Business, a pillar in Vietnam-UK strategic partnership

09:48 | 12/08/2015 Cooperation

(VEN) - The official two-day visit saw Cameron meet Vietnamese Prime Minister Nguyen Tan Dung, and the two sides agreed on promoting cooperation in all sectors and effectively implementing available dialogue mechanisms. Business will be an important pillar in the strategic partnership between the two countries.

Business, a pillar in Vietnam-UK strategic partnership

Vietnamese Prime Minister Nguyen Tan Dung meets his UK counterpart David Cameron

Two-way trade turnover has recorded growth in recent years. Vietnam is considered one of the UK’s key markets in the region and Vietnamese goods and services have attracted the interests of British consumers. Vietnamese export growth to the UK has reached an average of 20 percent a year and Vietnam has achieved a trade surplus for many years. Phones, footwear, garments and textiles, furniture, machinery and equipment, plastics and plastic products, seafood, coffee, fresh fruits and toys are Vietnam’s main items having the highest export value to the UK. According to the Vietnamese Trade Office in the UK, two-way trade turnover between the two countries in the first five months of this year stood at US$2.05 billion, an increase of seven percent compared to the same period last year.

The UK had 206 investment projects in Vietnam by the end of June with total registered capital of US$3.195 billion, ranking 16th among the 103 countries and territories investing in Vietnam focusing on mining, manufacturing and processing industry, real estate trading, banking and finance and insurance.

The two sides agreed on encouraging and creating favorable conditions for businesses in strengthening exchanges, seeking partners and promoting links in banking and finance, insurance, oil and gas and green growth via public-private partnership investments.

British Prime Minister David Cameron said that the UK has always supported Vietnam in promoting cooperation with the EU countries and concluding negotiation rounds of the EU-Vietnam Free Trade Agreement. This agreement will open up opportunities for trade and investment cooperation between the two countries. The UK government is willing to provide an export credit of £500 million to Vietnam to implement infrastructure projects in the coming time in addition to support from British expertise. The UK will also continue providing official development assistance capital for Vietnam. In addition, the two sides agreed on promoting cooperation in education and training, science and technology and climate change mitigation.

The two sides also signed a number of cooperation documents in aviation, financial sector and oil and gas such as a contract on the maintenance of aircraft engines between the Rolls-Royce Group and Vietnam Airlines for 20 years with total value of up to US$1.4 billion and an agreement between the Ministry of Finance and Prudential Vietnam on the issuance of government bonds worth £100 million.

UK Prime Minister David Cameron said that potential to promote economic cooperation between the two countries remained huge and the official visit to Vietnam was an opportunity to strengthen trade relations. British businesses may make use of the opportunities this market presents.


Nguyen Huong