoting their services, but they also blame lack of trust from the general public for their sparse clientele.
Tran Quoc Phong, chief of Gia Dinh Notary Office, said one time a bank official had expressed doubt over the validity of documents notarized for a client under his watch.
“Private notary? It sounds strange. I wonder if this work is legitimate enough,” the official had said to the client.
“When such a state official is not convinced about the [private] authentication of documents, how can other people trust it?” Phong said.
Inflexible regulations
Private notary officers also have decried several rigid regulations which have hindered their daily operations.
An article attached to the Notary Law requires the working hours of private notary offices to be similar to those of public departments, meaning a private notary office is only allowed to be open from 8 a.m. to 5 p.m.
“Such a regulation constrains private notary offices from working overtime to expedite paperwork for clients,” the head of a private notary office in HCMC said.
“The authentication of a will can be made at anytime upon the request of customers,”
Phan Van Cheo, the former head of the state-run Notary Department No. 1, said. “But if the notarization is made outside of the official working hours, would it be considered illegal and declared null and void?”
Cheo has urged the Ministry of Justice to issue specific guidelines to help private notary offices out in this regard.
Le Hong Son, head of the Saigon Private Notary Office said bank regulations only approve mortgage documents notarized by state departments. These rules haven’t changed even with the debut of private notary offices.
“Several banks have insisted on rejecting documents authenticated by private notary offices,” Son said. “This policy scares away a large clientele for private notary offices.”
The Notary Law had come into effect last July. The move to privatize notary work came amidst fears that the 140 notary offices around the country, particularly those in large cities like Hanoi, Ho Chi Minh City, and Da Nang, were being overwhelmed by their workload.
Since July 25, the Hanoi municipal administration has granted licenses to 16 private notary offices in eight districts.
Private notary offices in Vietnam adopt the organizational models of European and American notary agencies.
To protect the public, private notary offices found violating regulations would be fined, asked to compensate clients, and be subjected to criminal charges.
Reported by Le Nga

Vietnam, Peru yet to meet cooperation potential, Triet says




Vietnam's Presidnet Nguyen Minh Triet (R) is greeted by Peru's President Alan Garcia
Vietnam and Peru need to boost economic cooperation to meet their potential said President Nguyen Minh Triet during a meeting with Peruvian President Alan Garcia Perez in Lima on November 21 (local time).
Triet was in the South American nation’s capital city to attend the 16th Asia-Pacific Economic Cooperation (APEC) Economic Leaders’ Meeting.
According to Perez, Vietnam and Peru have the potential to cooperate in major Vietnamese export fields such as oil and gas, electronics, cereals and food products.
He also spoke highly of Vietnam’s initiative in organizing the Vietnam-Peru Business Forum during Triet’s stay in Peru.
Triet invited his Peruvian counterpart to pay an official visit to Vietnam. Perez accepted the invitation, adding that he plans to make the visit next year with a business delegation in order to create an impetus for bilateral cooperation.
In the afternoon the same day, Triet attended the Vietnam-Peru Business Forum, which was jointly held by the Vietnam Chamber of Commerce and Industry (VCCI) and the Lima Chamber of Commerce (LCC).
Speaking before representatives of 200 businesses from both countries, Triet said Vietnam offered favorable and open investment conditions to foreign investors.
“The estimated US$60 billion in foreign investment that has poured into the country so far in 2008 is evidence of the attractive environment,” he said.
Triet and Peruvian first Vice President Luis Giampietri Rojas also witnessed the signing of a cooperation agreement between VCCI and LCC.
Source: VNA

Thursday, October 30, 2008

French Husband-Wife Pianist Duo to Play in HCMC




City’s Institute for Cultural Exchange with France (IDECAF) on Saturday (November 1).

French pianist Denis Evesque and his wife Agnès Huber-EvesqueThey will play masterpieces by Johannes Brahms, Franz Schubert, Darius Milhaud, Maurice Ravel, and Emmanuel Chabrier.Denis used to be a teacher at the Marie Curie High School in HCMC and director of Idecaf 37 years ago. He has toured many countries, including Switzerland, the UK, Ireland, Germany, Austria, Italia, Hungary, and Spain.Born in Hungary, Agnes graduated from the Gyor Conservatory. She then moved to Austria where she studied at the Music Academy in Vienna, obtaining a D.F.E. in 1974. From 1975 to 1979 she taught at the Vienna Municipal Conservatory and continued her piano studies at the Chigiana Academy in Siena.Since 1978 she has been performing along with Denis, participating in festivals in France and around Europe, notably the Austrian Summer Festival in Vienna, the Spanish Festival in Pal, and the “Flaneries Musicales” in Reims. Agnes has also been teaching the piano at France’s l’ Ecole Koenig school since 1997.Free tickets are available for the concert at Idecaf, District 1.
Vu Khanh

Free HCMC Clinic Succors Poor Patients


Nam Thanh Thanh That Clinic in Ho Chi Minh City’s District 1 is a familiar destination for poor patients. Its physicians treat them for free using traditional medicines.

