Visit us at

Wednesday, 29 December 2010

The future of State Owned Enterprises here in Vietnam?

It's impossible to not be concerned about the recent downgrading of Vietnam's credit rating. Two times in one month! Two times!!! All of this stemming from Vinashin's (the shipbuilder) inability to repay a massive $600 million loan to Credit Suisse. The issue? Vinashin is a State backed enterprise... which means their bad credit will impact the nation's ability to borrow from overseas credit sources.

Does this mean that you'll see greater shift to private enterprise? More foreign investment here in Vietnam to fill the void? There is no shortage of entrepreneurial people here in Vietnam and I have to believe that many of them will jump at the chance to fill any gap that appears.

Bear in mind, there is no indication that Vietnam's economic growth will be slowing down in 2011...

No comments:

Post a Comment

Thank you for commenting!