Vietnam Digest: Foreign investors pour nearly $20 million into BFSI; World Bank launches $102m project

Vietnam’s financial sector has attracted investments to the tune of nearly $20 million from foreign investors in the first two months of the year while World Bank has launched a $102 million project with Vietnam’s trade ministry to support industrial enterprises.

BFSI space turns investor favourite 

Vietnam’s finance, banking and insurance sector has attracted $19.77 million from foreign investors in the first two months this year as against $20.2 million in the corresponding period last year, registering a slight decline, according to the latest announcement from Foreign Investment Agency.

This comes in the backdrop of recent deals involving foreign investors entering Vietnam by acquiring local companies.

In February, Mirae Asset Global Investments, the asset management unit of South Korea’s Mirae Asset Financial Group, inked a joint venture agreement with a subsidiary of Vietnam’s sovereign wealth fund State Capital Investment Corporation (SCIC).

In January, Hanoi-based Techcombank was allowed to sell its entire stake in financial arm Techcom Finance to Lotte Card Company under South Korean chaebol Lotte Group.

Shinhan Card Co., Ltd., a subsidiary of the Korean Shinhan Financial Group acquired 100 per cent Vietnam Prudential Vietnam Finance Company Limited (PVFC) from UK-based financial services group Prudential plc for a consideration of $151 million also in January.

The securities market is likely to be the most attractive investment channel for investors in the Vietnamese economy this year, analysts predicted.

This year, Techcombank, Tien Phong Bank (TPBank) and Maritime Commercial Joint Stock Bank (Maritime Bank) plan to list on the stock exchange, which is expected to boost the banking sector, as well as the securities market.

World Bank launches $102m project supporting Vietnam’s industrial enterprises

The World Bank and Vietnam’s trade ministry have jointly launched a $102 million project to support the efforts of industrial enterprises to adopt energy-efficiency technologies and practices.

Under this project, industrial enterprises can access a new line of credit to fund their purchases of energy-efficiency and production-optimization technologies, thus reducing energy consumption and production costs and increasing their overall competitiveness in the domestic and international markets.

Vietnam’s energy sector is facing many challenges due to limited domestic energy resources and the high electricity demand to support economic growth,” said Ousmane Dione, the World Bank’s Country Director for Vietnam.

Funding under this project will be provided to participating financial institutions, which will then lend to industrial enterprises to invest in energy-efficient sub-projects.

Also Read:

S Korea’s Mirae Asset, Vietnam’s SCIC launch joint venture

Prudential sells Vietnam consumer finance business to Shinhan unit for $151m

 

 

 

 

 

 

 

 

 

 

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.