Doctors of Nam Thanh Thanh That is examing poor patients.
When Sai Gon Giai Phong's reporter visited it, there were 10 patients standing in line to get treatment from the doctors.
Nam Thanh Thanh That , established in 1993, works three days a week.
Two years ago Nguyen Thi Hoang of District 1 had a surgery on her ovary. The poor woman did not have enough money for postoperative treatment.
She found out about this clinic from an acquaintance and went there to receive traditional medicines. She is now recovering and has not suffered any side-effects from the drugs.
Tran Cong Hoa from the same district told Sai Gon Giai Phong's reporter he had hypertension in 2004 and was paralyzed. Upon some neighbors’ advice, his family brought him to Nam Thanh Thanh That. After taking medicines for a year, he recovered and his family continued to take him to the clinic for physiotherapy.
Since he found it very hard to move, clinic's physicians also visited his house to provide acupuncture treatment.
Since the beginning of this year has improved so much that he now visits the clinic regularly to help other poor patients.
Followers of Cao Dai – A religion founded in Viet Nam -- have donated VND120 million (US$7,000) this year to the clinic to collect medicinal herbs.
By Huong Ly – Translated by H.Mien

Officials roll up sleeves to test eggs nationwide


Health agencies and businesses have been mobilized to test eggs for melamine after the chemical was detected last Saturday in eggs imported from China to Hong Kong.
Teams of officials from the Ministry of Agriculture and Rural
Development (MARD), the Ministry of Health and the Ministry of Trade and Industry will cull egg and animal feed samples at poultry breeding farms in Hanoi for tests today, according to Nguyen Cong Khan, head of the Health Ministry’s Food Safety and Hygiene Office.
The MARD’s team will cooperate with the office to test eggs in northern Lang Son Province and those from local farms, Nguyen Nhu Tiep, a food quality control official from the ministry, said.
In Ho Chi Minh City, the local office of the Animal Health Bureau also started testing eggs in the city for melamine Wednesday, bureau head Bui Quang Anh said.
After a Chinese dried egg powder brand was found by the World Health Organization to be contaminated, Khan said the food safety office is rushing to investigate whether all dried egg powder products have been certified as safe for consumption.
Meanwhile, egg distributors countrywide are striving to prove that their products are safe.
Pham Thi Huan, director of Ba Huan Company in HCMC, said egg consumption in the city has dropped by 10 percent though prices remain unchanged.
The company, which sells 50 percent of its eggs to the city’s supermarkets, has sent egg samples for testing as ordered by the city’s Animal Health Office and Health Department, Huan said, adding that the results will be announced in several days.
“I believe our products are not tainted with melamine because the whole process from farming to consumption is localized and monitored carefully,” she said.
A representative from CP Vietnam has also guaranteed the safety of its eggs, promising to have the results of tests released soon.
Truong Thi Kim Chau, deputy head of HCMC Animal Health Office, said all tests thus far at poultry farms haven’t revealed any melamine contamination.
“Consumers shouldn’t worry about buying eggs from well-known supermarkets and retailers,” Chau said.
Ba Huan, CP Vietnam and Vinh Thanh Dat are three prominent suppliers of eggs to Big C and Co.opMart supermarkets and they are regularly required by the chains to ascertain the quality and safety of their products.
Reported by Thanh Nien staff

Asia eyes mid-2009 launch for $80 billion emergency reserve

East Asian nations Friday committed to form an US$80 billion multilateral swap scheme by mid-2009 to shield the region from financial turmoil and agreed to aggressively pursue a regional surveillance agency.
Thirteen Asian countries, comprising the so-called ASEAN+3, also agreed to develop Asian bond markets by boosting a regional bond settlement mechanism as the region has been seeking to reduce dependence on western buyers of their debt.
“Leaders at the meeting agreed to hold a gathering of finance ministers and central bank governors before the December ASEAN+3 meeting to draw up detailed measures for financial cooperation within the region,” South Korea’s presidential office said in a statement.
“They also shared the view of expanding the existing bilateral currency swaps to prepare against various financial crises, and the need for nursing Asian bonds markets.”
Leaders of the Association of Southeast Asian Nations (ASEAN), grouping 10 Southeast Asian nations, held a breakfast meeting with China, Japan and South Korea just ahead of the October 24-25 Asia-Europe Meeting in Beijing.
A Japanese government official said separately that the leaders largely agreed that Asian economies are coping relatively well with the global financial crisis.
“But they said since the global financial turmoil could continue, they will need to continue monitoring closely whether there will be a further impact on Asia,” the official added.
At the informal gathering, called ad-hoc because of growing concerns about the worldwide financial crisis, Asian leaders agreed to speed up cooperation to form the widened pooling scheme by the first half of next year, South Korea said.
The 13 nations agreed in May to expand the reserve pooling scheme, taking them a step closer to creating an Asian monetary fund, which has gained support in the region as the financial sector turmoil dampens growth.
The multilateral scheme will replace the existing arrangement of mainly bilateral currency swaps, called the Chiang Mai Initiative.
The agreement will give participating nations access to a foreign exchange reserve pool of at least $80 billion in the event of a financial emergency.
South Korea, China and Japan have agreed to provide 80 percent of the money, with ASEAN pooling the remainder. They are discussing each country’s contribution ratio and how to manage it.
ASEAN groups Cambodia, Malaysia, Indonesia, Singapore, Vietnam, the Philippines, Laos, Thailand, Myanmar and Brunei.
Source: Reuters

