...NETWORK (EADN) INDIVIDUAL RESEARCH PROJECT EXCHANGE RATE ARRANGEMENT IN VIETNAM: INFORMATION CONTENT AND POLICY OPTIONS Research team∗ : Vo Tri Thanh (principal researcher) Dinh Hien Minh Do Xuan Truong Hoang Van Thanh Pham Chi Quang HANOI December 2000 ∗ We would like to thank the EADN for financial support. We have benefited very much from the valuable comments from EADN on our interim report. We also thank Dr. Ivo Havinga, Dr. Perter Sturm, and Ms. Anna Lennblad for reviewing our drafts and providing valuable insight comments. In carrying out the research we have owed debts to the General Statistic Office and the State Bank of Vietnam, which provided us with data and inspiration. Finally research assistance by Do Chu Dat and Do Thi Thu Huong is highly acknowledged. Table of Contents Table of Contents List of Tables List of Figures Abbreviation Summary Chapter I Introduction Chapter II The Economic Reforms and the Exchange Rate Arrangement since 1989 II.1 An Overview of the Economic Renovation and the Financial Reforms during the period of 1989-1999 II.1.1 The Economic Renovation (Doimoi) II.1.2 Financial Sector Reforms and Monetary Instruments II.2 Exchange Rate Arrangement during the Period of 1989-1999 Chapter III Exchange Rate as a Policy Tool during the Economic Reform, 1989-1999 III.1 Exchange Rate and Inflation III.2 Exchange Rate and Economic Growth III.3 Exchange Rate and Money Supply Chapter IV The Changes in Output...
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...TC201DE01-0100 1. Phan Nguyễn Ngọc Xuân Mỹ 101537 2. Vũ Thị Hường 101574 3. Trương Linh Trang 101579 4. Nguyễn Đỗ Thiên Trang 093304 Note for faculty: Date: ___/___/___ For the writer: (Signature & full name) 2012 – 2013 CONTENTS CONTENTS i INTRODUCTION ii I. Exchange rates 1 I 1. Exchange rates 1 I 2. Exchange rate regimes 2 I 3. Roles of exchange rates 3 II. Compare and contrast between the value of VND and the others of ASEAN 5 II 1. The exchange rates in Vietnam from 2008 to 2010 6 II 2. The exchange rates in Vietnam in 2011 8 III. Impacts on exchange rates 10 III 1. Balance of Trade 10 III 2. Balance of Payments 11 III 3. Monetary Policy 12 III 4. Differentials in Inflation 12 III 5. Differentials in Interest Rates 12 III 6. Public Debt 12 III 7. Speculation 13 III 8. Employment Outlook 13 III 9. Political Stability and Economic Performance 13 IV. Adjusted policies of Vietnamese government on exchange rates 14 Recommendation a REFERENCES e INTRODUCTION Since Vietnam began to implement the open door policies and integrate into the world economy, Vietnamese trade has jumped by a so large amount, especially after...
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...Table of Contents EXECUTIVE SUMMARY 2 INTRODUCTION 3 AN OVERVIEW OF THE CURRENT ECONOMY IN VIETNAM 3 THE CURRENT SITUATION OF REAL ESTATE MARKET 4 HOANG ANH GIA LAI GROUP F HAGL 7 HAGL S HISTORICAL CREDIT 11 THE NEXT HAGL S PLAN 12 THE MAJOR RISK WHICH HAGL HAS BEEN FACING 14 AN ANALYSIS ON KEY FINANCIALS 15 PROJECTION 20 RECOMMENDATION 20 WORKS CITED 22 Executive summary In this report, our team as a representative for ERC bank located in HCM city conducts a credit analysis about Hoang Anh Gia Lai group in order to consider their loan application with US$ 500,000 based on overview of HAGL s current activities and current economy conditions, especially in the property market and also the purpose of borrowing money. Plus, we also do a deep analysis on key financials to evaluate the past 3 years performances of this company. At the end, we will make recommendation. Firstly, we provides an overview of the current economy in Vietnam recently where more and more people are getting into middle class and the recovery of the economy is appearing more clearly. As a result, with easing the monetary policies and supporting for the end home users, they are good responses for property market to break the freezing situation. Secondly, there is an overview of HAGL s activities which they have currently launched 10 potential projects providing more than 900 luxury apartments and they also are offering 2 new options for the consumers in...
