Overseas remittances to HCMC fall behind expectation

Overseas remittances to HCMC approximated US$4.3 billion by the end of November, much lower than the expected number of $5.5 billion this year, said the State Bank of Vietnam (SBV) in HCMC.

Overseas remittances to HCMC will be 10 percent lower than expected number this year (Illustrative photo)

Leader of the SBV branch in HCMC said that the lower than expected number has been due to a reduction from the US market accounting for 60 percent of funds remitted to the city annually.

Traditionally, remittances to the city in the fourth quarter amount to 40 percent of the total funds yearly.

However the Federation Reserve System is likely to move up interest rate causing many people keep the US dollar instead of depositing at Vietnamese banks with 0 percent interest rate.

In addition, US president-elect Donald Trump has stated a plan to quit the Trans-Pacific Partnership, slowing the remittance flow from the US to production and trading in Vietnam.

Previously, SBV announced that overseas remittances to Vietnam were estimated to fall behind expectation of $11-12 billion to hit only US$9 billion this year.

By Nhung Nguyen – Translated by Hai Mien

Other news

Most view

Economy

Self - introduction

VNPT targets to be leading digital service provider in Vietnam

The grand opening ceremony of the VNPT-Information Technology Company (VNPT-IT), a new member of the Vietnam Posts and Telecommunications Group (VNPT), was held yesterday in Hanoi. With thousands of IT engineers and the focus on developing state-of-the-art technological products related to Artificial Intelligence (AI), Bigdata, and Blockchain, the new company is considered the main force to help VNPT fulfill the goal of becoming a leading digital service provider in Vietnam and an important Digital Hub of the neighborhood as well as the world.

Stock market

SGN lists 24million shares on HOSE

 Saigon Ground Services JSC (under code: SGN) will list on the Ho Chi Minh City Stock Exchange (HOSE) 24 million shares for the first time starting on August 1st at a reference price of VND 140,000 per share.