Indonesia to hold talks with Malaysia, Vietnam on commodities

Indonesia, the world’s biggest producer of palm oil and Asia’s second-largest for coffee, plans to hold more talks with Malaysia and Vietnam in a bid to stem price declines.
“We have discussed this on a bilateral basis,” Indonesian Agriculture Minister Anton Apriyantono told reporters on Sunday, referring to measures to support commodity prices.
Robusta coffee is down 41 percent from its US$2,815 a ton peak on March 6. Vietnam is the world’s largest grower of robusta coffee.
Palm oil, used for cooking and as an alternative fuel, plunged 69 percent from its record 4,486 ringgit ($1,253) a ton on March 4 as crude oil slumped and on concern the world was heading toward recession, which would reduce demand for raw materials.
Malaysia is the world’s second-biggest producer of palm oil.
Apriyantono met counterparts from members of Association of Southeast Asian Nations (ASEAN) in Hanoi last week. He invited Malaysian Plantation Industries and Commodities Minister Peter Chin Fah Kui to Jakarta “to solve the problems of palm oil and rubber,” he said.
Indonesia and Malaysia are promoting biofuel use to support palm oil prices.
Source: Bloomberg

Working women hold key to world prosperity


A pitbull with lipstick may not be every woman's idea of a role model.
Indeed, many liberal women hate everything arch-Republican U.S. vice presidential candidate and self-proclaimed hockey mom Sarah Palin stands for, even as conservatives are enamored by her down-to-earth leadership style and jokes such as one comparing hockey moms to attack dogs with lipstick.
But like her or loathe her, women around the globe are fascinated by Palin's juggling act as an aspiring Vice President, governor of Alaska and mother of five.
Combining a career with motherhood is a battle familiar to millions of working women who are often accused of failing to look after their children properly.
"It's seriously stressful having a family and holding down a career. I often feel guilty," said Gill Thomas, a 43-year-old lawyer with a 2-year-old daughter and 5-year-old son.
"Childcare is alright until the kids are sick. That's when it's a nightmare and I do feel as if colleagues, family and friends sometimes disapprove of my lifestyle."
Getting women to have children and work poses a conundrum for governments who have begun to realize that women hold the answer to the dual challenges of achieving long-term economic growth and boosting sagging birth rates.
Closing the gap between male and female employment would dramatically boost the economies of OECD countries -- by up to 13 percent in the euro zone and even more in Japan, say Goldman Sachs economists.
"This is an issue that is agitating policymakers across the world," said Alison Maitland, a UK-based academic and writer specializing in women in business.
"There is a huge gap between women's talents and skills and the use of that potential. It requires a concerted effort by governments and the private sector in collaboration," she said.
What's more, nations with a high proportion of women in work, such as the Nordic States and France, tend to have high birth rates. Meanwhile, countries with fewer working women, such as Italy and Japan, often have lower birth rates.
"RAVEN MOTHERS"
On the face of it, Germany, which three years ago elected Angela Merkel as its first female chancellor, is a positive example, as it has a relatively high share of women in the labor force compared to other OECD nations.
But a deeper look tells a different story.
Not only do 20 percent of women aged 25 to 54 work less than 20 hours a week but the maternal employment rate is below the OECD average, says Frankfurt-based Deutsche Bank analyst Claire Schaffnit-Chatterjee.
Merkel, who has no children, exemplifies this trend which may help explain why women account for only a quarter of Germany's senior managers and a third of its federal lawmakers.
On top of that, Germany's birth rate is one of the lowest in the EU.
The government, alarmed at the demographics which mean a shrinking labor force and growing dependence on immigrant workers plus ballooning pension and healthcare costs, now offers financial incentives for women to have more babies.
But changing entrenched attitudes poses perhaps an even bigger challenge to the government.
Until 1957, married German women needed their husband's permission to take paid employment, and working mothers are often derided as "Rabenmuetter" or "raven mothers," suggesting they push their young out of the nest too early.
"It is deeply engrained in German culture that the mother should mainly look after childcare," said Deutsche Bank analyst Schaffnit-Chatterjee, who had to delay returning to work due to a lack of appropriate childcare.
Women who plan to return to their careers when their children start school are stymied by a school system that makes it hard for mothers to hold down full-time jobs.
"Mothers get a real shock when children start school as they mainly finish in time for lunch at home," Schaffnit-Chatterjee added, noting also that schools sometimes send children home if their teacher is sick, assuming mothers are on hand.
The old adage about the role of women: "Children, Church, Kitchen" still rings true for a large number of Germans, men and women alike.
In the last few years, Germany has raised the number of nursery places on offer and provided higher child benefits, but the steps have mainly been aimed at getting women to have more babies rather than encouraging mothers back to work.
Experts say this is the wrong approach and governments need a comprehensive range of policies that do both.
SUBSIDISED CHILDREARING
"Governments throwing money at subsidized childrearing does not work," said Maitland, noting that Japan had also tried that path and failed.
"It's not what women want to do. These governments just don't get that women want to work."
Forced to choose, women in developed countries tend to opt for work over children, say economists, and those who do not work have less money, itself an obstacle to having a family.
"I enjoy my job, which involves a lot of travel, and although there hasn't been a conscious choice, I have focused on work over the years and now I doubt I'll have children," said Lucy Ward, 39, who works at a marketing company in London.
Andrea Bassanini, senior economist at the OECD in Paris, says, however, that governments can change attitudes.
"Policy can certainly affect culture," he says, citing Nordic countries, which have the highest proportions of working women and have recently stabilized falling birth rates.
"These countries decided their tax system would work better with two earners in a family rather than with one breadwinner and they developed a system that put women into work," he said.
"At the start there wasn't total support for the system, now the changes are deeply entrenched."
The culture has changed so much that Iceland has just appointed women to head two of its main banks after the collapse of its male-dominated financial system.
First, governments have to make sure good and affordable childcare is available as without that, few mothers will even consider leaving their offspring to go to work.
Tax is also important. Bassanini says countries need at least a tax-neutral system for second earners. Some experts even advocate a gender-based system to encourage women to work more.
FRENCH BABIES
It is not only the Nordic countries that are a model.
France, with a relatively high birth rate, has family policies that are conducive to getting women working, including generous parental allowances and good, state-subsidized childcare.
Experts say that system could be a model for the 27-nation EU which is trying to extend fully paid maternity leave and protect jobs for women who take leave.
More women in the prime of their life now work in France than in Germany, the United States and Britain, says the OECD.
But women who successfully juggle work and children still contend with criticism for, on the one hand, devoting too little time to their children, and on the other, not taking their jobs seriously enough when they stay home to look after sick children.
Even Palin faced stinging criticism for running for the vice presidency when she has a baby with Down's syndrome.
"When I talk about something my kids have got up to, my male boss crack jokes about how I'd be better off at home. It's offputting," said a female professional in Germany who requested anonymity.
Nevertheless, campaigners are mostly heartened by developments in the last few decades and by the wealth of role models young women now have -- from Hillary Clinton and Sarah Palin in the United States to Germany's Merkel, former French presidential candidate Segolene Royal and French Justice Minister Rachida Dati, who is a pregnant single-mother-to-be.
"Whatever kind of models they are, the main thing is that they are there and our daughters are seeing them," said Avivah Wittenberg-Cox, head of gender consultants 20-First.
"These days, girls have models to choose from -- a few years ago we had (former British Prime Minister) Margaret Thatcher -- but no young women wanted to emulate her."
Source: Reuters

