17:08 | 07/07/2018 Economy
Executive Chairman of Dragon Capital Group, Dominic Scriven, affirmed that foreign capital flow is still strongly pouring into Vietnam in response to a question as to whether or not foreign investors are withdrawing capital from Vietnam.
|Executive Chairman of Dragon Capital Group, Dominic Scriven|
The senior manager of the top capital intermediator made the remarks at the mid-term Vietnam Business Forum (VBF), which was held in Hanoi on July 4.
Dominic Scriven said that in the first half of this year, foreign investors withdrew US$5.6 billion from the Thai market, US$3.7 billion from the Indonesian market, and US$1.6 billion from the Philippine market but they poured US$1.5 billion in the Vietnamese market.
According to Dominic, the global financial market has shown a number of major worrisome problems in the past six months including the US-China trade instability, as well as the fall in the US dollar interest rates that have decreased the attractiveness of emerging financial markets. "Vietnam is not an outsider to these concerns," Dominic noted.
However, the Dragon Capital Executive Chairman said that the value of listed companies in Vietnam is cheap and attractive, stressing that Vietnam is rising and the domestic market capitalisation has been developing in a strong and sustainable manner in recent years.
As a representative from the Capital Market Working Group at the VBF, Dominic made several recommendations to develop the market including the early issuance of the draft Law on Securities so that the market participants can make comments on the law. "The new law is expected to settle the conflicts between the current Law on Securities and the Investment Law," he said.
In addition, it is necessary to quickly build an ecosystem of domestic investment institutions, while the State Bank should be more flexible in its monetary management.
He also suggested expanding various types of finance in order to serve many investors and allow commercial banks to distribute financial products.