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...Monetary Policy in Vietnam: Alternatives to Inflation Targeting Le Anh Tu Packard (tu.packard@gmail.com) Fifth Draft July 2007 Paper prepared for the Political Economy Research Institute (PERI) at the University of Massachusetts, Amherst with support from the United Nations Department of Economic and Social Affairs (UNDESA). Earlier versions of this paper were presented to the May 2005 CEDES/Amherst Research Conference in Buenos Aires and the July 2005 Da Nang Symposium on Continuing Renovation of the Economy and Society. Financial support for this project has been provided by the Ford Foundation, UNDESA, and the Rockefeller Brothers Foundation. My gratitude and thanks go to two anonymous referees, Gerald Epstein, Erinc Yeldan, Jaime Ros, Lance Taylor, Per Berglund, and Phillipe Scholtes for their insightful comments and valuable ideas, and also to numerous colleagues in Vietnam including Dang Nhu Van for their helpful feedback. I am responsible for all remaining errors and omissions. List of Acronyms and Abbreviations ASEAN BFTV BIDV CEPT CIEM CMEA CPRGS DAF FDI FIE GC GDI GDP GNP GSO HDI IMF JV NEER ODA PE PER PRGF PRSC RCC REER ROSCA SBV SOCB SOE UCC UNDP VCP VLSS WTO Association of South East Asian Nations Bank for Foreign Trade of Vietnam Bank for Investment and Development of Vietnam Common Effective Preferential Tariff Central Institute for Economic Management Council of Mutual Economic Assistance Comprehensive Poverty Reduction and Growth Strategy Development...
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...Solutions for exchange rate policy of transition economy of Vietnam Dissertation zur Erlangung des Grades Doktor der Wirtschaftswissenschaft (Doctor rerum politicarum, Dr. rer. pol.) der Juristischen und Wirtschaftswissenschaftlichen Fakultät der Martin-Luther-Universität Halle-Wittenberg vorgelegt von M.A. Mai Thu Hien geb. am 23. August 1976 in Hanoi, Vietnam Gutachter: 1. Prof. Dr. Dr. h.c. Rüdiger Pohl, Martin-Luther-Universität Halle-Wittenberg 2. Prof. Dr. Martin Klein, Martin-Luther-Universität Halle-Wittenberg Datum der Einreichung: 07.06.2007 Datum der Verteidigung: 12.07.2007 Halle (Saale), Juli 2007 urn:nbn:de:gbv:3-000012127 [http://nbn-resolving.de/urn/resolver.pl?urn=nbn%3Ade%3Agbv%3A3-000012127] 2 Acknowledgements This doctoral dissertation could not be completed if I have not received the help and encouragement from numerous people. Firstly, I am greatly indebted to my first supervisor, Prof. Dr. Dr. h.c. Rüdiger Pohl, who kept an eye on the progress of my work and was always available when I needed his advices. His great advices, supports, criticisms, comments, and encouragement helped me to develop necessary knowledge to understand and to build theoretical context in this dissertation. I also would like to express my deep gratitude to Prof. Dr. Martin Klein, my second supervisor, for his suggestions and concerns with my dissertation. I gratefully acknowledge the financial support of DAAD, without which this dissertation would not have been...
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...School of Development Studies INFLATION IN VIETNAM OVER THE PERIOD 1990-2007 A Research Paper presented by: Bui Thi Kim Thanh (Vietnam) in partial fulfillment of the requirements for obtaining the degree of MASTERS OF ARTS IN DEVELOPMENT STUDIES Specialisation: Economic of Development (ECD) Members of the examining committee: Dr. Karel Jansen Dr. Lorenzo Pellegrini The Hague, The Netherlands November, 2008 1 Disclaimer: This document represents part of the author’s study programme while at the Institute of Social Studies. The views stated therein are those of the author and not necessarily those of the Institute. Research papers are not made available for circulation outside of the Institute. Inquiries: Postal address: Institute of Social Studies P.O. Box 29776 2502 LT The Hague The Netherlands Kortenaerkade 12 2518 AX The Hague The Netherlands +31 70 426 0460 +31 70 426 0799 Location: Telephone: Fax: 2 Table of Content Chapter 1 INTRODUCTION 1.1 BACKGROUND AND STATEMENT OF THE PROBLEM The period 1980-1984 The period 1985-1989 The period 1990-2007 1.2 OBJECTIVE AND SCOPE OF THE PAPER 1.3 APPROACH OF THE PAPER AND DATA 1.4 STRUCTURE OF THE PAPER Chapter 2 THE THEORETICAL AND EMPERICAL FRAMEWORK 2.1 THEORETICAL CONSIDERATION 2.1.1 Demand-pull inflation 2.1.2 Cost-push inflation 2.2 APPLICABILITY OF THE THEORIES IN THE CASE OF VIETNAM 2.3 EMPERICAL EVIDENCES Chapter 3 ANALYSING INFLATION IN VIETNAM AN OVERVIEW OF VIETNAM’S ECONOMY FROM 1990-2007...