Global rice demand tipped to rise


Demand for rice will increase because the economic slowdown will force poor people to eat more in place of meat, said Robert Zeigler, director-general of the International Rice Research Institute.
Increasing consumption will keep pushing up prices, he said in an interview with Bloomberg Television Tuesday.
Rice, the staple food for three billion people, has climbed 29 percent in the past year to US$15.38 per 100 pounds. The price reached a record $25.07 on April 24 as Vietnam, India and Egypt curbed exports to protect domestic stockpiles and cool prices. The gains contributed to food riots around the globe, from Haiti to Egypt.
“When the global economy is in recession, buyers get more frugal,” said Kiattisak Kanlayasirivat, Managing Director of I.C.C. Trading (Thailand) Ltd., which sells rice to Africa. “They will likely turn to rice as it’s cheaper than meat.”
The credit crunch is compounding a profit squeeze for farmers that may curb global harvests and worsen a food crisis for developing countries, analysts say.
“The price has been rising steadily” since 2000 because “we’ve failed to invest,” Zeigler said. “The financial crisis suggests we may not turn those investments around and that leads me to the inescapable conclusion that upward pressure” on prices will continue, he said.
More hunger
The number of hungry around the world is at risk of increasing as the lending slump cuts investment in agriculture and crops, according to Abdolreza Abbassian, secretary of the Intergovernmental Group on Grains at the United Nations Food and Agriculture Organization in Rome.
“If fertilizer remains expensive and importers are unable to get credit to buy it, that has an immediate impact on production,” Zeigler said. “If credit is not available for infrastructure, such as maintaining irrigation, the long-term impact is very negative.”
Thailand Wednesday cut the benchmark export price of white rice by 5.9 percent to the lowest since March 26, according to Sompetch Anuchon, an official with the Thai Rice Exporters Association.
The price of 100 percent grade B rice was set at $625 a ton, compared with $664 last week, Sompetch said. The rice fetched an average $336 a ton in October last year.
Still, supplies have been increasing in producing countries as farmers plant more in response to rising prices.
Thai sale
Thailand, the world’s biggest exporter, may sell rice from state reserves at a loss because it must empty warehouses before the next crop arrives, Commerce Minister Chaiya Sasomsup told reporters last Friday. The country began stockpiling rice earlier this year to secure supplies as prices reached records.
Vietnam, the world’s second-largest shipper of rice, has proposed slashing export duties to zero, Ha Noi Moi newspaper said on October 21, citing an unidentified official. The country imposed a tax on exports in July on concern there would be a shortage.
Indonesia may export as much as 2 million tons of rice in 2009 as production increases because of better seeds, Agriculture Minister Anton Apriyantono said in an interview on October 13. That would be the most in at least 50 years, according to US Department of Agriculture figures.
Source: Bloomberg

