The insurance market in general, and life insurance in particular, in Vietnam has undergone a crisis in 2023. Not only facing the overall economic recession, but the insurance industry has also dealt with communication crises and a loss of customer trust. This has further intensified the significant impact on the entire sector. Nevertheless, the insurance industry has gradually overcome these challenges, restructuring to enhance service quality. The Vietnamese life insurance market has been expanding steadily since its liberalization in 1999, even during the financial crisis. Previously, Bao Viet dominated the market as the only insurer. The market expanded with the entry of foreign capital, with eight insurers in 2005, and as of May 2023, Vietnam has 19 life insurance companies
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Vietnam’s tourism sector has been a dynamic and growing industry, making a significant contribution to the GDP. 2021 is the lowest year since 1995, the tourism industry’s GDP contribution rate to tourism in 2021 will only reach 1.97% (it reached 9.2% in 2019 and 3.58% in 2020). The past few years have seen numerous fluctuations and transformative events that affected the industry. The main influencing factors include COVID-19 pandemic, Russia-Ukraine tensions, and Government policies.
The decrease in the number of international visitors leads to a sharp decline in revenue. Revenue from Vietnam’s tourism industry will be at its lowest point in 2021, which has now been improved but not significantly. The Covid-19 pandemic is most significant disruption to Vietnam’s tourism market. In 2019, Vietnam’s tourism industry was still growing, but it declined sharply in 2020 and 2021. After the impact of the pandemic, the tourism industry has been recovering, with the number of international visitors to Vietnam in 2022 being 23.3 times higher than in 2021. However, despite this significant increase, the number of arrivals remains 79.7% lower compared to 2019, the year before the COVID-19 outbreak occurred. Vietnam is one of the first countries in Southeast Asia to reopen after the Covid-19 pandemic, but the rate of tourism recovery is lagging behind countries in the region such as Thailand, Singapore, and Malaysia…
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ASEAN Economic News「よむベトナムトレンド」
Overview of Vietnam Electronics Retail Market
Vietnamese consumer electronics market has been underpinned by the country’s healthy economic growth and its tech-savvy young population. The market’s main products include audio & video electronics, household appliances, mobile phones, digital cameras & other gadgets[1].
During 2014-2018, retail sales of consumer electronics was at 13.8% CAGR, with forecasted sales of VND169.8 trillion (~USD7.5 billion) in 2020[2]. Amid the pandemic period (2019-2020), the CAGR dropped significantly to -0.98%. Nevertheless, this sector still managed to have a slight revenue growth of 0.2% in 2020[3].
Read More “COVID-19 Pandemic Creates a Boost for Electronics Retail Business”The flow of China Plus One has accelerated since the 10s, due to the increasing labor costs and labor shortages in China. According to report of JETRO, The share of export value of electrical equipment has increased to 2019, telephones and parts accounted for 19.5%, and computer electronic products and parts accounted for 13.6%. Export of FDI accounted for 42% of total export value in 2009. It increased by 70% to 2019. Export value of Domestic has also increased by more than two times from 2009.
Read More “Production base in covid-19 crisis”Vietnam’s healthcare at a glance
In 2018, the country’s healthcare expenditure to GDP was 5.9%, which was higher than some other markets in the region, yet the real value was comparatively low[1]. Healthcare expenditure per capita is expected to increase 1.7 times from US$150 in 2018 to US$260 in 2025[2].
Read More “Vietnam Telehealth to accelerate amid COVID-19 outbreak”If in the past, when Vietnamese people had demand for checking up their dental health, dental treatment or cosmetics dentistry, it is difficult to find a quality dental clinic, especially in rural regions. Nowadays, the issue above has matter nobody. With amazing growth in the recent ten years, Vietnam gradually makes its name well-known in world dental map.
Read More “Rising Demand from Both Domestic and Oversea Market Leads to Dramatic Growth of Vietnam Dental Industry”Vietnam’s automotive industry takes on the challenge of domestic production
The size of Vietnam automobile market was once considered relatively small and overlooked by many Japanese manufacturers. There existed a strong opinion that the liberalization of trade among ASEAN countries would make the automotive industry become unnecessary in Vietnam. However, the demand for automobile in Vietnam has recently been on the rise. Could it be a potential driving factor for the growth of a manufacturing base?
Read More “VIETNAM AUTOMOTIVE INDUSTRY AT THE TIPPING POINT”In Vietnam some major local governments like Hanoi, HCMC, and Danang have been expanding the networks of automatic vending machines for the recent 5 years. Originally, the spread of vending machines had been delayed in Vietnam . It is said that the first installment of an automatic vending machine is in September 2016. The purpose to set it up was mainly for overseas tourists who had to pay too much money to the local vendors, not for more convenience for the people. As for the locations of automatic vending machines, it has been mainly in industrial parks where security measures and maintenance systems are easier than on-street installations and in residential areas developed by major real estate developers, therefore there are less opportunity to be recognized in daily life. By 2018, the number of automatic vending machines installed in Hanoi was about 160, which were treated as a test operation.
Read More “Vending machine market has begun to move”The Covid-19 outbreak since the end of 2019 has caused far-reaching impacts on all sectors around the world including severe economic crisis. Southeast Asia is no exception. Myanmar is facing a dual crisis because of Covid-19 and political instability. Thailand’s post-Covid economic recovery plan may continue to be delayed in the event of the 3rd Covid-19 outbreak.
Read More “Vietnam: legal framework transformation favouring foreign investors”Food processing is one of the sectors that Vietnam is prioritizing to develop by 2025, with a vision to 2035. The food processing industry in Vietnam has grown steadily over the past few years. In the period 2013-2017, the Index of Industrial Production (IIP) of the food processing industry increased by an average of 6.82% annually (VGP, 2018). Despite the impacts of the COVID-19 pandemic, the 2020-IIP of the industry still increased by 5.3% compared with 2019 (GSO, 2020), as well as the quality of the products and number of companies.
Read More “Food Processing – A Promising Sector for FDI Inflows to Vietnam in 2021”