Vietnam Business & Weather Briefing (July 11): Reference Exchange Rate Down VND 7

Business Briefing

Reference exchange rate

The State Bank of Vietnam set the daily reference exchange rate for the US dollar at VND 23,170/USD on July 11, down VND 7 from the last working day of the previous week (July 8). With the current trading band of +/-3 percent, the ceiling rate applied to commercial banks during the day is VND 23,864/USD, and the floor rate is VND 22,476/USD.

The opening-hour rates at all commercial banks also decreased. Vietcombank listed the buying rate at VND 23,180/USD and the selling rate at VND 23,490/USD, both down VND 10 from July 8. BIDV also cut both rates by VND 5 to VND 23,210/USD (buying) and VND 23,490/USD (selling). During the week from July 4-8, the daily reference exchange rate followed an upward trend for most of the week before turning around to drop on Friday, ending the week up VND 56 from Monday.

Photo: Bao Quang Nam

Banking news: Banks introduce eTax Mobile service

The first six banks have provided accounts for users to make online tax payments via the eTax Mobile application. As of June 22, the banks, including BIDV, VCB, SCB, ACB, HDBank, and TPBank, made 29,000 transactions worth more than VND 190 billion for their customers with tax authorities via the eTax Mobile application.

The General Department of Taxation (GDT) said it is continuing to carry out authentication with a number of other banks to accelerate the deployment of eTax Mobile, contributing to creating favorable conditions for taxpayers and implementing a project for developing non-cash payments in 2021-25 and a national digital transformation program to 2025 in Vietnam. The eTax Mobile application is a service channel in the integrated platform of the tax industry that provides electronic tax services to taxpayers that are individuals and business households to ensure safety and security.

Pham Quang Toan, director of the GDT’s Information Technology Department, said the application brings many benefits to taxpayers, so the application will be expanded with more services, forming an ecosystem of smart tax services. Instead of previously obtaining information about tax obligations through face-to-face contacts, phone calls, emailing the tax authorities, or looking up public information on the GDT’s website, taxpayers now can actively search for information quickly through the eTax Mobile application with an internet-connected device such as mobile phone or tablet.

The country’s tax agency said the eTax Mobile application is built in a modern direction, associated with the general trend of smart mobile applications, compatible on both iOS and Android platforms, easy to use, and meets the actual needs of taxpayers when it integrates with a variety of utilities.

Toan said to facilitate taxpayers to contribute to implementing the Government's direction on non-cash payments, the GDT will continue to connect with all banks so that all individuals and taxpayers can pay taxes electronically on the eTax Mobile application. Many tax departments across the country have so far supported taxpayers use of the eTax Mobile application.

Photo: VNCSI

Export news: Vietnam targets 5.5 bln USD in agro, forestry, fishery export value to EU

Vietnam has set a target that the export value of agricultural, forestry, and fishery products to the EU market will reach 5-5.5 billion USD by 2025. In 2025, the processed products would account for 30% of Vietnam's total agricultural, forestry and fishery products exported to the EU. About 20% of the exported agricultural, forestry, and fishery products to the EU would be sold directly at retail channels in this market.

Those percentages would increase to 50% and 30%, respectively, by 2030, according to a scheme developed by the Ministry of Agriculture and Rural Development (MARD). The export value of such products to the EU market is also targeted to increase to 7.5-8 billion USD by 2030. The ministry has put in place many solutions to achieve these goals, such as increasing the connection and participation among ministries, sectors, and localities.

It will focus on changing farmers' awareness and habits in the production of farming products. In addition, it is also necessary to improve the infrastructure for agricultural production as well as aquaculture and processing of seafood to meet EU standards. It is also necessary to implement economic reforms, especially in matters relating to agriculture and land, and policies and institutions on science, technology, and State management. Those will help Vietnam improve the competitiveness of farm produce and achieve sustainable agricultural development in the long term.

The export of Vietnamese agricultural products is facing many big challenges, including internal limitations in the development process of the sector and increasingly strict commitments to product quality and environmental standards.

Currently, the EU is one of the four major export markets for Vietnam's agricultural, forestry, and fishery products. The EU is also one of the world's three largest markets for agricultural, forestry, and fishery products. Vietnam is one of four Asian countries to sign an FTA with the EU. Therefore, to effectively exploit the advantages of the EVFTA, Vietnamese agricultural products must improve their quality and value.

Photo: Thanh Nien

Weather Forecast

July 12: In the evening and night, the weather in Hanoi will be less cloudy, with occasional rain and thunderstorms. During thunderstorms, there is a possibility of tornadoes, lightning, hail, and strong winds. The weather in Ho Chi Minh City in the morning and afternoon will be cloudy, with moderate rain and scattered thunderstorms.

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