European businesses confident about future of Vietnamese market

Oct 19th at 16:47
19-10-2016 16:47:56+07:00

European businesses confident about future of Vietnamese market

European businesses in Vietnam are viewing the local conditions for businesses very positively, according to results of the latest Business Climate Index for the third quarter of 2016 released on Tuesday by the European Chamber of Commerce in Vietnam.

 

The European Chamber of Commerce in Vietnam, or EuroCham, is an independent, not-for-profit organization that serves as the principle voice of more than 850 European businesses in Vietnam.

The Business Climate Index (BCI) demonstrates results of EuroCham’s quarterly survey on business sentiment among European companies operating in Vietnam through assessments provided by representatives of its member companies.

Overall, the index for the third quarter of 2016 is 86, a ten-point increase from the previous quarter.

Over 71 percent of survey respondents described their current business situation as ‘excellent’ or ‘good’, while only 5.5 percent classified the present state of the market as ‘not good’. No responses described Vietnam’s business conditions as ‘very poor’.

A positive self-perception of the business outlook in the upcoming quarter for surveyed enterprises is also indicated in the results, with 16.5 percent of responses being ‘excellent’ and 64.2 percent ‘good’. Less than three percent of responses were negative.

In regards to the macroeconomic outlook for Vietnam in the next quarter, EuroCham members are confident that macroeconomic stability is likely to continue, as demonstrated in survey results.

Almost 60 percent of respondents expect ‘stabilization and improvement’, while only 4.6 percent predict deterioration in the quarter ahead.

The number of respondents that expect no change in the country’s macroeconomic outlook increased 3.2 percent from the last quarter and is now close to the 40-percent mark.

Most responding businesses intend to maintain their level of investment in the country, with this group representing roughly 41 percent of the total.

However, those who intend to increase their investment are not far behind, with 39 percent willing to invest more, and 17 percent planning to invest significantly more, the results showed.

Businesses planning to divest were marginal, with less than one percent stating their intention to do so, a marked drop from seven percent in the last quarter.

“[The results] show positive expectations for the near future and consistent satisfaction with the present situation,” EuroCham Chairman Michael Behrens commented.

“EuroCham members maintain a positive view of the Vietnamese market and their business operations in the country, a result which does not differ from our last survey. This is a good sign for the current implementation of the EU-Vietnam Free Trade Agreement, which is expected to strongly enhance European business and investment,” the chairman said.

tuoitrenews



NEWS SAME CATEGORY

Viet Nam's food products introduced to European customers

Nearly 30 Vietnamese enterprises have brought Viet Nam's food products to the Paris international food industry expo - SIAL Paris 2016, which kicked off on October...

Retailers look for e-commerce uplift

More and more retailers in the country are shaking hands with big e-commerce companies in order to widen their businesses while ensuring cost savings.

Gift market busy ahead of Vietnamese Women's Day

Huynh Tuan Nam of HCM City was choosing gifts for his mother and wife for Vietnamese Women's Day on October 20 at a shopping mall in District 7.

VietJet soars with dynamic leadership

The successes of VietJet Air, the first private airline in Vietnam, have been closely attached to the image of the company’s dynamic CEO, Nguyen Thi Phuong Thao...

Viglacera to develop key projects in Q4

Vietnam Building Glass and Ceramics Joint Stock Corporation (Viglacera) is focusing on implementing its key projects as planned by the year end, Viglacera general...

Strategic Delta area woos investors

Authorities of the Cuu Long (Mekong) Delta province of Long An pledged to create the most favourable conditions for domestic and foreign investors and businesses at...

Bulgarian minister sees trade potential with VN

Viet Nam is one of Bulgaria's most important economic partners in Southeast Asia and bilateral trade between the two countries have strong prospects for further...

Robust Q4 needed for GDP goal: Gov't

The economic growth rate in the fourth quarter of 2016 must be much higher than that of previous months in order to achieve the GDP growth set for this year, the...

Nghi Son EZ has 28 more investment projects

Twenty eight projects received investment certificates in the Nghi Son Economic Zone in Thanh Hoa Province for the first nine months of this year.

Vinashin to sell entire stake in PV Shipyard

Shipbuilding Industry Corporation (SBIC), previously known as Vinashin, will sell its entire holding of nearly 4.48 million shares, equivalent to 7.53 per cent...


MOST READ


Back To Top