Palin remains focused on November 4: report


Republican presidential candidate John McCain may be down in the polls, but running mate Sarah Palin remains focused on winning the White House, ABC News said Wednesday.
Asked about 2012, whether she was discouraged by daily campaign attacks and whether she would return home to Alaska, the Republican vice presidential nominee said she was focused on defeating Democrat Barack Obama next week.
"I think that, if I were to give up and wave a white flag of surrender against some of the political shots that we've taken ... I'm not doing this for naught," Palin told ABC News in a taped interview airing on Thursday.
A campaign spokesperson said Palin was talking about being focused on winning the White House this year and is not going to quit despite her critics.
In its initial report on the interview, ABC said Palin was looking ahead to the 2012 election cycle, regardless of the outcome of the November 4 vote.
ABC issued a revised release after the McCain campaign clarified Palin's comment.
With less than a week before Election Day, Palin told ABC she believes in the current Republican presidential ticket and that she thinks "it's going to go our way on Tuesday, November 4."
"I truly believe that the wisdom of the people will be revealed on that day," she said.
Palin has energized the Republican base of supporters. But she has come under withering criticism on a variety of issues, including whether she is qualified to become vice president.
Source: Reuters

Wednesday, October 29, 2008

Obama keeps five-point lead on McCain


Democrat Barack Obama holds a five-point lead over Republican John McCain, with little immediate indication their final public debate did much to sway the presidential race, a Reuters/C-SPAN/ZOGBY poll showed Friday.
Obama's edge over McCain held steady at 49 percent to 44 percent among likely U.S. voters in the four-day tracking poll, unchanged from results before the two men met on Wednesday for their third and last debate before the November 4 election.
The poll of 1,210 likely voters had a margin of error of 2.9 percentage points.
Pollster John Zogby said Friday's results -- in which the most recent day's results are added and the oldest day's results are dropped in an effort to measure changing momentum -- may not reflect the full impact of the debate.
"Only one-quarter of this sample is post-debate, so we'll have to wait a few more days to see," he said. "We'll have to look tomorrow to see if there was any McCain boost at all."
Quick polls taken after Wednesday's debate judged Obama the victor, joining a string of surveys that show him ahead both in national polls and in most of the battleground states where the presidential election will be decided.
Obama, 47, has focused on the economy while on the campaign trail, appealing to voters buffeted by the global credit crisis and wild stock market swings on Wall Street.
McCain, 72, has sought to deliver his own economic message, along with aggressive attacks on Obama, but has failed to gain traction among crucial independent voters.
Obama held a 19-point lead in this group on Friday, up 5 points from Thursday's figures.
"It would seem the independents are solidifying around Obama, which would be important," Zogby said.
Other national polls have given Obama a double-digit overall lead, although most have him in a range of 2 to 9 points ahead.
Both candidates continue to do well with their core supporters, with Obama winning nine of every 10 black voters and a holding a 10-point lead among women voters.
McCain held a narrow 1-point lead among male voters and a larger 12-point lead among whites.
Independent Ralph Nader drew 2 percent support in the poll, while Libertarian Bob Barr got 1 percent, both unchanged from Thursday.
The U.S. president is determined not by the most votes nationally but by a majority of the Electoral College, which has 538 members allotted to all 50 states and the District of Columbia in proportion to their representation in Congress.
Source: Reuters