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...Monetary policy in Vietnam: the case of a transition country Ulrich Camen 1 1. Introduction A major objective of the Vietnamese authorities in the coming five years is it to strengthen the integration of the Vietnamese economy into the world economy. An important milestone has been the Vietnam-US Bilateral Trade Agreement, BTA. A subsequent milestone will be Vietnamese membership in the WTO, which is under preparation and expected for 2006. As part of this process of internationalisation, Vietnam is also opening its financial sector to foreign financial institutions. Currently, foreign banks have already started to provide banking services in Vietnam. Internationalisation will pose major challenges for financial sector polices, underlining the importance of further progress with financial sector reforms and reforms of monetary policy. This paper will present the current status of the reform of monetary policy in the context of economic and financial sector developments in Vietnam and identify key reform issues with respect to monetary policy. Section 2 will give a brief overview of principal economic and financial developments to situate monetary policy in the context of economic developments in Vietnam. Section 3 describes the monetary policy framework currently in use in Vietnam, and Section 4 presents empirical results on the determinants of inflation and the role of monetary factors. 2. 2.1 Background: macroeconomic developments Economic growth and inflation ...
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...CONTENTS A. GENERAL OF MONETARYPLICY | 2 | 1. Concept | 2 | 2. The purpose of monetary policy | 2 | a. Price stability | | b. Ensure full employment | | c. Economic Growth | | 3. Tools of monetary policy | 3 | a. Open market operation | | b. Obligatory reserves | | c. Rediscount policy | | 4. Types of monetary policy | 4 | B. MONETARY POLICY IN VIETNAM (2008-2012) | 5 | 1. Monetary in 2008-2009 | 5 | 2. Monetary in 20010 -2011 | 11 | 3. Monetary in 2012 | 12 | A. GERNERAL OF MONEYTARY POLICY 1. Concept Monetary policy is one of economic policy that is proposed and implemented by the central bank with aims to stabilize prices, promote economic growth and create jobs in the society. Essence of monetary policy is specified measures to impact on the money supply in the economy. 2. The purpose of monetary policy Purpose of monetary policy is price stability, promote economic growth and create jobs in the society. These targets are close relationships; support each other, not separated. However, to achieve these goals in a harmonized manner, the central bank should coordinate monetary policy with other policies, such as fiscal policy, income policy, etc... a. Price stability Price stability is the primary objective of monetary policy and long-term goals, the empirical process showed stable to stable prices, the value for money, stable currency value is stable the purchasing power...
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...Introduction to Exchange Rates and the Foreign Exchange Market 2 Per $ 1.225 1.084 5.238 0.703 7.750 48.160 94.860 13.220 7.460 0.609 1.000 1. Refer to the exchange rates given in the following table. Today June 25, 2010 Country Australia Canada Denmark Euro Hong Kong India Japan Mexico Sweden United Kingdom United States Per $ 1.152 1.037 6.036 0.811 7.779 46.360 89.350 12.697 7.740 0.667 1.000 Per £ 1.721 1.559 9.045 1.215 11.643 69.476 134.048 18.993 11.632 1.000 1.496 Per € 1.417 1.283 7.443 1.000 9.583 57.179 110.308 15.631 9.577 0.822 1.232 One Year Ago June 25, 2009 Source: U.S. Federal Reserve Board of Governors, H.10 release: Foreign Exchange Rates. a. Compute the U.S. dollar–yen exchange rate, E$/¥, and the U.S. dollar–Canadian dollar exchange rate, E$/C$, on June 25, 2010, and June 25, 2009 Answer: June 25, 2009: E$/¥ = 1 / (94.86) = $0.0105/¥ June 25, 2010: E$/¥ = 1 / (89.35) = $0.0112/¥ June 25, 2009: E$/C$ = 1 / (1.084) = $0.9225/C$ June 25, 2010: E$/C$ = 1 / (1.037) = $0.9643/C$ b. What happened to the value of the U.S. dollar relative to the Japanese yen and Canadian dollar between June 25, 2009 and June 25, 2010? Compute the percentage change in the value of the U.S. dollar relative to each currency using the U.S. dollar–foreign currency exchange rates you computed in (a). Answer: Between June 25, 2009 and 2010, both the Canadian dollar and the Japanese yen appreciated relative to the U.S. dollar. The percentage appreciation in the foreign currency...
