According to the author, Vietnam’s smartphone dominance is in large part due to huge investments by the Republic of Korea (RoK)’s giant Samsung. The country is intent on pivoting from “labor-intensive” textiles and electrical assembly work into more profitable sectors, such as semiconductors. Foreign capital is keen to help, given the growing pressure to diversify supply chains.

Smartphone production at Samsung Electronics Vietnam Company Limited located in Yen Binh Industrial Park, Thai Nguyen province.

“Vietnam’s booming economy has remained below the radar for most foreign investors for a simple reason: it is still not classified as an emerging market by MSCI,” noted the article. An upgrade to emerging market (EM) status would prompt large inflows from funds that track the benchmark EM index, delivering a boost to local stocks of an estimated 5 billion USD – 8 billion USD.

Vietnamese stocks are the single largest component of the frontier-markets sector, and foreign investors have spent recent years betting that an upgrade for such a dynamic emerging economy was only a matter of time, it said.

Meanwhile, Vietnam has faced milder inflation than many Western economies of late, enabling the central bank to cut interest rates four times this year.

“For investors, the volatile nature of the local stock market means that Vietnam isn’t yet one to put at the centre of a portfolio, but it still merits a nibble,” said the author, adding that even as a frontier market, the Southeast Asian nation is a compelling play.

Saudi Arabian businesses eye Vietnam expansion

Saudi Arabian companies in steel, retail, agriculture, and clean energy want to expand their operations in Vietnam.

Highlights about learning and following Uncle Ho in business

BAC GIANG - Implementing Directive 05 of the Politburo on promoting to study and follow President Ho Chi Minh's ideology, ethics and style, the Labor Confederation of Bac Giang province has paid attention to directing enterprises to actively deploy emulation movements associated with labor, production and implementation of the unit's tasks.

Bac Giang Business Association accompanies businesses and entrepreneurs to overcome difficulties

BAC GIANG - The Bac Giang Provincial Business Association (PBA) has recently renovated the content and methods of operation to further well perform its functions and tasks as a representative and bridge between businesses and government agencies. 

State leader praises businesswomen for dedication to national development

President Vo Van Thuong met with outstanding businesswomen nationwide who are members of the Vietnam Association for Women Entrepreneurs (VAWE) in Hanoi on October 5.

More than 1,600 businesses newly established in Bac Giang

BAC GIANG – In the first nine months of this year, Bac Giang province had more than 1,600 newly established businesses, up 41 percent year on year, reported the provincial Department of Planning and Investment.

Source: VNA