Buffett's 'buy now' call gets lukewarm reception

Warren Buffett tried to persuade demoralized investors the U.S. stock market is not falling off a cliff. Not everyone was immediately convinced.
The second-richest American and perhaps the world's most revered investor, says he is buying U.S. stocks for his personal account.
"A simple rule dictates my buying: Be fearful when others are greedy and be greedy when others are fearful," Buffett, 78, said in an opinion piece published Friday in The New York Times. "Most certainly, fear is now widespread."
As usual, he did not identify the stocks he is buying.
The piece -- titled "Buy American. I Am" -- called for confidence in U.S. business, something in short supply after the credit crisis spiraled into something resembling a market crash. Buffett has been relatively unscathed by the turmoil.
His buying excludes his stake in his insurance and investment company Berkshire Hathaway Inc (BRKa.N)(BRKb.N), which is committed to philanthropies and constitutes the bulk of his estimated $50 billion net worth.
He said if equities stay cheap, his non-Berkshire net worth will soon be 100 percent in U.S. stocks from 100 percent in government bonds.
In better times, such a clarion call from Buffett -- amplified Friday by repeated commentary on CNBC -- might spark a big stock market rally. Yet stocks ended another volatile session lower on Friday, after fresh economic data elevated worries about a potentially deep recession.
Buffett said he is not calling a market bottom. He may have company, including prominent investors such as GMO's Jeremy Grantham and BlackRock Inc's (BLK.N) Bob Doll who are betting equities have fallen below their intrinsic values.
HUGE STATEMENT
Yet equity investors appear resistant to efforts to unlock credit markets and shore up economies, which if they work could help extract stocks from their abyss.
Almost daily reassurances from President George W. Bush and Treasury Secretary Henry Paulson often seem to fall on deaf ears. A reworking of a $700 billion emergency U.S. rescue failed to soothe frazzled nerves. The Wall Street Journal said even prominent hedge fund managers are hoarding cash.
Ordinary Americans are worried, too. U.S. consumer confidence in October suffered its steepest monthly drop ever, the Reuters/University of Michigan Surveys of Consumers released on Friday shows.
The longer-term impact of Buffett's new approach to investing for himself remains to be seen.
"It is a huge statement. He does not come out and make statements of this kind very often," said James Armstrong, president of Henry H. Armstrong Associates in Pittsburgh, which invests one-fifth of its assets in Berkshire.
"Stock market volatility, demonstrated by lemming-like behavior of investors who drive the Dow Jones average down 700 one day and up 700 some other day, is patently stupid," he said. "If you have a time horizon measured in years rather than hours, you will do very well with U.S. equity investments."
ATYPICAL DOWNTURN
Buffett said stocks should turn higher before sentiment or the economy do. That is what happened in the summers of 1932 during the Great Depression and 1982 during a deep recession.
Like virtually all investors, Buffett said he cannot forecast short-term stock movements. But he said equities will probably substantially outperform cash in the next decade.
Still, going 100 percent into stocks is not wise for a typical 78-year-old, especially one who depends on investment income for living expenses. Buffett is, of course, not the typical 78-year-old and lives more than comfortably.
Even Berkshire's own equity portfolio is no model of diversity. About 42 percent was tied up as of June 30 in just four stocks: American Express Co (AXP.N), Coca-Cola Co (KO.N), Procter & Gamble Co (PG.N) and Wells Fargo & Co (WFC.N).
And stocks do not always go up over extended periods. Bearish investors might point to the 1929-1954 period, when U.S. stocks essentially gained nothing.
"His position is probably the opposite of what someone close to his age should be doing: keep more of their money in Treasuries," said Charles Geisst, a finance professor at Manhattan College and the author of "Wall Street: A History."
"I understand the sentiment, but this situation is unlike anything we've seen since 1932," he added. "In downturns such as 1987 and early this decade, we never had a real clear view of what caused markets to go down. In this case, we have much too clear a view. This is the first time we've seen systemic problems affect the markets since the Great Depression."
OUT OF STEP?
Buffett often appears out of step with the market.
For example, at the height of the technology bubble, Berkshire shares fell 20 percent in 1999, while the Nasdaq (.IXIC) rose 86 percent. Berkshire's book value per share barely budged, while the Standard & Poor's 500 index (.SPX) rose 21 percent. In his annual letter to Berkshire shareholders, Buffett gave himself a "D" for capital allocation.
In moving to stocks, Buffett is aligning his own holdings with some of the moves he has already made at Berkshire.
The Omaha, Nebraska-based company has derivative contracts that require payouts only if the S&P 500 is lower more than a decade from now than when the contracts were written.
In the last month, Berkshire invested a total of $8 billion in General Electric Co (GE.N) and Goldman Sachs Group Inc (GS.N) preferred stock, all with a 10 percent dividend, and got warrants to buy an equal amount of common stock at a discount. Given the attractive terms, some saw these as opportunistic investments rather than a signal of a market bottom.
Berkshire has also made several multibillion dollar commitments this year for acquisitions and corporate buyouts.
Geisst said many investors have much shorter time horizons than they once did and expect bad markets to be followed by stronger ones very quickly. That may not happen this time, given the potential for a long economic recession, he said.
But Buffett said buying stocks now is better than trying to time markets and guess when a turnaround will happen.
Referring to arguably the greatest hockey player ever, he wrote: "In waiting for the comfort of good news, they are ignoring Wayne Gretzky's advice: 'I skate to where the puck is going to be, not to where it has been.'"
Source: Reuters

Signs of foreign investors withdrawing capital: expert


VietNamNet Bridge – There are signs that foreign investors are trying to sell stakes and purchase dollars to transfer abroad. Foreigners’ dollar purchases have pushed the dollar price up in the last few days, according to Dr Cao Sy Kiem, a member of the National Advisory Council for Monetary Policies.

Could you please tell us more about the signs of foreign investors withdrawing capital?


Recent happenings show that foreign investors have been trying to withdraw capital from both direct and indirect investments to save their home economies. Foreign investors have been trying to sell stakes and buy dollars to transfer home. The large purchases of dollars by foreign investors have led to the more expensive dollar and weakened VND purchasing power.

Do you think that there is a link between foreign investors’ stock market sales in recent days and the revaluation of the dollar?

Yes, I do. I think this is the reason behind the dollar fever the last few days.

Did the 1997-1998 Asian financial crisis originate from the massive withdrawal of capital made by foreign investors?

The current situation is far different from the circumstances in which the 1997-1998 crisis occurred. At that time, Thailand fell into a crisis because it had mobilised a lot of short-term capital from foreign sources, which made it unable to make payments when investors withdrew a huge quantity of capital. At that time, Vietnam’s economy was not very open, which allowed it to avoid the crisis. However, our economy is more open now. We have mobilised capital from all over the world and will have difficulties when the world’s economy has problems.