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...Recently, Vietnam is attracting increasing interest from international investors as a promising emerging market. Some of the largest U.S. corporations such as Intel, IBM, Wells Fargo, Citigroup, to name a few, started to set foot in the country with confidence. However, investing in Vietnam still constitutes a conundrum for outsiders and horror stories have been told by former entrepreneurs who lost their fortunes and even almost lost their lives dealing with the Vietnamese Communist Party. Case in point: Trinh Vinh Binh, a Vietnamese Dutch investor who escaped from Vietnam and later sued the Vietnamese government for breach of contract and for confiscating his assets in Vietnam. The case was eventually settled for an undisclosed amount of award in 2007. The initial claim was $150 million (UNCTAD, 2007). The crucial question remains: “under the current market conditions, is it worth to invest in Vietnam?” S.W.O.T analysis Strengths. 1. A fairly large customer base of more than 86 million and growing at a rate of 1% annually. 60% of the population are young, born after 1975 and aspire to become a consumer society with higher standards of life. Wages in Vietnam are among the least expensive in all Asia. Vietnam has a high rate of literacy. 90.3% of the population aged 15 years and older are literate (CIA World Factbook, 2009). 2. Significant reserves of energy and mineral resources such as oil (Vietnam is ranked 33 worldwide among oil producing countries), bauxite...
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...study of the behavior of the economy as a whole. • Aggregate demand and supply What is an economy? -> Google images search: Vietnam Economy • Economy: An economy consists of the economic systems of a country, which allocate the labor, capital, and land resources for manufacturing, production, trade, distribution, and consumption of goods and services. 1 9/26/2012 • Macroeconomics: examines overal level of national income, employment, and prices of an economy. 1. National output/income: total output of an economy is Gross Domestic Product (GDP) 2. Employment: Labor force includes all employed persons and those unemployed individuals who are seeking jobs. 3. Stable prices: consumer price index (CPI), inlfation rate Why national income? • The ultimate objective of economic activity is to provide the goods and services that the population desire. e.g. shelter, foods, education, recreation • • The most comprehenshive measure of the total output in an economy is the gross domestic product (GDP). GDP is the measure of the market value of all final goods and services produced in a country during a year. Gross domestic product growth rate 12 10 8 6 4 2 0 -2 • Why some countries are rich, while others are poor? • Size of GDP? GDP growth rate? • What factors affect GDP growth rate? • What need to be done to foster GDP growth? e.g. saving, investment, education, or exploit natural resources? -4 -6 ...
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...Stimulus package of Vietnam 2008-2010 Macroecocomics assignment Contents I. INTRODUCTION 1 II. CONTENT 3 1. THEORETICAL BASE OF THE STIMULUS PACKAGE 3 1.1. Definition 3 1.2. The origin and basis of stimulus package 3 1.3. The basic principles to implement stimulus policies 5 1.4. How to increase the AD in the economy? 6 2. ANALYSIS THE FACT OF VIETNAM 7 2.1. The Effects of the Global Crisis 7 2.2. The first demand stimulus package of Vietnam 10 2.3. The explicitness of the fiscal policy…………………………………………………....19 III. CONCLUSION 23 IV. REFERENCES 24 I. INTRODUCTION Since 2007, nations around the world experienced a series of major economic and financial problems. The events began with the financial crisis of 2007–2008, considered by many economists to be the worst financial crisis since the Great Depression of the 1930s. It resulted in the threat of total collapse of large financial institutions, the bailout of banks by national governments, and downturns in stock markets around the world. In many areas, the housing market also suffered, resulting in evictions, foreclosures and prolonged unemployment. The crisis played a significant role in the failure of key businesses, declines in consumer wealth estimated in trillions of US dollars, and a downturn in economic activity leading to the 2008–2012 global recession and contributing to the European sovereign-debt crisis. Affected...
