In recent years, Saigon Invest Group has reaped a lot of success in developing industrial zones, inviting foreign investors and creating jobs. VIB Forum talked with Mr Dang Thanh Tam, President and CEO of Saigon Invest Group (SGI), on his company&rsquos achievements as well as commercial ties and investment between Vietnam and the United States.
Could you briefly describe SGI&rsquos no business results and ity activities in 2007?
At present, Saigon Invest Group is undeniably a leading developer of industrial zones and urban zones in Vietnam. It develops and manages more than 20 industrial zones across the country. Annually, SGI invests hundreds of billions of Vietnam dong to build infrastructure and attract hundreds of millions of US dollars worth of investment capital. In 2007, SGI attracted Hon Hai Precision Technology Co. Ltd (Foxconn) with US$5 billion to invest, Japan&rsquos Canon Group and other groups.
All these groups have operated their projects with quick and effective capital disbursement. In 2008, SGI has received investment certificates to develop two projects in Chan May - Lang Co Economic Zone in ThuaThienHueProvince. SGI will develop infrastructure for industrial and non-tariff zones covering 650 hectares and build Saigon - Chan May urban zone on 350 hectares. The total investment capital for these two projects is over VND2,000 billion.
Recently, SGI successfully attracted Japan&rsquos Sanyo Group to invest in QuangChauIndustrial Park in BacGiangProvince. This is more evidence of SGI&rsquos determination to attract high-tech projects to help the Vietnamese economy make development breakthroughs.
Currently, SGI has stakes in Kinh Bac City Development Share Holding Corporation - Kinh Bac City (KBC) and Saigon Telecommunication & Technologies Corporation - SaigonTel (SGT) listed on the local stock exchanges. The market capitalization of these two companies accounts for 8 per cent of total market capitalization of Vietnamese listed stocks. SGI also has stakes in two banks, namely Nam Viet Commercial Joint Stock Bank (Navibank) and Western Commercial Joint Stock Bank (Westernbank), which will provide capital, service and support for SGI&rsquos investment projects. They are also quickly expanding to provide more products and services for the people. Apart from the business front, SGI is also very active in taking care of the lives of its employees and taking part in social development and ity activities. Since the start of 2008, SGI&rsquos utives paid a working visit to Laos and were warmly welcomed by the party chief, president, prime minister and house speaker of Laos. SGI presented VND15 billion to Laotians. It also handed VND5 billion and US$2.2 million on the occasion of Laos&rsquo New Year.
Saigon Invest Group has inted to build a world-class general university in Vietnam. Would you mind telling something about this?
To date, SGI has established and developed an IT human resource training institute to improve knowledge and ss for engineers. This is a prerequisite for SGI to develop a general university of international standard in the coming time.
Saigon Invest Group has signed many memorandums of understanding on cooperation with international companies, including US businesses. Which fields of cooperation and investment will your group and your partners focus on in the coming time?
In 2008, SGI will invest in several key fields. It has signed an agreement with Marubeni Group to invest US$1.5 billion to build an energy generation and industrial complex in BinhDinhProvince. During the working visit of Prime Minister Nguyen Tan Dung to the United Kingdom, SGI also inked an agreement with International Power Group to invest US$1.5 billion to develop a 1,200-MW thermal electric plant in central Vietnam. Besides, SGI also developed several thermal power plants in Laos and planned to develop industrial parks in the neighbouring country. SGI also formed close cooperation with US-based General Electric (GE), the world&rsquos largest producer of electric generators, medical equipment, communication devices and water treatment equipment. SGI will sign contracts to buy wind-powered turbines from GE. SGI will be a pioneer in Vietnam to develop green energy in the form of wind power. This is also a commitment of SGI in taking part in environment protection, climate change protection and gas emission reduction.
With respect to indirect investment, SGI has now participated in professional institutions to set up Vinchicapital Fund to invest in essential fields in Vietnam such as infrastructure and new urban zones. Vinchicapital is working with US financial investors to draw capital flow from the US, the world&rsquos largest financial market.
In addition, SGI and Vinchicapital also helped Russell Asset Management (now managing US$500 billion) to lead a delegation of investment funds with assets under management (AUM) of US$11,000 billion to visit Vietnam at the of this year. This activity promises a breakthrough in Vietnam-US financial investment ties.
What are your opinions about two-way trade ties and investment cooperation of US and Vietnamese firms in the past time?
Since diplomatic normalisation, the Vietnam-US relations have strongly and quickly developed in all aspects, especially trade and investment. Business delegation exchanges and visits between national leaders have consolidated understanding and d a stronger basis for multifaceted cooperation. Vietnam always regards the US as an important partner and wants to establish all-sided and sustainable cooperation for mutual benefits. Vietnamese and US firms need to speed up business exchanges to boost mutually beneficial cooperation. The economic cooperation, especially investment, so far has not rose to the potential and expectation of the two countries.
Vietnam has gradually asserted its position on the international arena as a country with high growth, political stability, attractive investment climate, frily and industrious people. Thus, this is a good time for US investors to survey the market and invest in Vietnam. The government and its competent organs are checking to am and supplement legal documents and mechanisms to further facilitate investment activities. Especially, Prime Minister Nguyen Tan Dung&rsquos visit to the United States will bring the trade and investment ties of the two countries to a new high to meet the potential and expectations of both sides.
Repoted by Van Luong
Vietnamese