Do you worry that foreign investors will continue withdrawing capital?

We will face certain difficulties if foreign investors make big capital withdrawals, and the withdrawals become a trend.

What should we do to deal with the problem? Should we take measures to control the capital withdrawals?

The key problem now is the weakening global economy. In some cases, foreign investors have to withdraw capital in Vietnam to protect their benefits in their home countries.

I think there are two measures. First, trying to persuade foreign investors to have confidence in Vietnam with the country’s economic and financial certainties. Second, we need to increase the investment yield of Vietnamese securities so that foreign investors find it more profitable to keep investments in Vietnam.

Nguyen Son, Head of the Market Development Division under the State Securities Commission (SSC), said that if the market falls for another one or two trading sessions, SSC will intervene in the market.

The VN Index yesterday lost 5% (15.83 points), falling to 329.28 points, while the HASTC Index dropped to 105.19 points (- 6.39 points).

Explaining the sharp falls, Nguyen Mien Tuan, General Director of Rong Viet Securities Company, said that domestic investors have been heavily influenced by the big sales of foreign investors. Meanwhile, the gloomy world’s stock markets have also prompted investors to sell stakes.


(Source: NLD)

Party leader emphasises importance of ties with China


VietNamNet Bridge – Relations between the Communist Parties of Vietnam and China will play an important role in implementing the comprehensive strategic cooperative partnership between the two countries.
General Secretary of the Communist Party of Vietnam’s Central Committee (CPVCC) Nong Duc Manh made this statement while receiving Zhou Yongkang, a member of the Standing Committee of the Political Bureau of the Communist Party of China’s Central Committee, in Hanoi on Oct. 29.The two parties should aim to increase exchanges and the sharing of information and experience between Party Central Committee bodies, particularly regarding theoretical work, in order to enhance the leadership roles of the two parties, Manh said.He stressed that developing the comprehensive strategic cooperative partnership between the Parties and States of Vietnam and China will serve to meet the basic interests and common wishes of their people, helping to nurture and expand the traditional and perennial friendship founded by Presidents Ho Chi Minh and Mao Zedong, and fostered by subsequent leaders of the two countries.The Party leader described Zhou’s trip and Prime Minister Nguyen Tan Dung’s recently official visit to China as milestones in deploying the comprehensive strategic cooperative partnership between Vietnam and China.In reply, Zhou said China places great importance on developing its cooperation and traditional friendship with Vietnam, noting that his visit aims to realise a number of agreements reached by the Chinese and Vietnamese Party leaders. He went on to say that he plans to attend the forthcoming theoretical seminar organised by the two Parties. Earlier the same day, Zhou held talks with Truong Tan Sang, Politburo member and permanent member of the Secretariat of the CPVCC. The two sides held in-depth discussions regarding measures to strengthen bilateral relations and implement the Vietnam-China comprehensive strategic cooperative partnership, as well exchanging views on a number of international issues of mutual concern.
(Source: VNA)

VietNamNet Bridge – The Viet Nam National Oil and Gas Group (PetroVietnam) has submitted a proposal to the Government to lower its annual crude oil exploitation output target from 16.2 million tonnes to 15.5-16 million tonnes.


According to the General Statistics Office (GSO), crude oil in the world market decreased 20 per cent in October.PetroVietnam said it was requesting the target adjustment due to difficulties in exploitation, especially for overseas oil fields.
PetroVietnam affirmed that the change was not related to the decreasing trend of world crude oil prices over the past month, which have been attributed to restricted demand caused by the global financial crisis. According to the General Statistics Office (GSO), crude oil in the world market decreased 20 per cent in October.
PetroVietnam deputy general director, Do Van Hau, said the group would still implement its exploitation plans in a move to help increase the State budget and to rein in inflation.
The GSO reported that, despite falling prices, crude oil remained the country’s biggest export earner in the first ten months of the year, with 11.2 million tonnes exported and nearly US$9.5 billion generated, accounting for 17.6 per cent of the country’s total export turnover.
Meanwhile, economists recommended that PetroVietnam reconsider its exploitation output and export volume since world oil prices were sharply falling and the nation’s natural resource are restricted.
Despite the Organisation of Petroleum Exporting Countries (OPEC)’s decision to cut exploitation output late last week, oil prices in the world market have continued to decline.
On Monday, in Asian trading, light sweet crude oil for December delivery in a contract with New York dipped to $61.30 per barrel, a level last seen in May 2007. Brent North Sea crude oil for December delivery also sank, bottoming out at $59.02 per barrel, its lowest point since February 2007.
Yesterday, prices rose to $63.90 for a barrel of light sweet crude for December delivery and $62.15 for a barrel of Brent North Sea crude.
(Source: Viet Nam News)

SBV checks out lending portfolios


VietNamNet Bridge – The State Bank of Viet Nam (SBV) yesterday asked its own branches, as well as all Vietnamese banks, joint venture banks and foreign banks in Viet Nam to report credit activities, outstanding loans and lending interest rates of the dong.