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...| Table of Contents Part I3 Question (a)3 Transaction exposure 3 Translation exposure 4 Economic exposure 5 Question (b)5 International debt financing6 International equity financing 5 International trade financing5 Part II 4 Question (a)5 Question (b)6 Question (c)5 Question (d)6 References: 4 Part I Question (a): Transaction exposure The firm faces with transaction exposure when the exchange rate movements can affect to the financial results in international transaction after the firm is legally obligated to complete transactions (Shapiro, 2010). Typical of transactions that expose the firm to transaction exposure include sales of good and purchases, service or assets, borrowing of money and extension of credit. For example, Honda Motor Cycles in China, that company sells the cars to consumers comes with forward contract, it is included the price adjustment clauses. In order to reflect certain exchange rates changes it’s based on the adjusted price. The forward contract also brings more benefit to the consumers that helps them can get lower price. Furthermore, Honda Company has used policy such as purchasing foreign currency by using the currency swaps. This helps to fix the price of the car across currency contract in advance. In the foreign market from Japan’s Honda Co. the car is priced in Yen that means the company faces with foreign exchange risk. Thus, above solution is helpfully to protect subsidiary...
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...| John Rawls | Justice and Equality | | [Type the author name] | 5/25/2012 | Ethics and the Legal Environment LS 312 Kaplan University | John Rawls was born in 1921 in Baltimore, Maryland. His father was a well known attorney, and his mother was a chapter president of the League of Women Voters. His parents, through occupation and affiliation were questioners of society as and its’ injustices. This I would think was a contributing factor in John Rawls philosophy of justice as fairness. His time in World War II challenged his faith as he learned of the holocaust and senseless killings upon innocent people in combat. Then the Vietnam War caused Rawls, like many other Americans, to begin to challenge the political system and how conscientious resistance from citizens could affect policies. (Wenar, 2008) Rawls attended Princeton University John Rawls is claimed to be the most important political philosopher of this century. His articles of the 60s and his first book, Theory of Justice written in 1971, was about collective coercive power and its’ use in demanding justice and fairness in a societies as addressed in his dissertation in 1951, “Outline of a Decision Procedure for Ethics”. (Richardson, 2005) Rawls also studied at Oxford University. His first appointments were at Cornell University and MIT and joined the Harvard University faculty in 1962 where he remained for his career of thirty years. (Wenar, 2008)John Rawls had a philosophy of social...
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...DDANANG RUBBER JOINT STOCK COMPANY (DRC) [pic][pic] Completed by Group 6: Nguyen Thi Thanh Xuan Le Thanh Viet Bach Do Duc Trung Nguyen Thi Thanh Minh Tran Xuan Toan Issued date: September 26, 2010 Contents I. EXECUTIVE SUMMARY 3 II. COMPANY OVERVIEW 4 2.1 Company Introduction 4 2.1.1 Business activities: 4 2.1.2 Management Board: 5 2.1.3 Ownership structure: 5 2.1.4 Company’s History: 6 2.2 Products & Services 8 2.3 Business Strategy 9 III. INDUSTRY ANALYSIS 11 3.1 Industry Overview 11 3.1.1 Tire Manufacturing industry in the world 11 3.1.2 Tire Manufacturing industry in Vietnam 11 3.2 Five Forces Analysis 13 3.2.1 Bargaining Power of Suppliers: 13 3.2.2 Bargaining Power of Buyers: 13 3.2.3 Threat of Substitute products: 13 3.2.4 Threat of new entrants: 13 3.2.5 Competitive Rivalry 14 3.3 SWOT Analysis 14 IV. ANALYSIS OF FINANCIAL STATEMENT 15 4.1 Analysis of balance sheet 15 4.1.1 Current Assets 15 4.1.2 Investments and Other Assets 15 4.1.3 Account Receivables: 15 4.1.4 Inventory: 15 4.1.5 Non-current assets: 16 4.1.6 Current liabilities: 16 4.1.7 Long-term liabilities: 16 4.1.8 Resources: 16 4.2 The analysis of Income Statement 19 4.2.1 Annual Income Statement: 19 4.2.2 Quarterly Income Statement FY2010 and FY 2009 21 4.2.3 Forcasted Income Statement FY2010 26 4.3 The analysis...
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