Vietnam 

Banks hold auctions to cut bad debts – Economy – Vietnam News | Politics, Business, Economy, Society, Life, Sports

Agribank headquarters in Hà Nội. Agribank AMC will hold an auction on February 27 to sell assets from Đại Việt Company. – VNA/VNS Photo Viet Nam News HÀ NỘI – Some banks are putting assets secured with non-performing loans worth hundreds of billions of Vietnamese đồng up for auction in the first days of the Lunar New Year to speed up the resolution of bad debts. Most non-performing loans (NPLs) are attached to assets borrowers bought or created thanks to these loans, including real estate, factories, enterprises, industrial clusters and…

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Vietnam 

Agribank must go IPO by 2020, clear all bad debts – Economy – Vietnam News | Politics, Business, Economy, Society, Life, Sports

Deputy Minister Huệ addresses a working visit to state-run Agribank on Monday. He demanded Agribank launch an Initial Public Offerings (IPO) by 2020. — Photo anninhthudo.vn Viet Nam News HÀ NỘI — The Vietnam Bank for Agriculture and Rural Development (Agribank) must resolve all non-performing loans kept at the Việt Nam Asset Management Company (VAMC) soon, said deputy PM Vương Đình Huệ. Huệ made the statement during his working visit to the state-run bank on Monday. He also demanded Agribank to launch an Initial Public Offering (IPO)…

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China 

You thought 2018 was bad for China’s stock market? Profit warnings suggest worse may be yet to come

Last year was a dreadful one for mainland Chinese equities as a slowdown in economic growth and the trade war with the US combined to crush market sentiment. The bad news for investors is that the worst may be yet to come. Preliminary announcements showed that 390 companies listed on China’s bourses are set to report a combined loss to the tune of 330 billion yuan (US$49 billion) for 2018. That means the total loss for the country’s listed firms is on track to be three times greater than a…

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Vietnam 

Banks see bad debt ratio drop – Economy – Vietnam News | Politics, Business, Economy, Society, Life, Sports

Viet Nam News HÀ NỘI — The number of non-performing loans (NPLs) at many banks has decreased dramatically in the past few months, with some even posting a decline of more than half. According to banks’ financial reports, by the end of 2018, total NPLs of 15 banks, including VPBank, Vietcombank, Sacombank, MBBank, Techcombank, VIB, LienVietPostBank, ACB, ABBank, TPBank, PGBank, BacABank, VietBank, Saigonbank and Kienlongbank, dropped by 17.7 per cent against the end of the third quarter of 2018 to more than VNĐ34.81 trillion (US$1.48 billion). The…

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China 

Bad start continues for China economy as private data shows manufacturing activity weakest since 2016

China’s factory activity contracted for a second consecutive month in January, with the pace of the downturn picking up speed, due in large part to the effects from the ongoing trade war with the United States. The Caixin Purchasing Managers’ Index (PMI), which tracks the activities of small- and medium-sized manufacturing enterprises, fell to 48.3 from 49.7 in December, well below the 49.5 reading analysts expected in a Reuters poll. The January reading is the lowest since February 2016. Readings below 50 indicate that manufacturing sector activity contracted during the…

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Home 

China’s economic reforms are working. The bad news is the pain may get worse

The Chinese economy ended 2018 on a weak note, but not so weak that people now fear growth will fall off a cliff. Gross domestic product growth in the fourth quarter clocked in at 6.4 per cent, the weakest since the first quarter of 2009, but in line with market expectations. The quarterly growth profile, which shows a persistent weakening trend – from 6.8 per cent in the first quarter, to 6.7 per cent, 6.5 per cent and now 6.4 per cent – is indicative of the harsher conditions facing…

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Home 

European politics is in flux, but the news is not all bad for investors

Asian investors have shied away from Europe in recent years, because of the perception of political problems in the region, dating back to the Greek debt tragedy in the early 2010s. The Brexit referendum in 2016 has led to a massive political headache for the British government. More recently, the “yellow jacket” protests in France and the stand-off between Italy and the European Union over its budget deficit have also captured the headlines.  Historically, the relationship between European politics and market performance is far from clear. The best example is…

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China 

Beijing redoubles efforts to quell fears about state of the Chinese economy as bad news piles up

Beijing has stepped up efforts to reassure the public that the economic slowdown is under control, as the country deals with its slowest growth in decades amid an ongoing trade war with the US. The Chinese government organised two back-to-back press conferences in the last two days, with senior officials from six powerful ministries voicing confidence in the prospects of world’s second biggest economy and providing Beijing’s explanation on negative economic news such as the first year-on-year fall in car sales in nearly three decades and job market stress. Trade…

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China 

China trade data worse than expected, bad news for economy

China’s export and import figures were much worse than expected in December, underscoring the rapid weakening of the Chinese economy. Monday’s figures suggest the negative impact of the trade war may be greater than Chinese authorities have previously estimated, and suggest the need for a more rapid and larger economic stimulus is needed to stabilise growth. Total exports fell to US$221.25 billion in December, down 1.4 per cent from last month, and 4.4 per cent from the same month in 2017, according to data from China’s General Administration of Customs.…

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Vietnam 

Central bank instructed to focus on bad debt settlement in 2019 – Economy – Vietnam News | Politics, Business, Economy, Society, Life, Sports

Viet Nam News HÀ NỘI — The Government has directed the State Bank of Việt Nam (SBV) to focus on the settlement of non-performing loans (NPLs) in 2019 with the aim of bringing the NPL ratio of credit institutions – excluding those sold to the Việt Nam Asset Management Company (VAMC) – to below 2 per cent from the current 2.16 per cent. SBV must also urge the VAMC to recover bad debts it bought from credit institutions so that the total NPLs of the entire banking systems…

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