According to SBV statistics released last Friday, State-owned banks generally charged loans at 18.5 per cent per year, down 0.5-1.7 percentage points. Banks must show the percentage of loans charged at over 19.5 per cent, at 18-19.5 per cent, at 17-18 per cent and under 17 per cent per year as of yesterday.
The latest order by the central bank was designed to ensure domestic banks create favourable conditions for cash-strapped local companies to access bank loans. Central bank branch directors must report the credit status of enterprises, businesses, households and banks in each province/city to the State Bank. These directors must include information about loan structures, loan duration and the total number of outstanding loans as of October 25. SBV bank branches must report the number of approved loan applications out of the total number of applications for October, including an explanation for rejected applications.
All reports must be received by the State Bank no later than Thursday.
Last week, the central bank signalled a somewhat looser monetary policy, doubling interest rates to 10 per cent annually for compulsory commercial bank reserves and paying off treasury notes worth VND20.3 trillion (US$1.22 billion) issued to local banks in March.
The move was intended to help domestic banks increase funds to cut lending interest rates. However, several provinces and business associations reported via the State Bank’s hot-line that it was still difficult to get bank loans because the bank’s interest rate reduction was not enough.
According to SBV statistics released last Friday, State-owned banks generally charged loans at 18.5 per cent per year, down 0.5-1.7 percentage points. For preferential customers, lending interest rates stretched from 16.8 to 17.2 per cent annually. Joint stock banks generally cut lending rates by 0.5-1.0 point to under 19.5 per cent per year.
(Source: Viet Nam News)

Millionaires losing billions in VND due to falls in stock price


VietNamNet Bridge – The VN Index has been continuously creating new bottom lines, making billions of VND in the stock market belonging to a large number of millionaires ‘vanish into the air.’ In the last year, the index fell from 927 points on December 28, 2007 to 322 on October 28, 2008.


Investors are worried about the stock price decreasesDang Thanh Tam, Chairman of the Saigon Investment Group, who topped the VN Express newspaper’s 2007 list of 100 stock millionaires, is holding 45 million KBC shares and 5 million ITA shares, which means he now has the stock assets of VND 2.4 billion, a decrease of VND 3.9 billion from the end of 2007.

Truong Gia Binh, Chairman of the Management Board of the Corporation for Financing and Promoting Technologies (FPT), who topped the 2006 list with 7.6 million FPT shares, now has VND 500 billion, which means VND 1.2 billion has disappeared after 10 months.

Though Hoa Phat Group has been performing well with the profit of VND 1.1 billion in the first nine months of 2008, but Hoa Phat Chairman Tran Dinh Long has still lost VND 1.8 billion when his shares’ values dropped from VND 3.5 billion to VND 1.6 billion.

Doan Toi, Chairman of the Management Board of Nam Viet Joint Stock Company, who is holding 30 million ANV shares worth VND 2.64 trillion at the end of 2007, has seen his assets drop to VND 600 billion.

Toi’s colleague, Truong Thi Le Khanh, Chairwoman of Vinh Hoan Seafood Joint Stock Company, has 18 million VHC shares which were worth VND 1.1 trillion in early 2007, and are now worth VND 370 billion.

The assets of Chairman and General Director of the leading securities company Saigon Securities Incorporated (SSI), Nguyen Duy Hung, have also been estimated to have undergone the loss of several billions in VND due to the sharp falls of SSI shares.

A lot of big names, who are the key shareholders of listed companies, holding the blue-chips, and once were listed in the top 20 stock millionaires, such as Nguyen Duc Kien (Asia Commercial Bank - ACB), Dang Van Thanh (Sacombank), Tran Le Nguyen (Kinh Do Group), and Dang Hoang Yen (Tan Tao Industrial Zone Development Company - ITA), have also lost hundreds of billions in VND due to the dramatic falls in stock price.

Chairman of Hoang Anh Gia Lai Group, Doan Nguyen Duc, has also seen his assets decrease by VND 12 trillion, compared to the time when he sent words of his plans to buy the Arsenal Club. Duc holds 65 million of unlisted Hoang Anh Gia Lai shares. More than one year ago, the shares were traded at VND 240,000/share, but now they are trading at VND 60,000, which means that Duc’s total assets have fallen to VND 4 trillion.

Duc is still listed among the richest people in Vietnam. He is the only man in Vietnam who has a private aircraft.

Though the assets of the businessmen have decreased considerably, they are still listed as the richest people in Vietnam.

Most of the enterprises managed by the businessmen have earned big profits in the first nine months of the year. Hoa Phat, for example, gained a profit of nearly VND 1.1 billion, FPT gained VND 850 billion, ACB earned VND 1.4 billion, ITA earned VND 580 billion, and ANV earned VND 250 billion.

Big businessmen around the world have also seen their assets become smaller. Bloomberg has reported that Russian billionaires have lost US $230 billion just within five months, from May 19, 2008 to October 6, 2008 as the Russian financial market has fallen into the worst crisis it has seen in the last 10 years.

Roman Abramovich of the Chelsea Club has lost nearly US $20 billion, while the richest Russian person, Deripaska, has lost over US $16 billion.

Hundreds of billionaires have disappeared from the Forbes list of the richest people in the world due to the world’s financial chaos.
(Source: Tien phong)